Reconstruction of the gas supply system of residential buildings


Sector
Municipal infrastructure and services
Stream
Reconstruction of the gas supply system of residential buildings
Maturity level
83
Preliminary Investment Feasibility Study
Project Status
Investment Feasibility Study
Entry into Portfolio
Local level of SPP
Implementation
Completion

General information

Description of the project

Reconstruction of the gas supply system of residential buildings at the following addresses: Kharkiv region, Lozov district, Zlatopil city, 17 Kharkivska st.; 21 Kharkivska st.; 8 Sportyvna st.; 8A Sportyvna st.; 20 Hromadska st.; 22 Hromadska st.

The purpose of the project

Main Goal:

Rebuilding the damaged/destroyed

Secondary Goal:

Improving the equality of wealth distribution, Improving the condition of infrastructure, Improving the quality of services

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

The purpose of the project is to ensure safe, reliable and uninterrupted gas supply to residential buildings in the city of Zlatopil by reconstructing and modernizing existing gas distribution networks in accordance with current technical and safety standards. The methods for achieving the goal include conducting a technical inspection of existing networks, replacing physically and morally worn-out gas pipelines and equipment, installing modern shut-off and control valves, implementing energy-efficient and safe technological solutions, as well as bringing the gas supply system into compliance with regulatory requirements with subsequent commissioning. The justification for the gap between the current and target states is that today the city's gas supply system for residential buildings is characterized by a high level of wear and tear, increased accident rate and risks for the population, which does not meet the requirements for safety and quality of services, while the target state provides for stable, safe and efficient gas supply with minimal resource losses and reduced operational risks.

Problems and solutions resulting from project implementation

Key problems to be solved by the project implementation The project implementation is aimed at solving the following key problems: high level of accidents and risks to the safety of the population associated with the operation of worn-out gas networks; inability to ensure stable and uninterrupted gas supply and, accordingly, heat supply to residential buildings; energy losses and increased operating costs due to technical imperfections of the networks; non-compliance of the gas supply system with current regulatory requirements. The relevance of these problems is due to the consequences of military operations, the deterioration of the technical condition of the infrastructure and the urgent need to provide basic housing and communal services to the population. If they are not resolved, a further increase in accidents, prolonged lack of heat supply, social tension and increased threats to the life and health of residents is possible. Expected positive changes from the project implementation include: increasing the level of safety and reliability of gas supply; restoration and stabilization of heat supply to residential buildings; reduction of gas losses and operating costs; improvement of the quality of life of the population and increasing the resilience of the city's infrastructure to emergencies.

Socio-economic context

Indicator

Value

Population in the geographical area of influence of the project

300 human

Strategic Case

Strategic feasibility of the project

Sector

Municipal infrastructure and services

Subsector

District Heating

Stream

Reconstruction of the gas supply system of residential buildings

Strategic document

Стратегія розвитку територіальної громади

Task

2.2.1. Ensure proper functioning and modernization of municipal institutions and civil and critical infrastructure facilities

Project objectives

Project objectives were not specified by the initiator

Project Sustainable Development Goals

Demand for the service and its dynamics

What methodology was used to estimate demand?

Для оцінки попиту в межах підготовки публічного інвестиційного проєкту застосовувалася комплексна аналітично-нормативна методологія, яка поєднує кількісні та якісні підходи і відповідає практиці обґрунтування інфраструктурних проєктів у сфері житлово-комунального господарства. Основні елементи методології оцінки попиту: Нормативно-розрахунковий метод Оцінка попиту здійснювалася на основі чинних державних будівельних норм, галузевих стандартів і правил безпечної експлуатації систем газопостачання та теплопостачання. Розрахунки виконувались з урахуванням нормативних показників споживання газу для житлових будинків, потреб теплогенеруючого обладнання та розрахункових навантажень у опалювальний період. Аналіз фактичного споживання (історичних даних) Використано дані попередніх років щодо обсягів газоспоживання житловими будинками та котельнею до моменту пошкодження інфраструктури. Це дозволило визначити реальний базовий рівень попиту та відхилення, спричинені аварійним станом мереж і наслідками воєнних дій. Демографічний та просторовий аналіз При оцінці попиту враховано кількість житлових будинків, чисельність населення, рівень заселеності та просторову структуру мікрорайонів, охоплених проєктом. Такий підхід дозволив визначити стабільний соціально обумовлений попит на послуги газо- та теплопостачання. Сценарний аналіз (до / після реалізації проєкту) Проведено порівняльну оцінку попиту в умовах збереження існуючого технічного стану мереж та після їх реконструкції. Сценарний підхід показав, що фактичний попит є стриманим технічними обмеженнями, тоді як після реалізації проєкту він реалізується в повному нормативному обсязі. Експертна оцінка та технічні висновки До методології включено експертні висновки профільних спеціалістів (проєктантів, експлуатуючих організацій), які підтвердили обґрунтованість прогнозованого попиту з урахуванням технічних ризиків, безпекових вимог і можливостей відновлення теплопостачання. Підсумок методології: Застосована методологія дозволяє визначити попит як об’єктивну, соціально необхідну та нормативно обґрунтовану потребу, яка не формується ринковими чинниками, а обумовлена необхідністю забезпечення базових житлово-комунальних послуг населенню. Вона підтверджує, що попит є стабільним, гарантованим та нееластичним, а реалізація проєкту є єдиною умовою його повного задоволення.
[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
300 human
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?

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

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]

Documents

Name
Date
Economic analysis of the project.pdf
15.01.2026
13:54:53 UTC

Alternative technical solutions

Technical Solution 1

Reconstruction of the gas supply system of residential buildings

Technical Solution 2

Current repairs of existing gas distribution networks

Cost breakdownCost justificationCost justification
Project cost (preparation and implementation)2'000'000 UAH1'500'000 UAH
For implementation2'000'000 UAH1'500'000 UAH
Project operation and closure cost0 UAH0 UAH
Average annual costs100'000 UAH0 UAH
Project duration, incl.13 months13 months
Deadline for developing a FFS1 month1 month
Implementation period12 months12 months
Service life240 months120 months
Target indicatorsDefined Defined
Technical Solution Status
Active

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

Rejected

[The technical approach was not selected for further detailed analysis or implementation.]

Components of a technical solution
To components
1
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?
No

[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, only national

[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]

Financial justification

Total project budget

Total preliminary budget2'000'000 UAH1'500'000 UAH
Project cost (preparation and implementation)2'000'000 UAH1'500'000 UAH
For preparation0 UAH0 UAH
For implementation2'000'000 UAH1'500'000 UAH
Project operation and closure cost0 UAH0 UAH
For operation0 UAH0 UAH
For closing0 UAH0 UAH
Were the methodological recommendations approved by the Ministry of Finance of Ukraine applied when calculating the indicative budget?
Yes
[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?
Yes
[Response was provided in the Investment Feasibility Study]

Average project cost per service recipient

Service UnitСередня вартість проєкту
Service Unit Cost6'700 UAH

Profitability of the project

Is the project expected to generate income?NoNo

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

Approved Funds2'000'000 UAH0 UAH
Expected Funds2'000'000 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)
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?
Partially, we have limited experience

[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]

Risk assessment

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

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]
Updating existing documentation regarding the preparation of the feasibility study
[Response was provided in the Investment Feasibility Study]
Updating existing documentation regarding the preparation of design and estimate documentation (DED)
[Response was provided in the Investment Feasibility Study]

Project Approval History

DateDecision NumberPortfolioProject StatusDecisionReasonsMaturity level
15/01/2026SP-L-150126-44558BF9Community SPInvestment Feasibility StudyInclude--
17/01/2026SPP-L-170126-ED5A1F74Community SPPInvestment Feasibility StudyInclude-83