The bank thinks that the entire project will cost around $310 million, of which the EBRD is willing to consider 50% and the European Investment Bank the other 50%, Kuusvek said. The EBRD, he said, wants to see concrete steps taken towards the restructuring of Naftogaz Ukrainy. Tariffs are also an issue, but the bank is not pushing for increases – it wants to see Naftogaz’s deficit erased with or without the bank’s assistance, he said. There is a problem, and it needs to be solved, he said.
The EBRD understands that it will not be easy for Ukraine to do this job, as a year remains until parliamentary elections. But some targeted steps that would really help the bank and the government understand the situation at Naftogaz, where the money is going, and which subsidiary is losing the most, are necessary, Kuusvek said. Clarification and an audit are needed, he said.
The EBRD does want to have a hand in this project, and the reason it has been moving so slowly in recent years is partially that there have been such major political changes and upheaval in the country, Kuusvek said.