Deregulation in the environmental protection is extremely important for the economic recovery of Ukraine

26/ 06/ 2022

Listen to online Stop   This week, the Green Economic Recovery Forum Business in New Realities: War, Ecotransformation, Eurointegration has taken place at the initiative of the Professional Association of Ecologists of Ukraine. EBA Industrial Ecology and Sustainable Development Committee Coordinator Olga Boiko also joined the event. Olga analyzed the state initiatives on deregulation of business activities in the field of environmental protection, taken during the 120 days of the war. Out of numerous measures, only two actually work – the possibility to extend/obtain permits based on the filing of a declaration and a moratorium on scheduled inspections. Other, no less important regulations for business apply either solely on paper, or further complicate doing business: there is no possibility of exemption from environmental taxes due to the non-adopted resolution of the Cabinet of Ministers on the list of territories where active hostilities are/were conducted, or those that are under occupation; postponement of deadlines for submission of reports and any other documents does not exempt from the need to comply with environmental conditions specified in the conclusions of the environmental impact assessment (EIA) and post-project monitoring during martial law, which is impossible due to direct threat to life; resumption of unscheduled inspections by the decision of the Ministry of Environment in the presence of a threat that has a significant negative impact on environmental protection, although such impact can be interpreted differently; uncertainty in the implementation of the EIA procedure, the algorithm of which has changed three times, and may continue changing. Therefore, the business community, supporting the initiative of the Ministry of Economy and the State Regulatory Service on deregulation of doing business, calls for the completion of the above initiatives and implementation of the following steps in deregulation: Revision of the EIA conduct procedure (shorter terms, revision of activity types, simplification of the requirements for the EIA report and environmental conditions of the EIA conclusion, transition to electronic document system, postponement of post-project monitoring). Moratorium on scheduled and unscheduled inspections, the moratorium on the elimination of violations specified in the instructions, and elimination of legislative gaps during inspections. Moratorium on raising technological standards for pollutant emissions from stationary sources. Settlement of the issue regarding plans to build objects of the nature reserve fund (NRF) on the territories that belong to the list of subsoil areas, special permits for use of which are put up for auction. Settlement of land relations in the provision of subsoil use. Reduced number of subsoil use approvals (for mining allotment, for subsoil use approved by local communities, for the annual plan for the development of mining operations). Simplification of reporting (statistical, electronic submission). Olga Boiko. EBA Industrial Ecology and Sustainable Development Committee Coordinator. Thanks to the flexibility and little bureaucracy, Ukraine could get over the COVID-19 pandemic effects less painfully once experienced, although the uncertainty was enormous. Now, it has been four months since the war started and we can hear more of this rhetoric from some government officials calling for a return to pre-war regulations. Ukraine is now at the stage of the war, and therefore the economy must be oriented to military needs. We cannot even afford to hint at delaying business activities. Business and government, as never before, must work jointly to keep the economic front together and do everything possible to keep business in Ukraine. The future of our country is in our hands. So it is important now at least purposefully not to create obstacles to the work of businesses.

This week, the Green Economic Recovery Forum “Business in New Realities: War, Ecotransformation, Eurointegration” has taken place at the initiative of the Professional Association of Ecologists of Ukraine.

EBA Industrial Ecology and Sustainable Development Committee Coordinator Olga Boiko also joined the event.

Olga analyzed the state initiatives on deregulation of business activities in the field of environmental protection, taken during the 120 days of the war. Out of numerous measures, only two actually work – the possibility to extend/obtain permits based on the filing of a declaration and a moratorium on scheduled inspections.

Other, no less important regulations for business apply either solely on paper, or further complicate doing business:

• there is no possibility of exemption from environmental taxes due to the non-adopted resolution of the Cabinet of Ministers on the list of territories where active hostilities are/were conducted, or those that are under occupation;
• postponement of deadlines for submission of reports and any other documents does not exempt from the need to comply with environmental conditions specified in the conclusions of the environmental impact assessment (EIA) and post-project monitoring during martial law, which is impossible due to direct threat to life;
• resumption of unscheduled inspections by the decision of the Ministry of Environment in the presence of a threat that has a significant negative impact on environmental protection, although such impact can be interpreted differently;
• uncertainty in the implementation of the EIA procedure, the algorithm of which has changed three times, and may continue changing.

Therefore, the business community, supporting the initiative of the Ministry of Economy and the State Regulatory Service on deregulation of doing business, calls for the completion of the above initiatives and implementation of the following steps in deregulation:

1. Revision of the EIA conduct procedure (shorter terms, revision of activity types, simplification of the requirements for the EIA report and environmental conditions of the EIA conclusion, transition to electronic document system, postponement of post-project monitoring).
2. Moratorium on scheduled and unscheduled inspections, the moratorium on the elimination of violations specified in the instructions, and elimination of legislative gaps during inspections.
3. Moratorium on raising technological standards for pollutant emissions from stationary sources.
4. Settlement of the issue regarding plans to build objects of the nature reserve fund (NRF) on the territories that belong to the list of subsoil areas, special permits for use of which are put up for auction.
5. Settlement of land relations in the provision of subsoil use.
6. Reduced number of subsoil use approvals (for mining allotment, for subsoil use approved by local communities, for the annual plan for the development of mining operations).
7. Simplification of reporting (statistical, electronic submission).

Olga Boiko EBA Industrial Ecology and Sustainable Development Committee Coordinator

Thanks to the flexibility and little bureaucracy, Ukraine could get over the COVID-19 pandemic effects less painfully once experienced, although the uncertainty was enormous. Now, it has been four months since the war started and we can hear more of this rhetoric from some government officials calling for a return to pre-war regulations. Ukraine is now at the stage of the war, and therefore the economy must be oriented to military needs. We cannot even afford to hint at delaying business activities. Business and government, as never before, must work jointly to keep the economic front together and do everything possible to keep business in Ukraine. The future of our country is in our hands. So it is important now at least purposefully not to create obstacles to the work of businesses.