Ministry for Communities and Territories Development and UNDP Ukraine sign agreement for EUR 16.5 million to develop renewable energy in social sector buildings

The Ministry for Communities and Territories Development of Ukraine and the United Nations Development Programme (UNDP) in Ukraine have signed a financial agreement that officially launches the implementation of the Renewable Energy Solutions (RES) programme.

The initiative, with a total value of EUR 16.5 million, involves installing solar panels, heat pumps, and battery systems on social infrastructure facilities – schools, hospitals, kindergartens – to ensure sustainable, decentralised energy supply and enhance the energy independence of public buildings.

The financial agreement was signed by First Deputy Minister for Communities and Territories Development of Ukraine Aliona Shkrum and UNDP Deputy Resident Representative in Ukraine Christophoros Politis.

“Energy independence is not only a strategic goal for Ukraine in the long term but also an urgent need for recovery right now. By applying modern renewable energy solutions in our schools, hospitals, kindergartens, and even field hospitals on frontline territories, we not only reduce energy costs but, most importantly, ensure the continuity of services for our most vulnerable citizens, even in the event of network disruptions. This partnership transforms global support into tangible, sustainable resilience at the community level,” noted Aliona Shkrum.

In turn, Christophoros Politis emphasised the alignment of the partnership with the goals of the green transition.

According to him, this agreement allows a swift move from planning to action, carrying out reconstruction in a better and more environmentally friendly way. By supporting public buildings in becoming “prosumers”, a modern, decentralised, and climate-resilient energy system is created. Importantly, solar panels on schools and hospitals will ensure support for essential services – education and healthcare – directly linking service delivery to community resilience. UNDP is proud to make this green transition a reality for communities across Ukraine.

The programme is being implemented by UNDP with support from the European Investment Bank (EIB) based on the investment grant agreement between the EIB and Ukraine. Funding is provided through a grant from the German Federal Ministry for Economic Affairs and Climate Action (BMWK) under the International Climate Initiative (IKI). The programme’s partners also include GIZ and the Ministry for Communities and Territories Development of Ukraine.

The RES programme is part of broader efforts to modernise Ukraine’s energy system and integrate it into the European Union’s energy space.

Background

The United Nations Development Programme (UNDP) works with people at all levels of society to help build nations resilient to crises and to promote sustainable development that improves the quality of life for everyone.

The European Investment Bank (EIB) is the European Union’s long-term lending institution, owned by its EU member states. It provides long-term financing for sound investment with the aim of contributing towards the achievement of the EU’s policy objectives.