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Posted On

08
September
2022

Bill on reclamation system operators to increase area of land under irrigation by 1 mln ha – Ministry of Agrarian Policy

KYIV. Sept 8 (Interfax-Ukraine) – The adoption and entry into force of bill No. 75577 on operators of state reclamation systems will increase the area of ​​land under irrigation by 1 million hectares, drainage by 500,000 hectares, increase the yield of agricultural crops in such areas by 2-3 times, as well as reduce the cost of irrigation by 10-20%, the Ministry of Agrarian Policy and Food of Ukraine reported.

According to a message on the ministry’s website on Friday, the relevant bill was registered in the Verkhovna Rada in July 2022 and is now under consideration by the parliamentary committee on agrarian and land policy.

It is also expected that the introduction of this legislative initiative will ensure the transparency of the work of the newly created operators of state reclamation systems, reduce operating costs for maintaining the state reclamation infrastructure, and reduce water losses during transportation and its drainage.

In addition, the adoption of this bill will minimize the risks of stopping the supply/drainage of water during the growing season, increase foreign exchange earnings and improve the balance of payments of Ukraine due to the growth of agricultural exports, as well as increase the number of jobs on reclaimed lands and tax revenues from them.

The document stipulates that state reclamation systems will be transferred to the management of special economic entities – operators of objects of reclamation systems of state ownership. This will open up opportunities for long-term infrastructure development planning. In addition, operators will invest their earnings in its development.

"Principles for the formation of operators should be: one channel of national importance – one operator of state land reclamation systems. Other state land reclamation systems are combined to be transferred to the operator with technological unity and their overall economic efficiency," the agency said in a statement.

It is assumed that water users who are directly interested in their efficient operation, reduction of water losses, electricity consumption and the introduction of reasonable and transparent tariffs will be involved as operators of reclamation systems.

The draft law assumes that the governing body of the operator will be a supervisory board, consisting of a state representative, representatives of water users and independent members elected on a competitive basis by a tender commission formed with the participation of water users and an authorized body.

The draft law also prohibits the operator from alienating, transferring for use, renting, leasing, managing, pledging or gratuitous use of the state facilities of engineering infrastructure of reclamation systems assigned to him. In addition, the courts will not be able to impose penalties or seizure on such infrastructure. In the event of termination of the operator’s activities, the objects used by him will be returned to the state.