On 30 May 2018, the Cabinet of Ministers of Ukraine adopted the National Transport Strategy for up to 2030 entitled “Drive Ukraine 2030″. This Strategy will serve as a program document that will determine the development of the transport and infrastructure sectors over the next 12 years and will contribute to improving communication between Ukraine and the European Union.
Although the final version of the Strategy has not yet been made public, according to its draft and presentation materials demonstrated by the Ministry of Infrastructure of Ukraine, priority directions of the Strategy include the construction of the first concession roads Lviv – Krakovets and Kyiv – Bila Tserkva, 10 highways from Odesa, Kharkiv, Dnipro and other cities to the EU countries, and Euro-railway tracks Kyiv – Odesa, Kyiv – Lviv, Kyiv – Kharkiv and Kyiv – Dnipro. It includes the creation of opportunities for the entry of foreign companies such as Hutchinson Ports, DP World, General Electric, Tesla and Bombardier into the Ukrainian market, as well as amending a number of laws regulating railway and water transport, freight, postal services and roads within the framework of implementation of agreements with the EU. Overall, an implementation of the Strategy will require investments in the amount of USD 60 billion.
The Strategy cannot be labeled conservative or traditional, and the described scenario options and pace of development of the transport system of Ukraine are, at the very least, extremely ambitious. However, taking into account that it is impossible to hope for efficient growth of the transport industry without sound conceptions of its development in key areas, the adoption of Drive Ukraine 2030 is an important step in the process of modernizing Ukraine’s transport networks and stimulating competition in the market. In addition, determination of specific goals and objects for special attention in the coming years allows local and foreign businesses to plan strategic partnerships and investments in the transport industry of Ukraine.
Certain mechanisms provided for in the strategy are in line with the Government’s initiatives to reform public-private partnership in Ukraine. In particular, on 3 April 2018, the Verkhovna Rada of Ukraine adopted in the first reading the draft law “On Concession” No. 8125, prepared with the support of international financial institutions.
Sayenko Kharenko provides comprehensive legal support to local and foreign participants of infrastructure projects in Ukraine. Our services cover investment structuring, financing issues and regulatory aspects, and, thanks to our partnership with UA Direct, we also provide opportunities for launching new business projects in Ukraine, establishing close cooperation between companies and state authorities, and attracting funds from international financial institutions. A more detailed description of our experience and expertise in the field of infrastructure projects can be found in this presentation.