Deputy Minister of Infrastructure Yurii Vaskov has said at a meeting with members of the American Chamber of Commerce in Ukraine that a strategy for development of the port industry is currently being prepared.
According to Vaskov, the ministry has created a new strategic development department, its formation is being finalized, and it will probably be announced together with the new strategy. "I have seen it and it does not contradict anything that has been said before, but it is important for it to be implemented," said Vaskov.
The deputy minister stressed that the ministry’s lack of authority was a major problem. "Let us imagine that the ministry has the power to push through one or another method of attracting investment, engage professionals, and bring the project to completion, then we would never hear the word ‘rent.’ We would have used the classical form – concession – as is customary in Europe. As for concession, decisions should be based on long-term economic analysis. Either we want to sell finally or we want to have regular income for 49 years. All forms should be permitted and simplified," said Vaskov.
"We have studied all the documents published in the past ten years. In 2006, the National Security and Defense Council adopted a decision to develop Ukraine as a maritime state. In 2007 or 2008, there was a strategy for development of the maritime industry, including the port industry. Later, specialists with the department drafted another strategy within two days, although it was based on serious and profound work that was performed with the participation of experts with the international company Roland Berger. Each of these documents focuses on investment, public-private partnership. We will not find a strengthening of the role of the state or increase of the state’s economic activities in any of the documents. In reality, we know how it all happens. They have been unable to adopt a simple document - the procedure for compensating for investments - since 2013. It is returned to the Cabinet every time," said Vaskov.
According to him, the imperfection of the legislation that governs attraction of investment in port infrastructure is also an important issue now, the CFTS correspondent reports.
"To address this issue, we see the need for fine-tuning of the legislation, particularly the need to amend the laws of Ukraine ‘On the List of Objects that are not Subject to Privatization, ‘On Concession,’ ‘On Seaports,’ and ‘On Management of State Property,’" said Vaskov. “Procedures for compensating for investments in strategic facilities, which should have been adopted in 2013, should also be adopted. Up to USD 2 billion may be invested in development of state port infrastructure if the proposed changes are adopted in the next five years."
