Mykolaiv introduces KPI System for municipal enterprises with EU support

From now on, municipal enterprises in the Ukrainian city of Mykolaiv are evaluated based on clear performance indicators – from the punctuality of public transport to the speed of responding to residents’ requests.

The Mykolaiv City Council has approved a set of key performance indicators (KPIs) for three municipal enterprises: Mykolaivvodokanal, Mykolaivelektrotrans, and Mykolaivpastrans. The indicators were developed with expert support from EUACI, the European Union’s anti-corruption support programme in Ukraine. 

KPIs are also embedded in the contract with the new director of Mykolaivvodokanal, and the same approach will be applied to contracts of other directors.

This makes Mykolaiv the second Integrity City to take a comprehensive and systematic approach to evaluating the performance of municipal enterprises (earlier, Chernivtsi introduced KPIs for its municipal transport company).

Municipal enterprises will be evaluated across four areas: finance, operational efficiency, service, and sustainable development. The KPIs link enterprises’ performance to citizens’ real experience, including transport waiting times, inquiry response times, inclusivity, the number of complaints and commendations received, and more.

For example, Mykolaivpastrans is required to maintain schedule adherence within a 2-3 minute margin and respond to inquiries within 48 hours. Mykolaivelectrotrans will focus on service regularity and reducing traffic violations by drivers.

Mykolaivvodokanal, meanwhile, will focus on indicators critical to the city: reducing water losses, improving energy efficiency, water treatment quality, and emergency response times.

EUACI will continue supporting Ukrainian cities in transforming their municipal enterprises through KPI-based governance. Zhytomyr will be the next to follow.

The EU Anti-Corruption Initiative (EUACI) is the European Union’s anti-corruption support programme in Ukraine funded by the EU, co-funded and implemented by the Ministry of Foreign Affairs of Denmark. The programme was launched in 2017 as a collaborative effort to combat corruption in Ukraine.