- General information
- Strategic Case
- Economic Case
- Commercial Case
- Financial Case
- Management Case
- Summary
General information
Description of the project
Thermomodernization of residential buildings to increase energy efficiency and reduce energy consumption by insulating facades.
The purpose of the project
Main Goal:
Introducing innovations and energy-efficient solutions
Secondary Goal:
Contribution to climate or environmental goals
Description of the purpose of the project and ways to achieve it
The main goal is not just to “paste over the walls”, but to provide a comprehensive thermal modernization, which will lead to:
Reduction of energy consumption:
Reduction of heating costs by 20–30%.
Extension of the building's service life: Protection of structural elements (walls, ceilings) from the effects of moisture and temperature changes (freeze-thaw cycles).
Improvement of the microclimate: Elimination of “cold bridges”, prevention of the appearance of mold and fungus inside the apartments.
The way to achieve the goal is to increase the thermal resistance of the enclosing structures by installing an additional 150 mm layer of insulation around the facade.
Economic benefits for communities: Reduction of the burden on the local budget in terms of paying subsidies and reducing the need to import energy carriers.
Environmental effect: Reduction of CO_2 emissions into the atmosphere due to less fuel combustion
Problems and solutions resulting from project implementation
1. Key Problems (Baseline)
Excessive energy loss: Due to uninsulated walls and interpanel joints, the building loses up to 40-50% of thermal energy "to the wind".
Structural deterioration: Constant moisture ingress into microcracks and its freezing lead to erosion of concrete and corrosion of reinforcement.
Energy poverty: The high cost of heating becomes unaffordable for a significant part of the population, which increases the burden on the budget due to subsidies.
Unsatisfactory microclimate: The "cold wall" effect, condensation and fungus, which provoke chronic respiratory diseases in residents.
Aesthetic decline: The outdated and untidy appearance of facades reduces the attractiveness of the area and the market value of real estate.
2. Solution Results (Target State)
Technical and Economic Results:
Energy Independence: Reduction in natural gas or electricity consumption for heating by an average of 40%.
Savings: Real reduction in residents' payments from the first heating season after completion of work.
Capitalization of the facility: The market price of apartments in a thermally modernized building increases by 15–25% compared to similar "cold" buildings.
Increased building life: The protective layer of insulation preserves the facade, extending the life of the building by another 30–50 years.
Socio-economic context
Indicator
Value
Number of people who will use the service
5 thous. people
Other functional
127 kWh
Strategic Case
Strategic feasibility of the project
Sector
Municipal infrastructure and services
Subsector
Urban planning and landscaping
Stream
Improving energy efficiency in public buildings
Strategic document
Стратегія розвитку територіальної громади
Task
In 3.4.2 Comprehensive housing modernization program
Project objectives
Indicator
Base value
Target value
Increasing energy efficiency class
127 kWh
113 kWh
Project Sustainable Development Goals
Demand for the service and its dynamics
What methodology was used to estimate demand?
Дослідження Національного інституту стратегічних досліджень: "Зміцнення стійкості населення до ризиків для доступності енергетичних ресурсів" https://niss.gov.ua/doslidzhennya/sotsialna-polityka/zmitsnennya-stiykosti-naselennya-do-ryzykiv-dlya-dostupnosti
[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
350 thous. people
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?
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]
Climate change mitigation
[Response was provided in the Preliminary 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
Does the planned activity have a potential positive contribution to achieving climate or environmental objectives?
Climate change adaptation
[Response was provided in the Investment Feasibility Study]
Climate change mitigation
[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
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"?
Conducting an EIA is not required.
[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:
None of the options are applicable
Does the project provide for improving women's access to services?
None of the options are applicable
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?
None of the options are applicable
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?
None of the options are applicable
Alternative technical solutions
Technical Solution 1
Insulation of facades
Technical Solution 2
Installation of an individual heating point
Cost breakdownCost justificationCost justification
Project cost (preparation and implementation)520'950'000 UAH0 UAH
For preparation10'950'000 UAH0
For implementation510'000'000 UAH0
Project operation and closure cost3'650'000 UAH0 UAH
For operation50'000 UAH0
For closing3'600'000 UAH0
Average annual costs15'000 UAH0 UAH
Project duration, incl.26 months0 months
Deadline for developing a FFS2 months0 months
Implementation period24 months0 months
Service life600 months0 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
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?
Yes
[Response was provided in the Preliminary Investment Feasibility Study]
Will the project involve national or international suppliers and contractors?
Yes, only national
[Response was provided in the Preliminary Investment Feasibility Study]
Has an analysis of available procurement options been conducted for the technical solution?
Yes
[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?
Закупівлі будуть проходити окремо по кожному компоненту з використанням системи ProZorro
[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?
ProZorro як інструмент відкритого ринку
[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 торгів, аналітика системи DOZORRO, аналіз аналогічних проектів
[Response was provided in the Investment Feasibility Study]
Potential market participants
Аналіз реалізації подібних проектів показав сталу конкуренцію і попит на подібні закупівлі
[Response was provided in the Investment Feasibility Study]
Market readiness assessment
Локальний ринок міста готовий до реалізації проекту про що свідчить аналітика через систему DOZORRO, за попередні періоди виконано більше 50 подібних проектів
[Response was provided in the Investment Feasibility Study]
Financial justification
Total project budget
Total preliminary budget524'600'000 UAH0 UAH
Project cost (preparation and implementation)520'950'000 UAH0 UAH
For preparation10'950'000 UAH0 UAH
For implementation510'000'000 UAH0 UAH
Project operation and closure cost3'650'000 UAH0 UAH
For operation50'000 UAH0 UAH
For closing3'600'000 UAH0 UAH
Were the methodological recommendations approved by the Ministry of Finance of Ukraine applied when calculating the indicative budget?
No
[Response was provided in the Preliminary Investment Feasibility Study]
Were the methodological recommendations approved by the Ministry of Finance of Ukraine applied when calculating the indicative budget?
No
[Response was provided in the Investment Feasibility Study]
Average project cost per service recipient
Service UnitВартість на 1 жителя
Service Unit Cost60'000 UAH
Profitability of the project
Is the project expected to generate income?NoNo
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?
Not applicable – the project does not provide for the provision of paid services or the establishment of tariffs
[Response was provided in the Preliminary Investment Feasibility Study]
Project Financing Mechanisms
Are funding sources and mechanisms identified?
Source and MechanismYesNo
Funding Sources
Public-private partnership
Has a qualitative and quantitative assessment of the project's suitability for implementation through a PPP mechanism been conducted?
No, no assessment was conducted.
[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)
Strategic justification - analysis of the strategic feasibility of the project
[Response was provided in the Preliminary Investment Feasibility Study]
Economic justification - economic analysis
[Response was provided in the Preliminary Investment Feasibility Study]
Project management - communication with stakeholders
[Response was provided in the Preliminary Investment Feasibility Study]
Project management - risk management
[Response was provided in the Preliminary Investment Feasibility Study]
Economic justification - social and gender analysis
[Response was provided in the Preliminary Investment Feasibility Study]
Project management - public consultations
[Response was provided in the Preliminary Investment Feasibility Study]
Economic feasibility study - technical expertise
[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]
Project management - working with international financial organizations (IFOs)
[Response was provided in the Preliminary Investment Feasibility Study]
Financial analysis - financial analysis
[Response was provided in the Preliminary Investment Feasibility Study]
Strategic rationale - demand analysis
[Response was provided in the Preliminary Investment Feasibility Study]
Economic justification - environmental expertise
[Response was provided in the Preliminary Investment Feasibility Study]
Business case - analysis of the market environment
[Response was provided in the Preliminary Investment Feasibility Study]
Does the team have experience implementing similar projects?
Yes, successfully implemented 1 or more similar projects
[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
None of the options are applicable
Is there an understanding of where to find relevant experts and consultants?
Partially, we are considering options
[Response was provided in the Preliminary Investment Feasibility Study]
Is the project management structure defined: working group, chair, project team?
Yes
[Response was provided in the Investment Feasibility Study]
What categories of experts and consultants have already been involved at the project preparation stage?
Financial consultants/modelers
[Response was provided in the Investment Feasibility Study]
Legal consultants
[Response was provided in the Investment Feasibility Study]
Technical experts
[Response was provided in the Investment Feasibility Study]
Management experts / project managers
[Response was provided in the Investment Feasibility Study]
Are there plans to involve experts and consultants for further implementation of the project?
No
[Response was provided in the Investment Feasibility Study]
Risk assessment
Technical riskDefinedUndefined
Financial riskDefinedUndefined
Market riskDefinedUndefined
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)?
None of the options are applicable
Does the project require additional preparation assistance from Project Preparation Facilities (PPF)?
None of the options are applicable
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
20/03/2026SP-L-200326-492E043BCommunity SPInvestment Feasibility StudyInclude--
25/03/2026SPP-L-250326-A5B5B194Community SPPInvestment Feasibility StudyInclude-75