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Moratorium on allocation of land plots without town-planning documents could be introduced in Ukraine, says draft law

Kyiv, December 4 (Interfax-Ukraine) – A moratorium on the allocation of land plots for construction projects on territories without town-planning documents could be introduced in Ukraine, according to Deputy Regional Development and Construction Minister Ihor Sokolov.

"We insist that the law [on regulation of town-planning] has a slogan: territories without town-planning documents do not have the right to carry out investment activities. The transitional provisions of the law give one year for the realization of the said procedures," he said at a press conference at Interfax-Ukraine on December 2.

He added that when one year passes, all town and city heads should understand that making town-planning decisions would be complicated without town-planning documents.

"If there is no a general plan, there is no way to allocate land plots," Sokolov said.

According to the draft law on regulation of town-planning sent to Interfax-Ukraine, the said requirement is stipulated in Article 24: if there is no a zoning or a detailed plan of territories approved in line with the requirements of the law, it is not permitted to transfer land plots that belong to the state or that are in municipal ownership to ownership or usage of individuals and companies for construction.

The transitional provisions of the draft law say that the requirements will take effect from January 1, 2012.

"UAH 2.5 billion is needed to draw up a full package of documents that provide for the observation of the law. We propose to raise them over five years via joint financing from the national and local budgets," Sokolov said, answering a question how the construction ministry assessed the drawing up of the required town-planning documents.

As reported, the Ukrainian government on November 29 approved a draft law on town-planning that foresees a reduction of the term for permits in the construction sphere from 416 to 60 days and cutting the number of stages for receiving permits for investors from 93 to 23.

The draft also introduces the notions of "general town-planning cadastre" and "zoning."

The draft law also foresees a declarative principle for preparation work and construction work for first-third category projects with a low risk level. In particular, there would not have to be an examination of the projects. Investors would list out all required documents in a form, submit it to the state inspection for architectural and construction supervision, and start building from the moment of the form's submission. Local councils are to be informed of the start of construction.

The draft law amends 104 articles of 26 laws. A total of 26 cabinet resolutions, 17 decrees of the construction ministry and six state construction requirements are to be drawn up.

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