Ukraine continues to implement European approaches to water resource management. One of the key priorities in this work is the creation of a modern water services cost recovery system — a mechanism that has been successfully operating in European Union countries for many years and ensures sustainable financing for measures aimed at achieving environmental goals, protecting, and restoring water resources.
This topic was the focus of a training seminar organized with the support of international partners of the EU4Green Recovery East Programme. Participants discussed how European countries finance the water sector, which economic instruments they use to protect water resources, and how this experience can be adapted in Ukraine.
Special attention during the seminar was given to France’s experience, which is considered one of the most successful models in Europe. In the 1960s, France faced severe water pollution and the need for large-scale investment. The response was a comprehensive reform that created a stable water sector financing system without full dependence on the state budget.
Participants learned about the “polluter pays” principle, the establishment of six basin water agencies that finance environmental protection measures through payments from water users, as well as the principle of “water pays for water,” under which funds generated within the water sector are reinvested into its development, modernization of water infrastructure, and protection of water resources.
Another important element of the French model is annual public reporting on the cost and quality of water supply and wastewater services, ensuring transparency and consumer trust.
Ukraine has already begun similar work. The Ministry of Economy has prepared a draft Strategy for Water Services Cost Recovery. Its goal is to create a financially sustainable water resource management system that complies with the requirements of the EU Water Framework Directive and supports Ukraine’s European integration commitments, including measures under the National Programme for Adaptation of Ukrainian Legislation to EU Law and the negotiation benchmark 27.5 under Chapter 27 “Environment and Climate Change.”
“European experience shows that effective water resource management is impossible without a sustainable financing system. For Ukraine, it is important not only to meet EU legal requirements but also to implement mechanisms that have been successfully operating in European countries for many years. This will make it possible to ensure long-term financing for water infrastructure, improve the quality of water services, and protect our water resources more effectively,” said Iryna Ovcharenko, Deputy Minister of Economy, Environment and Agriculture of Ukraine.
