The REEMUS PPPUE project ran from 2002 to November 2004 and focuses on the modernization of the current system of relationships in covering municipal utility costs. Cherepovets is heading faster than other Russian cities towards elimination of heat and water subsides, and transition to 100% coverage of utility costs by households. The largest subsidies from municipal budgets were allocated for district heating, hot water, and cold water supply. Households are now entering direct contracts with district heating and water utilities without a sufficient legal basis, or ability to control the quantity, quality, or control of provided services. Such transition blocks reduction of energy costs in the housing sector and brings additional financial burden on families.
The main actors in the project are the City Administration of Cherepovets, Center for Energy Efficiency (CENEf), Non-commercial enterprise "Analytical Center", MUPs, ESCO's and residents of several multi-apartment buildings that were the beneficiaries under the World Bank Enterprise Housing Divestiture Project loan (16 building in total).
Partners | Roles and responsibilities |
City Administration of Cherepovets | Representing the public sector and coordinator of the PPPUE project |
Center for Energy Efficiency (CENEf) | Consulting agency providing inputs in analysis, capacity building and institutional support |
Non-commercial enterprise "Analytical Center" | Data/information collection and dissemination and direct collaboration with the residents |
Municipal Unitary Enterprises (MUP's) | Public utility companies delivering energy services to residents |
Energy Services Companies, which are private professional organizations, collecting revenues through efficient maintenance and service delivery | |
Residents | Beneficiaries and which are expected to organize themselves into Associations of Communal Service Payers (ACSeP). |