Business news from Ukraine


14 June , 2022  

JSC Ukrzaliznytsia plans to receive 40 General Electric locomotives, engines for locomotives, etc. under the Lend-Lease program, Head of Ukrzaliznytsia Oleksandr Kamyshin has said.
At the same time, with the beginning of the active phase of the war unleashed by Russia against Ukraine, the company managed to keep almost all of its rolling stock, unlike in 2014, when a significant part of the rolling stock remained on the lost territory, Kamyshin said in an interview with Forbes Ukraine.
According to him, in particular, out of 30 GE locomotives, 29 were taken out. The company failed to take one, as it was being serviced in a non-working condition in the Melitopol depot.
The head of Ukrzaliznytsia also said that the company is counting on increased state support, compensation from the Russian Federation and the Lend-Lease program.
“We have shaped a large list [for Lend-Lease]. Of the important, there is a request for 40 GE locomotives worth $250 million, engines for the modernization of our other locomotives, special vehicles for infrastructure restoration, and so on. Further, this list is approved by the working group. Let’s see what we can get it,” Kamyshin said.
He also said that now is not the time to raise passenger tariffs, but the compensation mechanism from the state still needs to be improved. At the same time, regarding tariffs for freight transportation, according to Kamyshin, the dialogue in the government is still ongoing.
The head of Ukrzaliznytsia also said that the operating gap in the company today is UAH 2-3 billion per month, and if the ports do not open, the company will not be able to close it on its own.
“We received a support program for UAH 10 billion from the state budget. It ended in May. Now we are talking about the second round of state financing before the end of the year. It will be bigger,” Kamyshin said.
He said that in the first days of the war, the daily load on the railway was reduced from 700,000 tonnes to 150,000 tonnes. In March, Ukrzaliznytsia transported 257,000 tonnes per day, in April – 295,000 tonnes per day, the company ended May with volumes of 300,000 tonnes per day.

, ,