The “2 MW of Solar” project for Khmelnytskvodokanal, the municipal water utility, is a winner of the 100 gREen AWARD-2025.

The “2 MW of Solar” project for the municipal utility company Khmelnytskvodokanal is not a single standalone installation, but rather a demonstrative example of how a municipal enterprise can systematically build its own energy independence through several parallel mechanisms: international grant financing, loan instruments from a Ukrainian bank, and an energy service model involving a private investor. That is why this case is important not only for Khmelnytskyi itself, but also as a reference point for other water utilities and communities: where there is commitment, a capable team, and a properly structured financial model, such projects can be implemented even under difficult conditions.

About the project

If we look at Khmelnytskvodokanal not through one isolated episode but through the overall logic of its actions, this is already a story not about a single solar power plant, but about the systematic formation of its own distributed generation. The company is consistently mobilizing various instruments to reduce dependence on the grid, lower electricity costs, and strengthen the resilience of the city’s critical infrastructure.

This story combines at least three different approaches. The first is a loan-based mechanism involving Ukrgasbank for the construction of two solar power plants with a total capacity of 900 kW. The second is an international project implemented with the participation of NEFCO and the Impact Fund Denmark to install a separate solar power plant at the wastewater treatment facilities. The third is an energy service model under which, with the participation of a UAESCO member, a 600 kW solar power plant with a 350 kW storage system was implemented for the company’s own consumption.

Main project details

The first component is two solar power plants with a total capacity of 900 kW, built for the company’s needs with loan support from Ukrgasbank. The loan amount exceeded UAH 19 million and covered 80% of the project cost, while the financing was provided under the “5-7-9%” program, with 70% of the credit risk covered under the EBRD mechanism. This involved the construction of two solar power plants with a total capacity of 900 kW for Khmelnytskvodokanal.

The two plants, with a total value of about UAH 25 million, are expected to allow the company to save 15–20% of electricity annually, and the loan is planned to be repaid through these savings. During peak generation hours, the plants cover part of the facilities’ electricity consumption, while excess electricity is supplied to the grid under the net billing principle. For an enterprise that consumes more than 2.5 megawatts of electricity per month, this means not just savings, but a new level of energy resilience.

The second component is a project involving NEFCO, which adds another important dimension to this story. Khmelnytskvodokanal is using grant financing from Impact Fund Denmark through NEFCO to cover expenses within the project for reconstruction of wastewater treatment facilities and installation of solar panels, while the contract financing предусматриває a combination of grant funds and funds from the city budget and/or the client itself. This is especially important because it shows that the company is working not only with loans, but also with international donors and grant mechanisms.

The third component is the energy service mechanism. The company is not waiting for one “ideal” instrument, but is combining available models to achieve one strategic goal — its own energy independence through the installation of a 600 kW solar power plant with 350 kW of storage capacity for self-consumption by attracting an ESCO investor.

Why this project matters

The strength of this case lies precisely in the combination of mechanisms. What we see is not simply the installation of solar panels, but a management approach in which a municipal utility systematically seeks out and assembles different funding sources into a single strategy: international grants, loan instruments, municipal co-financing, banking resources, and private investment through energy service contracts. As a result, what is created is not one standalone facility, but an entire ecosystem of solutions around energy autonomy.

That is why this case should be shown as an example for other water utilities. It demonstrates that even an energy-intensive municipal enterprise can move toward autonomy not through one large project, but through the phased combination of several solutions. One instrument provides a loan, another a grant, a third an energy service model — and together they create a much stronger result than any single project on its own. This is the main value of Khmelnytskvodokanal as a winning project: it is not just “another solar power plant,” but an example of the right strategy for the city’s critical infrastructure.

Conclusion

“2 MW of Solar” for Khmelnytskvodokanal is a strong and clear communication formula for a project behind which there is much more than simply installed capacity. It is a story about how a water utility is building its own energy resilience through a loan, a grant, international support, bank financing, and energy service mechanisms. That is why this case is important for the entire country: it shows other communities and municipal enterprises that energy independence is not an abstraction, but the result of systematic work and a willingness to use different formats of cooperation to achieve a shared goal.

The selection was carried out by the Board of Global 100 RE Ukraine — representatives of профильних green energy associations, including the Ukrainian Association of Energy Service Companies. In each category, the best implemented projects were selected, and the award will be presented to all the teams behind their implementation. 100 gREen AWARD-2025 is a recognition of those who are truly changing Ukraine’s energy sector.