Ukraine Road Transport

Last week, Director of SE Prozorro Vasyl Zadvornyi, Director of SE Prozorro.Sale Oleksii Sobolev, and Deputy Oleksandr Horeniuk in the presence of Deputy Minister of Economy Svitlana Panaiotidi signed a memorandum of cooperation in the development of a passenger road transport system in Ukraine. According to the memorandum, it will be a transparent and efficient system that will meet the EU standards as much as possible.

Why Was the Memorandum Concluded?

Now in the field of road transportation, there are acute problems that citizens face daily:

- poor quality of transport services and vehicles;
- intricate tariff setting system;
- high level of shadowing, etc.

The use of electronic systems that have already proven their effectiveness in the digitization of other markets will help solve these and other problems and increase the level of citizens' confidence in the state in the field of road transportation. It will also ensure the development of fair competition between carriers and the prevention of corruption.

How Will the Electronic Systems Be Used?

The signatories agreed to cooperate in creating an effective regulatory framework aimed at reforming the Ukrainian road transport system. Thus, the industry will be transferred to the format of electronic auctions:

- goods and services for the needs of carriers will be purchased through Prozorro public tenders;
- the right to carry out transportation will be exercised at Prozorro Sale auctions.

The functioning of the road transportation system according to clear transparent rules will provide citizens with high-quality service, reasonable tariffs, and the ability to check at any time which carrier and on what conditions have received the right to transport. The cities and the state, in turn, will receive real budget revenues.

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