The Ukrainian transport sector is in the modernization process – we need to build more reliable and modern infrastructure, aligned with European Union standards, competition rules and transparency in administration. The goal is to implement information technology and provide citizens and business with customer-oriented services.
The main objectives are:
to achieve balanced investments in infrastructure development between state and private sector for road, rail, airport and ports.
to secure funding, as well as the capacity to maintain the infrastructure in fair condition.
to implement e-corridors shall be implemented, simplify cargo transport and digitalize controls systems.
National Transport Strategy and strategic action plan
On May 30, 2018, the Cabinet of Ministers of Ukraine adopted the National Transport Strategy of Ukraine until 2030. The next step is the development of the strategic action plan as the implementation and monitoring framework for the National Transport Strategy and determines a set of objectives and measurable results.
Except for highlighting an indicative list of investment projects (for the short, medium and long terms), the action plan shall monitor the overall progress of actions on the basis of aggregates such as the general level of public expenditures or the number of actions that are actually launched or achieved.
The core elements of the action plan are legal provisions to be adopted within the framework of the association agreement between Ukraine, the European Union, and its member states.
It is necessary to mention seven important draft laws that are already registered in the parliament, aim at the implementation of the EU-Ukraine association agreement and support the proposed reforms. In order to succeed, the railway, road transport, and inland waterways sector require international expertise and further implementation assistance (especially after International Maritime Organization audit and the establishment of a Maritime Administration).
When we succeed in getting the parliament to approve them, more than half of the EU directives under association agreement obligations of Ukraine in the transport sector will be accomplished.
Draft law on inland waterway transport
The reform of river transport is a key in the realization of National Transportation Strategy of Ukraine 2030 and the Sustainable Logistic Strategy 2030. We managed to find a compromise in formulating the new version of the draft law. Dnipro Development Initiative of international financial institutions, Dutch and US experts have contributed in analysis and evaluation of physical, operational and fiscal needs of the river.
Establishment of the Maritime Administration requires the creation of a special fund for river and maritime transport to secure resources needed for functioning Maritime Administration. Now we are stuck due to the absence of institutional reform – the government cannot provide sustainable funding to the river infrastructure system without legislative changes. What we need is the support of the Members of Parliament, expert associations and business in approval of this reform in the Parliament.
Draft law on railway transport
The importance of this reform is simple – without these structural changes, it is impossible for Ukrzaliznytsya to improve its functioning. The approval of the law will start the revolution in the railway transportation market; for implementation, we will require the drafting and approval of 64 legal acts of secondary legislation.
The draft law on railways contemplates the establishment of Railway Administration and setting the rules for new private operators.
Draft law on road transport safety
The 30 percent of road accidents are happening because of inefficient road infrastructure. Assuming that, one of the priorities for us was the number of draft laws (that we have already submitted in the parliament) concerning implementing EU directives connected with road transport safety.
The draft law on road transport safety, licensing and transportation of dangerous goods, for example, is one of them. Also, expect that the road safety audit will directly help to reduce road accidents. More than 1000 lives can be saved each year due to the adoption of this legislation.
Road Fund and the Road Safety Strategy 2020
We all know that one of the main reasons for road transport accidents is speed. The reconstruction of the national highways will also increase the accidents risks. To mitigate this situation, 5 percent of the Road Fund is dedicated to road safety improvement, about 3 billion hryvnias annually. To spend these funds efficiently, the government approved the Road Safety Strategy 2020 and program.
Draft law on multimodal transport
This law consolidates the rights of participants of multimodal transportation to carry out cargo by concluding a single document on all stages of transportation irrespective of changes in modes of transport.
We now need to focus on the development of multimodal transportation in Ukraine and logistic services and infrastructure, since that provides a relevant background for the development of the logistics sector. It intends to provide a sound programming of the equipment, based on a stronger territorial identification of the needs, an enhanced administrative and legal framework and a support to the business organization in the sector.
For transport modes, the measures will contribute to the development of specific intermodal services and a better connectivity between networks at main transport nodes. New regulatory conditions will provide efficient multimodal and intermodal transport removing issues regarding tariffs/prices, transport documents, schedules, goods security, conditions of sales of services
Intelligent transport systems
Ministry of Infrastructure drafted and introduced legislation on weight in motion systems implementation which is the just a first step in implementing modern intelligent transport systems. World Bank supports the pilot projects to tender purchase of 6 WiMs in Kyiv region that will demonstrate the effectiveness of the system to all the stakeholders by reducing the number of overweight trucks.
In order to support the implementation of the association agreement and strengthen the capacity of the agencies for enforcement of the EU legislation in all transport areas, regional capacities in transport planning management, as well as improving the traffic management, we have started the National Transport Model Project.
Summary
Multimodality is the focus of our efforts towards the enhancement of transport logistic services where the development of a comprehensive Multimodal Logistic Strategy, National Transport Modal and Action Plan is the milestone.
It is necessary to develop multimodal hubs, terminals, and corridors, planning of multimodal transport and logistics clusters and basic logistics centers, dry ports, terminals, specialized trans-shipment complexes etc.
