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Client
Fund for Economic Development and Direct Investment of the Chukotka Autonomous Okrug
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Background
At the moment, the level of technical condition of the municipal infrastructure of Egvekinot is unsatisfactory and continues to deteriorate. As a result, additional budget payments sent to the resource-supplying organization increase annually. The current situation leads to private problems in the provision of public services to consumers, and also creates an additional financial burden on local and regional budgets.
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Situation
During the technical audit of the housing and communal services infrastructure of Egvekinot, existing problems were identified, the main of which are: a high level of network wear, the emergency condition of buildings and equipment, the absence of sewage treatment plants. The analysis of financial and economic activities made it possible to assess the financial consequences of the technical problems of the resource-supplying organization. Based on the results obtained during the technical audit, technical solutions (measures) were proposed. For each event, the possibility of technical implementation was assessed, capital investments and operating expenses were assessed. Based on the measures, scenarios for infrastructure modernization were developed, as well as economic effects were assessed: changes in tariffs, NVV and subsidies.
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Results
As a result of the project, the SBS Consulting team developed documentation in order to attract private investors to conclude concession agreements for the modernization and operation of infrastructure facilities for generating and transporting heat and electricity, as well as water supply and sanitation in GO Egvekinot.
