Why it matters to us
District heating (DH) is the most sustainable and reliable way to provide heat to a large number of consumers. Almost half of the heat consumed in Ukraine comes from centralized sources.
Today, the district heating system in Ukraine needs improvement: about half of the users are dissatisfied with the quality of services. Worn-out networks and outdated equipment make district heating less efficient and more expensive for consumers. Instead of updating the system, some cities are starting to abandon central heating, which poses risks to sustainable development.
However, by preserving and developing these systems, it is possible to reduce costs and ensure stable heat supply.
More about the problems with the district heating system in Ukraine, how they can be solved, and what municipal representatives, heat supply companies, and local residents can do to address these issues — we discuss below.
What is DH and how do its systems work?
District heating is a system that supplies heat to apartment buildings and other facilities through centralized heating networks. It is based on large boiler houses or other facilities that generate heat and a pipeline system that transports it to consumers. In Ukraine, district heating is mainly based on gas, and less often on coal or biomass.
Ukraine has a well-developed district heating system, with a complex and extensive system of heating networks and large amounts of generating capacity. However, most systems in communities have outdated boiler houses, inefficient heating networks, and significant energy losses. The state of the system is also affected by low tariffs for households, which make it difficult to invest in the renewal of the district heating infrastructure.
Problems and Ecoclub’s vision of how to solve them
| Problem | Solution |
| Aging heating networks (28% have been in service for more than 25 years) | Replacing existing pipes with new, pre-insulated ones |
| Outdated CHP equipment (60% of boiler equipment has reached its expected lifespan) | Modernization of boiler facilities and implementation of energy-efficient technologies |
| Significant heat losses in networks (up to 40%) | Pipeline insulation and the implementation of automated loss monitoring systems |
| Insufficient investment in industry development resulting from tariff policy | – Revised tariff policy aimed at encouraging investments in system development The creation and execution of new agreements between suppliers and consumers to promote energy efficiency initiatives and supplementary services. |
| Gas reliance | Development of renewable energy sources for district heating, such as heat pumps and biomass. |
The state of centralized heating in Ukraine: deterioration of equipment and heating networks
Heating networks in Ukrainian communities are sometimes 70-80% worn out.
More than 28% of them have been in operation for more than 25 years, 43% for more than 10 years, and only 29% for less than 10 years. Most of these networks do not meet modern energy efficiency requirements.
The equipment on the balance sheet of district heating companies is outdated. Some CHPPs operate turbine generators that are more than 70 years old. About 60% of the boiler equipment has already reached the end of its standard service life. In addition, their efficiency is much lower than modern ones.
This situation leads to heat losses in the networks, which average 13% and reach 40% in some regions. In particular, heat losses are as follows:
- in Kherson region – almost 40%.
- in Luhansk region – 35%
- in Lviv region – 26.4%.
- in Kyiv and Vinnytsia region – 23.8%
- in Chernihiv region – 22.9%.
Outdated equipment and high transportation losses make heat much more expensive for consumers.
Tariff policy and its impact
The tariff for heat supply in Ukraine for households has remained unchanged since the beginning of the war. And the price of gas, which makes up most of the cost of heat, is subsidized. So for many years now, users have not been paying the full cost of the heat they consume.
This tariff policy does not allow heating companies to invest in repairs, replacement of equipment, and upgrades. Therefore, heat and power companies are often subsidized from the local or state budget. This is only enough to maintain the system in its current state. Without a change in tariff policy, the quality of district heating will not improve significantly.
90% of heat energy for district heating is produced from natural gas, which accounts for approximately 67-85% of the heat tariff structure. Under these conditions, the district heating companies are not interested in investments in energy efficiency and modernization measures, as they make up a minimal share of the tariff.
What should be done to improve district heating systems?
To improve the quality of district heating services, a number of changes need to be implemented. Below are some tips on how local government officials, employees of heating companies, and community members can get involved.
What Ecoclub does and how to cooperate with us
Екоклуб активно працює над збереженням і розвитком систем централізованого теплопостачання в українських громадах. Протягом останніх років ми:
Donors with whom Ecoclub cooperates
Ecoclub cooperates with a number of international organizations and donors that finance projects to modernize and preserve district heating in Ukraine. Among our partners are:
Contacts
To cooperate with Ecoclub in the development of district heating, send a letter with a proposal to the coordinator of the project Mykhailo Lukianyk, lukyanyk@ecoclubrivne.org.