In end of 2014 the cities of Ivano-Frankivsk and Poltava signed both financing agreements with NEFCO with respect to the DemoUkrainaDH demonstration projects. Financing agreements have been signed now for all DemoUkrainaDH projects that have their municipal guarantees approved by the Ministry of Finance of Ukraine.

Ivano-Frankivsk
The project in Ivano-Frankivsk with an overall cost of EUR 874 000 includes individual heating substations for controlling heat supply in relation to outdoor temperature together with variable speed network distribution pumps to be installed in an interconnected heating area. In total 39 individual heating substations will be installed. The measures result in a conversion from 4-pipe supply system to demand driven 2-pipe system with possibility to continuously control and meter the heat supply in accordance with the actual heat demand.

The planned measures are expected to result in savings on gas of 960 000 Nm3 per year, which is around 30 % of gas consumption. Savings in electricity consumption is expected to be around 50 %. The city will be able to cut its carbon dioxide emissions by approximately 1,900 tonnes a year. Moreover, the project will also generate financial savings for the municipality by around EUR 200,000 per year thanks to reduced energy consumption.

Poltava
In Poltava the demonstration project with an overall cost of EUR 553,000, will enable the renovation of a boiler plant with fully automated gas boilers. Moreover, the project comprises the installation of ten individual heat substations as well as the replacement of the existing pipeline network with pre-insulated pipelines.

The investment package and the planned measures are expected to reduce gas consumption by around 220,000 cubic metres and cut heat energy consumption by around 2,060 megawatt hours annually. Consequently, the city will be able to cut its carbon dioxide emissions by approximately 415 tonnes a year. Moreover, the project will also generate financial savings for the municipality by around EUR 55,000 per year thanks to reduced energy consumption.