Reconstruction of heat and electricity supply networks of a stationary temporary structure - container mobile boiler houses with the installation of a cogeneration unit at the address: Poltava region, Kremenchuk city, Kyivska st., in the XX district


Sector
Municipal infrastructure and services
Stream
Development of distributed generation
Preliminary Investment Feasibility Study
Project Status
Investment Feasibility Study
Entry into Portfolio
Local level of SPP
Implementation
Completion

General information

Description of the project

      During the full-scale armed aggression of the Russian Federation against Ukraine, the energy sector became one of the main targets of the aggressor. Given the scale of damage to existing generating capacities and the need to disperse generation facilities to enhance the stability of the energy system, there was an urgent need to provide electricity to the most important critical infrastructure facilities. In order to ensure a stable heating season and uninterrupted supply of thermal energy to  part of the city's consumers, including such socially important facilities as hospitals, schools, kindergartens, apartment buildings, etc., a decision was made on the need to  introduce distributed generation at the enterprise's boiler houses. One of the  facilities for installing maneuvering cogeneration is a stationary temporary construction of container mobile boiler houses, which serves consumers in one of the city's microdistricts.   

The implementation of the project will ensure:

  • the availability of its own source of electricity for the operation of the boiler room equipment;
  • independence from the centralized electricity system;
  • increasing the efficiency of electricity and heat production, reducing the cost of energy resources;
  • ensuring uninterrupted heat supply. 

The purpose of the project

Main goal:

Introducing innovations and energy-efficient solutions

Secondary goal:

Improving the condition of infrastructure

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

The project's goal is to increase energy independence and ensure uninterrupted operation of mobile boiler houses by installing a cogeneration unit with an electrical capacity of 1.0 MW. The project implementation involves preparing a site for a cogeneration unit (CGU), installing and connecting the CGU to the grid, integrating it with the existing power grid, starting up and configuring the equipment, as well as organizing a monitoring system and regular maintenance. The current situation is characterized by the boiler house's dependence on centralized power supply, which leads to high electricity costs, risks of equipment outages, especially in conditions of constant missile and drone attacks and possible blackouts. The introduction of the CGU will reduce operating costs, ensure stable and uninterrupted heat supply, and increase the community's energy resilience to external challenges. Thanks to the implementation of the project, 3 educational institutions, 6 preschools and 116 residential buildings will receive stable and uninterrupted heat supply, which will positively affect the quality of service provision.

Problems and solutions resulting from project implementation

The main problem is the lack of thermal energy generation due to the lack of external electricity supply. The implementation of the project will allow the boiler house to be provided with its own source of electricity and the organization of uninterrupted heat supply.

Socio-economic context

Indicator

Value

Number of people who will use the service

18745 human

Other social

116 units

Other social

3 units

Other social

6 units

Strategic Case

Strategic feasibility of the project

Sector

Municipal infrastructure and services

Subsector

District Heating

Stream

Development of distributed generation

Strategic document

Distributed Generation Development Strategy until 2035

Task

Strategic Goal 1, paragraph 18 Strategic goal 1. Increase the total installed capacity of maneuver generation using gas turbine, gas piston and cogeneration plants, in particular highly efficient ones

Project objectives

Indicator
Base value
Target value
Electrical capacity of installed distributed generation facilities
0 MW
1 MW

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?

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
Cost-benefit analysis_Kyivska.pdf
26.12.2025
09:29:23 UTC

Alternative technical solutions

Technical Solution 1

Reconstruction of heat and electricity supply networks of stationary temporary structures - container mobile boiler houses with installation of a cogeneration unit (option I)

Technical Solution 2

Reconstruction of heat and electricity supply networks of stationary temporary structures - container mobile boiler houses with installation of a cogeneration unit (option II)

Total costs313'270'788 UAH317'381'039 UAH
  • For preparation
  • 1'201'782 UAH1'201'782 UAH
  • For implementation
  • 14'021'369 UAH18'131'620 UAH
  • For operation
  • 298'047'637 UAH298'047'637 UAH
    Average annual costs16'169'950 UAH16'464'817 UAH
    Project duration, incl.17 months17 months
  • Deadline for developing a FFS
  • 5 months5 months
  • Implementation period
  • 12 months12 months
    Service life240 months240 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?
    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, 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?
    Yes

    [Response was provided in the Preliminary Investment Feasibility Study]

    Financial justification

    Total project budget

    Total preliminary budget313'270'788 UAH317'381'039 UAH
    Capital costs313'270'788 UAH317'381'039 UAH
    Operational costs0 UAH0 UAH

    Preliminary cost breakdown

    Operating costs for implementation0 UAH0 UAH
    For preparation1'201'782 UAH1'201'782 UAH
    For implementation14'021'369 UAH18'131'620 UAH
    For operation298'047'637 UAH298'047'637 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 на одиницю продукції (Гкал)
    Service Unit Cost2'090 UAH

    Profitability of the project

    Is the project expected to generate income?YesNo

    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?
    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]

    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]

    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
    Economic justification - environmental expertise

    [Response was provided in the Preliminary Investment Feasibility Study]

    Management rationale - risk management

    [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]

    Risk assessment

    Financial riskDefinedUndefined
    Other 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)?

    None of the options are applicable

    Project Approval History

    DateDecision NumberPortfolioProject StatusDecisionReasons
    26/12/2025SP-L-261225-16069AF3Community SPInvestment Feasibility StudyInclude-
    12/03/2026SP-N-120326-392A6EF4State SPInvestment Feasibility StudyAwaiting reviewEnsuring a stable heating season and uninterrupted supply of thermal energy to some of the city's consumers
    30/12/2025SPP-L-301225-62D621CECommunity SPPInvestment Feasibility StudyInclude-