Russian Federation - Enterprise Housing Divestiture Project
Moser, Caroline | McIlwaine, Cathy
The primary objective of the Enterprise Housing Divestiture Project is to accelerate and make sustainable the divestiture of enterprise housing. This will help enterprises focus their limited financial and managerial resources on restructuring core business activities to meet the challenges of an open-market economy. To ensure that divestiture is feasible for cities in the short term and sustainable over time, the project will support reforms that push the ownership, financing and management of the housing stock into the private sector, which is an integral aspect of the economic transition occurring in Russia. Secondary objectives of the project include a wider range of reforms as follows: 1) housing privatization; 2) cost recovery of housing maintenance and utility fees from tenants; 3) targeted housing allowances; 4) competitive bidding maintenance of housing; and 5) improved energy efficiency in divested housing. The project has four components: 1) housing divestiture from enterprises, associated general housing reforms and housing allowances for vulnerable households; 2) building retrofits, including metering, energy efficiency investments and limited capital repair; 3) upstream investments in the divested utility networks; and 4) project management.
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