How Can a Municipal Energy Plan Help Communities Attract Investment and Achieve Energy Independence?

01 June 2026
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A Munitipal Energy Plan (MEP) is a strategic document that defines how a community currently consumes energy and how it plans to move towards greater efficiency and independence. It covers all sectors: municipal buildings, residential housing, transport, heating and water supply systems, and street lighting.

An MEP is a roadmap: a list of specific measures, priority projects, and funding sources that gives a community a clear understanding of what to do and in what order, in order to reduce energy costs and improve infrastructure resilience.

The Law of Ukraine “On Energy Efficiency” requires territorial communities to develop and approve Munitipal energy plans. Without an MEP, a community cannot receive state support for the implementation of energy efficiency measures or funding for infrastructure modernisation.

A Document That Opens Doors to Funding

According to Denys Tomaza, an expert in MEP development, having an approved plan fundamentally changes a community’s position in the eyes of donors and investors. An MEP confirms that the community has a strategic vision for energy development, that priorities have been defined and specific projects have been formulated — making the community significantly more attractive for funding.

MEPs in Action

Sumy community developed an MEP under the international project “Implementation of the European Energy Award in Ukraine,” funded by the Swiss government (SECO), and as a result received grant support for energy efficiency measures.

Vyhoda community developed an MEP under the U-LEAD with Europe programme, where communities were specifically prepared for future attraction of investment and donor funding for energy projects.

For Whom Does an MEP Become a Working Tool?

An MEP is a broadly applicable document, used by a wide range of participants in community development:

  • Executive bodies of the council — for budget planning and development programmes
  • Energy managers — for daily monitoring and implementation of measures
  • Utility companies — heating, water, lighting, transport
  • International donors and investors — for assessing community readiness
  • Council deputies — for making decisions on development priorities
  • Residents and businesses — as a source of information on development plans

The community’s energy manager plays a key role after the MEP is approved. It is they who transform the strategic document into a living tool: coordinating the implementation of measures, monitoring energy consumption in public institutions, preparing grant and loan applications, and liaising with all structural departments.

Novobilous’ka Community: A Special Context

Novobilous’ka community is located in Chernihiv Oblast, approximately 50 kilometres from the border. There, energy issues go far beyond comfort and savings. Here, renewable energy sources are a matter of security.

Solar power plants, decentralised generation sources, and energy storage systems ensure the operation of hospitals, boiler houses, water utilities, and resilience hubs even during blackouts and damage to centralised networks. Local energy sources reduce restoration time and diminish critical dependence on a single grid.

“A decentralised energy system ensures the continuous operation of critical facilities even in the most challenging situations. For front-line communities, this is not an advantage — it is a necessity.” — Denys Tomaza, MEP Development Expert

How UST Is Implementing the Project

The Ukraine Support Team, together with the International Renaissance Foundation, is implementing an 8-month project to develop the concept of a Munitipal Energy Plan for Novobilous’ka community.

Despite the threat posed by proximity to the border and tightened security measures in Chernihiv Oblast, Novobilous’ka community is already actively providing data on municipally owned facilities.

In parallel, preparations are underway for an information campaign: in June 2026, UST energy experts will hold a series of educational lectures for energy managers from Chernihiv Oblast and across Ukraine on the importance of developing MEPs, the stages of development, and how to resolve issues that may arise during the planning process.

What Will the Community Receive as a Result?

  • A Munitipal Energy Plan concept through to 2030 — the foundation for official MEP approval and access to state support
  • A roadmap for the installation of solar power plants on key community facilities to ensure autonomous operation
  • Recommendations for attracting funding — grants, loans, and international assistance for energy efficiency measures
  • Enhanced competencies of energy managers and responsible persons in the community
  • In the long term: reduced budget spending on energy resources, increased energy independence, and reduced CO₂ emissions

Upon completion of the project, UST plans to provide advisory support to community leadership in finding donors and establishing connections with the State Agency on Energy Efficiency and Energy Saving of Ukraine.

This material was prepared under the “Impulse” Project, implemented by the International Renaissance Foundation and the East Europe Foundation with funding from Norway (Norad) and Sweden (Sida). The content of this material does not necessarily reflect the positions of the International Renaissance Foundation, the East Europe Foundation, the Government of Norway, or the Government of Sweden.