The Kyiv city state administration has decided to lower the rates on central heating, the hot water supplies, and the city water supplies for the population to "virtually" the rates effective until June 1, 2009.
Kyiv Mayor Leonid Chernovetskyi announced this to the press.
“I have signed a resolution about lowering of rates in the city of Kyiv on central heating and hot water supplies to virtually the level of rates effective until 1 June 2009,” the Kyiv mayor said.
He did not give precise rates to come into effect from November 1. He said the resolution would be published soon.
Kyiv Mayor Chernovetskyi noted, that the reduction in the rates became possible on achievement of an agreement by the Kyiv city state administration with the Cabinet of Ministers on provision of natural gas to Kyiv during the 2009/2010 heating season.
He added, the Cabinet of Ministers has instructed the Naftohaz Ukrainy national oil and gas company to give a loan to Kyiv in kind of natural gas supplies without any restrictions during the period of the heating season.
Meantime, the other housing and utility rates won’t be cut, the mayor said.
According to him, the lower utility rates will be effective from November 2009 until May 2010, when they may be revised again.
Kyiv Mayor Chernovetskyi said there would be no re-calculation of payments for the utility services for the period June 1 through November 1.
According to him, the rates for this period are not subject to revision, as the Kyiv authorities had no guarantees from the government.
Chernovetskyi denied any political background for the decision.
“There is no politics in this cooperation [between the Kyiv administration and the Cabinet of Ministers]. Moreover, there is no compulsion in this,” Chernovetskyi said.
The Kyiv mayor said the Kyiv municipal state administration continued the negotiations with the Cabinet of Ministers on schedule of restructure of the debt of the Ukrainian capital city for gas supplies.
He assessed the schedule as being a very good for the people of Kyiv.
As Ukrainian News earlier reported, Prime Minister Yulia Tymoshenko has declared that the Cabinet of Ministers has arrived at an agreement with the Kyiv authorities to lower the housing and utility rates for the people of Kyiv from November 1 to the level of rates effective until June1, 2009.
The Kyiv municipal state administration has prolonged for October the housing and utility rates effective in August and September.
On June 1, Kyiv municipal administration raised tariffs for cold and hot water supplies, sewage and heating by 48.8-104.1% as of June 1. It also raised housing rent separately for each house.
The municipal administration suspended these tariffs on July 17 after several individuals and the Klychko Bloc challenged the decision to set them.
As a result, the municipal administration set temporary tariffs for the period of August-September and reduced the tariffs by 5% compared with the tariffs that were set on June 1.
