Recipient-oriented financial aid could be key to settlement of delayed refunds for privileged passengers

Recipient-oriented financial aid from Ukraine's national budget could help the State Rail Transport Administration, Ukrzaliznytsia, settle the delayed refunds for the transportation by rail of passengers that are entitled to benefits, according to Mykhailo Onyskiv, the head of Ukrzaliznytsia's main legal department.

"The algorithm is simple: the budget should foresee targeted funds per each passenger [entitled to benefits]. The railways should be given the funds correspondingly to provided services," he said.

According to Onyskiv, these issues have been tabled for consideration by the Verkhovna Rada and the government already.

As was reported, Ukrzaliznytsia fell short of UAH 316.6 million in refunds for transportation of passengers entitled to benefits January through October 2012. It insists that the law on rail transport be observed and delayed refunds for the transportation of passengers entitled to benefits be repaid. It also says it is concerned over the systematic underestimation of subsidies stipulated in budgets of all levels for compensation of transportation by rail of passengers entitled to benefits, and over their mismatch with the actual volume of transportation services provided to privileged categories of passengers.