The Cabinet of Ministers of Ukraine has approved the procedure for the use of funds for partial compensation to agrarians for the purchase of agricultural machinery of domestic production, Prime Minister Denis Shmygal said.
“This year we allocate UAH 1 billion for the program of partial compensation to agrarians who buy agricultural machinery of our Ukrainian production. We will compensate 25% of the cost. We approve today the appropriate procedure for the use of funds and improve some elements of this program,” Shmygal said at a government meeting on Friday.
Ot noted that according to the estimates of the Ministry of Economy, the program will allow to double the share of domestic agricultural machinery in the domestic market.
“Imports will decrease by about 10%. Re-equipment of 4.5 thousand producers will take place. About 1 thousand additional jobs will be created, which in turn will give more taxes to the budget,” – said Prime Minister.
AGRARIANS, CABINET OF MINISTERS, COMPENSATION, purchase of agricultural machinery
The Government of Ukraine has expanded the terms of state grants under the program “eWork” for the development of horticulture, in particular, increased compensation for the cost of vineyard planting projects from 225 thousand UAH to 330 thousand UAH per 1 hectare of plantings, reported the Ministry of Agrarian Policy and Food on Wednesday.
It is indicated that the relevant changes to the Cabinet of Ministers’ resolution of June 21, 2022 № 738 were made by the resolution № 241 on the initiative of the Ministry of Agrarian Policy.
It is noted that the agreed document proposes to change the conditions of planting and arrangement of planting on the land plot or on adjacent plots.
According to the new norms, grants will be provided not only for planting not more than 25 hectares of plantations with the installation of irrigation systems and water intake, but also for the arrangement of plantations on the land plot or on adjacent land plots, the total area of which is from 1 to 25 hectares.
The resolution also allows location between land plots of farm tracks, runs, field protective forest strips and other protective plantings, boundaries (rivers, streams, canals, forest strips, vegetation strips, trees, paths, ravines, gullies, ravines, wetlands).
According to the adopted document, at the same time the Cabinet of Ministers obliged grant recipients to attach scanned copies of the project of construction of a modular greenhouse with cost estimates, which must be signed by the project developer and irrigation project (in the absence of a corresponding section with calculations in the project of construction of a modular greenhouse) with indication of water intake sources (previously, project estimates and indication of water intake sources were not required) when registering an application on the portal “Dia”.
The government grant program “eWork” has been in effect since July 1, 2022 and provides support for small and medium-sized businesses. Among its advantages is the opportunity for everyone to create or develop their own business in the areas of “Own Business”, “Own Garden”, “Own Greenhouse”, and “New Level”.
In 2023, 131 orders were issued for grants for the development of horticulture, berry growing, viticulture (UAH 432.8 million) and greenhouse farming (UAH 159.4 million). It is expected to create about 15 thousand jobs.
Grants are provided in the amount of no more than 70% of the project cost and no more than UAH 10 million. The grant recipient must finance with its own or credit funds at least 30% of the project cost. A mandatory condition is employment of a certain number of workers: for orchards – from 5 to 10 permanent and 125-425 seasonal workers depending on the name of plantings, for greenhouses – at least 4 permanent and 10 seasonal workers per 1 hectare.
Funding for agro-producers under the government’s eWork program during 2024-2025 is provided through World Bank support under the “Emergency Inclusive Support for Ukraine’s Agricultural Recovery (ARISE) Emergency Project”.
More than 8,000 entrepreneurs received compensation of UAH 181 million last year for employing more than 14,400 internally displaced persons (IDPs), the press service of the Ministry of Economy reported on Tuesday.
The ministry noted that since the compensation is set at the minimum wage, it has increased from UAH 6,700 to UAH 7,100 since January 1 this year, and will rise to UAH 8,000 since April 1.
“In addition, the duration of the compensation payment has been increased from two to three months, and for the employment of IDPs with disabilities, the employer will be able to receive such compensation for six months,” Deputy Minister Tetyana Berezhna said in the release.
As reported, in April 2022, the government introduced a compensation program for employers to encourage entrepreneurs to hire IDPs.
The reception of applications for compensation for housing destroyed because of the war started in “Diya” on August 1, the press service of the Ministry of Community Development, Territories and Infrastructure (Ministries of Recovery) reported.
“From today, homeowners whose housing was destroyed will be able to apply for compensation to purchase a new apartment or house. This can be done through the Diya application,” the press release said.
Compensations will be paid to sole owners of housing that was destroyed due to hostilities after February 24, 2022, is not subject to reconstruction and is located in the non-occupied territory and not in the zone of active hostilities. In addition, an information report on the destroyed property filed by its owner must be registered in the registry.
Applications will be considered by commissions previously established at local governments to process eRecovery applications, the report said.
At this stage, compensation will be paid in the form of electronic housing certificates for the purchase of housing. The Ministry of Restoration is also developing a mechanism for the payment of funds for the construction of new private houses on the land plot of the compensation recipient.
Earlier in May, the state aid program “eRestoration” was launched, which provides assistance for the ongoing repair of housing damaged as a result of the war.
Since the start of the program on May 10, Ukrainians have already submitted more than 31 thousand applications for cash assistance for minor repairs of damaged housing. Local governments have set up 520 commissions, which consider applications, inspect damaged housing and decide on the assignment of assistance that can be directed to repairs.
As it was reported with reference to the KSE Institute data, during the year of war in Ukraine about 153.8 thousand dwellings were damaged or destroyed, including 136 thousand private houses and 17.5 thousand apartment houses.
The Verkhovna Rada of Ukraine has adopted in general draft law No. 7198 on the creation of a state register of housing damaged and destroyed as a result of Russia’s armed invasion of Ukraine, and the procedure for compensation for it.
The bill was supported by 275 people’s deputies at Thursday’s meeting, Yaroslav Zheleznyak, a member of the Golos faction, said in a Telegram feed.
According to the draft law, compensation will be provided only for residential property damaged or destroyed since February 24, 2022. At the same time, the law does not apply to the objects that on the date of martial law were located in the temporarily occupied territories.
Owners of apartments and other residential premises will be able to receive a housing certificate confirming guarantees of the state to finance the purchase of housing (including those built in the future) within a certain amount, while owners of private houses will have a choice between receiving a certificate and monetary compensation. Such monetary compensation will be accrued in a special regime to finance construction.
The bill does not set a limit on the amount of compensation, as well as limits on the location, type and size of new housing financed by the certificate. At the same time, if the cost of housing will be lower than the amount specified in the certificate, the balance of compensation will be paid only at the expense of funds received from the Russian Federation for the reimbursement of damages.
The term for applying for compensation is during martial law and within one year after its cancellation. It is possible to use the certificate within five years from the date of its issue, and it is prohibited to alienate housing (except inheritance) for five years.
The applications will be considered by the commissions for consideration of compensation established by the executive bodies of local councils, military or civilian-military administrations.
According to the draft law, sources of financing of compensations can be state and local budgets; funds from international financial organizations, creditors and investors; international technical and/or refundable or non-refundable financial aid; reparations or other recoveries from Russia and others.
As reported, Ukrainians have already submitted more than 325,000 reports of destruction or damage to housing through Diya
Prepared for the second reading of the bill on compensation for damaged and destroyed housing (#7198) takes into account the position of the Ministry of Reconstruction that compensation for destroyed housing, recorded in the “Diya”, will be provided with money in the form of housing certificates, not square meters, said Deputy Minister Alexandra Azarkhina.
“A person will have the opportunity to choose how he uses the housing certificate – either in the secondary housing market or primary housing. There is also an opportunity, in case of loss of a private house, to receive compensation for building materials and work on the site of the destroyed house,” – she said at the signing ceremony of the Memorandum of Cooperation between the Ministry of Reconstruction and Public Organization “Office of Transformation”.
Azarkhina specified that the housing certificate would be issued for the amount, which reflects the value of the destroyed housing, and it can be used when buying real estate.
The Deputy Minister stressed that the ministry and the team of authors of the bill № 7198 were categorically against the state itself to build housing to replace the destroyed and settle people there.
“We were against it, and we are glad that our approach was supported,” said Azarkhina.
“Housing certificate” can be used for five years to buy an apartment, private, garden or summer house on the primary or secondary markets. You can choose any region, except temporarily occupied territories and those where military operations are conducted. If funds from the housing certificate are not enough to buy the desired property, a person can add the missing amount, she added.
The basic source of compensation should be seized Russian assets.
As reported, more than 2.4 million Ukrainians live in housing damaged as a result of Russian aggression. Diya has already received more than 316 thousand applications for destroyed and damaged property. The Verkhovna Rada approved the draft law No. 7198 in the first reading in April 2022.
