attempts to improve Kharkov Vodokanal once rassorila German entrepreneurs with local authorities. Having received from them at the end of XIX century, the exclusive right to construct and use of water supplies, the Germans began to upgrade water systems in the city. Lasted for concession model before the century 23 years, of which three went to the building, and twenty - in the courts.

water had to pay, and the city treasury of money for this purpose was not, so think after three years decided to take the water supply for investors. Some reason for this was: given a fine by the beginning of XX century, it owed the Germans a half million rubles. Holy, not Soviet! Do not stand the confrontation with the local authorities, the German businessmen have surrendered and returned to running water in their own town.

More than 120 years, but in this area little has changed: the modernization of the municipalities can not afford utilities and private businesses to invest their money in no hurry.

Money from the pipe

Worldwide utility monopolies - the business profitable. Domestic enterprises of housing-communal sphere many years in a row showing millions of dollars in losses. And sort out the situation sometimes worsens. According to Deputy Director of Sumy municipal enterprise Gorvodocanal Vladimir Gnapovskogo in the city of more than 70% of apartments equipped with devices of hot and cold water, bringing the paid water use per person declined by nearly half, to 126 liters per day. Residents pay for the meter, and Vodokanal continues to pay for the loss of water in the old networks. And request money from the Power.

She sometimes something gives. People's deputies of 11 June, made changes to the law on the general program of reform and development of housing and communal services for 2004-2010. The changes provide for a national program of reform and development of utilities for the years 2009-2014 from the state budget amounting to some 23 billion hryvnia. True, the president has not signed the amendments.

According to the minister of housing and communal services of Alexey Kucherenko, the main objective of the modernization program - go to the end of 2014 to hundred percent coverage of the cost of services through tariffs. Line ministries will lay in the rate of loss of water at 15-20% instead of the current 50% (on average), a thermal power plant - at the level of three to five per cent instead of 20-30%.

However, experts estimate that the planned 23 billion hryvnia, even if they will not be sufficient. To upgrade, estimated the former Minister of Housing of Alexander Popov, will need more than 100 billion hryvnia. Only the reconstruction of networks Zaporizhzhia water and needed more than 300 million dollars (2.3 billion hryvnia), and for the modernization of Kharkov - four times larger. We need private investment: the hryvnia from the state - five to eight hryvnia private investment, - said Kucherenko.

At the same time over the past year, prices for the services of water and heat supply to Ukraine rose by an average of 40%, and in some regions - several times. But officials say that the increase in gas prices and electricity tariff has still not cover the cost of production services.

As the cost of the fare no investment component. In effect from 1 June 2009 on fees for fiscal and other customers provide 12% of the cost-effectiveness, but the rates for the population does not cover the cost of production services. In order to recoup the production costs of services, including the minimum investment component for the repair of networks, the tariff for water supply and sanitation should be 4,70 grn /cubic meter. And now he is for the people of 2,86 grn /cubic meter for both services with VAT, - told the press service of Kievvodokanala.

In the All-Ukrainian public organization Union of housing in Ukraine (SSZHU) doubt that the current rates of hopelessly unprofitable: To calculate the cost of the services you need to know the total amount of resources expended. But all our requests to provide data on how much water originate from water intakes and wells, companies simply ignored. SSZHU Experts believe that the count rate should be based on the number and quality of services. The officials - from how much cost the company bears. And because of that the technical re-equipment was carried out for decades, through the holey network evaporate to 50% water and 30% of the heat.

Tricky Tenant

It would seem that the arrival of private capital in the sector could significantly improve the situation. The current practice of transfer of the concession can not be described as positive, as local governments, which are owned utility ownership, have no experience of competition on selection of concessionaires, concession contracts, as well as exercising control over their execution ... - referred to in official response MinZhKH experts. To provide more specific information about what is not pleased concessionaires and tenants - with figures showing the regions - head office refused.

Nevertheless, aware that last year MinZhKH examining the situation in the rental business and has come to the disappointing conclusion: Investors do not fulfill the promises declared, do not repair, do not deal with the replacement of equipment, forget about the investment arrangements. For example, Ltd. Luganskvoda accepting concessions Lugansky Vodokanal, with the first months of work, owes 50 million hryvnia Lugansk Energy association. Because of the outstanding debt of the pumping stations were protocol, leaving no water in early 2009 left more than 200 thousand residents.

As before, the rent and the concession companies demonstrating high losses and low level of payments for consumed gas. But despite the apparent lack of profit for their rental businesses are ready to fight to the bitter end. For example, Kirovograd Vodokanal rented LLC Water, has worsened the financial and economic indicators for 2006-2008. This has contributed to the decision and the executive committee of Kirovograd city council to lower tariffs by 10% in March 2007 on, leading to additional losses of the tenant in nearly two million hryvnia. As a result, the total losses of the company for 2007 amounted to 11.1 million hryvnia. It would seem, from the rental property must urgently get rid. The authorities tried to break the lease in court, but the tenants did not agree.
When

future tenants, and concessionaires are going to take businesses to rent, the local authorities they tend to favor. The most striking example is the story with the transfer of a concession the regional utility Luganskvoda. The desire to participate in this was the seven companies from around the world. But the regional council suddenly put forward strict requirements - the applicant for management Luganskvodokanalom must have experience of at least five years in a city with a population of over three million. Not all European capital can boast such numbers, even officially in Kiev is not so much people. The only candidate was Rosvodokanal, which is housed in a consortium of Alfa Group Mikhail Fridman.

Enterprises Water Crimea and Kharkov water utilities have shown interest in the same Russians (now city council is preparing a competitive environment for the transfer of public enterprises Production and Technical Enterprise Water in the concession).

Secrets holey tube

history with the transfer of Lugansk in the concession company had continued. Last year, Alchevsk city court suspended summing up the contest. Since the claim in the court appealed Alchevsk Iron and Steel, who allegedly wanted to participate in the contest, but did not conform to its terms. At first glance it is strange that such a costly enterprise, as Luganskvoda (according to the chairman of the Luhansk Regional State Administration Oleksandr Antipov, in the field every day comes about 40 accidents on the water, and most water without a radical reconstruction of working for 60 years) has caused such excitement around . MinZhKH recommended Lugansky authorities to initiate termination of the contract of concession with the Russians.
Experts believe

: water utilities in fact yielded a considerable profit. Lack of control allows to overstate the loss of water and heat, and then sell their businesses at higher rates than the population. For example, in the capital of all tenants of a house on the street Simirenko up their apartments meters and found that every month for each person consumes an average of 1.4 to 3 cubic meters of water. In a neighboring house, where there was no meter, OAO Kievvodokanal in the invoiced month from 6 to 14 cubic meters of water for every inhabitant. By the way, in Kiev, the counter is not equipped with more than 10% of apartments.

opportunities to earn money from a lot of utility monopolies. Former deputy Kyiv, who wishes to preserve incognito, contends that the JSC Kievvodokanal is not one of those water sources, which declares: None of the Desna and Dnieper, and from the thermal power standby wells, thus reducing the cost of transportation and water treatment. After all, OAO Kievvodokanal along with Kievgazom and Kievenergo part of the JSC Kievenergoholding (61% owned by the holding company of Kyiv City State Administration, and the remaining shares - companies Zarova Ltd and Densec Ltd). The press-service Kievvodokanala reported thatthe information did not correspond to reality. However, the request for expert to provide proof - these energy audits - ignored.

in subsidiaries Gas of Ukraine has been hinted that some companies manipulated teplokommunenergo funds received from the public. They say, the calculation of population with the service providers of almost one hundred per cent, and debts for the consumed gas is only growing.

addition to financial manipulation, money can be banal and selling property. After all, they have a mass of running of goods - from metals to energy.

get into the jet

Even if we assume that the business of housing and communal services will investor who abhorrent to stealing, not that he would invest the money in the pipes. After all, he had no confidence in the future. Western companies is difficult to get used to the current practice of business. If the authority does not want to cooperate with the investor, it can not survive the requirements set forth in our regulations. Similarly, do not stand them no utility monopoly, if the requirements for it present on all counts - the director of the International Institute for Privatization, property management and investments Alexander Ryabchenko.
To

industry has become really interesting for professional investors, it is necessary to create a comfortable environment for business development, rather than theft. First of all - change the approach to tariff. For example, to transfer the right to form independent fare to the organization: such practices are well-proven in several European countries (we now claim rates, local authorities, and the Yulia Tymoshenko has recently offered to provide this function at the center). Naturally, we must review the legislation enabling the authorities to monitor compliance with investor commitments, and investors - and a penalty charge debts with hard-core non-payers. Even the state.

to the Ukrainian market HCS long look, several major players, among which the Austrian holding company AmiWater and French Veolia, the Lithuanian group E-Energija. However, despite the declared interest, conclude the concession contract has only the last (Lithuanian businessmen have conceded Urban Enterprise Artemovskteploset for a period of 40 years).

long as the LLC Artemovsk-Energia, a subsidiary of the Lithuanian group E-Energija neither local authorities nor MinZhKH claims not make. According to the contract of concession, foreigners in the first three-year pledge to invest in the modernization of heating (mainly in energy-saving technologies), some 25 million hryvnia. The total amount of planned investment is not less than 90 million hryvnia. For two years the Lithuanians managed to resume its central hot water supply the city, which is absent for about ten years. The current tariff for heat in Artemovsk covers the production costs of services, and it even provided cost-effective. However, this rate (276.51 UAH /Gcal), almost half the national average of Lugansk region in 2008 and even higher than in the whole country, including Kiev. So, for the comfort and the consequences of mismanagement had to pay dearly.

game in the hot - cold

On that prevents investors on the Ukrainian market of housing and communal services, told the director of Artemovsk-Energy Albertas Valanchius.

- It is economically attractive prices have been on heat when two years ago, the Lithuanian group E-Energija has conceded heating Artemovsk? Pays the current rate the cost of production of services?

- Since the transfer of the business in the concession (24 July 2007), and nearly all the first heating period (from October 2007 up to March 2008) we worked at the rates previously adopted for the urban heating. In doing so, the cost is 89%. Today the fare covers the cost. Cost is 5% of the population, 15% - on budget and 25% - for other consumers. But when viewed from the beginning of the year, the activity is unprofitable: tariffs for heat are always late, they raise two or three months later than the increase of tariffs for energy resources. Our loss from the illegal increase in the price of gas from 1 January 2009 to its legitimate use 19 February, 2009 th was more than two million hryvnia (ie NERC raise gas tariff retroactively. - Expert). The state has not taken steps to compensate teplosnabzhayuschim businesses from losses.

- Why are investors in Ukraine did not originate in the concession companies utilities?

- Investing in the heating sector housing and communal services economically inefficient: the losses do not depend on the activity of the enterprise and is not verifiable. And then comes the question, more importantly: to perform an investment program to upgrade the thermal management facility or concession to cover the losses incurred, as a matter of fact, the fault of the state?

- The idea to leave the market did not occur?

- Today, Western investors are not attracted by the business development in housing and communal services in your country, because it has a larger share of risk. We have extensive experience in Lithuania, Latvia and Estonia. We sent in the highest legislative and executive authorities of Ukraine proposals to amend legislation and creating conditions for attracting investment capital.

- What should be done to ensure that utilities industry has become attractive for investors?

- We need to develop and adopt regulations or legislation governing the following: clearly defined and included in the Law of Ukraine On concessions the notion of a complete property complex. Define and enforce the law especially to fulfill the financial obligations of the company, which is referred to the concession, because today's investors, in addition to responsibility for the concession contract, the risk lies with the transition of rights and responsibilities for payment of old debts of the company. In particular, we have had to repay the old debts of the company in the amount of 11.5 million hryvnia. We need to make provision in the Civil Code of Ukraine the responsibility of third parties for their action or inaction, to create the conditions for the investor, not allowing him to fulfill the terms of the concession contract.

Here now ZhEKov under current law actually provides for liability for inappropriate content house pipes, as a result of this service is provided by the concessionaire to deteriorate, causing a lot of recalculations to the public. In addition, our company is directly dependent on the quality of water. For example, early in the season 2007/2008 was very difficult to fill in the thermal network of water: it filed by the hour, missing the necessary pressure.

In addition, there should be a uniform method of long-term pricing of controlled prices. Now the pricing - deterrent factor for all investors. It should simplify the possibility of lending by foreign resources, because today the situation in order to attract foreign loans of more than unfortunate.

Svetlana Ryabova

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