The Verkhovna Rada has adopted as a basis draft law No. 12230 concerning the peculiarities of privatizing state and communal property transferred for lease, which excludes the lessee's right to acquire the property through non-competitive means.
"Our draft law No. 12230 - closing the scheme for acquiring communal property due to indispensable improvements - has been accepted as a basis," - wrote MP Yaroslav Zheleznyak (the "Holos" faction) on his Telegram channel.
He reported that the draft law was supported by 275 parliamentarians on Thursday.
According to a study by Transparency International Ukraine, the economic effect of using the acquisition mechanism is significantly lower compared to privatizing assets on a competitive basis. The use of this mechanism has led to a loss of approximately UAH 522 million for local budgets from January 2019 to November 2024.
From 2019 to 2024, 3,082 communal property objects were privatized in 82 cities across Ukraine. Nearly half of them (1,500 objects) were sold in six cities: Dnipro (359), Lviv (343), Odesa (314), Kyiv (182), Kharkiv (181), and Kryvyi Rih (121).
According to data obtained from local self-governments, since 2019, over 41% of all privatized communal property objects were under lease before the sale. The lion's share of these – 1,083 (almost 85%) – were acquired through the mechanism of purchasing leased property. At the same time, the sale price of such objects accounted for just over a quarter (UAH 1.23 billion) of the total value of all privatized assets (UAH 4.77 billion).
Draft law No. 12230 proposes a mechanism for conducting an auction with the application of the lessee's preemptive right to purchase the property at the highest price offered at the auction, instead of the lessee's right to acquire the property non-competitively.