Victor Turmanov: We are in dire financial condition. Everything should be carefully done
Higher prices for rail freight will lead to disaster in the coal industry of Ukraine, said the head of the Union of workers of coal industry Viktor Turmanov in the comment “Ukrainian news”.
“Are they going to destroy the coal industry? It will be catastrophic, will be very bad for the coal industry. Especially enterprises of the state form of ownership, there’s just a complete blockage now – salary arrears for four months, constant underfunding, and if the rise in railway tariff is just killing,” – said the Chairman of the Union. – Have all weighed in to see what condition the coal industry and to the coal industry. We are in dire financial condition. Everything should be carefully done.”
The price increase for shippers provided in the order of the Ministry of infrastructure of Ukraine from July 13, 2018. It has an increase of 95% of tariffs of “Ukrzaliznytsya” for transportation of empty wagons for the first class freight, which includes coal, ore, gravel and salt. The order, published on the Ministry’s website notes that its discussion was to be held from 13 July to 13 August.
Industry representatives asked the Prime Minister Volodymyr Groysman to cancel the order on increase of tariffs and to support a moratorium on rise in prices for railway transportation until the creation of a national Commission of transport regulation, according to the publication “Ministry of industry” on August 13. The American chamber of Commerce and European business Association has also addressed this issue with a letter to the head of UZ, the Minister of infrastructure, Minister of economic development and head Gasregulating service.
Discussion of the increase of freight tariffs of Ukrzaliznytsia (UZ) will continue on 29 August, the decision was Gasregulating service reported at the workshop on 16 August the Minister Ksenia Lyapina.
On 20 June the Cabinet of Ministers of Ukraine approved the report of “Ukrzaliznytsya” for 2017, which stated that the company’s net profit amounted to 110.5 million UAH, 30% of the profits went to dividends. In 2019, the company plans to increase its net profit to UAH 800 million, and rates of capital investment and revenues by 10%, said in June the acting head of the “Ukrainian Railways” Evgeny Kravtsov.
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