Business news from Ukraine

Business news from Ukraine

Germany allocated money for ecological modernization of Ukrainian enterprises in amount up to EUR 2 million each

15 January , 2023  

The German government has allocated funds for eco-modernization of Ukrainian enterprises under the Best Available Technologies and Management Methods (BATM) for Ukraine program, which provides for co-financing of several BATM implementation projects by businesses up to EUR2 million each, Minister of Environmental Protection and Natural Resources of Ukraine Ruslan Strilec said.
“We understand that we must make considerable efforts to obtain financial instruments to restore our economic sustainability. And it is important to carry out this renewal with technologies that will be less harmful to the environment,” said Strilets, who was quoted in a release from the ministry with reference to his speech at a national telethon on Thursday.
He specified that the documents for participation in the program are open and the projects will be selected till February 28, 2023.
At the same time, the minister noted that the Ministry of Environment together with the people’s deputies finalized the necessary framework law № 6004-d, which would outline the framework of ecomodernization and reconstruction of enterprises on the best available technologies and enable to attract funds of international technical assistance for the realization of such projects.
The minister expressed confidence that the experience of implementation of this program would be a qualitative beginning of cooperation with other European partners.
He cited data from the Kiev School of Economics, according to which since the war in Ukraine at least 412 enterprises have been damaged or destroyed, of which 64 are large and medium-sized.
As for the post-war reconstruction of Ukraine as a whole, according to Strilz, there is indeed a clear understanding at the highest political level of Ukraine that its reconstruction should be green and using the best available technologies, and the European Green Deal, which Ukraine joined back in 2020, could be the basis for the post-war “green” development of the country.
In his opinion, this is not only an opportunity for Ukraine to contribute to the global fight against climate change, but also to solve the problems that arose after February 24, 2022.
“After all, no one will argue that it is important for us to develop green energy, because our energy security and the energy security of Europe depend on it. It is important for us that every destroyed house is rebuilt according to new standards, and every kindergarten, school and other social facility is built according to modern energy-saving technologies. Today we are taking steps to attract investment in such projects, “- said the head of the Ministry of Environment.
According to information on the site of German Society for International Cooperation (GIZ), it implements the project “The best available technologies and methods of management (LDTIM) for Ukraine” on the behalf of the Federal Ministry for the Environment, Nature Conservation, Nuclear Safety and Consumer Protection of Germany (BMUV) and will help Ukrainian enterprises to implement these technologies and reduce industrial emissions. The political partner of the LDTIM project in the implementation of industrial pollution reform is the Ministry of Natural Resources and Environment of Ukraine.
According to the conditions of participation in the project, grants in the amount of 20% of total costs for implementation of the LDTIM project are provided as co-funding, but no more than EUR2 million for one project, within the limits of available funds of the program.
80% of the grant is to be paid in installments according to the enterprise’s equipment/services procurement plan, and 20% is to be paid after the final audit.

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