We call on the Verkhovna Rada to introduce PSO in public transport on the basis of deputies' package of draft laws registered in February 2021
Experts of the NGO “Vision Zero” analyzed the government draft law No. 4583 “On Amendments to Certain Laws of Ukraine on Socially Important Services for the Transportation of Passengers by Road and Urban Electric Transport” of January 13, 2021, which was created behind closed doors, without consultation with local governments and the public sector, as well as an alternative deputies' package of five draft laws: No. 5149 of February 25, 2021, with 60 printed pages, and four to supplement it: № 5150, №5151, №5152, №5185.
The government's draft law No. 4583 “On Amendments to Certain Laws of Ukraine on Socially Important Services for the Transportation of Passengers by Road and Urban Electric Transport” of January 13, 2021 is very short and insufficient to reform the rules of the game in the industry. In addition, it received a critical opinion from the European Integration Committee of the Verkhovna Rada of Ukraine and criticism from civil society organizations.
In response to the government document, a much more substantive deputies' package of five draft laws was registered in February 2021: No. 5149 of 25.02.2021 with 60 printed pages, and four to supplement it: No. 5150, No. 5151, No. 5152, No. 5185, which should support the provisions of the main draft law by harmonizing the Budget Code, the Tax Code, the Code of Ukraine on Administrative Offenses and the Law of Ukraine “On Public Procurement” with it.
Based on the analysis, NGO Vision Zero calls on the Verkhovna Rada to adopt the deputies' package of draft laws as a basis, which will allow for long-term commitments between customers and carriers, improve the financial condition and quality of transportation services.
The document consists of four recommendations for members of the Ukrainian Parliament and conclusions:
- Real reform instead of formal “adoption of the European integration law”.
- Complex problems require complex solutions, and the problems of public transportation are certainly complex.
- To take the parliamentary package of draft laws No. 5149, 5150, 5151, 5152, and 5185 as a basis for further work on the implementation of EU Regulation 1370/2007 in Ukraine.
- Develop state policy on cities and citizens with the participation of cities and citizens.
The full text of the analytical document is available here: https://bit.ly/4gao8vc
Among the main conclusions:
- The government draft law No. 4583 is insufficient to implement the provisions of EU Regulation 1370/2007. The absence of accompanying draft laws on amendments to the Budget Code and public procurement legislation makes the practical application of PSO almost impossible;
- Instead, the draft law No. 5149 and four amendments to it: No. 5150, No. 5151, No. 5152, No. 5185 are more substantive and contain other changes that harmonize the main draft law and other related laws.
The implementation of PSO in transport is one of Ukraine's obligations under the Association Agreement between Ukraine and the European Union, which was not fulfilled by the Verkhovna Rada of Ukraine in time.
The implementation of PSO in Ukrainian legislation was one of the points of the Resolution of the All-Ukrainian Urban Mobility Forum held in Lviv on April 26-28, 2023, with the participation of more than 150 representatives of city councils, enterprises, and public organizations. Paragraph 4 of the Resolution states that Ukraine should implement European Commission Directive 1370/2007 as soon as possible in accordance with paragraph 1875 of the EU-Ukraine Association Agreement (on public passenger transport services by rail and road), as this will enable cities to move to a modern and sustainable system of procurement of transport work instead of the outdated and inefficient system of tenders for bus routes.

