A scandal is brewing in Kyiv regarding preparations for the winter heating season. City authorities have returned over 1 billion hryvnias to the city budget, funds that were previously allocated for the creation of a backup heating system. However, according to experts, this financial maneuver was the result of bureaucratic delays that have jeopardized the capital's energy security during the cold season.
A Billion Hryvnias Stuck in a "Bureaucratic Deadlock"
According to Alexander Serhiienko, director of the "City Institute" analytical and research center, the State Agency for Reconstruction planned to allocate 1.25 billion hryvnias for the purchase of equipment and the creation of a backup heating system for Kyiv. The funds were allocated as part of an inter-budget transfer from the city budget to the state budget.
However, the mechanism for using these funds turned out to be more complex than originally anticipated. The Agency turned to the Ministry of Finance and the State Treasury Service for clarification. Ultimately, officials encountered legal nuances: the Treasury stated that the Agency could not accept these funds, while the Ministry of Finance noted the lack of legal grounds to authorize the recipient to use them.
As a result, the money lay idle on accounts for several months. Experts emphasize that it was precisely during this period that the city lost critical time to prepare for winter, when the lives of millions of Kyiv residents depend on the functionality of the heating system.
Resilience Plan and Financial Burden
The situation is exacerbated by the fact that the implementation of the "Resilience Plan," approved by the National Security and Defense Council (NSDC), places a heavy financial burden on the city. The total cost of projects in Kyiv is estimated at nearly 23 billion hryvnias. The capital is forced to accumulate these resources independently, as the expected support from the central government is not arriving in full.
"The necessary amount is gradually being gathered. However, help from the government is not so straightforward," summarizes Alexander Serhiienko. According to him, due to bureaucratic delays, officials in relevant ministries are losing sight of the main goal — ensuring heat for residents during the winter period.
Kyiv Among the Laggards in Plan Implementation
The problem is not limited to funding issues. According to RBK-Ukraine, on average across the country, regional resilience plans are only 40% complete. While the Dnipro, Kyiv, Zhytomyr, Rivne, and Cherkasy regions demonstrate the best progress, Kyiv has found itself on the list of laggards alongside the Lviv and Ivano-Frankivsk regions.
On July 14, the Kyiv City Council officially voted to return 1.25 billion hryvnias from the state budget to the city budget. This decision was a forced measure intended to regain control over finances, but it does not negate the fact that precious time for winter preparation has already been lost.