General information about procurement under DemoUkrainaDH

DemoUkrainaDH is a funding programme established by NEFCO in cooperation with the Ministry of Regional Development, Construction and Municipal Economy of Ukraine, supported by Sweden and E5P.

The objective of the DemoUkrainaDH programme is to demonstrate in Ukrainian cities new District Heating technology and District Heating system solutions in combination with the introduction of international practices for project preparation, design, procurement, implementation and follow up for more energy efficient and sustainable District Heating services.

The programme supports the development of sustainable and energy efficient demonstration projects resulting in energy savings of at least 30 % and significant reduction of CO2 emissions.

The aim of the programme is through the funding of concrete projects to demonstrate how district heating systems can be modernized, more energy efficient and more customer oriented.

At the end of 2016, six demonstrations projects have been completed. Another eleven projects are in various stages of preparation or implementation. In total about 20 demonstration projects in different Ukrainian cities are expected to be finalized until end of 2018.

Specific Procurement Notice for each demonstration project will inter alia be published on the DemoUkrainaDH website https://demo-dh.org.ua/en/procurement. Please visit the website regularly to keep updated on the latest procurement notices and other news regarding the DemoUkrainaDH procurement.

Procurement Information
The procurement of goods, works and services for each project consists of different main procurement packages, for

• Piping

• Individual Heating Stations (IHS)

• Boilers and boiler house equipment

Other components and auxiliary equipment, like heat pumps, heat exchangers, pumps with frequency converters etc, may be included and integrated in any of these main procurement packages or procured separately.
The projects’ characters as a demonstration projects require the application of technologies and design methods to follow Best Available Technique (BAT) and best practice with regard to modern District Heating technology applied to Ukrainian conditions. As a consequence design and technologies to be used in the projects may deviate from existing norms, standards and practices currently used in Ukraine.

The individual District Heating Utilities are obliged to form a Project Implementation Unit (PIU) to be responsible for procurement for each demonstration project. The PIU is assisted by consultants from AF-Industry AB, Sweden.

Contracts will be subject to NEFCO’s Procurement Guidelines, which follow internationally recognised practices applied by International Financial Institutions (IFIs).See also Guidance to Tenderers.Tenders will be open to firms from any country, provided that the firm is not ineligible or prohibited from bidding under national or international law.

Estimated procurement
The total procurement value for the DemoUkrainaDH programme is estimated to about EUR 16 million. The procurement for the first demonstration projects started during 2013. By the end of 2016 procurements have been performed corresponding to a value of about 4 MEUR. Procurement activities are planned to continue until the end of 2017. Further Information can be obtained on the web site of DemoUkrainaDH (https://demo-dh.org.ua/).

Information for Tenderers