According to the results of the competition for participation in advanced enhancing energy efficiency pilot six regions have been selected, which  activities in complex solving of energy efficiency issues will be supported: Dnipropetrovsk, Zakarpattia, Donetsk, Ivano-Frankivsk, Lviv and Kharkiv regions.

The competition for the regions of Ukraine for participation in the special energy efficiency pilot was announced by the joint EU/UNDP Project CBA-II on 20 April 2012. Until 25 May 2012 twenty applications from local governments and self-government authorities had been received. Taking into account the great interest in special energy efficiency piloting the Project management made a decision to increase the number of regions from 4 to 6.

Applications were revised by the committee composed of representatives of the CBA Project and UNDP. Applications were evaluated according to the following criteria: potential for development and implementation of renewable energy sources projects, availability of strategic vision on energy efficiency in the region, technical capacities and budget availability. Upon the results of consideration of applications Dnipropetrovsk, Zakarpattia, Donetsk, Ivano-Frankivsk, Lviv and Kharkiv regions were selected for participation in the special pilot on energy efficiency.

Support in the frame of special piloting:

1. Support under condition  of co-financing for renewal/improvement of the existing regional energy efficiency strategy (program)  in general and with the emphasis on rural areas in particular;
2. Support under condition of co-financing for development of construction documentation for main investments in the energy sector (renewable energy sources), which should be foreseen in updated/improved energy efficiency strategy. Support will depend on the amount of the required help, but will not exceed the amount equivalent to $ 40,000;
3. Support under condition of co-financing up to 8 micro-projects with the usage of renewable energy sources and energy efficiency innovative technologies, which will be included in the updated energy efficiency program. Conditions of co-financing: CBA Project - up to 70% (up to $ 20,000 in hryvnia equivalent), the share of budget funds - not less than 25%, community funds - not less than 5%);
4. Support aimed at collection of information, evaluation of results, preparation of training materials and dissemination of practices. Support will depend on the amount of required help, but will not exceed an amount equivalent to $ 1000.

Regions that have not been selected for special piloting will have an opportunity to implement up to 6 innovative energy efficiency micro-projects in the frame of normal piloting.

The work plan of special piloting implementation will include the following steps:

• July 6, 2012 - beginning of the energy efficiency component activities in the regions;
• July 20, 2012 - selection of four pilot regions;
• August-October 2012 - renewal/improvement of the energy efficiency strategy (program);
• October 2012 - February 2013 - development of technical documentation for main investments in the energy sector (renewable energy sources);
• October 2012 - in 2013 - support of community micro-projects that have been included in the updated energy efficiency program.

Support in the frame of normal piloting:

Support under condition of co-financing of up to 6 micro-projects with the usage of renewable energy sources and innovative energy efficient technologies. Conditions of co-financing: CBA Project - up to 70% (up to $ 20,000 in hryvnia equivalent), the share of budget funds - not less than 25%, community funds - not less than 5%). Each region will receive up to $ 120000 grant assistance for the implementation of community micro-projects.

The work plan of implementation of normal pilots will include:

• July 6, 2012 - beginning of the energy efficiency component activities in the regions;
• July 27, 2012 - selection of three pilot regions;
• August 31, 2012 – receiving of micro-project proposals from the rayons;
• September 2012 - 2013 – implementation of micro-projects.