I was honoured to moderate the Energy Panel of the Conference. The panellists were Nataliya Boyko, Volodymyr Kudrytskyi CEO of NPC UKRENERGO , Oleksiy Chernyshov CEO of Naftogaz of Ukraine, Knud Rissel CEO of NOTUS energy Unternehmensgruppe, Cheryl Edleson Hanway, Director for Energy, Infra, Mining in Europe and LatAm of IFC - International Finance Corporation. Most immediate topic – the urgent need in distributed & flexible generation.
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UKRAINE INVESTMENT GUIDE – 95 PROJECTS PRESENTED
ENERGY SECTOR ANNOUNCEMENTS
- URC 2024: under the coordination of the Ministry of Energy, 12 cooperation agreements were concluded with partners for the development and restoration of generation and networks | Ministry of Energy of Ukraine (www-mev-gov-ua.translate.goog)
- Memorandum of understanding with Siemens Energy AG, important for the implementation of energy-efficient technologies, decentralized electricity production, increasing the use of RES;
- Memorandum of understanding with Siemens Energy Global GmbH & Co. KG, important for the development of PJSC "Ukrnafta" new projects of combined production of heat and electricity based on steam-gas turbine technology;
- Memorandum on cooperation between PJSC "Ukrnafta" and Deutsche Bank AG, important for financing the development of gas and steam-gas power plants for the production of heat and electricity;
- Memorandum with GE Vernova, which offers solutions for the development of smart networks, in particular in the Kharkiv and Ternopil regions;
- Memorandum of understanding in the field of transition to renewable energy sources with GOLDBECK SOLAR Investment GmbH, which provides for the construction of 500 MW of solar batteries;
- Memorandum in the field of transition to renewable energy sources with NOTUS Energy Invest Ukraine GmbH, which provides for the development of 120 MW of wind generation;
- Memorandum with Siemens Energy Global GmbH & Co. KG and JSC "Naftogaz", important for the operation of underground gas storage facilities with an emphasis on decarbonization;
- Joint declaration with the German Chamber of Commerce and Industry, important in the transition to green energy and ensuring the stability of the Ukrainian energy sector;
- Memorandum of understanding with Voith Hydro regarding the construction by PJSC "Ukrhydroproekt" of new hydroelectric power plants and the reconstruction of destroyed ones, their maintenance;
- Memorandum of understanding with the Swedish Development Financial Institution, important for the decentralization of the energy sector, in particular the use of gas and steam turbines based on biomass.? In addition, a Memorandum on the initiation of Norwegian-Ukrainian energy partnership was signed.?
- Also, in the presence of Herman Galushchenko, an Agreement was signed on the provision by Germany (through the KfW credit institution) of financial support for the energy infrastructure of Ukraine in the amount of EUR 30.4 million.
??????????? In the?business?category,?the EBRD signed multiple transactions.
- An EBRD equity investment in a renewable energy joint venture led by a German investor Goldbeck Solar (CMS supported Goldbeck Solar on this deal) to build and operate new solar power generation?facilities?in Ukraine Supporting Ukraine’s private renewable energy industry (ebrd.com)
- The EBRD is also lending €60 million to finance the construction of a?privately owned Ukrainian greenfield biofuels project. EBRD to lend €60 million for its first wartime biofuels finance in Ukraine
- Two transactions with local banks: a?€20 million local-currency loan to Bank Lviv?and a €50 million unfunded portfolio?risk-sharing facility to Raiffeisen Bank Ukraine. These instruments will strengthen the banks’ lending capacity and boost access to finance for Ukrainian small and medium-sized enterprises (SMEs).
- EBRD guarantee to Raiffeisen Bank Ukraine to unlock €100 million of new business finance
- A pre-financing agreement with PrivatBank for an unfunded portfolio guarantee, which, once signed, will cover up to 50 per cent of PrivatBank's credit risk on newly issued sub-loans worth up to €400 million to private businesses. This will help Ukrainian companies continue their operations, safeguard livelihoods and invest in projects that contribute to the country’s food production, energy efficiency and energy generation.
- To support Ukraine's cross-border trade, the US International Development Finance Corporation and the French development agency Proparco declared their intent to share the risk on the EBRD’s trade finance exposure in Ukraine in the coming year. The two institutions intend to provide up to US$50 million each in risk-sharing guarantees, to support the export and import of critical goods. The arrangement builds on a plan drawn up last year by development finance institutions to collaborate on co-investments in Ukraine’s private sector.
- The EBRD and IFC agreed to continue advancing their joint appraisal to support the creation of a leading integrated telecoms operator in Ukraine through the merger of Datagroup-Volia, a national fixed telecoms leader, and Lifecell, the country’s fastest-growing mobile operator. The landmark deal for Ukraine would entail potential joint financing of up to US$ 435 million to support the expansion and improvement of telecommunications infrastructure.
- The EBRD is lending a financial package of €25 million to the port city of Mykolaiv to repair its water infrastructure. The package includes a €10 million grant component provided by Denmark and a €5 million grant from the Eastern Europe Energy Efficiency and Environment Partnership (E5P).
- The Bank is lending €15 million, which includes an EU component, to Lutsk to upgrade its district heating system.
- Kharkiv, Ukraine’s second city, which has come under heavy Russian attack in recent months, was one of three municipalities along with Kyiv and Kryvyi Rih to sign pre-financing agreements for the provision of emergency liquidity to maintain vital services. The Kharkiv project will also include an EU component. A fourth pre-financing agreement was signed with the city of Zhytomyr for a public transport project.
- MoUs were also signed with Ukrainian Railways and the Ministry of Infrastructure for a potential €300 million project in which the EBRD would provide co-financing for the purchase of electric locomotives, and with the Ministry to support the regional water sector.
- IFC announces its planned support for a landmark telecom project of up to $435 million, to create the country's leading, integrated telecom operator.
- IFC and the EC announce a €367.5 million guarantee to unlock further private sector financing.
- Additional agreements will bolster renewable energy, transport, and trade, and build private sector resilience.
?? ?????????????? ????????????:?IFC and EBRD are advancing their joint appraisal to support a landmark deal led by NJJ Holding, Horizon Capital, and Datagroup-Volia. Expected impact?
?? ?????????????????? ????????????: IFC is partnering with the Ukrainian Danube Shipping Company to finance the renovation and modernization of its river cargo fleet. Expected impact?
?? ???????? ????????????: IFC and the European Commission announced a €367.5 million Better Futures Program: RE-Ukraine guarantee (incl. technical assistance)?to scale up IFC’s investments in Ukraine’s real sector, making the EC IFC’s largest blended finance contributor to Ukraine. Investments under the program by the private sector are expected to reach more than €1 billion across manufacturing and infrastructure, with climate as a cross-cutting focus.
? ?????????????????? ????????????: IFC signed mandate letters & is conducting due diligence to mobilize $345 million for 350 MW of new wind power.
?? ?????????? ??????????????: IFC Deutsche Bank are expanding their trade finance collaboration.
?? ????????: IFC joins Ukraine’s SME Resilience Alliance to improve the business environment, strengthen institutions & enhance access to finance.
Ukraine Export Credit Agency
GENERAL STATEMENTS / COMMITMENTS
GOVT REPORTED ON THE URC RESULTS
- In the energy sector: the United States will provide USD 824 million to support Ukraine's energy infrastructure. Moreover, an agreement with Germany for EUR 30 million to improve the reliability of our energy system was inked.
- “The World Bank will provide an additional USD 47 million grant to be used to purchase thermal equipment for Kharkiv. The EU will provide an additional 1,000 generators and solar panels. This is in support of our efforts to decentralise the energy system,” noted Denys Shmyhal.
- In the finance and economy sector, according to the Prime Minister, a meeting of the Multi-Agency Donor Coordination Platform was convened for the first time at the ministerial level. Moreover, by the end of June, Ukraine will receive another EUR 1.9 billion in budgetary funding from the EU.
- “With the EU, we inked the first guarantee agreements worth EUR 1.4 billion under the investment component of the Ukraine Facility programme,” added Denys Shmyhal.
- Besides, Ukraine together with the United States is working on the allocation of USD 7.8 billion in budget support, as well as USD 1.5 billion for economic recovery. Apart from that, the SME Resilience Alliance for Ukraine was launched. This is a commitment to support our SMEs worth over EUR 7 billion.
- “Together with our partners, we launched the Skills Alliance. The aim of this initiative is to provide retraining opportunities for tens of thousands of Ukrainians. The planned budget is EUR 700 million over three years. The U.S. DFC has announced funding for risk insurance worth USD 350 million. This will bring more foreign investment into our economy,” noted Denys Shmyhal.
- Also, the Prime Minister told that Ukraine would receive a USD 230 million grant from IBRD to improve sea and rail connections. While the world's leading companies and business associations from the U.S., EU, Canada, UK, and Norway have set up a Business Advisory Council to increase investment in our country.
#urc2024 #standwithukraine #ukraine
Country Head Ukraine and Poland в компании TIU Canada
9 个月Great summary, thanks
Senior cross-industrial executive | Development finance, IFI/DFI, banking, industrial, investment/country management | Deputy CEO at Bank Lviv | Former Deputy Minister of Economy of Ukraine
9 个月Thanks. There are additional bunch of dozen signings, but in general yes. Thank you for sharing.
Head of Information Technology | ETRM CTRM
9 个月Many thanks Vitaly for the summary
Adviser
9 个月Vitaliy, many thanks! Very informative!
Great report!!! The scale of the URC becomes clear now!