Energy efficiency reforms

Project description

Title: Energy efficiency reforms in Ukraine
Commissioned by: German Federal Ministry for Economic Cooperation and Development (BMZ)
Country: Ukraine
Lead executing agency: Ministry for Communities and Territories Development of Ukraine
Overall term: 2017 to 2020

Context

Ukraine is seeking to reduce its very high energy consumption, which puts a serious strain on the public budget, businesses and the population. The reforms which are urgently needed to achieve this goal, and which are also required as the country moves towards closer integration with the European Union, have been instigated but are making only very slow progress.

There is a lack of clarity about which institutions are responsible for implementing the reforms. Attempts to pass new legislation become eroded between the institutions and the data basis needed to review the patchy implementation process.

Hardly an institution has adequately qualified staff. The national institutions thus do not have the necessary capacity to effectively implement the energy reform process. The project supports the responsible Ukrainian institutions, in particular the Ministry for Regional Development, Construction, Housing and Communal Services and the State Agency of Ukraine for Energy Efficiency and Energy Saving, in three interlinked fields of action:

  1. Policy advisory services
  2. Implementation of partial reforms
  3. Information and dialogue in the political decision-making process

Objective

The capacity of national institutions to effectively implement the energy efficiency reform process has increased.

Approach

The project provides technical information for all parties involved in the energy efficiency reform process. It provides policy advice on selected reform processes. It develops action plans and instruments for the Ministry for Regional Development, Construction, Housing and Communal Services and the State Agency of Ukraine for Energy Efficiency and Energy Saving: for example, to establish a system to monitor the energy efficiency of the public building stock.

Results

  • Products and consulting services delivered by the project have been included in ten political position papers, discussion papers or internal procedural instructions. These were provided by senior management and executives from the Ministry of Regional Development (MinRegion) and the State Agency for Energy Efficiency and Energy Saving (SAEE).
  • Two sub-processes involved in energy efficiency reform have been implemented in a systematic and coordinated manner under the leadership of either MinRegion or SAEE. These include individual requirements from EU directives that must be incorporated into national law in accordance with association agreements. 
  • Four seminars, training sessions and conferences have been implemented with technical guidance from MinRegion or SAEE. They strengthen the technical skills of other institutions involved in political consensus-building and in decision-making or advisory processes relating to energy efficiency reforms. 
  • Four selected elements from Article 5 of the Energy Efficiency Directive have been implemented by the relevant actors.
  • Two position papers drawn up jointly with educational institutions (universities and vocational training institutes) and concerning needs-based training in the energy efficiency sector have been submitted to the Ministry of Education.
  • The Energy Innovation Hubs, which were developed with the support of the project, are rated as beneficial to education and training by 80 per cent of the representatives of vocational schools, universities and the private sector.

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