Key provisions of the bill «On inland waterway transport» in the context of economic reforms of Ukraine

Economic Annals-ХХI: Volume 154, Issue 9-10, Pages: 36-40

Citation information:
Mykhailychenko, K. (2015). Key provisions of the bill «On inland waterway transport» in the context of economic reforms of Ukraine. Economic Annals-XXI, 9-10, 36-40. http://ea21journal.world/index.php/ea-v154-08/


Kateryna Mykhailychenko
PhD (Economics),
National Institute for Strategic Studies
7a Pyrogova Street, Kyiv, 01030, Ukraine

Key provisions of the bill «On inland waterway transport» in the context of economic reforms of Ukraine

Abstract. In Ukraine, as elsewhere in the world, the demand for inland waterway transport is growing due to business request on economical logistics solutions for cargo delivery and social benefits as a reduction of energy consumption and harmful emissions. The purpose of the article is to study the provisions of the future Law of Ukraine «On inland waterway transport», relating to building an effective system of governance on internal water transport and formation of state regulation and distribution system functions and powers between them, which should ensure the reduction of regulatory pressure and the monopoly of the state in the economy; formation of the optimal model of water transport infrastructure funding; their analysis in terms of solving actual problems of the sector; their conformity to the reforms in the area of deregulation, decentralization, demonopolization of the economy; the EU policy towards the development of IWT; scientific substantiation of proposals for the inclusion of these provisions to the bill.

The article offers recommendations for the choice of institutional management models concerning inland waterways in Ukraine, formation of state regulation and a system of distribution functions and powers between them, which should ensure the reduction of regulatory pressure and the state monopoly in the economy, improving the management of the public sector. It has been proved that under the current economic conditions the optimal funding model of the inland waterways infrastructure should include various sources of funding, such as private funding to provide current maintenance of inland waterways and their reconstruction. It is grounded to transfer the responsibilities for funding of maintenance and reconstruction of the gateways to energy companies (owners of hydropower plants) as an introduction of the fee for using the inland waterway infrastructure by ship owners and cargo owners.

The results of research will contribute to solving the problem of revival shipping by inland waterways in Ukraine; they can also be applied in finalizing the draft law of Ukraine «On inland waterway transport».

Keywords: Inland Waterway Transport; Institutional Management Model; Deregulation; Expanding Sources Of Infrastructure funding

JEL Classіfіcatіon: R40; R42; R49

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Received 3.11.2015