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Danish - Ukranian Environmental Co-operation 1993-2002

Chapter 7
Energy and Industry Projects

Environmental protection is not just a question of reducing pollution, although it is a very important objective. It is also a question of knowing how to improve the environmental condition and reduce pollution in the best and most efficient way. Therefore, environmental protection is also about training. And it is not only training of the professionals. It is also training, for instance, of school children, teachers, parents and people who work in the water supply system or in the system for waste treatment.

Look here!

The energy sector reform is high on the political agenda. It has not yet been completed, but important steps forward have been made or are underway. The Ukrainian Government and the regulatory authorities within the energy sector plan to maximize the efficiency of nuclear power plants and optimize dispatch policies in order to reduce average production costs. Slow restructuring of energy-intensive industries, old capital stock in the public, enterprise and household sectors and inadequate reforms of the heat and power sectors have contributed (and contribute) to the high energy intensity. The most important reasons for the high energy intensity are probably the level of tariffs within heat and power sectors and the prevailing cross-subsidisation.

The reform was initiated in 1994. Most important is that the privatisation of the industry or industry unbundling, which reduces the government's commercial role in the energy sector, has begun. In particular, many power generation and distribution companies have been privatised in recent years.

The following 14 projects focus on how and which kind of tools to be used to improve the environment, more than focusing on the volume of pollution. Pollution is of course the driving force and the overall reason why action needs to be taken, but by teaching school children and their teachers about environmental interactions and the advantage of an energy efficient behaviour, they learn to become aware and to take care of the environment and in that way reduce pollution.

In many of the projects, it is obvious that taking care of the environment is good for business. Municipal economy consumes nearly one-fourth of the total volume of the fuel in Ukraine for district heating. By implementing energy efficiency measures in the district heating system, it is possible to reduce the consumption by 15 – 20 per cent. To do this, it has been necessary to train energy auditors from the municipal district heating sector.

The catastrophic disaster at the Chernobyl nuclear has also had an effect on the environmentally related energy projects. Ten years after the accident, a "sustainable energy tour" was made. Eleven towns were visited and nearly 20.000 people were reached directly with the message that Ukraine has large potentials for energy saving and renewable energy.

The variation in the described projects shows that the Ukrainians also have a large potential when it comes to finding the best way and the most visionary solution for the environment.

Energy and Industry Projects

Chernobyl Shelter Fund

The Chernobyl disaster in April 1986 shocked Ukraine and the rest of the world not only by the extensive nuclear outfall but also by the efforts made by the Soviet administration to cover the disaster in order not to disturb the celebration of the 1st of May, thereby preventing the people from protecting themselves against the consequences of the nuclear pollution. Denmark and Sweden were among the first countries to register an increase in the radioactivity in the environment. In 1997, Denmark joined the Chernobyl Shelter Fund set up by the European Bank for Reconstruction and Development with the purpose to transform the burned-out reactor at Chernobyl into an environmentally safe object. In 2001, Denmark renewed its contribution to the fund.

In connection with the extinction of the fire in the Chernobyl reactor in 1986 and the following security measures provided on the scene of the disaster, the former Soviet established a sarcophagus over the burned-out fourth reactor at the Chernobyl NPP. The sarcophagus was erected under extreme circumstances and under heavy time pressure in the months after the explosion. It was only meant as a temporary solution to the environmental problem brought about by the disaster. In 1996, the condition of the construction deteriorated to an extent where a collapse was a realistic possibility and a possible renewed outfall as an inevitable consequence.

What do we want to do:

The G7 elaborated a plan for the renewal of the shelter and for other environmentally needed projects at a total estimated cost of USD 750 million. In December 1997, a pledging conference was held in New York where a large number of countries from all over the world participated and contributed with a total of USD 375 million. This was the background for the work of the Chernobyl Shelter Fund. Since 1995, there has been a close co-operation between the G7 and Ukraine where the overall objective has been to help Ukraine in solving the serious problems after the accident. This means:

1. Closure of the existing two RMBK reactors at Chernobyl;
2. Establishment of capacity as a substitute in the Ukrainian electricity sector; and
3. Stabilisation of the sarcophagus and a long term prevention of more pollution from the scene of the disaster.

The first two activities are under preparation. Concerning the third activity, the so-called Shelter Implementation Plan, SIP has been elaborated. The plan was approved by both Ukraine and the G7. On the G7 summit in Denver, the organisation offered to cover USD300 million of the total USD 750 million, which was seen as necessary if the Shelter Implementation Plan was to be implemented. Ukraine promised also to contribute with a substantial part of the expenses which was USD 750 million.

How do we do it:

Under the administration of the European Bank for Reconstruction and Development, EBRD, a fund has been established which aim is to receive and administer contributions from the donors for the clean-up after the Chernobyl disaster.

Denmark has earlier contributed to this work via the Nuclear Safety Account. NSA is also under the administration of the European Bank for Reconstruction and Development. The Danish contribution totalled DKK 32 million. The Nuclear Safety Account accomplishes projects on the un-safe power plants in the Central and Eastern European countries.

During the past few years, it has been a Danish policy and an overall objective to secure the closing down of the Chernobyl power plant as soon as possible, at the latest in 2000 and that needed actions should be taken in connection with the unsafe sarcophagus designed only for temporary use.

The Chernobyl Shelter Implementation Plan (SIP) must be considered as an important part of the implementation of the Danish policy and objectives, also when it comes to the question of the date for the final closing down of the last two reactors at the Chernobyl power plant. In Ukraine, priority has been given for the implementation of all the three parts of the plan.

What is the result:

From a Danish point of view, it has been very important to convince the Ukrainian authorities that the last two reactors at Chernobyl should also be closed down, at the latest in 2000. The Danish intention in supporting the Shelter Fund was first of all to ensure the final closure of these two reactors and to support the environmental work, which was, in the first place, to secure the sarcophagus. With the final closure of the last reactor at Chernobyl on 15 December 2000, the Danish objectives have been reached.

Budget:

The Danish "Support the Chernobyl Shelter Fund" budget:

In 1998 – 2000 EUR 2.5 million (DKK 18.5 million)

In 2001 EUR 2.5 million (DKK 18.5 million)

Partners:

The economic contributions were given directly to the European Bank for Reconstruction and Development. They were responsible for the different projects; therefore no Danish companies can be listed as project holders.

Project Period:

1998 - 2001

Ukrainian Sustainable Energy Tour 1996

10 years after the accident at the Chernobyl Nuclear Plant, a bus exposition tour presenting sustainable energy options in Ukraine was made. Eleven towns were visited and nearly 20.000 people were reached directly with the message that Ukraine has large potentials for energy saving and renewable energy.

Ukraine is facing a crisis in the energy sector. Five dangerous nuclear plants are still on-line, including Chernobyl, old fossil plants are causing heavy pollution. This is the reality even though Ukraine has large potentials for energy saving and renewable energy.

At the moment 8.7 per cent of the electricity is produced by hydropower. Future options include large potentials for wind energy, biomass, small-scale hydropower, geothermal, and solar energy.

What do we want to do:

To put focus on sustainable energy solutions and make contacts for concrete projects, the Ukrainian Sustainable Energy Tour was planned. The tour formed part of the Chernobyl 10 Years Campaign and was a mobile exhibition on renewable energy and energy savings.

This was one of the first steps in creating a Ukrainian market for sustainable energy, and it needs to be followed up by further activities.

How do we do it:

To attract as many as possible, the exhibition was always placed on a central square where people were walking by or were having a rest.

Part of the exhibition was shown outside, including two windmills, photovoltaic panels, a solar collector, and a solar-driven electrical train. Among the other working systems were a 12 V off-grid system running lighting and computers and a full scale water heating system.

Posters, models and videos presented the renewable energy and energy saving possibilities, technologies as well as projects. This was supplemented by a library with technical literature, contact information, and other materials. The unfolded exhibition trailer provided 50 m² in-door space. It was divided into 5 exhibition sections and a small office. The 5 sections were: Energy in Ukraine including local campaign material; Energy Savings; Solar Energy; Biomass; and Water and Wind. Special activities included press meetings, seminars, workshops, and school visits.

What is the result:

11 Ukrainian towns and cities were visited with the mobile exhibition: Poltava, Kharkov, Arte-movsk, Dniepropetrovsk, Krivoj Rog, Nikopol, Zaporozhe, Simferopol, Nikolajev, Odessa, and Kyiv. During the 6-week tour, nearly 20.000 people visited the exhibition and were therefore reached directly, among these, many persons from NGOs, institutes, authorities and businesses involved in the field.

Furthermore, the exhibition resulted in many television coverage and newspaper articles, so probably hundreds of thousands of persons were reached. Special focus on the connection between the energy system and democracy showed that public involvement in the energy sector is both possible and necessary. The visit has strengthened the networking and the position of most of the local groups, and has given them better chances to influence the energy sector in the future.

Budget:

The project was financed with EUR 52,267 (DKK 392,000) from DANCEE;

EUR 7,733 (DKK 58,000) from Heinrich Böll Foundation in Germany, and Folkecenter co-financing with EUR 8,640 (DKK 64,800)

Totalling EUR 68,640 (DKK 514,800).

Partners:

Folkecenter was project leader providing Danish expertise.

News Agency Echo-Vostock as Ukrainian coordinator and providing translation and expertise, 3 members of the tour staff. INFORSE Europe, 1 member of the tour staff.

Project period:

1996

Enhancement of Energy Awareness in Public Education in Ukraine

By teaching schoolchildren and their teachers about environmental interactions and the advantages of an energy efficient behaviour, they should learn to be aware and to take care of the environment.

What do we want to do:

In an attempt to promote more environmental awareness among young people in Ukraine, the teachers in the primary and the secondary schools should be trained in developing methodological classroom-ready educational material in energy subjects for Ukrainian schoolchildren. The project builds on a teacher’s handbook prepared during previous EU Bistro-financed project "Energy efficiency in primary and secondary schools". The idea is to assist teachers in the preparation of educational material where the aim is to enhance energy awareness among school children, teachers, caretakers, principals and ministries.

How do we do it:

Based on previous prepared material aimed at the public schools, the project partners will conduct training seminars in Ukraine for teachers, school managers and representatives from the Ministry of Education and Science –MoE&S. Three seminars will be conducted during the course of the project. One seminar will be targeted at school management and two regional seminars will be targeted at school teachers – energizers.

The first seminar aims at training the representatives from the MoE&S in energy awareness campaigns and will thereby pave the way to energy efficiency education in primary and secondary schools. The two following seminars have the purpose of training teachers in methodological energy and environmental educational material based on Danish experience.

What is the result:

After initiating the project, school managers will be made aware of energy efficiency as a matter of concern to all people involved in public education. The managers act as stakeholders for the subject when training the teachers involved in energy-related subjects. The teachers will be trained in energy as a curriculum source when jointly preparing classroom-ready material. The first two seminars for teachers will be conducted during the project and the beneficiary will replicate the programme for introduction throughout Ukraine.

Budget:

Danish grants finance the input from Danish experts with EUR 66,667 (DKK 500,000).

Beneficiary finances local input and local arrangements – seminars.

Partners:

DANCEE and Democratization Fund of the Danish Ministry of Foreign Affairs Ukrainian Ministry of Education and Science (A.G. Bogomolov)

The project team comprises the following Danish companies:

Project period:

2001

Methods, Tools and Training of Energy Auditors for The District Heating Sector

Municipal economy consumes nearly one-fourth of the total volume of the fuel in Ukraine for district heating. By implementing energy efficiency measures in the district heating system, it is possible to reduce the consumption by 15 - 20 per cent. To reach this goal, training of energy auditors from the municipal district heating sector is necessary.

District heating is the main source of heating in Ukraine. About one-fourth of the total volume of the fuel in Ukraine goes to district heating. Based on previous surveys in connection with international projects, the consumption of heat in this sector vastly exceeds a corresponding European level and can be reduced by 15-20 per cent under normal conditions. It is estimated that the energy saving potential for implementing energy efficiency measures in the Ukrainian municipal sector is approx. 90 – 120 PJ corresponding to 6 - 8 mill tons CO₂ per year.

What do we want to do:

The project contains the following phases:

Phase 1. Selection of organisation and future Ukrainian teachers.
Phase 2. Training of teachers.
Phase 3. Pilot energy audits.
Phase 4. Pilot training course in energy audit.
Phase 5. Workshop on training of energy auditing.

What is the result:

The training of teachers – Phase 2 – showed that the Ukrainian staff fully understands the system design and operation. The pilot energy audits – Phase 3 – results show saving potentials from production to consumer ranking from no cost to high cost saving measures. Some of the measures are:

Budget:

The project was 100% supported by DANCEE amounting to EUR 159,613 (DKK 1,197,100). Included in the budget was measuring equipment worth EUR 46,667 (DKK 350,000), to be used at the energy audits.

Partners:

Project holder: Danish Technological Institute, Energy Division

Ukrainian counterpart: State Committee for Construction, Architecture and Urban Development of Ukraine

Sub-contractor, Project co-ordinator Energo Centre Kyiv

Project period:

2000 – 2001

Reduction of Energy Losses in Ventilation Systems of Public and Industrial Buildings

Without generating large costs, it is possible to reduce energy consumption in ventilation systems in public and industrial buildings by 20 – 30 per cent. The saving comes for instance from better maintenance of the existing equipment, installation of automatic control equipment and development of knowledge on how to design ventilation plants in order to obtain low energy consumption and a good indoor climate.

The energy consumption in ventilation systems in Ukraine is generally very high compared to Danish conditions. This is due to the technology being used, the operation of the systems, unused over-capacity and very poor maintenance of equipment. A substantial part of the potential can be realised through operation and maintenance, minor improvements of existing equipment and use of heat recovery.

What do we want to do:

The general objective of the project is to establish a basis for a reduction of the energy consumption between 20 to 30 per cent. The immediate objective is to investigate how this can be achieved in practice by statistical surveys and simple audits. A handbook will be elaborated and the results will be presented on a seminar in Kyiv at the end of the project.

How do we do it:

The project contains the following phases:

What is the result:

The project is supported by DANCEE with EUR 159,967 (DKK 1,199,750)

Partners:

Project manager: Danish Technological Institute, Energy Division

Ukrainian counterpart International Centre of Energy Efficient Technologies

Sub-contractor, Project co-ordinator Energo Centre Kyiv

Project period:

2000 – 2001

Exploitation of Geothermal Energy in Ukraine

In Ukraine, there are several sites with a high potential of geothermal energy. By utilising this energy, it should be possible to benefit from the natural resources both in an environmentally friendly and in an economically favourable way.

The intention is to identify one or several sites with a high potential of geothermal energy resources and sufficient heat demand in order to produce hot water for district heating systems with geothermal fluid. Besides, the project shall demonstrate that a local energy resource can be both environmentally friendly and economically viable at the same time.

What do we want to do:

The present activity was preceded by an earlier project implemented by Houe & Olsen during 1996-1998. This earlier project provided the company with knowledge on geological conditions, district heating sector, economical conditions in Ukraine and co-operation between Ukraine and Denmark. In 1999, the consultant initiated its co-operation with the Institute of Thermophysics Engineering (Kyiv) also promoted by the Danish Energy Agency. These contacts resulted in the implementation of the present Project. Before the consultant visited Ukraine, new information and information from earlier projects in Ukraine were evaluated in order to identify sites, which could be included in a fact-finding mission. Preliminary identification of sites was performed by the Institute of Thermophysics Engineering in Kyiv and the consultant according to the agreement with the Danish Energy Agency and the Danish Environmental Protection Agency. Sites located in Crimea and Zakarpattya are being considered.

How do we do it:

The project is divided into two phases:

This project has investigated totally 10 sites in a co-operation between the Institute of Eng. Thermo physics Kyiv, Ukraine and Houe & Olsen A/S. At Crimea the investigated sites are; Evpatorija; Tarhannut; Jantarna; Dzankoj; and Krasnogvardijske. In the Transkarpatian area the sites are; Mostiska; Ushgorod; Beregovo; Mukachevo; and Kosino. Three sites were found suitable for further investigation; Jantarna, Krasnogvardijske and Beregovo. The remaining sites is not considered further, a few of them may have a possibility for implementation later on, e.g. Ushgorod, where the technical potential is good, but where the project cannot be implemented due to legislation prohibiting drilling through drinking water reservoir.

The three projects were analysed under consideration of technical, economical, institutional, and environmental criteria. An important assumption is the inclusion of revenues from savings of CO₂-emissions of 4 USD/ton until 2012 through the PCF (prototype carbon fund) under the World Bank.

The total avoided CO₂-emission from the three projects is 27.000 ton/year (distributed on 5.900 ton/year in Jantarna, 13.600 ton/year in Krasnogvardijskie, and 7.600 ton/year for Bere-govo). Further environmental benefits are reductions in emissions of NO_x of totally 21 ton/year (14,3; 4,3; and 2,4 for the three projects), SO₂ of totally 158 ton/year (157; 0,6; 0,3), and particles of totally 2,37 ton/year (Jan-tarna).

The project in Jantarna is characterised by having an existing geothermal plant and district heating network, fuelled by heavy fuel oil. Hence, the scope of the project is to renovate the existing geothermal plant and district heating network. Furthermore, the project comprises a chiller (drying unit).

The project in Krasnogvardijske comprises drilling of wells (1 doublet) and connection to the existing district heating network. The total heat demand is 98.000 MWh, of which geothermal energy is envisaged to cover 67 per cent. The current fuel is natural gas.

The project in Beregovo comprises reconstruction of existing wells and drilling of new wells (1 doublet). The district heating network requires renovation and extension. The current fuel is natural gas. The total heat demand is 73.300 MWh, of which geothermal energy is envisaged to cover 50 per cent.

Budget:

The project has been financed by a grant from the Danish Energy Agency/Danish Environmental Protection Agency with an amount of EUR 57,037 (DKK 423,399). The project was completed at a cost of EUR 44,383 (DKK 329,469).

Partners:

The project partners comprise the following companies: Houe & Olsen, Sub-consultants and Ukrainian Partners Mr Lars Toft Hansen, Project Manager, Engineer Danish Oil and Natural Gas, Sub-consultant: Mr Allan Mahler, Project Engineer, Reservoir Institute of Thermophysics Engineering: Mr Anatoly Shurchkov, Head of Department

Project period:

2001 – 2002

Energy Management Training at TCE

By planning, handling and monitoring the energy consumption in one of the buildings at the Technical University of Ukraine, the instructors of the training center had the opportunity to practise their skills in an actual and relevant project. The project resulted in a reduction of the energy consumption by 40 per cent.

As a result of the project at the Technical University of Ukraine, the heating system in Building 22 of the University is modernised, and through monitoring of the heat consumption, the key figures are identified. In addition, the energy managers received up-to-date practical training in planning the implementation of energy saving measures. All this meant that the energy consumption was reduced by 40 per cent.

What do we want to do:

This project is built upon the knowledge gained during the preceding Tacis-financed project: The Establishment of a Training Centre for Energy Management in Ukraine – TCEM. The main idea of the project is to give the instructors at the Centre the opportunity to practise their skills in an actual and relevant project. Furthermore, the modernised heating system in the building will demonstrate an energy efficient heating system in an administration building in Kyiv, supplied from the district-heating network.

How do we do it:

The Danish Energy Agency financed the input from Danish experts and the modernisation of the heating system with EUR 120,000 (DKK 900,000).

Partners:

Donor: The Danish Energy Agency

Beneficiary: National Technical University of Ukraine

Consultant: COWI A/S

Project period:

1998 – 2000

Introduction of Small-Scale Straw-Fired Heat Production, Ukraine, 2000/2001

By using straw as source of energy in the agricultural sector, it should be possible to reduce the consumption of fossil fuels. Another intention of the ongoing project is to create conditions for the development of a market for straw surplus as an energy source to benefit the agricultural sector and to show feasible ways of using straw surplus as renewable source of energy.

The purpose of the present project was to introduce small-scale straw-fired heat production in the agriculture sector of Ukraine. The target of the pilot project was to build up an example of a functioning structure as regards collecting of straw, combustion of straw and optimal use of the produced heat. It included recommendations for the State Committee of Ukraine for Energy Conservation to support the use of straw as energy source, transfer of Danish know-how on the subject, implementation of a pilot project and preparation for further development of the achieved results.

What do we want to do:

The development objective was to reduce the consumption of fossil fuels in Ukrainian agricultural sector and to improve the infrastructure and institutional framework to create conditions for the development of a market for straw surplus as an energy source to benefit the economy and the employment in the agricultural sector.

Within the frames of the present assignment, activities of the project have mainly been exercised at the level of Kyiv Oblast, as one of the typical agricultural regions in the country.

What is the result:

A study course took place in the beginning of the project period in order to encourage project team building. And

1. As a separate annex to the inception report: a clear assessment of the potential role of straw as source of in Ukraine;
2. Installation of a fully operational demonstration straw-fired boiler;
3. Dissemination of knowledge and experience on straw firing, including the handling of straw, including the publication of a booklet on straw heating;
4. Recommendations on measures aimed at improvements in the institutional framework; and
5. Plan for future project development and financial sources.

Budget:

The Danish Energy Agency: EUR 337,798 (DKK 2,533,485)

Counterpart funding: EUR 18,843 (DKK 141,323,000)

Other funding: EUR 6,880 (DKK 51,600)

Total budget: EUR 363,521 (DKK 2,726,408)

Partners:

The Danish Agricultural Advisory Centre (DAAC)

Danish Technological Institute, Section of Bio-fuels

The State Committee of Ukraine for Energy Conservation

LTD Agrofirma "Dim"

Project period:

2000 – 2001

Hot Tap Water Conservation in Kyiv

The general consumption of hot tap water in Kyiv is almost four times as high as in Denmark. By making awareness campaigns and different demonstration projects, this should be changed, so that the consumption will be reduced, water and energy will be saved and the environment protected.

From other projects carried out in Kyiv, DANCEE became conscious that the per capita consumption of hot tap water in the Ukrainian capital is very high compared to present-day consumption in the West European countries. In Kyiv, the average consumption of hot tap water is 170 litres per person per day, while in Denmark the consumption is 45 litres per person per day. DANCEE has proposed to cooperate with Kyiv City Administration, Kyiven-ergo and Kyiv VodoKanal, in order to uncover the reasons for this and try to find attractive solutions to reduce the difference

What do we want to do:

The development objective is to achieve a general reduction of the consumption of hot tap water in Kyiv in order to protect the environment by saving water and energy.

The immediate objective is to set up a number of demonstration projects, focusing on the options for reducing hot tap water consumption. The projects will investigate the effects of technical solutions as well as the human factor based on a review of the tariff systems and the results from awareness campaigns.

How do we do it:

In their efforts to bring the project to a successful completion Carl Bro A/S will utilise experience gained from similar projects thus avoiding unnecessary detailing and accuracy in data collection and identification of systems.

The project will include the following main activities:

1. Collection of data on existing systems, building codes, consumption and social factors;
2. Analyses of data and listing of options for conservation of hot tap water;
3. Selection of options for demonstration and creation of demonstration projects;
4. Discussions with decision makers on tariffs and accounting of hot tap water consumption and proposals for revisions if appropriate;
5. Launching of awareness campaigns to make the residents focus on water as a valuable resource;
6. Implementation and monitoring of demonstration projects; and
7. Reporting on results. A master plan for the implementation of water savings in Kyiv based on agreements with the beneficiaries will be proposed in the final report.

The intention is to make the necessary arrangements with the Technical University of Kyiv to involve students in the project.

What is the result:

The environmental impact of the project will concentrate on the reduction of pollution of water and air, by reducing the consumption and losses of hot tap water. In itself, the effect of the investment will be limited, but we expect that the institutional strengthening and the results achieved by the project will lead to a high degree of replication of the initiative.

Budget:

DANCEE financed the project amounting to EUR 715,333 (DKK 5,365,000). Counterpart component of implementing the demonstration projects amounted to EUR 566,667 (DKK 4,250,000).

Partners:

Carl Bro A/S.

Ukrainian Counterparts: Kyiv City

Administration, Kyivenergo and KyivVodoKanal.

Project period:

2001 – 2002

Programme for Energy Saving and Utilisation of Biomass at The Sanatorium, "Forest Song"

During the winter 1999/2000 the sanatorium, "Forest Song" was closed. All patients – victims from the Chernobyl disaster – were sent home because they could not effort to pay the increasing heating costs. The aim of this project is therefore; to demonstrate how the use of biomass from the surrounding forests and a sustainable heat supply system can solve the serious economic and environmental problems.

The sanatorium "Forest Song" is located in the Volyn region in the Shatsk National Park. In the last 11 years, the sanatorium has treated people who have been exposed to radiation from the disaster in Chernobyl. The main factor of treatment at the sanatorium is a complex of physiotherapy with the application of ecologically clean local plants. During the winter of 1999/2000, the sanatorium was closed and all patients were sent home because of the lack of financing possibilities for the increasing heating costs. The sanatorium and the township of Galiwka were without heating during the whole winter because the patients could not pay the increasing fuel cost.

What do we want to do:

The immediate objective is to demonstrate how utilisation of biomass can solve huge environmental and economic problems in the Ukrainian district heating and public institution sector. The desired situation at the end of the project is an environmentally and economically sustainable heat supply system implemented at the sanatorium ensuring that the sanatorium can be open again for patients during the whole year. Utilisation of renewable biomass instead of diesel will protect the large resources of biodiversities (plants) in the area.

How do we do it:

Feasibility study and technical report on a heating system based on wood chips/wood waste will be prepared in close co-operation with the representatives of the sanatorium Forest Song. The activities will include present heat supply situation, heat demand, pre-design of heating station, district heating network, hot tap water system and sub-stations, investment budgets, financing budgets and long time operation budgets as well as energy consumption and environmental impact. The sanatorium will be given assistance in the preparation of grant and loan applications for potential financial institutions as MKO, Technical Assistance to the Commonwealth of Independent States (TACIS) and the Nordic Environmental Finance co-operation (NEFCO) or other.

During the implementation phase, KAMPSAX A/S will provide the necessary technical supervision to ensure the best quality of the construction work. Danish and local experts with the most updated energy technology knowledge will perform the supervision. The supervision will be concluded with assistance in the commissioning of the heating station and network.

A seminar for potential user of biomass in the Region such as district heating companies and public institutions will be held.

The technical assistance will include design of the biomass boiler station, district heating network and sub-stations. Assistance will be given to the sanatorium during tender procedure and contracting with possible suppliers/contractors.

Training covering operation and maintenance and general aspects in utilisation of biomass will be prepared for the local operational staff during a stay at a Danish woodchip-fired heating plant.

The total project budget is:

DANCEE EUR 570,000 (DKK 4,275,317)

Beneficiary EUR 487,000 (DKK 3,658,350)

Other sources EUR 226,100 (DKK 1,695,750)

Total EUR 1,283,922 (DKK 9,629,417)

Partners:

KAMPSAX is responsible for the project implementation. KAMPSAX has appointed an expert team with considerable amount of experience in planning and implementation of biomass heating systems. The project will be implemented in close co-operation with the local company Ukrainian Ecology Agency and representatives from Shatsk sanatorium Forest Song.

Project period:

2001 – 2003

Fuel Burning Efficiency Optimisation and Reduction of Harmful Pollution at Trypilla Power Plant, Kyiv, Ukraine

By using new advanced equipment, it has been possible to reduce the consumption of coal and at the same time decrease the gas emission. In the future, the equipment will be installed on all units of the power station.

What do we want to do:

The project comprises installation of advanced measuring equipment at the Trypilla Power Plant located near Kyiv, Ukraine. The equipment comprises fixed automatic equipment mounted on one boiler and manual equipment on two boilers. In the future, the equipment will be mounted on all units of the power station. The ash-measuring equipment ensures a reduced consumption of coal through better incineration and thus also ensures decrease in gas emission.

What is the result:

A reduced emission by about 1,200 tonnes of SO₂ per year, 4,100 tonnes of NO_x per year and 150,000 tonnes of CO₂ per year. Furthermore, the coal consumption will be reduced by 60,000 tonnes per year.

Budget:

The total budget of the project is EUR 684,000 (DKK 5,130,000) of which the grant is EUR 600,000 (DKK 4,500,000).

Partners:

Project recipient: Trypilla Power Plant, Ukraine.

Project manager: Mark and Weddel.

Project Period:

1998 – 2001

Kyiv District Heating Rehabilitation

By rehabilitating a number of sub-stations and installing new pre-insulated underground pipes for heat and hot tap water, the worlds third largest district heating system has reduced the environmental pollution in air and water. At the same time the preliminary results show for the rehabilitated stations saving of 35 per cent for heating energy and 60 per cent for electrical power.

The district heating system in Kyiv is the third largest system in the world serving a population of 2.7 million people. The main system is technically well designed with a share of heat from CHP plants of 50 per cent. However, due to lack of sufficient funds for fuel, maintenance and rehabilitation the present heat demand cannot be assured.

What do we want to do:

Therefore, the general objective with this project is to contribute to the reduction of environmental pollution, first of all in air and water, by reducing the energy consumption –heat and power – and limit water leakages from the distribution systems. The immediate objective is to set up a number of demonstration projects focusing on the benefits of using Danish technology and equipment for improving the efficiency of the energy consumption by the consumers.

How do we do it:

In the first phase, the concepts for rehabilitation and modernisation of significant types of sub-stations were agreed and based on 33 sub-stations, which were selected for the demonstration projects. This led to development of three schematic principles for sub-stations and based on this, the Danish consultants carried out the procurement of materials and equipment while Ukrainian designers produced the detailed designs for the individual sub-stations. For two of the sub-stations, it was agreed to install new pre-insulated underground pipes for heat and hot tap water between the substation and the apartment blocks. Pipes for hot tap water were made from PEX in order to alleviate corrosion problems.

What is the result:

In the heating season 2000/2001, extensive registration of energy consumption has been carried out in two of the new stations and the readings will be analysed together with readings from comparable reference stations with old equipment. The preliminary results show savings of 35 per cent for heating energy and 60 per cent for electrical power.

Kyivenergo has been responsible for the successful installation of all the equipment in the sub-stations and because most of the installation work took place during the heating season, the new equipment was arranged in parallel with the old installations.

Budget:

To alleviate this, Kyivenergo has obtained a World Bank loan of EUR 227 million (DKK 1.700 million) mainly intended for improving the production capacity and the transmission network. Kyivenergo has contributed to the realisation of the project with around EUR 568,900 (DKK 4,250,000). DANCEE supports this initiative by providing a grant of EUR 1.47 million (DKK 11.05 million).

Partners:

Project holder: Carl Bro A/S

Ukrainian Counterparts: Kyivenergo

Project period:

1999 – 2001

Preparation of An Integrated Agro-Environment and Straw-Heating Dissemination Project in Ukraine

Ukrainian agriculture produces about 50 millions tones of straw and equally millions of tons of manure. Most of the straw decays or is burned in the fields. Big share of the manure is not used optionally or is even directly polluting local streams, pounds or shallow ground-water. Both can be utilised with a considerable economical and environmental benefit. Straw can produce a free of charge heat, for rural areas while property used manure may increase the agricultural output by up to 50 per cent … and in doing so, save the environment for pollution. In Denmark there are 7000 straw heating units and a number of power generating plants. Manure is considered a valuable fertiliser and is fully utilised.

The present activity shall prepare an "Integrated Straw-heating Dissemination and Agro-environment Project in Ukraine", which shall be implemented in the 10 oblasts with the highest grain (straw) production in Ukraine. It shall comprise activities on 30 farms as well as large training and information campaign together with support for the development of institutions and the necessary legislation. In order to justify the project and to document its sustainability, specific analyses concerning the current manure management practices and heat production on farms are being carried out. Also the interests for improved manure management practices and for straw heating and the farms’ possibilities for funding of agro-environment and straw-heating investments are being analysed.

What do we want to do:

The overall development objective of the project is to promote an environmentally safe and economically sound development of the Ukrainian agriculture.

The immediate goals to be realised by the project is to carry out preparatory analyses, investigations and feasibility studies concerning integrated straw-heating dissemination and agro-environmental activities in Ukraine. The purpose of the preparatory analyses, investigations and feasibility studies are especially to underpin the rationale and justification of a model for financing of straw heating investments and investigate a rational organisation of activities that will be proposed for the project "Integrated Straw-heating Dissemination and Agro-environmental Project in Ukraine".

How do we do it:

The present project is mainly a project preparation study, through investigations, surveys and discussions to find optimal solutions for the organisation of a larger integrated project to disseminate straw heating and to improve the manure management practices. It shall especially be analysed, whether farm investments in straw heating can be organised as leasing. The project will make the studies in the same 10 Oblasts as are foreseen for the dissemination activities, namely in Vinnytsia, Cherkasy, Odesa, Dnipropetrovsk, Kyiv, Poltava, Kirovoh-rad, Kharkiv, Khmelnytsky and Kherson.

What is the result:

Budget:

The total budget is EUR 72,253 (DKK 541,898).

DANCEE is contributing with EUR 65,346 (DKK 490,095) and the Danish Agricultural Advisory Centre EUR 6,907 (DKK 51,803).

Partners:

The project is being implemented by the Danish Agricultural Advisory Centre.

The recipients are Ministry of Environment and Natural Resources of Ukraine (the responsible Ukrainian authority), State Committee of Ukraine for Energy Conservation and Ministry of Agrarian Policy of Ukraine.

Project period:

2001 – 2002

Improvement of Nutrient Removal and Energy Efficiency at The Bortnicheskaya Waste Water Treatment Plant, Kyiv, Ukraine

A large part of the water and waste water facilities in Kyiv is in an advanced state of physical deterioration and the operation of the system is inefficient. DANCEE has agreed to support Kyiv Vodokanal (KVK) in their efforts to renew the water supply and waste water systems and to modernise the organisation and financial management systems of the company. The present project is a development of the initiatives elaborated under the implemented Feasibility Study of KVK financed by DEPA in field of waste water treatment.

What do we want to do:

The basic idea of the project is to demonstrate through a pilot project in Kyivvodokanal how rehabilitation and replacement of aeration equipment in four tanks of the line 3 at the Bortnicheskaya waste water treatment plant can result in a considerable energy saving and improve the quality of the treatment. The Bort-nicheskaya waste water Treatment Plant (BWWTP) is treating waste water from the whole City of Kyiv (capacity of 3,900,000 p.e.)

An improvement in waste water treatment efficiency towards the level of the EU-Waste water Directive and a reduction in energy consumption of 5 per cent of the total plant consumption (equal to a yearly saving of approx. UAH 1.3 mill). A reduction of CO₂ emission of 6 tonnes p.a. is a result of the project.

How do we do it.

The main Project activities are:

1. Overall design of rehabilitation;
2. Procurement of equipment (selection of turnkey contractor);
3. Rehabilitated waste water treatment line; and
4. Information campaign

Furthermore, considering a strong environmental, economic and technical demonstrational effect of the Project it is planned to include visits to the Project worksite as a side-event at the Ministerial Conference Environment for Europe 2003, which will take place in Kyiv in May 2003.

What is the result:

1. Overall design of rehabilitation;
2. Procured equipment by the turn-key contractor;
3. Rehabilitated waste water treatment line; and
4. Information campaign.

Budget:

The total budget for the project is EUR 2.24 million (DKK 16.8 million), of which DANCEE finances EUR 1.17 million (DKK 8.8 million), the rest comprises the local contribution from the KVK.

Partners:

Project Holder WTC – Water Training & Consulting ApS

Ukrainian Counterpart: Kyivvodokanal (KVK).

Project Period:

2002 – 2003

State Programme and Project Preparation for Phase-Out af Ozone Depleting Substances

Already by the year 2000, Ukraine had to achieve a full phase-out of the largest group of ozone depleting substances in the industry. This was done in close co-operation with a team of Danish, Ukrainian and Russian experts. The industry and the government stakeholders were also involved in the process. This traversing co-operation made a good basis for a new dialogue between the involved parties.

As a party to the Montreal Protocol on substances that deplete the stratospheric ozone layer, Ukraine had to prepare for a phase-out of the production and use of these substances in the industry. This had to be achieved by the year 2000 with the largest group of substances namely CFCs – Chlorofluorocarbons – used as aerosol propellants, refrigeration agents, degreasing agents, etc.

What do we want to do:

The project aimed at assisting Ukraine in implementing the Montreal Protocol through the development of a country programme for the phase-out of ozone depleting substances including an action programme and identification of investment projects required to substitute the ozone depleting substances – ODS –in industry.

How do we do it:

What is the result:

The project produced together with the Ministry of Environment, a plan for the implementation of the Montreal Protocol in Ukraine. Close co-ordination with the World Bank as a Global Environment Facility (GEF) implementing agency allowed the project to lend itself as the basis for the preparation of a EUR 26,070,000 (DKK 195,500,000) investment package from the GEF to substitute ODS in Ukrainian manufacturing enterprises (aerosol, refrigeration, etc.). Investment projects for ODS can in the NIS countries receive support from the GEF.

The Ministry of Environment and the industry, through the project, got a new dialogue and contacts as well with cleaner technology manufacturers and international agencies involved in the implementation of the Montreal Protocol. Thus, the action plan for ODS phase-out developed and allowed Ukraine to start the implementation of the Protocol and to eliminate the Ukrainian emissions of ozone depleting substances.

Budget:

The project was financed through a DANCEE grant amounting to EUR 233,333 (DKK 1,750,000).

The World Bank, on behalf of GEF, funded further ODS project preparation work at enterprises, and a GEF grant of EUR 26 million (DKK 195,500.000) was approved for Ukraine.

Partners:

The project was carried out by COWI, Denmark in association with COWI, Moscow and a core group of Ukrainian experts. The Ukrainian Ministry of Environmental Protection and Nuclear Safety took an active role in the project implementation and guided the consultants throughout the project.

Project period:

1995 – 1996

Country Programme for The Phase-Out of Lead in Gasoline

Vehicle lead-emissions are known to be one of the worst sources of lead concentrations. Furthermore, the emissions are a serious threat to the public health. Ukraine has therefore decided, via a country pro-gramme, to support the process of lead phase-out in gasoline. This should be done by tools to increase demand for unleaded gasoline and by reducing the lead content in the gasoline production.

By developing a country programme where the objective was to support the process of lead phase-out by means of reducing ambient air lead concentrations, the intention was to combat the vehicle lead emissions, which is known to be the single most important source of lead concentrations. The overall objective was to improve the health condition of the population of Ukraine. The specific objective of the country programme was to support the process of lead phase-out by means of providing policy makers with tools to increase the demand for unleaded gasoline. Further to reduce the lead content in gasoline production as much as possible.

What do we want to do:

Ukraine was an active member of the UN-ECE Task Force to prepare a Pan-European Strategy to Phase-out Lead in Petrol in Europe. The work of the Task Force commenced in 1996 and was concluded in 1998 where the proposal for a strategy was prepared. Ukraine attached a high priority to the work of the Task Force. As a reflection thereof, Ukraine thus requested the Danish government for assistance in the preparation of a country programme for the phase-out of lead in petrol.

How do we do it:

The major complexities of the study consisted of two major uncertainties:

1. Future fuel demand. Given the stage of Ukraine’s economical transition, it proved difficult to predict the level and structure of future fuel demand, and the related timing. Demand developments affect the product slate that refineries must be able to supply;
2. Restructuring of the refining industry. The refining industry of Ukraine was characterized by heavy surplus capacity. While any economic reasoning proved it inevitable that the sector was in need of substantial adjustments, it proved difficult to identify the more operational path of these adjustments and to obtain indications of the necessary political commitments. In acknowledgement of these major uncertainties, the study focused on providing detailed and thorough background analyses and on identifying and analysing possible future scenarios and consequent policy options. Workshops with both government stakeholders and industries were used in the process of developing the5country program. The workshops also served as forums for knowledge transfer and experience sharing, also between the Ukrainian stakeholders; and
3. The project produced with the Ukrainian Ministry of Environmental Protection and Nuclear Safety a substantial background analyses and a set of recommendations for future actions.

Budget:

The project was financed through a DANCEE grant amounting to EUR 199,467 (DKK 1,496,000).

Partners:

The project was carried out by COWI, Denmark in association with Abt. Associates, USA and a core group of Ukrainian experts. The Ukrainian Ministry of Environmental Protection and Nuclear Safety took an active role in the project implementation and guided the consultants throughout the project.

Project period:

1997 – 1998

Cleaner Technology in Ukraine

A reduction of the water consumption by 83 per cent, reduction of chemicals with up to 50 per cent and energy saving with up to 30 per cent. These were some of the results when five Ukrainian enterprises participated in the two projects. The objective was to implement cleaner technology in the production. The reductions were achieved through better maintenance and minor improvements of existing equipment. The two projects:

1. Cleaner technology in the machine industry in Ukraine; and
2. Demonstration of water saving possibilities in Zaporozhje.

The consumption of raw materials, energy and other resources in Ukraine is generally very high compared to Danish proportions. This is due to the technology being used, the operation of the systems, the un-utilised over-capacity and the poor maintenance of equipment. A substantial part of the potential can be realised through operation, better maintenance, and minor improvements of existing equipments. By introducing smaller no-and-low-cost-changes and new equipments, the production efficiency is improved and the typical win-win situation is achieved.

What do we want to do:

The primary objective of the project was to demonstrate cleaner technologies at selected enterprises in Ukraine. It was also the objective to build a capacity with local consultants and engineers in Ukraine to support the enterprises in the identification and implementation of cleaner technologies. These technologies are able to overcome the enterprises’ productivity and environmental problems.

The follow-up activities in Zaporozhje shall again demonstrate the opportunities for water saving in the local industry in and around Zaporozhje. In the second project, the main objective is to reduce the water consumption – and to reach a high level of co-funding in the demonstration projects. Also in this project, a number of local experts in Zaporozhje will be trained – partly by the trained experts from the previous project and partly by the Danish experts.

How do we do it:

The projects have six phases:

Installation of new painting equipment – including use of water-based paints and Health and Safety Equipment for the workers.

What is the result:

The following activities were carried out to meet the objectives:

The following results were reported: Water saving: 243.870 m³/year – reduction of 83 per cent.

Chemical reductions and other saving in raw material were the following:

It is not possible to make up a total figure of the chemical and energy saving of the five enterprises as each project produced saving in different chemicals and energy sources. Each demonstration project is reported separately with all exact figures. In the painting project, the following figures were reported:

The above total saving figures are based on the specific results of:

In the water saving project, the main objective is to reach a high degree of co-financing in demonstration projects with high water saving results. Five enterprises were identified In the first phase of the project with great potentials for water saving and a high interest in co-financing the demonstration projects of approximately 20 per cent.

Budget:

The project is 100% supported by DANCEE. The total support to both projects is approximately EUR 2,266,667 (DKK 17.000.000). Investment subsidies are in total approximately EUR 1,066,667 (DKK 8.000.000) Cost of local consultants and other local expenses is approximately EUR 266,667 (DKK 2.000.000).

Partners:

Project manager, Danish Technological Institute,

Project period:

Project 1: 1997 – 2000

Project 2: 2000 – 2003

Technology Transfer Within Non-Destructive Testing and Quality Assurance for Ukrainian Nuclear Power Plants

The tragic accident at the Chernobyl power plant in the Eighties showed how important it is that inspection, monitoring and safety are fully integrated into the daily routines. By technology transfer, training and practical demonstrations, the aim of the project was to make the experience from western nuclear power plants available to Eastern Europe to avoid another environmental disaster.

The need for improvement of safety standards of Ukrainian nuclear power plants were tragically demonstrated by the accidents at Chernobyl – a disaster stressing the necessity of prompt and extensive precautions to be taken in a number of fields related to safety. Some of these fields are inspection and condition monitoring. Inspection and condition monitoring are integrated parts of the safety precautions in the western nuclear power plants. It is of utmost importance that this technology and experience be available to Eastern Europe including NIS in order to reduce the risk of environ-mental disasters and to secure the electricity supply at the same time.

What do we want to do:

The aims of the project were to contribute to an increased safety at Ukrainian nuclear power plants by means of technology transfer, training, and practical demonstration within the fields of non-destructive testing (NDT) and to ensure quality. More precisely, it was the aim to render the E.O. Paton Electric Welding Institute in Kyiv capable of performing highly qualified inspection at nuclear power plants through supply of the necessary equipment and training of the specialists of the institute.

How do we do it:

The project was divided into the following main activities:

1. the P-scan ultrasonic inspection equipment developed by the Danish FORCE Institute and in operation all over the world for inspection of nuclear power plants was delivered to the Paton Institute in Kyiv;
2. a course for training the specialists of the Paton Institute in the application of P-scan equipment was held at the FORCE Institute in Denmark; and
3. the first half of the course "Supply of NDT Services" was held for the Paton Institute at the FORCE Institute in Denmark. The second half of the course was held at the nuclear power plant Khmelnitzkaya in Ukraine. The equipment delivered was applied by the Paton Institute under the guidance of the FORCE Institute.

What is the result:

As a result of the project, the specialists from the E.O. Paton Welding Institute in Kyiv are now capable of performing inspection and condition monitoring applying advanced ultrasonic inspection. Thus, the Paton Institute completed a number of inspections at Ukrainian nuclear power plants. Examples of tasks are inspection of steam generators, separators, base material and welds on pipes in the main primary circuits. The last mentioned type of inspection was carried out on Unit 3 of Cher-nobylskaiy NPP, Chernobyl. In addition, a number of inspection tasks have been carried out at e.g. oil refineries.

Budget:

DANCEE EUR 373,333 (DKK 2.8 million)

FORCE: EUR 373,333 (DKK 2.8 million).

Partners:

The FORCE Institute in Denmark was the Danish project holder.

E.O. Paton Welding Institute of the Ukrainian Academy of Technical Sciences in Kyiv, Ukraine, was the Ukrainian counterpart.

Project period:

1993 – 1995

Desulphurization of Flue Gases from Sulphuric Acid Production at Coke Plant

In Ukraine, coke production is very important for the steel production and for the export but this production has, in more than one way, a dark side. One of its by-products is sulphuric acid the emissions of which are a threat to the public health and to the environment. The aim is therefore, a 10-fold decrease in sulphur emissions. This is going to succeed with the installation of modern equipment and computerized control systems.

Avdeevka Coke Chemicals Plant – ACCP is the largest coke plant in Ukraine and one of the largest in Europe; it is a major employer in the region. Based on coal, the plant produces coke for the Ukrainian steel industry and for export. By-products are coke oven gas – "town’s gas" – including 70,000 ton/year sulphuric acid which is produced from the sulphur contained in the coal.

Sulphuric acid is produced in two old plants, which do not comply with today’s requirements for emission of sulphur dioxide from the acid plant stacks.

What do we want to do:

The objective of the project is to:

How do we do it:

Haldor Topsøe A/S made the engineering documentation for the project as well as supplied proprietary and imported equipment and materials. Local companies and ACCP’s own engineers will carried out site preparation, civil works and erection as well as supply other equipment and steel structures. Erection, commissioning and training of personnel were supervised by Topsøe’s specialists.

What is the result:

When completed, the project will result in a 10-fold decrease in sulphur emissions and a healthier environment both on the plant site and in the region. The project is a demonstration case to the Ukrainian Industry of modern sulphuric acid technology.

Budget:

DANCEE supports the project with EUR 533,333 (DKK 4 million), which is approximately 10 per cent of the project. The balance is provided by ACCP.s own sources.

Partners:

The project is carried out by Avdeevka Coke Chemicals Plant and Haldor Topsøe A/S. The coke technology engineering company Giprokoks (Kharkov) acts as engineering consultant for ACCP.

Client: OAO Avdeevka Coke Chemicals Plant Avdeevka, Donetsk Region Supplier: Haldor Topsøe A/S, Denmark

Project period:

2000 - 2001

Industrial Symbiosis in Ukraine

When several industries in one town cooperate on such issues as waste management, energy use and other aspects of their functioning, one can say that they live in symbiosis. This can benefit their economy as well as the environment.

What do we want to do:

The main objective of the project is to increase the energy efficiency by reducing the amount of energy wasted in two areas in the Ukraine, more specifically defined as the towns of Kom-somolske and Cherkassy.

The secondary objective is to involve all types of waste materials in the symbiosis activity in the towns, and hereby to put focus on the fact that industrial symbiosis is also a means of minimising waste production in an industrial area. The final objective is to establish a permanent "task force" to promote the activities named above, and to involve local universities in developing Ukrainian technologies for reducing wasted energy and waste materials.

How do we do it:

The following activities should be implemented:

Visit to the Kalundborg Symbiosis Institute and some of the companies involved in the environmental network. Visit to Danish producers and distributors of heat and electricity. Visit to industrial companies with environmental management systems.

What is the result:

In the short-term the results will be foreseeable energy-savings and a reduction in the environmental strain through a change of approach, minor investments and obvious symbiosis possibilities.

The total budget is EUR 280,000 (DKK 2,100,000).

The DANCEE’s grant support amounts at EUR 215,000 (DKK 1,612,500).

Partners:

The project is carried out by William Hansen & Co. A/S in co-operation with the authorities in Komsomolske and Cherkassy, the industries represented in the "Task Force": Symbiosis Institute in Kalundborg; Technical University in Kharkov, Institute for Problems in Machinery (IPMach) and William Hansen & Co. A/S. See also under "How do we do it" above.

Project period:

2001 – 2003