"Automated boilers have reduced heat consumption by 40-50%."  Mikhail Kolesnik, Deputy Director, National Haematology and Transfusiology Center, Minsk


About six hundred people from all parts of Belarus visit the Oncology and Medical Radiology Research Center in the suburbs of Minsk daily. The Center can accommodate up to eight hundred patients – all those who need a long-run examination, expect a surgery, or recover after a surgery or chemotherapy. About one thousand physicians and other specialists help people to overcome the terrible disease. This Center is one of the 600 social sector facilities, which have been retrofitted with the World Bank financial suport in order to reduce energy consumption.

"We receive up to 200 blood donors daily. They spend a lot of time in the Center, as we need to make a range of tests before blood drawing, and the procedure itself is very time-consuming. Our nurses and doctors spare no efforts in their work. Many of them are also engaged in research projects. It is therefore important to make functional environment in the Center comfortable and safe," he says. Mr. Kolesnik thinks that the saved funds could be invested in other needs. For instance, the reception area have been renovated, and a TV-set and new furniture have been bought to make it more comfortable.

Belarus' economy is by 85 percent dependent on energy imports; therefore, their rational use is critical for the country. When gas prices are growing, schools and hospitals are the first to cut their costs down. Many social facilities were built long ago in the Soviet times. They are equipped with outdated and inefficient heating and lighting systems that consume too much energy and affect the health of people who have to stay there long enough.

As early as in 1997, the government of Belarus requested the World Bank to provide a loan to improve energy efficiency in the facilities funded from the public budget. In 1998, the Bank provided US$ 1 million to improve energy efficiency at 40 pilot sites. In 2001, the Government of Belarus and the World Bank signed a low-interest loan agreement totaling US$ 22.6 million for 17 years. The project commissioned in 2002 and is to be completed shortly.

The loan funds have been invested in retrofitting of 600 social sector infrastructure facilities– schools, kindergartens, community homes for the elderly, hospitals, and outpatient clinics – both in Minsk and other regions of Belarus. The outdated equipment has been replaced with modern heating and lighting systems. Eight facilities have been fully renovated– from the overhaul of heating supply systems to the replacement of windows. At other facilities, only most energy efficient improvements are made.

Belinvestenergosberezhenie — agency established for this very project —oversees disbursements and project activities, and monitors implementation progress. The agency estimates that 768 mini-projects (energy efficiency improvements) were completed at 665 buildings across Belarus in 2001-2007. 458 modern heating substations with automatic heating supply control were installed at various sites; this helps to maintain an optimal indoor temperature all-year-round. 259 lighting systems were replaced with new ones, cost-efficient and eye-friendly. 33 boiler-houses were upgraded, 20 of which were converted to local fuels (primarily waste wood). New energy efficient double-panes replaced old windows in fifteen buildings.

Now the project is approaching its completion stage. Both the Belarusian side and experts from the World Bank are satisfied with its outcomes. In the capital alone – the city of Minsk where each fifth Belarusian citizen resides – the 116 implemented mini-projects enabled to reduce energy consumption by 4,517 Gcal. Based on the current tariffs, annual savings can be estimated at $US 300 thousand.

"This energy is sufficient for heating in a small block (supposing twelve 70-apartment buildings) during a year. Besides, modern lighting systems have allowed reducing electricity consumption by 40%. That is, lighting could be ensured for extra 10-15 schools. In addition, carbon dioxide (СО2) emissions in the capital decreased by over 2,000 tons," says Vladimir Voitekhovich, Deputy Director of Belinvestenergosberezhenie.

Overall project-based savings are estimated by experts at up to $US 4.12 million a year. Back-on-the envelop calculations show that the World Bank loan will pay off within 8 years.

It goes without saying that in addition to obvious financial benefits the project has made a significant social impact — comfortable functional and health environment has been created in schools and hospitals. Now there is no need to worry that children’s eyes will suffer at school lessons or that they may catch a cold at an outpatient clinic.

Students from School 105 in Minsk now visit the school much more willingly than ever before. No wonder — now they no longer need to have their winter coats on in their classrooms in winter. Neither the roof leaks, nor they have to strain their eyes because of bad lighting. It is warm and comfortable.

The School Headmaster, Valentina Sytik, says that the project "has allowed preserving the health of our students". The school was not able to pay its heating and electricity bills in wintertime before. As the result, many pupils would fall ill, and the lessons would be cancelled. Since the heating and electricity systems were upgraded, no lesson has been cancelled. "We have even saved some money to purchase new desks and sport equipment," the director says.

"We need to realize that improved energy efficiency brings about not only economic benefits, but it has also a social impact —more comfortable and warm indoor environment in cold weather and improved lightning go along with energy savings," said Pekka Salminen, WB Senior Energy Specialist and Project Task Team Leader, visiting the Oncology Center near Minsk.

The World Bank stands ready to provide further financing for retrofitting social infrastructure under the loan, which was extended in 2006 to implement the Post Chernobyl Recovery Project. According to Pekka Salminen, several contracts have been already signed in 2007, and first disbursements have been made.

The World Bank loan for the Post Chernobyl Recovery Project is totaling $US 50 million. Belarus will provide counterpart financing as well. The funds will be disbursed in 2007-2010. New equipment will be installed in schools, hospitals, and orphanages of Gomel, Brest and Moguilev regions; insulation will be improved, boiler housed and heat supply systems will be replaced. This means that children in remote communities will have the same comfortable schooling conditions as many of their fellows in the capital city. There will be warm "like at home" in hospitals and outpatient clinics, thus making recovery of patients faster. Nearly three thousand individual houses in the Chernobyl-affected areas will be connected to reliable gas heating.

Pekka Salminen highly appreciates the work of Belarus partners – the State Committee for Energy Efficiency and Belinvestenergosberezhenie. He is confident that with the increased energy prices, the impact of their work is obvious, and it will be even more remarkable in the future people.

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