Sea port authority: State-run stevedoring companies should be privatized, pay less to budget

12:32, 25.04.2016 1 min read

A requirement to obligatorily send 75% of profit by state-run enterprises to the national budget would result in a shortage of some UAH 2 billion at Ukrainian Sea Port Authority for capital investment, Deputy Head of Sea Port Authority Viacheslav Voronoi said at the Ukrainian Infrastructure Forum in Kyiv last week.

He said that state-run stevedoring companies should be privatized.

"I'm sure this should be done. We have a lot of private terminals, and the privatization is needed to have equal conditions. Without staying in concession or being leased you would not be competitive compared to private companies," he said.

Commenting on the reform of Sea Port Authority, Voronoi said that it is initiated to halve the number of its branches – to leave six instead of 13.

Ukrainian Infrastructure Minister Volodymyr Omelyan earlier said that Sea Port Authority should be a servicing company providing tariff regulation services. The authority receives port fees and maintains strategic infrastructure using this money in a transparent way.