Sector
Municipal infrastructure and services
Stream
Modernization of the heating system (overhaul, reconstruction and arrangement of heating stations)
Preliminary Investment Feasibility Study
Project Status
Investment Feasibility Study
Entry into Portfolio
Local level of SPP
Implementation
Completion
- Preparation
- General information
- Strategic Case
- Economic Case
- Commercial Case
- Financial Case
- Management Case
General information
Description of the project
The project involves the reconstruction of the TP heat point at: 5 M. Kulisha St., which includes the replacement of equipment, the installation of new pumps, heat exchangers, shut-off valves, as well as automation of control depending on the external temperature.
The purpose of the project
Main goal:
Introducing innovations and energy-efficient solutions
Secondary goal:
Rebuilding the damaged/destroyed, Improving the quality of services
Description of the purpose of the project and ways to achieve it
The implementation of the project will make it possible to provide uninterrupted thermal energy during the heating season, eliminating emergency shutdowns of the heating station by installing modern, energy-saving equipment.
Problems and solutions resulting from project implementation
During the period of operation, the equipment has exhausted its resource and is in an emergency state, which leads to emergency shutdowns.
As a result of the implementation, we will receive a modern heating station with automatic control of pumping equipment, coolant supply in accordance with the outdoor air temperature.
Socio-economic context
Indicator
Value
Number of people who will use the service
338 human
Strategic Case
Strategic feasibility of the project
Sector
Municipal infrastructure and services
Subsector
District Heating
Stream
Modernization of the heating system (overhaul, reconstruction and arrangement of heating stations)
Strategic document
State Strategy for Regional Development for 2021–2027
Task
11 Modernization, adaptability and decarbonization of district heating systems
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?
Використано внутрішні звіти підприємства по підключеним абонентам та користувачам послуг.
[Response was provided in the Preliminary Investment Feasibility Study]
Has data from external sources been used in the demand assessment?
No
[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
830 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:
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]
Are civil society organizations representing women and vulnerable groups included in the consultation process?
No
[Response was provided in the Preliminary Investment Feasibility Study]
Alternative technical solutions
Technical Solution 1
Reconstruction of the TP on M. Kulisha St., 5 in the city of Kherson
Technical Solution 2
Construction of a new TP at 5 Kulisha Street in the city of Kherson
Total costs6'500'000 UAH8'700'000 UAH
Average annual costs235'720 UAH150'000 UAH
Project duration, incl.5 months14 months
Service life180 months300 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
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 budget6'500'000 UAH8'700'000 UAH
Capital costs6'500'000 UAH8'700'000 UAH
Operational costs0 UAH0 UAH
Preliminary cost breakdown
Operating costs for implementation0 UAH0 UAH
For preparation0 UAH450'000 UAH
For implementation6'500'000 UAH7'800'000 UAH
For operation0 UAH150'000 UAH
For closing0 UAH300'000 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?
No
[Response was provided in the Investment Feasibility Study]
Average project cost per service recipient
Service UnitНа одного жителя, який користується послугами
Service Unit Cost7'832 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?
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 Funds6'500'000 UAH0 UAH
Expected Funds6'500'000 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)
None of the options are applicable
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?
Yes, negotiations are already underway.
[Response was provided in the Preliminary Investment Feasibility Study]
Risk assessment
Economic riskDefinedUndefined
Other riskDefinedUndefined
Team involvement
How exactly are/will stakeholders be involved?
None of the options are applicable
When are/will engagement activities be taking place?
At the project implementation 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]
https://www.teploenergo.ks.ua/news
Are public hearings being held/will they be held (offline, online)?
Yes, online
[Response was provided in the Investment Feasibility Study]
У звязку з безпековою ситуацією
Who will attend the public hearings?
Representatives of public organizations
[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
No
[Response was provided in the Investment Feasibility Study]
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
25/12/2025SP-L-251225-E1820A6BCommunity SPInvestment Feasibility StudyInclude-
26/12/2025SPP-L-261225-B8E90D6DCommunity SPPInvestment Feasibility StudyInclude-