Reform of Ukrainian transport infrastructure. part I

“Castles in the air” transport reform – so you can call the Cabinet report on the work done in the sector of transport and infrastructure reforms in Ukraine. Our officials are very fond of “report” about the alleged progress, and report on the reform of the sector is no exception. As Miniinfrastuktury says in most segments of the industry, they even exceeded our plans.

“We are moving fast!” – Says the Cabinet and adds: “We have developed and implemented the concept of deregulation, which made it possible to simplify the business vision of the conditions in the country.” Many beautiful and incomprehensible words, so what’s the point?

Officials assure that the first cycle of railway reform is completed. Implemented “corporatization” Ukrzaliznytsia, which the authorities promised to spend the last ten years. As a result, it created a new PAO “Ukrzaliznytsia”, which came into operation on 1 December 2015. But all is not well formed, as desired, a bill on the formation of the National Commission for regulation of the transport industry – and has remained a project, although the main objective of this committee is to develop and control of tariffs for railway transportation.

Ambitious goals set itself the government and port infrastructure sector. For example, officials have promised to interest private investors to privlicheniya them to develop ports, stevedoring companies to privatize state-owned seaports. The first stage to simplify cargo clearance procedures at seaports, namely, made the transition to electronic registration, fee and commission control on board vessel shall be canceled. Attract investment in the port sector. In the port of Nikolaev Chinese company “Noble Agri” invested 500 million hryvnia in the construction of a new grain complex, and the American company “Bunge” – 1.7 billion hryvnia in the grain terminal and oil-ekstektsionny plant.. But at the same time the government has not launched a campaign to privatize stevedoring companies. This bill is “frozen”. Law “On inland waterway transport” is also not accepted.