Energy service companies (ESCOs) could help Ukraine to improve energy efficiency by stimulating private sector development of measures that in the long term will greatly benefit the economy. According to governmental estimates, the ESCOs market in Ukraine could reach a cumulative volume of EUR 4.4 billion by 2030, starting with EUR 130 million/year in 2015 and reaching EUR 311 million/year in 2020.
However, the market for ESCOs faces several challenges, including limited access to finance, low demand for energy services, a mismatch between demand and supply, and lack of understanding and awareness of ESCOs. The report, prepared under the OECD project “Sector Competitiveness Strategy for Ukraine”, focuses on the possible role of ESCOs in the Ukrainian market, and the policy reforms needed to foster the development of a private sector to encourage implementation and participation in energy efficiency.
However, the market for ESCOs faces several challenges, including limited access to finance, low demand for energy services, a mismatch between demand and supply, and lack of understanding and awareness of ESCOs. The report, prepared under the OECD project “Sector Competitiveness Strategy for Ukraine”, focuses on the possible role of ESCOs in the Ukrainian market, and the policy reforms needed to foster the development of a private sector to encourage implementation and participation in energy efficiency.
