Introduction of biofuel and modernisation of heat supply

Location: Northeast part of Uman
Programme: DemoUkrainaDH
Project status: Implementation
Investment: 970,000 EUR
Payback period: 5.7 years
Reduced gas consumption: 1,120,000 m³/year


2,320 tonnes/year

About the city

Uman is a city located 220 km to the south from the Capital of Ukraine, in the Cherkasy Oblast, and is the home to 85,000 people.

The district heating company “MC UmanTeploEnergo” is a fully municipally-owned company and the only district heating provider in the city. It operates 11 gas-fired boiler houses and six coal-fired boiler houses. For ten years, no domestic hot water has been supplied from the district heating systems in the city. The largest network is supplied with heat from a former CHP plant which supplies about 60% of the total district heating in Uman and has a capacity of 200 Gcal/h.

Uman Demonstration Project – overview

The proposed project concerns the introduction of biomass district heating generation in a remote district of the main district heating system in Uman. All buildings in the district will be connected to the upgraded network via individual heating substations and a significant part of the main transmission pipeline, in bad condition and oversized, will be taken out of operation or replaced by new pipes.

The project proposed by the company is interesting from a demonstration point of view. The primary reason for this is that the investment covers a substantial modernisation of the system. It will reduce the use of fossil fuels in the system and enable the possibility to operate the local district heating system as a fully demand-driven and modern system.

By including the introduction of IHS, the system is converted to a fully demand-driven system with possibilities for future energy efficiency measures on the customer level. This will increase the quality of heat delivery to the connected buildings by enabling a heat supply in relation to actual heat demand.

The demonstration project is considered to have significant social values, for example:

  1. The district for upgrading is today not supplied with heat during the full duration of the heating season and in addition the heat provided is not sufficient to maintain sufficient indoor temperature. This should be improved with the demonstration project.
  2. A school will be connected to the upgraded heating system. The school is today heated by a local coal boiler, which implies sanitary problems.
  3. About two kilometres of the main transmission pipeline have constant leakages and the leakages themselves as well as the constant excavation and repair works create problems for people living in the neighbourhood.

Uman Demonstration Project – details

The project area is situated in a remote area in Uman, the Sadova street 26 district, supplied with district heating from the central boiler house via a 7.2 km transmission pipeline. This system supplies 7 residential buildings, 1 dormitory and 3 public buildings. It should also be possible to connect to the upgraded system a school which is today heated by an individual coal-fired boiler and has led to demands of closing down due to sanitary reasons. Hence, this project could lead to continued operation of the school.

Figure 1: Map of Uman with the location of the proposed project

Specifics of the Uman Project include:

  1. Installation of a base-load biomass boiler (1×1.5MW) and two peak-load gas boilers (2×1.5MW) for the Sadova 26 district.
  2. Individual Heat Substations – Introduction of 14 IHSs for the Sadova 26 district.
  3. Network replacement for the Sadova 26 district – 1,149m district heating pipes.
  4. Transmission pipeline replacement by pre-insulated pipes – approx. 700m.
  5. Decommissioning of 1,200m of the main transmission pipe in bad condition.

The proposed investment is EUR 970,000 with a simple payback time of 5.7 years. The proposed financing plan is as follows:

  • Total loan – EUR 500,000 (51.5%)
  • Total grant – EUR 300,000 (31%)
  • Total Uman local contribution – EUR 170,000 (17.5%)

Once implemented, the project is expected to benefit the local community by:

  • Saving 4,710 MWh heat per year (38% saving from the baseline*)
  • Saving 1,120 000 m³ gas per year (90% saving from the baseline*)
  • Saving 2,140 m³ water per year (95% saving from the baseline*)
  • Saving 2,320 tonnes CO2 per year (89% saving from the baseline*)

*Baseline is estimated for the networks in question only (not the entirety of the district heating in Uman) for the case of no-project activity.

Current status

The project is currently in the implementation stage. Please check our procurement page for announcement of project procurements.


Photo credit: city administration