11:47 27.02.2015

Financing for utilities sector reform reaches 20%, says expert

2 min read
Financing for utilities sector reform reaches 20%, says expert

State financing of the state program on reforming and developing the utilities sector for 2010-2014 in Ukraine reached UA 4.6 billion or 20% of the target, and the realization of a currently unapproved, similar program would be impossible without state support and private investors, First Deputy CEO of the Association of Cities of Ukraine, former first deputy head of Kyiv City Administration and ex-deputy regional development, construction, housing and utilities economy minister Oleksandr Mazurchak said at the Ukrainian Forum of Infrastructure Development (UFID) 2015 in Kyiv on Thursday.

"It was planned that the state was to earmark UAH 26 billion for the reforms. The funds were not allocated. Maybe only one fifth of the funds were sent to the purpose," he said, adding that the state had not supported the reforms with funds, laws, organizations and the media, and that the reforms had actually failed.

Mazurchak said that a new state program has been drawn up, but not adopted. He said that the reformation of the utilities sector is only possible with state support, the introduction of public private partnership, the protection of investors as a key source of reform financing and the protection of the interests of poor people in light of the increase in utilities tariffs.

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