Advocacy achievements of the week

16/ 07/ 2021

The productive work of the Verkhovna Rada this week brought a lot of good news to the EBA community, although there were also decisions that are not supported by the business. We hope that the deputies will take into account the remarks made by the EBA in its letters and press releases on draft laws that may harm the business. Instead, today we will traditionally focus only on the good news, which this week concerns the regulatory and IT industries, agrochemistry, industrial ecology, and woodworking. The legislation regulating the activity of ARMA has been improved In the second reading and in general, draft law №5141 was adopted, which provides for clarification of the procedure for acceptance of assets in the management of the National Agency of Ukraine for Detection, Investigation, and Management of Assets Obtained from Corruption and Other Crimes (ARMA), as well as the unification of legal and criminal norms. procedural legislation - that is, creates tighter control over the activities of ARMA. Adoption of the Law will reduce inefficient activities with possible risks of abuse by the agency. The Verkhovna Rada supported the transition to paperless in Ukraine Draft law №5495 On the peculiarities of providing electronic public services was adopted. This event is a crucial step towards the maximum and effective full transition to paperless in Ukraine. For the first time, the draft law introduces the concept of “electronic public service”, which is equated to paper services. There are also clearer rules for providing e-services. The business community supports the transition to todays digital realities, as well as the transition of administrative services to an online format. The Law on Diia.City was adopted with the consideration of business proposals After almost two years of active work on Diia.City initiative, this week in the second reading and in general draft law №4303 On stimulating the development of the digital economy in Ukraine was adopted. It is important that most of the proposals from the business were taken into account in the final text. Currently, the foundation for the implementation of the Diia.City concept is already fully and officially laid, now the completion of the tax part of the concept remains which is also an important task. The draft law on industrial pollution reform, which contained corruption risks, was rejected The Verkhovna Rada rejected Draft Law №4167 on Industrial Pollution Reform. After three editions before the first reading, the business comments were not taken into account. That is why the potential corruption component and disregard for Ukrainian economic and legal realities remained in the document. We hope that shortly a new legislative initiative will appear in the parliament, which will fully comply with the norms of Directive 2010/75 / EC on industrial emissions and the introduction of the best available techniques (BAT). The draft law on the territory of the Emerald Network will be finalized The Verkhovna Rada sent for a second reading draft law №4461 on the territory of the Emerald Network. After numerous comments from various stakeholders, including the National Agency on Corruption Prevention, working groups, the wording of the document remained unchanged. In particular, some provisions of the draft law may have an ambiguous interpretation, and thus become a basis for potential corruption risks and complicate the implementation of business investment projects. The share of state forestry profits deducted from the state budget has been reduced The Government Resolution was adopted, according to which from now on state forest enterprises will deduct 50% of net profit to the state budget. Earlier, the deduction amounted to 80% of the net profit. This will allow the purchase of a larger amount of firefighting equipment and surveillance systems to prevent forest fires. Besides, companies will be able to increase the volume of planting material to plant 1 billion trees under the program of the President of Ukraine Green Country. According to businesses, reducing the tax burden on state forestry enterprises should help prevent a significant increase in the cost of wood and, consequently, maintain the competitiveness of the woodworking industry. The Verkhovna Rada supported the bill on e-residency The Verkhovna Rada adopted in the first reading draft law №5270 aimed at optimizing the modern tax system and other legislation in connection with the experiment on the introduction and implementation of electronic residency in Ukraine. The State Service of Ukraine on Food Safety and Consumer Protection resumed issuance of conclusions of the state sanitary-epidemiological examination on crop protection products We thank Parliament and the Government for supporting important draft laws and decisions that will contribute to the countrys economic growth and business development.

The legislation regulating the activity of ARMA has been improved

In the second reading and in general, draft law №5141 was adopted, which provides for clarification of the procedure for acceptance of assets in the management of the National Agency of Ukraine for Detection, Investigation, and Management of Assets Obtained from Corruption and Other Crimes (ARMA), as well as the unification of legal and criminal norms. procedural legislation – that is, creates tighter control over the activities of ARMA. Adoption of the Law will reduce inefficient activities with possible risks of abuse by the agency.

The Verkhovna Rada supported the transition to paperless in Ukraine

Draft law №5495 “On the peculiarities of providing electronic public services” was adopted. This event is a crucial step towards the maximum and effective full transition to paperless in Ukraine. For the first time, the draft law introduces the concept of “electronic public service”, which is equated to paper services. There are also clearer rules for providing e-services. The business community supports the transition to today’s digital realities, as well as the transition of administrative services to an online format.

The Law on Diia.City was adopted with the consideration of business proposals

After almost two years of active work on Diia.City initiative, this week in the second reading and in general draft law №4303 “On stimulating the development of the digital economy in Ukraine” was adopted. It is important that most of the proposals from the business were taken into account in the final text. Currently, the foundation for the implementation of the Diia.City concept is already fully and officially laid, now the completion of the tax part of the concept remains which is also an important task.

The draft law on industrial pollution reform, which contained corruption risks, was rejected

The Verkhovna Rada rejected Draft Law №4167 on Industrial Pollution Reform. After three editions before the first reading, the business comments were not taken into account. That is why the potential corruption component and disregard for Ukrainian economic and legal realities remained in the document. We hope that shortly a new legislative initiative will appear in the parliament, which will fully comply with the norms of Directive 2010/75 / EC on industrial emissions and the introduction of the best available techniques (BAT).

The draft law on the territory of the Emerald Network will be finalized

The Verkhovna Rada sent for a second reading draft law №4461 on the territory of the Emerald Network. After numerous comments from various stakeholders, including the National Agency on Corruption Prevention, working groups, the wording of the document remained unchanged. In particular, some provisions of the draft law may have an ambiguous interpretation, and thus become a basis for potential corruption risks and complicate the implementation of business investment projects.

The share of state forestry profits deducted from the state budget has been reduced

The Government Resolution was adopted, according to which from now on state forest enterprises will deduct 50% of net profit to the state budget. Earlier, the deduction amounted to 80% of the net profit. This will allow the purchase of a larger amount of firefighting equipment and surveillance systems to prevent forest fires. Besides, companies will be able to increase the volume of planting material to plant 1 billion trees under the program of the President of Ukraine “Green Country”. According to businesses, reducing the tax burden on state forestry enterprises should help prevent a significant increase in the cost of wood and, consequently, maintain the competitiveness of the woodworking industry.

The Verkhovna Rada supported the bill on e-residency

The Verkhovna Rada adopted in the first reading draft law №5270 aimed at optimizing the modern tax system and other legislation in connection with the experiment on the introduction and implementation of electronic residency in Ukraine.

The State Service of Ukraine on Food Safety and Consumer Protection resumed issuance of conclusions of the state sanitary-epidemiological examination on crop protection products

We thank Parliament and the Government for supporting important draft laws and decisions that will contribute to the country’s economic growth and business development.