Business news from Ukraine

LARGEST UKRAINIAN MOBILE OPERATOR KYIVSTAR WANTS TO LAUNCH 4G MOBILE COMMUNICATIONS IN KHARKIV SUBWAY

The Kyivstar mobile communications operator plans soon to start providing 4G mobile communications services in Kharkiv subway, the press service of the operator has told Interfax-Ukraine.
Kyivstar, in accordance with the legislation of Ukraine, registers all trademarks that can be used for promotional purposes. In particular, the company plans to soon provide 4G services in Kharkiv subway,” Kyivstar said.
Earlier, the operator submitted an application for the brand “Yakіsniy 4G Uzhe v Metro.” The corresponding notification was placed in the register of trademarks of the Ukrainian Intellectual Property Institute (Ukrpatent) accepted for registration.
Kyivstar is the largest Ukrainian mobile operator. It provides communication and data services based on a wide range of mobile and fixed technologies, including 4G. As of the end of 2018, about 26.4 million mobile subscribers and about 0.9 million fixed Internet clients used its services.

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HYUNDAI CONSIDERS PARTICIPATION IN SUBWAY DEVELOPMENT IN KHARKIV

First Deputy Kharkiv Mayor Ihor Terekhov and Head of Representative Office of Hyundai Corporation in Ukraine Jeong Ilryoung have discussed a possibility of the company’s participation in some infrastructure projects being implemented in the city, in particular, in a tender to build subway and procurement of rolling stock for subway. “Our company has extensive experience in such projects in different countries, including those that used the same subway characteristics as in Kharkiv. We do turnkey work. We install our system and rolling stock. We work with the government of South Korea, therefore, would like to continue our cooperation at the government level in financing other urban projects,” the press service of the Kharkiv City Council reported, citing Jeong Ilryoung.
Terekhov said that Kharkiv provides absolutely equal conditions for all bidders and is interested in cooperation if Hyundai Corporation wins the tender.
He also said that, according to the technical conditions of the tender for procurement of rolling stock, it should be a new generation of energy-saving trains equipped with asynchronous engines.
In addition, the first deputy mayor of Kharkiv and the head of the Hyundai Corporation in Ukraine discussed possible cooperation in the development of ground-based urban electric transport.
“We discussed the possibility of attracting grant money from the Korean government to maintain rolling stock with the subsequent development of a project to upgrade the tram fleet. However, I will emphasize that this should be a comprehensive solution – we need not only to buy new trains, but we also need to update the tram tracks. For example, first, you need to repair certain routes, and after that put new trams on them,” Terekhov said.

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ALSTOM (FRANCE) INTERESTED IN SUBWAY MODERNIZATION PROJECTS IN UKRAINE

Alstom (France), a manufacturer of rolling stock and infrastructure, is interested in subway modernization projects in Ukraine, Alstom CEO Henri Poupart-Lafarge has told reporters in Kyiv.
“We know that the subway in Ukraine should be modernized. So far we have not conducted any negotiations on this, but in principle this could be a project for cooperation,” he noted.
According to the Alstom CEO, first of all, the company is interested in cooperation with large cities.
“First of all, we are interested in Kyiv, because the larger the metro network in the city, the more interesting cooperation with it is. But so far we have not met with the local authorities, only at the government level,” the expert said.
Alstom is one of the world’s leaders (along with Siemens and Bombardier) in the production of power equipment and railway transport. The company’s revenue in the 2017-2018 fiscal year grew by 8.8%, to EUR7.95 billion.

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TENDER TO BUILD SUBWAY TO VYNOHRADAR DISTRICT IN KYIV COMPLETED

Municipal enterprise Kyiv Metropoliten, the customer for construction of a subway line to the Vynohradar residential area in Kyiv, has reported that after a tender OJSC Kyivmetrobud offered the lowest price for the implementation of works and the acceptation procedure has been launched.
“In the ProZorro public procurement system, a tender for the construction of the Syretsko-Pecherska subway line section from the Syrets station to the Vynohradar residential area with a depot in the Podilsky district (the section from the Syrets station to the Pravdy Avenue station with two stations (Mostytska and Pravdy Avenue) and the section towards the Vynohradar station (the first stage of construction) was completed,” Kyiv Metropoliten reported last week on its Facebook page.
According to the report, the lowest price for the work was offered by OJSC Kyivmetrobud – UAH 12.214 million below expected value.
“In accordance with the legislation, the procedure for acceptance has begun,” Kyiv Metropoliten reported.
According to the screenshot of the corresponding tender from the Prozorro website posted in the same message, Kyivmetrobud offered to perform the said work for UAH 5.981 billion with VAT.
Kyiv Metropoliten announced a tender for the construction of a subway line from the Syrets station towards the Vynohradar residential area in the Podilsky district worth UAH 6.3 billion in January 2018. The date of the tender was repeatedly postponed. The tender completed recently was announced on September 11, 2018. The expected cost of work at the last auction fell to UAH 5.99 billion.

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CHINA RAILWAY INTERNATIONAL GROUP COMPLETES STUDY FOR KYIV’S FOURTH SUBWAY LINE CONSTRUCTION PROJECT

China Railway International Group has confirmed the completion of the preliminary feasibility study for a project to build the fourth subway line in Kyiv, Deputy Head of the Kyiv City Administration Dmytro Davtyan has said. “… Together with representatives of the Ukrainian delegation, I met with the leadership of China Railway International Group. I received an official letter from the head of the company’s board, which officially confirmed the completion of the preliminary feasibility study for the construction of the fourth subway line,” he wrote on his Facebook page. According to him, the Chinese company also provided a pre-feasibility study, which will be presented in Kyiv.
Earlier Kyiv City Mayor Vitali Klitschko said that the construction of the fourth subway line will begin after the completion of the Podilsko-Voskresensky Bridge and will last five years. The cost of construction is estimated at $2 billion. At the same time, it is proposed to provide 85% of the project’s projected cost through a loan from Chinese financial institutions.

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KYIV ANNOUNCES REPEATED TENDER TO BUILD ANOTHER SUBWAY LINE

Municipal enterprise Kyiv Metropoliten, which ordered the contraction of the subway line running to the Vynohradar residential area in Kyiv, has announced the repeated tender. According to the information in the ProZorro e-procurement system, the expected cost of works is UAH 5.994 billion. Bids can be submitted before October 11 inclusively. The bids will be opened on November 16. The bid security is UAH 1 million (at the previous tender it was UAH 29.9 million). The minimum decrement is 0.5% (UAH 29.9 million).
In addition, during the new tender the only criterion for selecting the winner is the price, while at the previous tender the term of work delivery was taken into account by 25%.
As reported, on September 5, 2018, Kyiv Metropoliten cancelled a tender for constructing a new subway line to the Vynohradar residential area. One of the bidders, PJSC Kyivmetrobud failed to provide a bank guarantee in time for participating in the auction. Kyiv Metropoliten rejected the offer of another participant, LLC Adamant Construction Company (Adamant), citing the company’s failure to provide reliable tender documents. Adamant filed a complaint with the Antimonopoly Committee of Ukraine leading to the cancellation of the auction.
Kyiv Metropoliten in January 2018 announced a tender to build the Syretsko-Pecherska subway line from the Syrets station to the Vynohradar residential in Kyiv’s Podilsky District to the tune of UAH 6.3 billion. The date of the tender was repeatedly postponed. The expected cost of work at the last auction fell to UAH 5.99 billion.
Kyiv City State Administration approved the subway line construction blueprints in July 2018.
The new section of the subway line will consist of two stations – Mostytska and Prospekt Pravdy, as well as a section in the direction to the Vynohradar station. It is estimated that construction work will take 36 months.

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