Pursuant to the decision of the European Council in Corfu on 24/25 June, 1994, and to those of the G7 summit in Naples on 8/9 July, 1994, concerning an Action Plan for Ukraine aiming at the early and definitive shutdown of the Chernobyl NPP (ChNPP), the European Commission assumed a leading role in the implementation of the Action Plan (see e.g. Contract 22739). In December 1995 a Memorandum of Understanding (MoU) was signed between the Government of Ukraine, the G7 countries and the European Union, stipulating the decommissioning of Chernobyl Nuclear Power Plant (ChNPP) by the end of 2000. In 1997 a joint EU-Ukraine-USA Working Group elaborated the Action Plan to address the imminent social problems of Slavutich, a mono-industrial town built after the accident of 1986 as a place of residence for the ChNPP employees. The Plan comprised a number of actions aimed at diversifying Slavutich economic base and creating alternative employment opportunities. A Project Management Unit (PMU) was established, in the form of a public organisation, to implement the Action Plan.
The present project was established to contribute to the initial steps in addressing the recommendations of the Action Plan by assisting with the development of the local economy in Slavutich.
The project was a follow-up of two previous, twin projects implemented under the TACIS Human Resources Development programme.
The specific objectives of the project were to reinforce ongoing efforts in Slavutich towards local economic development and diversification, as well as municipal reform, by supporting:
the creation of the organisational basis for socio-economic development of Slavutich
the creation of a financial economic base for the development of Slavutich
a programme for the development of Slavutich.
The expected activities of the project were as follows:
Creation of the organisational basis for socio-economic development of Slavutich
To reinforce the Economic Development Council of Slavutich;
To provide further assistance to the Business Development Agency (BDA);
To provide further support to the Association of Goods and Services Suppliers (AGSS);
To assist the establishment of the PMU to monitor the implementation of a social Action Plan.
Creation of a financial-economic base for the development of Slavutich
To develop recommendations for a programme for financing the city administration;
To train BDA consultants in business plan evaluation, to make an inventory of potential sources for investments and loans, and to assist a number of enterprises seeking for finance;
To undertake action to attract foreign investors to Slavutich.
Programme of development of Slavutich
To develop recommendations with regard to municipal reform;
To assist the City Council and ChNPP in developing energy efficiency business initiatives;
To assist the City Council and ChNPP in setting up a business incubator;
To facilitate initial steps which might lead to setting up an industrial park in the region.
The contract was signed in November 1997 and was implemented until December 1998.
The contractor performed the activities according to the requirements of the Terms of Reference with good quality performance. The organisations and structures established and strengthened through the project provided strong assistance in mitigating the social consequences of closure of the Chornobyl Nuclear Power Plant.