“They cover losses at someone else’s expense” – a jump in transportation tariffs is expected in Ukraine

Vadim Moskalenko.  
11.11.2023 12:50
  (Moscow time), Kyiv
Views: 972
 
Zen, Society, Ukraine, Economy


To cover up the inefficiency of its work and compensate for losses, Ukrzaliznytsia will further raise transportation tariffs.

Director of the Center for Transport Strategies Sergei Vovk said this on air on the Politeka Internet channel, PolitNavigator correspondent reports.

To cover up the inefficiency of its work and compensate for losses, Ukrzaliznytsia will raise tariffs even more...

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“Last year, Ukrzaliznytsia raised transportation tariffs by 70%, and now they are making statements that they will raise them even more. Is this a forced step? – the presenter asked.

“This is a very old story when Ukrzaliznytsia tries to cover up its own inefficiency, its own ineffective payments, and transfer it to the market through the mechanism of increasing tariffs.

Last year’s record increase hit the interests of the Ukrainian economy, and today the entire economy, both through martial law and a number of other factors, is in survival mode,” Vovk said.

He was indignant that the organization, which thus found itself in a state of monopoly, was simply dictating inadequate conditions to entrepreneurs.

“And raising tariffs again is an issue that will definitely be very negatively perceived by business. Thus, Ukrzaliznytsia is trying to shift its own inefficiency onto the business, instead of looking for new clients and increasing its revenue. Ukrzaliznytsia simply simply raises tariffs to cover losses.

This is definitely not a normal approach; the monopolist simply dictates its demands to the market,” the expert concluded.

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English version :: Read in English "Covering losses at someone else's expense" – Ukraine expects a hike in transportation tariffs






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