Market capacity of housing and public utilities of Ukraine is estimated at 500-600 billion UAH, regional development, construction and housing minister Hennady Temnyk told a conference, ForUm correspondent reports.

According to official, the program of economy revitalization for 2013-2014 provides for 22 billion UAH for housing and public utilities. "Relevant companies should prepare business plans - we will assist in that. At the same, we with the World Bank (WB), the EBRD, the European Investment Bank (EIB) work out attracting of sectoral investment package worth 1.5 billion euros. This is very important as these means are designed for innovative development. It is important to create a model of return of attracted investments, especially given the loss of municipal services. Rates are subsidized by the state budget by 20-30%, while the production of thermal energy and resources are very energy consuming," the minister said.

He added that in 2012, 14 cities of Ukraine jointly with the World Bank launched pilot projects to develop urban infrastructure worth 140 million euros, which will be completed by the end of this year and has already brought to the local authorities up to 45-50% savings on utilities. "It is extremely important for each city to fulfill its investment obligations under the project. Housing expenditure falls due to introduction of new technologies, and part of the saved money should be returned to investors. They should understand that their rights are protected, that they will be able to return investment and make a profit. The system should be clear for banks, and for public utilities. While the latter should direct the bulk of means at the further reinvesting. With this approach, our utilities can be upgraded in 10 years," Temnyk added.


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