As part of President Zelenskiy’s ‘Big Construction’ program, Ukravtodor plans to build by 2025, the end of his term, 1,400 km of cement concrete roads on routes leading to Black Sea ports in Odesa, Kherson and Mykolaiv.

 Designed to take heavy traffic of fully loaded grain trucks, this network of cement roads will triple in size in three years, Andriy Ivko, said Ukravtodor’s road development director (Interfax-Ukraine).

To help pay for Ukraine’s ‘Big Construction’ program,

 the Cabinet of Minister has extended state guarantees to $360 million worth of hryvnia bonds for Ukravtodor.  The Cabinet also approved a list of priority highway projects to be financed with the bonds. Placed this year, the bonds are to be as long as 15 years.

Executives from Bechtel, the largest American construction company, were briefed yesterday by Infrastructure Minister Vladyslav Krikliy about public private partnerships to build highways in Ukraine.

“We plan to attract in the medium term more than $9 billion in private investment to restore and maintain more than 4,500 kilometers of state roads,” Krikliy said of the program developed by the World Bank and Ukravtodor, the highway agency. Attending for Bechtel were: Justin Sieberell, regional president for Europe and Middle East, and Andrew Patterson, global manager for business development.

Zakarpattia’s new airport is to cost almost $150 million to build, and is to be completed by the summer of 2024.

This will be the end of President Zelenskiy’s current term. A priority for the government’s ‘Big Construction’ program, the airport is to have two 2,800-meter runways capable of handling A320 and B737 jets and a privately built terminal capable of handling 1 million passengers a year. This year’s state budget has allotted $1 million for the airport design. Coupled with large scale road paving and reconstruction in Zakarpattia, the airport will boost Ukraine’s Carpathian Mountains as an international tourist destination,

With the ‘Big Construction’ program running up government debt this summer,

the government has approved extending state guarantees Ukravtodor for the hryvnia equivalent of $357 million in loans or bonds. Separately, the state highway agency has set up a unit to prepare for the offering this summer of state-guaranteed Ukravtodor hryvnia bonds to foreign and domestic investors.

Ukraine ranked second worldwide for projects undertaken by Turkish construction companies in 2020,

said Burak Pehlivan, the Chairman of the International Turkish-Ukrainian Business Association, (Kyiv Post). Boosted by the Zelenskiy government’s ‘Big Construction’ program, Turkish companies have undertaken 2000 construction projects worth more than $7 billion since the 1990s. In 2020, a year of reduced cross border investment, Turkey was the largest source of new foreign investment, investing $400 million in Ukraine. Currently 700 Turkish companies work in Ukraine, nurturing a total foreign investment of $3.5 billion.

The government’s ‘Big Construction’ program will invest in infrastructure for four industrial parks this year,

 Oleksiy Chernyshov, Minister for Community and Territorial Development, says according the government website. The announcement came at a meeting with Dragon Capital, which is building two industrial parks. The Ministry will spend almost $3 million this year on industrial parks, 10 times the amount spent in the last five years. By definition, an industrial park can contain factories, ports, warehouses.

The summer construction season has started, with work now underway on 215 roads and bridges across the country

, Ukravtodor, the state highway agency, reports on Facebook. “The total length of facilities on which work has begun is 1,960 km,” the agency says. “The current plan for 2021 provides for the construction, reconstruction, overhaul and current average repair of 4,500 km and 150 bridges.” Last year saw the rebuilding of 3,900 km of national roads and 2,000 km of local roads. Known as ‘Big Construction’ the multi-billion-dollar program is a centerpiece of the Zelenskiy administration.

With Big Construction needing at least $1 billion in additional funding this year,

one goal of the EBRD-Ukravtodor partnership is to create by this summer a joint stock company within Ukravtodor capable of generating capital by issuing infrastructure bonds. With international demand strong for Ukraine hryvnia bonds, planners believe foreign demand could extend beyond paying for international highways to pay for regional roads. Last year, the Cabinet of Ministers extended $840 million in state guarantees to Ukravtodor. The agency sold $500 million worth of bonds to three state banks – Ukreximbank, Ukrgasbank, and

Work is to start this summer on the first two sections of the 150 km Kyiv Ring Road

, Ukravtodor reports on Facebook. Of the six sections planned, the two priority sections add up to 43 km and will designed to link three highways west and south of Kyiv – the M-07 Kyiv-Kovel, the M-06 Kyiv-Chop; and the M-05 Kyiv-Odesa. By intercepting traffic 25-30 km west of Kyiv’s current circle road, planners hope to cut the flow of trucks into Kyiv. Ukravtodor writes: “In 4 years, we have the opportunity to complete the [Ring Road] completely and unload

A public-private partnership proposal is being prepared for the 280 km stretch of the E-40/M-10 from Rivne to the border with Poland, at Krakovets, Lviv region.

The goal is to hold a tender next year to rebuild the highway.  This work should cut the drive time to 2.5 hours, from four hours today. Ukravtodor and construction giant Avtomagistral-Pivden signed a memorandum to prepare the proposal. Ukravtodor’s Kubrakov wrote on Telegram: “It should be a modern European road that will connect the capital of Ukraine with major European cities.”

The Kyiv School of Economics estimates this injection of money into construction will increase Ukraine’s GDP by 2.2% over the next five years

The Kyiv School of Economics estimates this injection of money into construction will increase Ukraine’s GDP by 2.2% over the next five years. The study cites: increases in investment in transport, courier services and tourism; reduction of travel time, fuel spending and vehicle repairs; business expansion and new enterprises.

Foreign investors are to get the chance to invest in this massive spending by buying sovereign-backed infrastructure bonds in a new $3 billion state fund

Foreign investors are to get the chance to invest in this massive spending by buying sovereign-backed infrastructure bonds in a new $3 billion state fund, reports Ukravtodor, the state highway agency. Under development with the EBRD, the state fund would be subject to international arbitration, and would have an independent supervisory board. To get Ukravtodor in shape for foreign investment, 30 EBRD specialists are working at the agency to put all tenders on line and ensure that procurement follows Western

“Similar funds operate in most developed countries

“Similar funds operate in most developed countries – Build America, Infrastructure Canada, Macquarie Korea Infrastructure Fund, Polish Development Fund and more,” said Kyrylo Tymoshenko, deputy presidential chief of staff and coordinator of the Great Construction program. “Such funds provide more transparent and efficient management of the country’s investment projects. “The Great Construction Fund in Ukraine will allow attracting long-term financing in both domestic and foreign markets.”

Private investors would buy sovereign-backed bonds issued by Ukravtodor

Private investors would buy sovereign-backed bonds issued by Ukravtodor, Tomas Fiala, CEO of Dragon Capital told the forum. “It is expected that the amount of investment attracted under state guarantees will be several billion dollars from private investors from around the world. In general, the transport infrastructure is extremely attractive for investment.” Jean-Erik de Zagon, head of the European Investment Bank’s Ukraine’s office, concurred, saying: “Financiers are convinced that good infrastructure will be a boost for private sector development.”

With the traditional March start of the roadbuilding season, Ukraine will see this year the largest amount of road construction since Independence 30 years ago.

With the traditional March start of the roadbuilding season, Ukraine will see this year the largest amount of road construction since Independence 30 years ago. In all, 4,678 km of roads are to be rebuilt this year – 20% more than last year and nearly four times the annual average of 2017-2019. The breakdown is: 1,205 km of international roads, 1,363 km of national roads, 1,206 km of territorial roads and 904.3 km of regional roads.

Ukraine plans to disconnect from the electricity grid with Belarus and the Russian Federation by the end of 2023

Ukraine plans to disconnect from the electricity grid with Belarus and the Russian Federation by the end of 2023, Foreign Minister Dmytro Kuleba said Tuesday at a press conference in Kyiv with Lithuanian Foreign Minister Gabrielus Landsbergis. “Since Soviet times, the Ukrainian power grid has been a part of a single network that includes Belarus and Russia,” Kuleba said. “But we want to cut off from this network and make the Ukrainian power grid an integrated part of the European

As outlined this week at the Presidential forum

As outlined this week at the Presidential forum ‘Ukraine 30. Infrastructure’ the highlights of this year’s $5.3 billion ‘Great Construction’ are:

During this month’s cold snap, Russia and Belarus supplied about 3% of Ukraine’s electricity needs

During this month’s cold snap, Russia and Belarus supplied about 3% of Ukraine’s electricity needs. Underproduction of electricity at nuclear power plants and a shortage of coal at thermal power plants caused electricity prices to jump as much as 30% in February of January.

Kyiv’s 150 km Ring Road

Kyiv’s 150 km Ring Road – work starts on two sections; tenders are to be prepared on the other three sections

Despite this dependence

Despite this dependence, Acting Energy Minister Yuriy Vitrenko told the Rada last month: “Reasonable import restrictions should be imposed right now.” Two weeks ago, he told the European Business Association that Ukraine needs to bring its regulatory framework in line with European law to meet the goal of integrating with ENTSO-E, the European energy system, by the end of 2023. Vitrenko may now have the powers to oversee this process. On Tuesday, the Rada passed a law giving acting ministers

Kyiv-Odesa highway

Kyiv-Odesa highway – the southern half will be rebuilt/repaired; for safety reasons, 21 of 23 left hand turns will be eliminated; most pedestrian crossings will be replaced with bridges or underpasses.

Ukraine started vaccinating yesterday against Covid-19

Ukraine started vaccinating yesterday against Covid-19, targeting doctors, nurses and soldiers. The first 500,000 doses of Oxford-AstraZeneca vaccine arrived in Kyiv Tuesday from the Serum Institute of India, the world’s largest vaccine manufacturer. Ukraine has reserved 22 million doses of vaccine. It is negotiating to secure more to cover half of the adult population this year. After an infection lull, Ukraine is experiencing an uptick with 5,850 new cases reported for the 24-hour period ending Wednesday morning. Over the last

Dnipro road bridges –

Dnipro road bridges – work continues on the Zaporizhia bridges; work starts on the Kremenchuk bridge; Ukravtodor offers to take over from the Kyiv City Administration the 28-year-old Podil-Voskresenska Bridge and complete the road and rail project by the end of next year.

Windrose Airlines plans to expand its domestic flight network this summer to have flights from Kyiv Boryspil to at least nine regional capitals,

Windrose Airlines plans to expand its domestic flight network this summer to have flights from Kyiv Boryspil to at least nine regional capitals, Volodymyr Kamenchuk, Windrose CEO, said yesterday at the infrastructure forum. He said: “We want to expand our flight map to at least 10 airports in 2021.”  One year ago, before the pandemic hit, Windrose flew from Boryspil to: Dnipro, Lviv, Kharkiv, Ivano-Frankivsk, Zaporizhia, Mykolaiv, Odesa, and Kherson. At the forum on Monday, Zelenskiy said Ukraine plans to

Border checkpoints

Border checkpoints – 250 km of approach roads are to be upgraded; a bridge replace a ferry over the Dnistr, linking Yampil, Vinnytsia, and Cosăuți, Moldova. The Kyiv-Chisinau road will be upgraded to cut drive time to six hours

Cement roads

Cement roads – work is to double, focusing on southern roads where overloaded trucks headed to Black Sea ports damage asphalt in hot weather

M-30 highway

M-30 highway – to be Ukraine’s longest road, stretching from Stryi, Lviv region to Luhansk, this 1,400 km East-West road is numbered after this year’s Independence anniversary

High speed charging stations for electric vehicles – increase stations on the most popular highways

High speed charging stations for electric vehicles – increase stations on the most popular highways: Kyiv-Lviv, Kyiv-Odessa and Kyiv-Dnipro; add charging stations to the Orlivka, Ukraine terminal of the new trans-Danube ferry to Romania.

Tourism

Tourism – work starts on repairing 320 km of mountain roads in the Small Carpathian Ring project, a tourism route in Lviv and Zakarpattia regions.

Social

Social – 500 projects: 95 schools, 70 kindergartens, 80 sports facilities, 20 cultural facilities, 35 hospitals, 200 outpatient clinics.

Ukrposhta

Ukrposhta – “100% digitalization” of the state postal operator; launching of 2,000 mobile post offices, five automated mail hubs and 10 sorting depots