Construction of the Bolgrad group water pipeline for agricultural water supply in the Odesa region


Sector
Municipal infrastructure and services
Stream
Restoration, development and modernization of centralized water supply and wastewater infrastructure, including the introduction of alternative energy sources
Maturity level
70
Preliminary Investment Feasibility Study
Project Status
Investment Feasibility Study
Entry into Portfolio
State level of SPP
Implementation
Completion

General information

Description of the project

Bolgrad Group Water Supply — is a strategic infrastructure project aimed at providing high-quality drinking water to over 48,000 residents of 18 settlements in Bolgrad and Izmail districts of Odessa region. The project arose as a response to the critical shortage of safe water for consumption in the southern regions of Bessarabia, where most underground sources have excessive mineralization, and centralized water supply is absent or physically worn out. The project's feature is the construction of modern facilities for water purification to the regulatory level, as well as the laying of main and distribution pipelines to rural communities. It is expected that after the project is implemented, the need for imported water will be eliminated, household expenses will be reduced, the quality of life of people will be improved, and the social resilience of communities at risk of water shortage will be strengthened. 

The purpose of the project

Main Goal:

Improving the equality of wealth distribution

Secondary Goal:

Improving the condition of infrastructure

Description of the purpose of the project and ways to achieve it

The project aims to provide over 48,000 residents of 18 settlements in the Bolgrad and Izmail districts with high-quality drinking water by expanding access to basic life goods and water supply services. The implementation of the project will improve sanitary and hygienic living conditions, reduce the social vulnerability of the population, reduce household expenses for imported water, and increase the overall standard of living in the region. The goal is to be achieved by modernizing the water intake point on the Danube River and the water treatment plant, bringing its quality to state standards, and laying a main and distribution water pipeline connecting all villages and socially significant facilities. In addition, it is planned to equip water intakes, pumping stations, treatment plants and other energy-intensive facilities with modern energy-efficient equipment, install solar panels, heat pumps or other alternative energy sources to reduce dependence on centralized power grids, reduce operating costs and the cost of water tariffs, and implement monitoring and dispatching systems for prompt detection of accidents, water quality control and optimization of network operations.

Problems and solutions resulting from project implementation

The Bolgrad Group Water Supply Project is aimed at solving urgent technical and infrastructure problems in the water supply system of the southern districts of Odessa region. The main problems are the worn-out condition of pumping stations, treatment plants, pipelines and transformer substations, frequent network outages (up to 50 per year), silting of the water intake from the Danube, lack of backup power supply, sanitary neglect and non-functioning water disinfection systems. Laboratory equipment is outdated, there is no accreditation, and land and technical issues for the operation of the facilities have not been resolved. The relevance of the project is due to the threat of complete loss of water supply in dozens of settlements, the risk of disease spread and degradation of infrastructure facilities. In the event of implementation, it is expected to provide more than 48,000 residents with high-quality drinking water, improve sanitary conditions, reduce operating costs, increase system reliability and improve the quality of life of the region's population.

Socio-economic context

Indicator

Value

Number of people who will use the service

48000 human

Strategic Case

Strategic feasibility of the project

Sector

Municipal infrastructure and services

Subsector

Water supply and sanitation

Stream

Restoration, development and modernization of centralized water supply and wastewater infrastructure, including the introduction of alternative energy sources

Strategic document

Task

1 of Annex 3 to the Program Construction of water supply systems

Project objectives

Indicator
Base value
Target value
Number of settlements provided with stable water supply
0 units
18 units
Number of built pumping stations with electrolysis
0 units
11 units
Number of constructed pumping stations of IV and V lift
0 units
2 units
Length of constructed pipelines
0 km
140.2 km

Project Sustainable Development Goals

Demand for the service and its dynamics

What methodology was used to estimate demand?

Проведено попередні консультації з громадами, зібрані офіційні листи підтримки проєкту від місцевих рад і органів самоврядування. Згідно з опитуваннями та зборами мешканців, понад 90% висловлюють готовність підключитись до системи централізованого водопостачання.
[Response was provided in the Preliminary Investment Feasibility Study]

Has data from external sources been used in the demand assessment?

Yes
[Response was provided in the Preliminary Investment Feasibility Study]

Does the demand forecast take into account the latest demographic and economic forecasts?

Yes
[Response was provided in the Preliminary Investment Feasibility Study]
Indicator
Year
Demand
Annual demand for services/infrastructure
1
1752000 m3
Economic justification

Analysis of the project's impact on ecology and climate change

Does the planned activity have a potential positive contribution to achieving climate or environmental objectives?

Transition to a circular economy
[Response was provided in the Preliminary Investment Feasibility Study]
Climate change adaptation
[Response was provided in the Preliminary Investment Feasibility Study]
Pollution prevention and control
[Response was provided in the Preliminary Investment Feasibility Study]
Sustainable use and protection of water and marine resources
[Response was provided in the Preliminary Investment Feasibility Study]
Protecting and restoring biodiversity and ecosystems
[Response was provided in the Preliminary Investment Feasibility Study]
Climate change mitigation
[Response was provided in the Preliminary Investment Feasibility Study]

Does the planned activity have a potential positive contribution to achieving climate or environmental objectives?

Sustainable use and protection of water and marine resources
[Response was provided in the Investment Feasibility Study]
Pollution prevention and control
[Response was provided in the Investment Feasibility Study]
Climate change adaptation
[Response was provided in the Investment Feasibility Study]

Is the proposed project expected to significantly harm any of the following climate or environmental objectives?

None of the options are applicable

Is the proposed project expected to significantly harm any of the following climate or environmental objectives?

None of the options are applicable

Have the greenhouse gas emissions or emission reductions (Scope 1-2) associated with the project been calculated for a typical year and the entire project period?

No
[Response was provided in the Investment Feasibility Study]

Does the project require an environmental impact assessment (EIA) in accordance with the Law of Ukraine "On Environmental Impact Assessment"?

Yes, not yet conducted
[Response was provided in the Investment Feasibility Study]

Project sustainability and inclusivity

Identify potential gender risks of the project and indicate possible ways to overcome them:

Not applicable to my project
[Response was provided in the Preliminary Investment Feasibility Study]

Does the project provide for improving women's access to services?

The project will improve women's access to safe water, food, and medical services
[Response was provided in the Preliminary Investment Feasibility Study]

Are civil society organizations representing women and vulnerable groups included in the consultation process?

No
[Response was provided in the Preliminary Investment Feasibility Study]

Were consultations held with representatives of target groups to take into account gender equality issues in the project?

No consultations were held with target groups.
[Response was provided in the Investment Feasibility Study]

Have the gender risks and social impacts of the project been assessed?

None of the options are applicable

Are there management and institutional mechanisms in place to ensure gender equality?

Not provided for by the project
[Response was provided in the Investment Feasibility Study]

Documents

Name
Date
Bolgradsky.pdf
02.03.2026
12:53:46 UTC

Alternative technical solutions

Technical Solution 1

Construction of the Bolgrad group water pipeline for agricultural water supply in the Odesa region

Technical Solution 2

Construction or modernization of small local water treatment plants (from wells, lakes)

Cost breakdownCost justificationCost justification
Project cost (preparation and implementation)1'716'734'996 UAH145'500'000 UAH
For preparation18'884'473 UAH7'500'000 UAH
For implementation1'697'850'523 UAH138'000'000 UAH
Project operation and closure cost2 UAH43'000'000 UAH
For operation1 UAH40'000'000 UAH
For closing1 UAH3'000'000 UAH
Average annual costs1 UAH0 UAH
Project duration, incl.30 months9 months
Deadline for developing a FFS6 months3 months
Implementation period24 months6 months
Service life600 months120 months
Target indicatorsDefined Not defined
Technical Solution Status
Active

[The technical approach was selected for further detailed analysis or implementation.]

Pending

[The project initiator has not taken any decision about this alternative technical approach.]

Components of a technical solution
To components
2
To components
0

Commercial Justification

Supplier and contractor market assessment

Is the project likely to attract a sufficient number of bidders to ensure real competition that will encourage bidders to think innovatively and maximize the quality of their proposals?
Yes

[Response was provided in the Preliminary Investment Feasibility Study]

Is the project of interest to small and medium-sized enterprises?
No

[Response was provided in the Preliminary Investment Feasibility Study]

Will the project involve national or international suppliers and contractors?
Yes, both national and international

[Response was provided in the Preliminary Investment Feasibility Study]

Has an analysis of available procurement options been conducted for the technical solution?
No

[Response was provided in the Preliminary Investment Feasibility Study]

What procurement strategy was chosen for the project implementation, and what justifies its feasibility in the context of the market and project objectives?
Для реалізації проєкту обрано стратегію відкритих конкурентних закупівель через систему Prozorro із можливістю проведення кількох окремих процедур для різних компонентів (будівництво магістрального водогону, насосних станцій, систем очистки, внутрішньосільська розводка), що відповідає вимогам Закону України «Про публічні закупівлі».

[Response was provided in the Investment Feasibility Study]

What approaches are planned to be used to ensure transparency, competition, and efficiency in the procurement process?
Для забезпечення прозорості, конкуренції та ефективності у процесі закупівель за проєктом планується застосувати такі підходи: Використання електронної системи Prozorro для всіх процедур закупівель, що забезпечує відкритий доступ до інформації про тендери та їх результати; Поділ предмета закупівлі на лоти для залучення більшої кількості учасників, зокрема малих і середніх підприємств, що спеціалізуються на окремих видах робіт чи обладнанні; Чіткі та недискримінаційні тендерні вимоги, які ґрунтуються на технічних характеристиках і якісних показниках без зайвих обмежень; Застосування формульного підходу до оцінки пропозицій, що поєднує цінові та нецінові критерії (якість, гарантійний термін, досвід виконання подібних робіт); Регулярний моніторинг і звітність про хід закупівель та укладені договори з публікацією інформації у відкритому доступі; Залучення незалежного технічного нагляду для контролю якості виконання робіт і відповідності матеріалів проєктним вимогам; Можливість оскарження результатів через електронну систему та Антимонопольний комітет України, що гарантує рівні права учасників.

[Response was provided in the Investment Feasibility Study]

What types of procurement procedures are envisaged by the project (open tender, negotiated procedure, competitive dialogue, etc.)?
Open competitive bidding

[Response was provided in the Investment Feasibility Study]

Pre-market engagement
Огляд відкритих тендерів, консультації з експертами, аналіз аналогічних проєктів, прямі запити до компаній.

[Response was provided in the Investment Feasibility Study]

Potential market participants
Були проведені консультації, є перелік організацій

[Response was provided in the Investment Feasibility Study]

Market readiness assessment
Наявні кваліфіковані виконавці.

[Response was provided in the Investment Feasibility Study]

Financial justification

Total project budget

Total preliminary budget1'716'734'998 UAH188'500'000 UAH
Project cost (preparation and implementation)1'716'734'996 UAH145'500'000 UAH
For preparation18'884'473 UAH7'500'000 UAH
For implementation1'697'850'523 UAH138'000'000 UAH
Project operation and closure cost2 UAH43'000'000 UAH
For operation1 UAH40'000'000 UAH
For closing1 UAH3'000'000 UAH
Was the Methodology for calculating the cost of a public investment project, approved by Order of the Ministry of Finance of Ukraine No. 316 dated June 23, 2025, used when clarifying the indicative budget?
Yes
[Response was provided in the Investment Feasibility Study]
Was the Methodology for Calculating the Cost of a Public Investment Project, approved by Order of the Ministry of Finance of Ukraine No. 316 dated June 23, 2025, used when calculating the indicative budget?
No
[Response was provided in the Preliminary Investment Feasibility Study]

Average project cost per service recipient

Service UnitЛюдина
Service Unit Cost40'973 UAH

Profitability of the project

Is the project expected to generate income?YesNo
Is the project self-sustaining?No

Availability of services

Has an analysis been conducted of the accessibility of services for consumers and their financial ability to pay the established tariffs?
No – analysis not performed

[Response was provided in the Preliminary Investment Feasibility Study]

Project Financing Mechanisms

Are funding sources and mechanisms identified?

Source and MechanismYesNo

Funding Sources

Approved Funds0 UAH0 UAH
Expected Funds0 UAH0 UAH

Public-private partnership

Has a qualitative and quantitative assessment of the project's suitability for implementation through a PPP mechanism been conducted?
The project does not fall under the PPP format by its nature/character

[Response was provided in the Preliminary Investment Feasibility Study]

Are there, after conducting an appropriate study, private investors interested in the possibility of implementing the project in the PPP format?
No

[Response was provided in the Preliminary Investment Feasibility Study]

Management Rationale

Team competencies

Determine which competencies/expertise required for successful project preparation and implementation can be provided by the project initiator's own project team (without involving external advisors)
Project management - public consultations

[Response was provided in the Preliminary Investment Feasibility Study]

Business case - analysis of available procurement options

[Response was provided in the Preliminary Investment Feasibility Study]

Project management - legal support

[Response was provided in the Preliminary Investment Feasibility Study]

Strategic rationale - SDG compliance analysis

[Response was provided in the Preliminary Investment Feasibility Study]

Does the team have experience implementing similar projects?
No, this is the first project of its kind.

[Response was provided in the Preliminary Investment Feasibility Study]

Identify which competencies/expertise required for successful project preparation and implementation need to be strengthened by engaging independent experts or consultants
Economic feasibility study - technical expertise

[Response was provided in the Preliminary Investment Feasibility Study]

Economic justification - environmental expertise

[Response was provided in the Preliminary Investment Feasibility Study]

Economic justification - economic analysis

[Response was provided in the Preliminary Investment Feasibility Study]

Is there an understanding of where to find relevant experts and consultants?
No, I need help.

[Response was provided in the Preliminary Investment Feasibility Study]

Is the project management structure defined: working group, chair, project team?
No

[Response was provided in the Investment Feasibility Study]

What categories of experts and consultants have already been involved at the project preparation stage?
None of the options are applicable
Are there plans to involve experts and consultants for further implementation of the project?
Yes

[Response was provided in the Investment Feasibility Study]

Risk assessment

Technical riskDefinedUndefined
Financial riskDefinedUndefined
Economic riskDefinedUndefined
Political riskDefinedUndefined
Social riskDefinedUndefined
Operational riskDefinedUndefined
Market riskDefinedUndefined
Environmental riskDefinedUndefined

Organizational events

ResponseDefinedUndefined
Results of the feasibility analysis
Project Preparation Program Engagement and Funding Needs

Is there ongoing cooperation or support within the framework of international technical assistance (ITA) or from other donor or government agencies?

No
[Response was provided in the Preliminary Investment Feasibility Study]

Does the project require preparation assistance from Project Preparation Programs (PPF)?

Updating existing documentation regarding the preparation of the feasibility study
[Response was provided in the Preliminary Investment Feasibility Study]

Does the project require additional preparation assistance from Project Preparation Facilities (PPF)?

Finalization of existing documentation for the preparation of a preliminary feasibility study
[Response was provided in the Investment Feasibility Study]
Need for financing

Does the project require additional funding for preparation?

No
[Response was provided in the Preliminary Investment Feasibility Study]

Project Approval History

DateDecision NumberPortfolioProject StatusDecisionReasonsMaturity level
15/08/2025SP-N-150825-1748670AState SPInvestment Feasibility StudyCancellation of the decision to include in a joint venture--
02/03/2026SP-N-020326-DF42AC24State SPInvestment Feasibility StudyIncludeThe project to build the Bolgrad group water supply system in the Odessa region has an exclusively social focus and involves providing over 48,000 residents with high-quality drinking water.-
17/03/2026SPP-N-170326-43013753State SPPInvestment Feasibility StudyIncludeAccording to the minutes of the meeting of the Strategic Investment Council dated 12.03.2026 No. 1670