Analytical Center

• Draft Law 11195

The draft law On the Protection of Third Party Rights during the Application of Certain Sanctions has been withdrawn from voting, and active work is underway to prepare a new draft law.

• Small Generation

Resolution of the NEURC (National Energy and Utilities Regulatory Commission) No. 875 dated 08.05.2024 and Resolution of the NEURC No. 2274 dated 05.12.2023: Introduction of the concept of an “energy island” to ensure uninterrupted electricity supply in critical conditions.

• Order of the Ministry of Health (MOH) No. 457 dated 18.03.2024

A new list of medicines that cannot be advertised without a prescription has been approved.

• Adoption in the first reading of the draft law No. 7457 dated 10.06.2022 ‘On regulation of the circulation of plants of the genus Cannabis for medical, industrial purposes, scientific and scientific-technical activities to create conditions for expanding patients’ access to the necessary treatment of cancer and post-traumatic stress disorders resulting from the war’
  The Union was the first to talk about the need to legalise medical cannabis three years ago. During this time, the Union addressed the Minister of Health, the chairmen of the Verkhovna Rada Committees on Agrarian and Land Policy, on National Health, Medical Care and Medical Insurance, and on Economic Development, and the President of Ukraine with a comprehensive justification for the need to legalise medical cannabis, proposals for legislative regulation of industrial hemp and regulation of the circulation of hemp for medical (therapeutic) purposes.
• Inclusion of the entire Kharkiv region in the list of territories where hostilities are (were) conducted
  The Union appealed to the Ministry of Reintegration of the Temporarily Occupied Territories of Ukraine to adjust the list of territories where active hostilities were (are) conducted, including Kharkiv and the entire Kharkiv region, and to legalise the updated list of territories of active hostilities by amending Order No. 309 of the Ministry of Reintegration. These changes have been made and the entire Kharkiv region is now considered an area of active hostilities.
  Finally, the discrepancies have been resolved, and now all entrepreneurs in Kharkiv region whose production facilities have been affected by the hostilities will be exempt from paying property and environmental taxes and land payments
• Inclusion of the entire Kharkiv region in the list of territories where hostilities are (were) conducted
  The Union appealed to the Ministry of Reintegration of the Temporarily Occupied Territories of Ukraine to adjust the list of territories where active hostilities were (are) conducted, including Kharkiv and the entire Kharkiv region, and to legalise the updated list of territories of active hostilities by amending Order No. 309 of the Ministry of Reintegration. These changes have been made and the entire Kharkiv region is now considered an area of active hostilities.
  Finally, the discrepancies have been resolved, and now all entrepreneurs in Kharkiv region whose production facilities have been affected by the hostilities will be exempt from paying property and environmental taxes and land payments
• The adoption of draft laws with corruption risks was stopped:
  – No. 8087 ‘on wiretapping’ – stopped the ability of the State Special Communications Service to wiretap anyone without a court order;
  – cancelled the adoption of additional criteria for suspending the registration of tax invoices in the Resolution of the Cabinet of Ministers of Ukraine No. 1165;
  – No. 9534 on e-declaration, providing public access to the register of declarations without waiting for a one-year period.
  – No. 9032-1 ‘On Amendments to the Tax Code of Ukraine on the Introduction of Excise Tax on Water, including Mineral and Carbonated Water, with Sugar or Other Sweetening or Flavouring Substances.

• Expansion of the “Affordable Loans 5-7-9%” program: Increase of the loan amount up to 60 million UAH, preferential interest rates, and support for entrepreneurial activity under martial law.
• Settlement of critical import issues: SUP submitted proposals to the government on simplifying import procedures; 35 out of 37 proposals were taken into account.
• Liberalization of labor legislation: Amendments to Draft Laws No. 5161, No. 5371, and No. 7251 to simplify labor relations and deregulate entrepreneurial activity.
• Increase of maximum terms for settlements in export-import operations: Extension of the term from 120 to 180 days to improve conditions for business in wartime.
• Law on the privatization of state and communal property: Support for Draft Law No. 7451 to unblock privatization processes.
• Resumption of the capital market: The National Securities and Stock Market Commission adopted a decision to lift restrictions on capital market operations, except for Russian and Belarusian subjects.
• Law on Industrial Parks: Adoption of Draft Law No. 4416-1 to attract investments and develop innovative technologies.
• Law on Mediation: Adoption of Draft Law No. 3504, which legalizes out-of-court dispute resolution through mediation.
• Deregulation and business support: Participation in the Interagency Deregulation Group to simplify business conditions, including the automation of public services and the expansion of preferential lending.

Draft laws and amendments to the legal framework:

• Introduction of electronic labour records (No. 1217-IX)
• Participation in discussion platforms on the adoption of the Law on the Bureau of Economic Security (No. 3087-D)
• Ensuring transparency of the state labour inspection system (No. 0958)
• Support for the creation of an agricultural land market on a voluntary basis (No. 2178-10)
• Pro bono support for the Law on the Protection of Critical Communications Infrastructure (No. 10328)
• Introduction of a special legal regime for the IT industry ‘Diia City’ (No. 4303)
• Participation in the development of amendments to Article 4 of the Law of Ukraine ‘On Pesticides and Agrochemicals’ regarding the import of pesticides into the customs territory of Ukraine
• Amendments to Certain Legislative Acts of Ukraine on Simplification of Connection to Electricity Networks (No. 5009)
• Amendments to the Tax Code of Ukraine, which resolve the issue of determining the date of a document drawn up in electronic form (No. 15250-IX)
• Amendments to the Law of Ukraine ‘On Industrial Parks’ aimed at attracting investment in the industrial sector of the economy by introducing incentives in industrial parks
• Adoption of the Law on Energy Efficiency. The principles of the energy service system adopted in the draft law
  – define the concept of ‘energy service’ at the legislative level;
  – allow concluding an agreement on the provision of energy services, as well as disclose the structure of this agreement;
  – create conditions for the development of the energy service market;
  – facilitate the involvement of independent market intermediaries to stimulate the conclusion of energy service contracts. (No. 4507)
• Adoption of the Draft Law on Mediation (the possibility of conducting a mediation procedure, which consists in a voluntary out-of-court settlement of a conflict through negotiations between its parties, with the help of a mediator No. 3504)
• Adoption in the second reading of the draft law No. 3474, which will have a positive impact on producers and distributors of audio and video works, as well as reduce excessive state powers to regulate business
• The adoption of Law No. 5376, a document included in the list of legislative acts that form the legal basis for the special legal regime for the IT industry in Diia City. It defines the introduction of a special taxation regime for Diia City residents.

Direct business impact initiatives

• Refund of the 20% VAT rate for meat processors;
• Adaptation of working conditions for certain industries and enterprises during the lockdown period;
• Strengthening the investment attractiveness of Ukraine through the openness of companies’ financial statements;
• Amendments to clause 4 of Order of the Ministry of Health of Ukraine No. 590 dated 28.02.2020 ‘On the Invalidation of Certain Orders of the Ministry of Health’ to postpone the expiry date of clinical treatment protocols and industry standards to 01.09.2022.