Business discussed railway transportation issues with the leadership of the Ministry of Restoration and Ukrzaliznytsia

12/ 07/ 2023

On July 10, the EBA Logistics Committee met with Yurii Vaskov, the Deputy Minister of Communities, Territories and Infrastructure Development of Ukraine, and Yevhen Liashchenko, the Head of the Board of Ukrzaliznytsia. The participants discussed the most critical issues of rail transport. In particular, the draft law On Railway Transport. The text of this draft law is currently being significantly revised by experts from Ukrzaliznytsia and the relevant Ministry in terms of inactive stations, the necessary costs for infrastructure development, and the involvement of regional centers. At the same time, the Verkhovna Rada Committee on Transport and Infrastructure is bringing particular provisions of the draft law in line with current EU directives. The updated draft law is expected to be made available to businesses and the public for review by the end of the year. In the context of the integration of Ukrainian railroads into the single European network, representatives of Ukrzaliznytsia reported close cooperation with the CEF fund for the development of rail and road border crossings and TNT corridors. In particular, last year, the European Commission announced the expansion of four TNT corridors. In the long term, we are talking about the construction of 3.5 thousand kilometers of euro track on the territory of Ukraine, which will require more than 10 billion euros of investment. Representatives of Ukrzaliznytsia expect that the CEF (Connecting Europe Facility), which selects projects on a competitive basis and finances up to 50% in the form of grants, will act as a partner in the construction of such a network. At the beginning of the year, Ukraine submitted joint applications with neighboring countries for participation in financing the development of border infrastructure - in June, it was decided to allocate 250 million euros in grants for the development of railway and road crossings on the western border of Ukraine. In September, Ukraine plans to submit applications for new infrastructure projects. Thanks to cooperation with European partners, Ukraine hopes for a gradual systemic renewal of infrastructure. The Committees companies agreed with Yurii Vaskov to prepare business proposals for negotiations with neighboring European states on granting Ukrainian shippers special terms/tariffs for rail transportation and transshipment services in European ports. For example, such a decision has already been recently taken by the Government of Moldova, which will provide a 30% discount for the transit of Ukrainian grain. We are grateful to the team of the Ministry and Ukrzaliznytsia for a productive meeting!

The participants discussed the most critical issues of rail transport. In particular, the draft law “On Railway Transport.” The text of this draft law is currently being significantly revised by experts from Ukrzaliznytsia and the relevant Ministry in terms of inactive stations, the necessary costs for infrastructure development, and the involvement of regional centers. At the same time, the Verkhovna Rada Committee on Transport and Infrastructure is bringing particular provisions of the draft law in line with current EU directives. The updated draft law is expected to be made available to businesses and the public for review by the end of the year.

In the context of the integration of Ukrainian railroads into the single European network, representatives of Ukrzaliznytsia reported close cooperation with the CEF fund for the development of rail and road border crossings and TNT corridors. In particular, last year, the European Commission announced the expansion of four TNT corridors. In the long term, we are talking about the construction of 3.5 thousand kilometers of euro track on the territory of Ukraine, which will require more than 10 billion euros of investment.

Representatives of Ukrzaliznytsia expect that the CEF (Connecting Europe Facility), which selects projects on a competitive basis and finances up to 50% in the form of grants, will act as a partner in the construction of such a network. At the beginning of the year, Ukraine submitted joint applications with neighboring countries for participation in financing the development of border infrastructure – in June, it was decided to allocate 250 million euros in grants for the development of railway and road crossings on the western border of Ukraine. In September, Ukraine plans to submit applications for new infrastructure projects. Thanks to cooperation with European partners, Ukraine hopes for a gradual systemic renewal of infrastructure.

The Committee’s companies agreed with Yurii Vaskov to prepare business proposals for negotiations with neighboring European states on granting Ukrainian shippers special terms/tariffs for rail transportation and transshipment services in European ports. For example, such a decision has already been recently taken by the Government of Moldova, which will provide a 30% discount for the transit of Ukrainian grain.

We are grateful to the team of the Ministry and Ukrzaliznytsia for a productive meeting!