New construction of modern sewage treatment facilities for domestic and commercial wastewater, Khmelnytskyi city, Vinnytske Shose St., 135

Sector
Municipal infrastructure and services
Stream
Construction/reconstruction of sewage treatment plants for domestic wastewater
Preliminary Investment Feasibility Study
Project Status
Investment Feasibility Study
Entry into Portfolio
Local level of SPP
Implementation
Completion

General information

Description of the project

The construction object is the KOS-2 sewage treatment plant of the city municipal enterprise "Khmelnytskvodokanal", which is intended for the complete treatment of a mixture of domestic and industrial wastewater of the city of Khmelnytskyi, located at the address: Khmelnytskyi, Vinnytske Shose St., 135. The design capacity of the treatment plant is - 60,000 m3/day. The existing treatment plants have been in operation by the city since the 1980s. The structures have exhausted their operational and technological resources and do not meet modern requirements, both in terms of technical equipment and in terms of environmental friendliness and quality of wastewater treatment. The equipment is morally and physically outdated and extremely worn out, requiring constant capital investments to maintain it in working condition, which leads to excessive costs for operation and electricity. The project "New construction of sewage treatment facilities for domestic and commercial wastewater with a capacity of 60 thousand m3/day in Khmelnytskyi, Vinnytske Shosse, 135" on the territory of the existing treatment facilities No. 2 meets modern requirements for the feasibility of implementing all stages of treatment and sludge dewatering, the treatment facilities will provide the appropriate level of technological equipment, equipment, electrical and technical equipment and will allow ensuring compliance with the current norms of Ukraine and environmental standards.

It is planned to implement new fine mechanical treatment facilities and implement ICEAS-SBR biological treatment technology (SBR-reactors), which provides an improvement in the quality of treatment compared to existing facilities and simultaneously increases the reliability of their operation. It is also planned to implement an advanced process for complete wastewater disinfection and create a system for thickening and dewatering sludge for further utilization, which will allow achieving a consistently high quality of operation of the treatment facilities. The technological scheme of wastewater treatment involves intercepting the flow of wastewater, feeding it to new technological structures and technological equipment. 

The purpose of the project

Main goal:

Increasing compliance with modern standards

Secondary goal:

Contribution to climate or environmental goals, Improving the condition of infrastructure, Introducing innovations and energy-efficient solutions, Improving the quality of services

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

Treatment plants will ensure the proper quality level of timely wastewater treatment. As a result, it will prevent irreparable pollution of water bodies and soil, groundwater. This is important for the ecology and will also affect flora, fauna, human and animal health.

Problems and solutions resulting from project implementation

The implementation of the project will provide the following benefits: - ensuring throughput capacity that will meet future needs and compliance with higher requirements for treatment facilities; - improved wastewater treatment will reduce the level of pollution and will not affect the ecological and chemical state of water bodies; - treatment facilities will provide the appropriate level of technological equipment, equipment, electrical and technical equipment; - reduction of greenhouse gas emissions up to 1,900 t СО2 - eq. It is planned to receive benefits from the reduction of greenhouse gas emissions due to a 15% reduction in electricity consumption for wastewater treatment. - new equipment with a high efficiency percentage will reduce electricity consumption by facilities by 15% (875,000 kW/year or 4.484 million UAH/year): - energy savings due to the production of renewable electricity and heat (production of about 6,000 cubic meters of biogas daily, which allows producing about 15,000 kW of electricity daily to meet the treatment facilities' own needs; heat energy for own needs; 100% provision of electricity needs for treatment facilities. Annual electricity consumption by treatment facilities is about 5,500,000 kW, which in monetary equivalent is 50 million UAH; guarantee of stability of the enterprise's activities). - reduction of sludge volumes with a corresponding positive impact on the environment. No need to maintain sludge fields, the total area of which is 15,014 square meters, which frees up additional territory, and also allows the company to save up to 4 million UAH per year on cleaning sludge fields; - improving the quality of wastewater flowing through the Southern Bug River to the Black Sea basin.

Socio-economic context

Indicator

Value

Maintenance costs per year

30 %

Capital expenditure per year

7000 thous. UAH

Strategic Case

Strategic feasibility of the project

Sector

Municipal infrastructure and services

Subsector

Water supply and sanitation

Stream

Construction/reconstruction of sewage treatment plants for domestic wastewater

Strategic document

Стратегія розвитку територіальної громади

Task

C.2 Environmental protection

Project objectives

Indicator
Base value
Target value
Reduction of electricity costs
35000 thous. UAH
0 thous. UAH
Reduced operating costs
100 %
70 %
Reduction of capital costs
7000 thous. UAH
0 thous. UAH

Project Sustainable Development Goals

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?

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]

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?

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]
Protecting and restoring biodiversity and ecosystems
[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"?

Yes, it was 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?

Not applicable to my project
[Response was provided in the Preliminary Investment Feasibility Study]
The project will create jobs available to women (temporarily or permanently)
[Response was provided in the Preliminary Investment Feasibility Study]
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?

Yes
[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]
Women's participation is ensured at various stages of planning (including public hearings)
[Response was provided in the Investment Feasibility Study]

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

All possible positive impacts of the project on women, men or other gender groups have been identified
[Response was provided in the Investment Feasibility Study]
All possible negative impacts of the project on women, men or other gender groups have been identified
[Response was provided in the Investment Feasibility Study]

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
KOS2_New Construction_Concept Note 1.doc
20.12.2025
13:54:49 UTC

Alternative technical solutions

Technical Solution 1

New construction of modern sewage treatment facilities for domestic and commercial wastewater, Khmelnytskyi city, Vinnytske Shose St., 135

Technical Solution 2

Modernization of existing sewage treatment facilities for domestic wastewater in the city of Khmelnytskyi

Total costs1'816'000'000 UAH891'000'000 UAH
  • For preparation
    • 10'000'000 UAH5'000'000 UAH
  • For implementation
    • 1'800'000'000 UAH880'000'000 UAH
  • For operation
    • 5'000'000 UAH5'000'000 UAH
  • For closing
    • 1'000'000 UAH1'000'000 UAH
    Average annual costs5'000'000 UAH5'000'000 UAH
    Project duration, incl.60 months84 months
  • Deadline for developing a FFS
    • 24 months24 months
  • Implementation period
    • 36 months60 months
    Service life600 months180 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
    0
    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?
    Відповідно до правил міжнародних відкритих торгів за стандартами і вимогами ЄС

    [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?
    Незалежний нагляд, публічне звітування)

    [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 міжнародними експертами, аналіз аналогічних проектів

    [Response was provided in the Investment Feasibility Study]

    Potential market participants
    Відповідно до правил міжнародних відкритих торгів за стандартами і вимогами ЄС

    [Response was provided in the Investment Feasibility Study]

    Market readiness assessment
    Наявні кваліфіковані виконавці (як національні так і міжнародні), різноманіття та доступність технологій

    [Response was provided in the Investment Feasibility Study]

    Financial justification

    Total project budget

    Total preliminary budget1'816'000'000 UAH891'000'000 UAH
    Capital costs1'816'000'000 UAH891'000'000 UAH
    Operational costs0 UAH0 UAH

    Preliminary cost breakdown

    Operating costs for implementation0 UAH0 UAH
    For preparation10'000'000 UAH5'000'000 UAH
    For implementation1'800'000'000 UAH880'000'000 UAH
    For operation5'000'000 UAH5'000'000 UAH
    For closing1'000'000 UAH1'000'000 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 UnitВартість проекту на одного отримувача послуги
    Service Unit Cost7'200 UAH

    Profitability of the project

    Is the project expected to generate income?

    ResponseNoNo

    Availability of services

    Has an analysis been conducted of the accessibility of services for consumers and their financial ability to pay the established tariffs?
    Yes – the analysis was conducted, it was found that the tariffs correspond to the financial capabilities of consumers

    [Response was provided in the Preliminary Investment Feasibility Study]

    Project Financing Mechanisms

    Are funding sources and mechanisms identified?

    Source and MechanismYesNo

    Funding Sources

    Approved Funds106'000'000 UAH0 UAH
    Expected Funds106'000'000 UAH0 UAH

    Public-private partnership

    Has a qualitative and quantitative assessment of the project's suitability for implementation through a PPP mechanism been conducted?
    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]

    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 justification - environmental expertise

    [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
    Business case - analysis of the market environment

    [Response was provided in the Preliminary Investment Feasibility Study]

    Management rationale - project management

    [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]

    Management rationale - risk management

    [Response was provided in the Preliminary Investment Feasibility Study]

    Management rationale - working with international financial organizations (IFOs)

    [Response was provided in the Preliminary Investment Feasibility Study]

    Management justification - legal support

    [Response was provided in the Preliminary Investment Feasibility Study]

    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?
    Specialists in interaction with international financial organizations (IFOs)

    [Response was provided in the Investment Feasibility Study]

    Environmental experts

    [Response was provided in the Investment Feasibility Study]

    Legal consultants

    [Response was provided in the Investment Feasibility Study]

    Economic analysts

    [Response was provided in the Investment Feasibility Study]

    Strategic consultants

    [Response was provided in the Investment Feasibility Study]

    Technical experts

    [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

    Financial riskDefinedUndefined

    Organizational events

    ResponseDefinedUndefined

    Team involvement

    How exactly are/will stakeholders be involved?
    Meetings with local authorities

    [Response was provided in the Investment Feasibility Study]

    Public hearings

    [Response was provided in the Investment Feasibility Study]

    When are/will engagement activities be taking place?
    At the project monitoring stage

    [Response was provided in the Investment Feasibility Study]

    At the project implementation stage

    [Response was provided in the Investment Feasibility Study]

    At the project preparation stage

    [Response was provided in the Investment Feasibility Study]

    How is/will the public be informed about the importance of participation and available channels for feedback?
    Official websites

    [Response was provided in the Investment Feasibility Study]

    Social networks

    [Response was provided in the Investment Feasibility Study]

    Local media

    [Response was provided in the Investment Feasibility Study]

    Are public hearings being held/will they be held (offline, online)?
    Yes, offline.

    [Response was provided in the Investment Feasibility Study]

    Зустрічі з органами місцевого самоврядування, зустрічі з громадкістю
    Who will attend the public hearings?
    Representatives of public organizations

    [Response was provided in the Investment Feasibility Study]

    Experts

    [Response was provided in the Investment Feasibility Study]

    Community representatives

    [Response was provided in the Investment Feasibility Study]

    Government officials

    [Response was provided in the Investment Feasibility Study]

    Public hearings have already been held
    Yes

    [Response was provided in the Investment Feasibility Study]

    Проводились на етапі ОВД
    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?

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

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

    Development of a full feasibility study;
    [Response was provided in the Preliminary Investment Feasibility Study]
    Finalization of existing documentation for the preparation of a preliminary feasibility study
    [Response was provided in the Preliminary Investment Feasibility Study]
    Development of design and estimate documentation (DED);
    [Response was provided in the Preliminary Investment Feasibility Study]
    Updating existing documentation regarding the preparation of design and estimate documentation (DED)
    [Response was provided in the Preliminary Investment Feasibility Study]
    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 StatusDecisionReasons
    22/12/2025SP-L-221225-378D544DCommunity SPInvestment Feasibility StudyInclude-
    30/12/2025SPP-L-301225-A5465CE3Community SPPInvestment Feasibility StudyInclude-