The government is launching a new phase of construction deregulation – Svyrydenko
This was announced by Prime Minister Yulia Svyrydenko.
According to her, these changes are part of a comprehensive urban planning reform aimed at removing barriers to business and speeding up the implementation of reconstruction projects.
Consequently, the government has adopted the following decisions:
1. Procurement: framework agreements for rapid reconstruction
The government is introducing a framework agreement mechanism for publicly funded construction projects. It is expected that this will enable the creation of a list of contractors who meet the qualification requirements, and subsequently allow for the swift selection of a contractor for a specific project.
“The result should be a significant reduction in the duration of procedures and a faster start to the reconstruction of housing, infrastructure and social facilities,” noted Svyrydenko.
2. Pricing: transition to market-based approaches
The Cabinet of Ministers is updating the rules for drawing up cost estimates: they must reflect real market conditions and take into account actual costs, including wage levels.
“We must reduce shadow practices and make the market more transparent. At the same time, we are launching a database of construction material prices within the Unified State Electronic System for the Construction Sector,” the Prime Minister emphasised.
This is expected to increase transparency in the sector and reduce opportunities for manipulation.
3. Construction in areas adjacent to aerodromes
A separate set of measures concerns the regulation of development near aerodromes. The government is introducing a mechanism to account for restrictions even in cases where aerodromes do not have valid certificates, and is also updating the procedures for coordination between urban planning, aviation and defence authorities. This will allow construction to proceed without compromising safety requirements.
What has already been changed
The urban planning reform already includes a number of decisions adopted previously:
- clients can choose where to receive administrative services – from local authorities or from the State Agency for Urban Development (DIAM);
- a mechanism has been introduced for appealing against refusals to grant urban planning conditions and restrictions – in the event of an unjustified refusal, the project is no longer blocked;
- The Ministry of Community and Territorial Development of Ukraine, in conjunction with the Ministry of Justice, is working on a draft law that will set clear deadlines for appealing against planning decisions.
“The government is continuing deregulation in other areas. The state’s task is to make life easier for businesses and create conditions for the country’s rapid reconstruction,” emphasised Svyrydenko.
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