The Kiev District Heating Improvement Project was designed to:
replace and increase heat production capacity to better meet existing and expected future demand, and to improve the reliability and service levels in the Kiev District Heating (DH) system; and
to extend the life of, increase the efficiency of, and enhance conservation of the Kiev DH system through rehabilitation and introduction of modern technologies and materials. It was also intended to
strengthen and promote the privatization of DH companies.
This evaluation rates the project's outcomes as moderately unsatisfactory and the risk to development outcome substantial. The report found the Bank's performance was satisfactory, and the Borrower performance was moderately satisfactory. Lessons learned were related to a number of issues including the importance of using advisors on a regular basis to update technical know-how, training key staff at the very beginning of the project, considering alternative means of reducing the impact of price hikes on the poor, and looking at alternatives to flat rate tariff reductions.