On December 2, 2022, the Cabinet of Ministers of Ukraine decided to merge the Ministry of Infrastructure and the Ministry for Community and Territorial Development.

"Such a step should strengthen management capabilities and add more efficiency to the process of planning and implementing recovery programs," said Prime Minister Denys Shmyhal at the time. Thus, a unified institution appeared in Ukraine, headed by former Minister of Infrastructure Oleksandr Kubrakov, who also received the post of Vice Prime Minister for Restoration.

The new Ministry has a better understanding of the overall picture of destruction and needs, and will significantly improve the digital management of reconstruction. This is important for communities, who need to understand what is happening with the recovery and know that their position will be taken into account and their opinion heard, said Oleksandr Kubrakov at the end of 2022:

"This is especially necessary now, when our team, together with international partners and the public, is developing a Digital Reconstruction Management System, as well as gradually filling the Register of Damaged and Destroyed Property. These integrated systems will cover not only transport infrastructure, but also what was previously the responsibility of the Ministry of Community and Territorial Development - regional development, construction, housing, and utilities.

In addition, our team has a successful track record of implementing large-scale projects in cooperation with foreign countries, businesses, and international financial organizations. In particular, joint governmental efforts in cooperation with the World Bank have helped launch the process of forming the Trust Fund for the Reconstruction of Ukraine, and launch strategic cooperation with the United States, the United Kingdom, and Turkey to rebuild infrastructure."

The Ministry for Restoration will have completed six months of work in early June, and we hope to see a thorough report on the implemented intentions.

In the meantime, we decided to pay attention to the most important projects, in our opinion, aimed at the transparent rebuilding of Ukraine, taking into account energy saving, energy independence, and the need to digitalize the process.

Register of damaged and destroyed property

Photo by Seymur Kyazimov

The Register of Damaged and Destroyed Property was launched in the summer of 2022. It was a joint effort of the Ministry of Digital Transformation, the Ministry of Infrastructure, and the Ministry of Regional Development. The register is a single database containing information on all housing, transport, and social infrastructure affected by Russian military aggression.

Dashboard with destructions in Makarivska hromada on ONOVA GIS HUB portal

At the time, Oleksandr Kubrakov noted that the Register would be used to provide compensation to citizens for damaged housing, as well as to plan and manage the reconstruction process.

"The next stage is to launch the development of all modules of the system with the support of donors and partners. It should become a single anti-corruption tool of public administration, ensure transparency and efficiency of reconstruction and coordination with international partners," he added.

Restoration Agency

Фото з FB-сторінки Держагентства відновлення та розвитку інфраструктури

Photo from the Facebook page of the State Agency for Restoration and Development of Infrastructure

The State Agency for Infrastructure Restoration and Development was established on the basis of the State Agency for Infrastructure Projects and the State Road Agency in January this year.

"Reconstruction should be accountable and transparent, based on the needs of communities and regions. To this end, we are already developing and launching various digital solutions, updating legislation, and consulting with partners. The new agency will be able to turn ambitious plans into reality," said Kubrakov, commenting on its goals and objectives.

The Restoration Agency is already taking steps to implement international standards of procurement transparency, introduce anti-corruption safeguards, and ensure openness and transparency of processes. In particular, it has signed a Memorandum of Cooperation with the National Anti-Corruption Bureau of Ukraine, which gives NABU experts full access to data.

The agency is also working on digitalizing access to data on all reconstruction projects. In the summer, the Ministry plans to present a digital platform that will allow stakeholders to see each reconstruction project, its development, and other data.

Special fund for the implementation of energy efficiency projects

The Verkhovna Rada of Ukraine has amended the Budget Code to create a special fund of the state budget, the State Fund for Decarbonization and Energy Efficient Transformation.

The Fund will start operating on January 1 next year. The Ministry of Reconstruction is currently developing the procedure for its functioning, Kubrakov said:

"In 2021, the National Energy Efficiency Action Plan until 2030 was adopted. Implementation of the Plan's provisions required the identification of sustainable financial sources for achieving goals and implementing measures. Today, this issue has become even more urgent given the need to implement reconstruction projects that are impossible without taking into account energy efficiency principles."

The special fund will be replenished with funds received from the environmental tax on carbon dioxide emissions from stationary sources of pollution.

In particular, it will be used to implement programs aimed at improving the energy efficiency of households, utilities, public buildings, and micro, small and medium-sized businesses. Another area is the introduction of energy services and the development of decentralized energy production and storage systems.

"I am confident that the emergence of such an institution as the State Fund for Decarbonization and Energy Efficiency Transformation will raise Ukraine's energy efficiency to a much higher level. As an independent and non-profit organization, we have implemented the thermal modernization of more than 100 budgetary institutions in four years together with foreign donors and held dozens of educational events for communities about its importance. We will continue to develop and promote this area, now not only with donor organizations but also with the state as our main partner," said Anar Rafiyev, President of the Public Unity “Ukrainian Fund of Energy Efficiency and Energy Saving”.

Energy Efficiency of Public Buildings in Ukraine

In March of this year, the Ministry for Restoration announced the selection of projects under the Energy Efficiency of Public Buildings in Ukraine program with a budget of EUR 300 million.

It is a comprehensive energy-efficient renovation of about 1000 public buildings across the country. 

The Deputy Prime Minister for Restoration called on local governments to participate in the program - to submit their project proposals and take a step towards energy-efficient modernization.

The program is aimed at small and medium-sized cities and communities throughout Ukraine, except for the areas identified by the Ministry of Reintegration in the list of territorial communities located in the area of military (combat) operations or under temporary occupation, encirclement (blockade).

Projects to repair public buildings damaged as a result of hostilities and projects to adapt buildings to accommodate internally displaced persons are also eligible.

The first phase will involve thermal modernization measures worth €100 million. 

The final beneficiaries of the program are local governments. The selection process runs from April 3 to June 3, 2023 inclusive. From April 12 to May 5, the Ministry is conducting a series of online trainings for potential program participants, where program experts will explain the details and conditions of participation in detail.

State Anti-Corruption Program "The Way to a Corruption-Free Future: Step-by-Step Guide"

Photo from the FB page of the Ministry of Communities, Territories and Infrastructure Development

For the Ministry, the state anti-corruption program envisages the development and improvement of more than 10 new digital tools: online platforms, portals and electronic registers that will allow monitoring the reconstruction process, receiving services in the field of urban planning, etc. This means creating conditions for transparent and accountable recovery through digitalization and automation of all processes and services. 

To implement the State Anti-Corruption Program, the Ministry is working on 

• developing a legal framework for monitoring the quality of reconstruction work;

            introducing an online platform for collecting and publishing open data on monitoring and quality of recovery works;

• publishing on the online platform the actual results of monitoring the quality of recovery work; 

• implementation of a digital reconstruction management tool with public access to an interactive map of the works.

"Ukraine's reconstruction is impossible without transparency for all stakeholders, which means digitalization of processes at all stages, from planning to implementation. Fortunately, this is understood not only by the leadership of the Ministry but also by local authorities. This is exactly what we discuss every week with community representatives who are interested in using geographic information portals like ONOVA GIS HUB. Because transparency of recovery means, first of all, trust in our country from all over the world," says Yehor Stefanovych, Chairman of the Board of the Ukrainian Energy Efficiency and Energy Saving Fund NGO, Chief Coordinator of the ONOVA League of Ukraine Renewal.

At the end of March, the Ministry of Reconstruction and the Basel Institute on Governance signed a Memorandum of Cooperation, will work to minimize corruption risks in the use of state and donor funds allocated for the reconstruction of critical infrastructure. This includes strengthening anti-corruption compliance in the road sector and checking integrity risks when determining the cost of road works and services.

Based on the materials of the portal of the Ministry of Reconstruction, online media Livyi Bereh, Liga, Ukrinform, and the Information and Consulting Center for Transportation Strategies.