Business met with the European Commissioner to discuss environmental reforms in Ukraine

17/ 09/ 2021

Photo: EbS, Europe by Satellite Today, EBA representatives met with Mr. Virginijus Sinkevičius, European Commissioner for Environment, Oceans and Fisheries to discuss the current state of implementation of environmental reforms and green economic transformation in Ukraine. Ukraine must systematically move towards European standards and norms in the field of environmental protection. We have implemented the Association Agreement between Ukraine and the EU, which obliges the Ukrainian side to adopt legislation following European directives. In addition, the Ukrainian Government has declared its accession to the European Green Deal, which demonstrates Ukraines aspiration for transformations. At the same time, it poses many economic challenges to the country. First of all, it is necessary to implement comprehensive environmental reforms and a systemic state environmental policy. For many years, the business community has advocated the effective implementation of the long-overdue reforms, providing ongoing support and expertise in the implementation of European standards. It concerns such aspects as environmental control and state environmental inspection, waste management, environmental taxation, financing eco-modernization, environmental impact assessment, regulation of industrial pollution. Olga Boiko. EBA Industrial Ecology and Sustainable Development Committee Coordinator. In Ukraine, the business operates in a constantly volatile regulatory field. First, environmental tax rates change regardless of such taxation principles as stability and predictability. New legislative initiatives are registered monthly, and they do not correlate with economic realities, do not have economic calculations, and do not provide for business support during the transition period. For example, 17 draft laws on environmental taxation have been recently registered. Second, business calculations and positions are not taken into account while developing and discussing draft laws. This leads to the emergence of draft laws with radical wording which are unrealistic to implement in the Ukrainian economic realities, so the deputies assess them negatively, and their adoption fails. Thus, the reform is postponed again. EBA representatives also noted that almost all environmental draft laws provide for an increase in non-specific functions of the Ministry of Environment. This raises many questions, especially regarding the powers of the economic bloc and the correctness of the choice of such an approach – ecology without economy. Separately, the participants drew attention to the selective approach to the implementation of European norms and requirements in Ukrainian legislation. Some provisions of directives and regulations are copied into the texts of draft laws to the letter, while others are partially included or supplemented with new creative solutions. As practice shows, the functions of control, sanctioning, and strict requirements are fully established, but economic incentives are completely absent, in particular for companies that are modernizing, as was the case in the EU. And in this context, it would be very relevant to have the expert support of our European colleagues. The European Business Association is very grateful to the European Union for the opportunity to communicate its business position to international partners and hopes for continued communication and active cooperation in implementing environmental reforms in Ukraine. Be the first to learn about the latest EBA news with our Telegram-channel – EBAUkraine.

Photo: EbS, Europe by Satellite

Today, EBA representatives met with Mr. Virginijus Sinkevičius, European Commissioner for Environment, Oceans and Fisheries to discuss the current state of implementation of environmental reforms and green economic transformation in Ukraine.

Ukraine must systematically move towards European standards and norms in the field of environmental protection. We have implemented the Association Agreement between Ukraine and the EU, which obliges the Ukrainian side to adopt legislation following European directives. In addition, the Ukrainian Government has declared its accession to the European Green Deal, which demonstrates Ukraine’s aspiration for transformations. At the same time, it poses many economic challenges to the country. First of all, it is necessary to implement comprehensive environmental reforms and a systemic state environmental policy.

For many years, the business community has advocated the effective implementation of the long-overdue reforms, providing ongoing support and expertise in the implementation of European standards. It concerns such aspects as environmental control and state environmental inspection, waste management, environmental taxation, financing eco-modernization, environmental impact assessment, regulation of industrial pollution.

Olga Boiko EBA Industrial Ecology and Sustainable Development Committee Coordinator

In Ukraine, the business operates in a constantly volatile regulatory field. First, environmental tax rates change regardless of such taxation principles as stability and predictability. New legislative initiatives are registered monthly, and they do not correlate with economic realities, do not have economic calculations, and do not provide for business support during the transition period. For example, 17 draft laws on environmental taxation have been recently registered. Second, business calculations and positions are not taken into account while developing and discussing draft laws. This leads to the emergence of draft laws with radical wording which are unrealistic to implement in the Ukrainian economic realities, so the deputies assess them negatively, and their adoption fails. Thus, the reform is postponed again.

EBA representatives also noted that almost all environmental draft laws provide for an increase in non-specific functions of the Ministry of Environment. This raises many questions, especially regarding the powers of the economic bloc and the correctness of the choice of such an approach – “ecology without economy”.

Separately, the participants drew attention to the selective approach to the implementation of European norms and requirements in Ukrainian legislation. Some provisions of directives and regulations are copied into the texts of draft laws to the letter, while others are partially included or supplemented with new creative solutions. As practice shows, the functions of control, sanctioning, and strict requirements are fully established, but economic incentives are completely absent, in particular for companies that are modernizing, as was the case in the EU. And in this context, it would be very relevant to have the expert support of our European colleagues.

The European Business Association is very grateful to the European Union for the opportunity to communicate its business position to international partners and hopes for continued communication and active cooperation in implementing environmental reforms in Ukraine.

Be the first to learn about the latest EBA news with our Telegram-channel – EBAUkraine.