Lutsk District Heating Project

Corporate Development Programme

     Lutsk, with a population of 213,000, is the regional centre of Volyn oblast on the north-west of Ukraine, bordering Poland and Belarus.

     LT is a municipal district heating utility, wholly owned by the City. The Company operates generating capacities and networks in the City and is the sole distributor of district heating services, supplying heat and hot water to approximately 170,000 residential customers or 80 per cent of the City population. As is the case with other municipal district heating companies in Ukraine the City is the legal owner of the district.

Date: November 2016 - May 2018
Client: The district heating company “LutskTeplo”
Funding: EBRD - EUR 300 000

Project overview

     The overall objective of this assignment is to improve the commercial standing of the Company and enable it to implement the Project, as well as ensure that the services are equitably provided to the end-consumers and are of a high quality.

Our missions

Within this project, the Egis team will responsible for:

  • Support the Company’s Director and his Management Team, through a workshop or retreat-type approach, to define key processes and develop a set of preliminary vision statements of how the processes would evolve over the coming years;
  • Review current organizational structure and propose necessary amendments based on the above vision statements and taking into consideration international best practice;
  • Establish a Performance Measurement System for each department or process and performance goals for each department or process based on benchmarking with other international companies. Establish profit and cost centres and budgets within the organizations for efficient financial planning;
  • Establish a Customer Satisfaction Measurement System to include procedures for surveys, and procedures for handling customer feedback (including, but not limited to complaints);
  • Identify key areas for improvement, which will include, inter alia: strategic planning, and budgeting, organisational structure and human resources management (including from a gender perspective), information systems, accounting software, invoicing and collection system, asset registration and maintenance planning, cost control procedures, tariff setting, financial reporting, review of staffing and staff development requirements, including those which are gender sensitive;
  • Develop system for monitoring of the implementation of the FOPIP.

     The Consultant will work closely with the Company management to provide support in implementing the FOPIP.