On the 13th of May, the head of the PPP agency, Niko Gachechyladze, participated in the webinar “Emerging Trends and Developments in PPP Regulation in Certain European Countries”.
The main aim of this event is to raise awareness about:
- the current status of the legislative regime regulating Public-Private Partnerships (PPPs) and PPP projects in several EU accession countries and Eastern Partnership countries such as Ukraine and Serbia;
- the experience of these countries in improving the legislation regulating PPPs and aligning it with the best international practices.
Niko Gachechiladze has shared with the participants information about the experience of Ukraine in improving the legislation and implementing international standards in the field of PPP, as well as presented pilot PPP projects.
The government of Ukraine regards the PPP mechanism as one of its main priorities for attracting investments to the development of infrastructure, both economic and social. This is reflected in the State Economic Stimulus Program for 2020-2022, intended to counteract the negative effects caused by restrictive measures taken to prevent the spread of acute respiratory disease COVID-19 caused by SARS-CoV-2 coronavirus (approved in May 2020), as well as in the new National Economic Strategy until 2030 (approved in March 2021).
In addition, People-first PPPs in support of the United Nations Sustainable Development Goals model adopted by UNECE in 2019 is vital to the achievement of the desired global results from investments in infrastructure.
“An important step towards the development of PPP in general, and People-first PPP in particular in Ukraine, is the creation of new legislation” – has stated Mr. Gachechyladze.
On October 20, 2019, the new Law of Ukraine “On Concession” came into force. In particular, under the provisions of the Law:
- there is a clear distinction between the regulation of concession and other types of PPPs;
- a unified procedure is determined for initiating and making decisions on the implementation of PPPs for all types;
- a clear policy regarding ownership of concession objects was established;
- the process of obtaining a land plot for a concession object was simplified;
- a transparent procedure for choosing a concessionaire was introduced;
- there is a possibility to enlist the help of advisers and independent experts for the preparation of PPP projects in the form of a concession;
- additional guarantees for concessionaires and lenders participating in the financing of such projects were introduced.
After the adoption of the Law of Ukraine “On Concession”, the Ministry of Economy, together with experts from the World Bank, have been actively working on secondary legislation in the field of PPPs, that will be compliant with the new law (Cabinet decrees and Ministerial orders). The ultimate goal is to develop a more inclusive policy and regulatory framework that would engage all interested parties in the process of preparation and implementation of PPP projects. It should also ensure the standardization of various PPP processes, provisions and internal procedures for the preparation and approval of PPP projects, in accordance with the Guiding Principles on People-first Public-Private Partnerships.
It should be noted that the current regulatory framework was adopted, taking into account the UNECE Guidelines and the provisions of UNECE/EBRD People-first PPP Model PPP law. In general, amended legislation regulating PPP in Ukraine aims to build relations between public and private partners that would benefit the population and have zero tolerance for corruption and unfair competition. Adherence to these principles is a prerequisite for implementing effective PPP projects, following the People-first PPPs in support of the United Nations Sustainable Development Goals model.
You can learn more about it, by downloading the presentation at the link below.
Other participants of the webinar were:
- Alexei Zverev, Senior Counsel, European Bank for Reconstruction and Development;
- Kelly Wu-Chiao Hsieh, a representative of the Taipei Representative Office in the United Kingdom;
- Nenad Ilic, Independent PPP Consultant, Serbia;
- Alexander Dolgov, Managing Partner, Squire Patton Boggs;
- Bruno de Cazalet, Senior PPP Legal Advisor;
- Christopher Clement-Davies, International PPP Consultant.
During the webinar, participants have discussed the existing PPP legislation in their countries and opportunities for its development. They have presented new and pilot PPP projects.
EBRD has presented the EU accession candidate countries PPP laws initiative that has been successfully implemented by the EBRD Legal Transition Team with the support of the TaiwanBusiness – EBRD Technical Cooperation Fund.
Invited experts have presented the current best international practices based on the UNECE/EBRD People-first PPP Model PPP law.