Ukrzaliznytsia (Ukrainian Railway)

2023: US to allocate $225 million to build Euro gauge 75 km from Lviv to EU border for grain export

In December 2022, it was announced that the United States will allocate $225 million for the construction of a euro gauge 75 km from Lviv to the border with the European Union.

The money will be directed by the US Agency for International Development (USAID) with the aim of creating a double-track railway section that will connect Lviv with the EU transport system.

It is noted that this construction will significantly expand the possibilities for exporting agricultural products from Ukraine.

2022

Reducing the possibility of using electric locomotives after strikes of the Russian Armed Forces

With the beginning of the massive missile attacks of the Russian Armed Forces on the energy infrastructure by the end of November 2022, problems began in Ukraine with the transportation of military cargo: the reason was power outages, complicating the operation of electric locomotives. The authorities have already promised to solve the problem by more active use of diesel locomotives.

But how realistic are these plans? To do this, it is necessary to analyze the state of the industry and railway transportation in the country.

In 2018, the Ukrainian traction train fleet included:

• 1628 main electric locomotives,
• 680 main diesel locomotives,
• 1258 shunting diesel locomotives.

All of them were not new and to varying degrees required repairs. The Ukrainian railways mainly use diesel locomotives 2TE-116, 2TE10m and 2TE10u, which were produced at the Lugansk diesel locomotive plant. With the beginning of the special operation of Russia, the Kyiv authorities lost the opportunity to receive original parts even according to the previously existing "gray" schemes.

At the beginning of the SVO of Russia, Ukraine owned only about 250 serviceable main-line diesel locomotives, which, in addition, were very worn out. By the end of November 2022, there were even fewer of them: during the hostilities, Ukrainian railway workers lost diesel locomotives in Popasnaya, Nikolaev and Pologi.

The general decline in the country's economy and a decrease in cargo transportation freed up a significant part of diesel locomotives for military needs. But even they are still not enough to simultaneously provide the Armed Forces of Ukraine, fuel supplies and grain transportation.

The situation is aggravated by the need to use diesel locomotives for domestic passenger flights. It is caused by stops of main electric locomotives on routes due to the disappearance of voltage in the network after rocket strikes.

During the SVO of Russia, freight transportation decreased by 65%, 6,300 km of tracks were destroyed

By the end of June 2022, during the military special operation of Russia at the Ukrainian state enterprise Ukrzaliznytsia, which is engaged in railway transportation, a crisis situation had developed.

Due to the ongoing hostilities, freight traffic was reduced by 65%, almost 6,300 km of railway tracks were destroyed. The restoration of the railway infrastructure, including several traction substations, was estimated at 100 billion hryvnia.

Among other major losses of Ukrzaliznytsia were:

• destruction of a large diesel locomotive depot at the Pologi station of the Zaporizhzhya region,
• decommissioning of the railway unit in Kharkov,
• the actual railway blockade of Nikolaev due to the strike on the railway bridge near the Trikhaty station,
• destruction of the bridge in Zatok,
• destruction of infrastructure near Kyiv: a move to Korosten and Nizhyn.

As a result, monthly expenses amount to more than 7 billion hryvnia. But free evacuation flights and transportation of humanitarian aid, which are not paid, have grown. Ukrzaliznitsa had to raise the prices for all freight transportation to 70%.

As a result, Ukrzaliznytsia employees receive minimum salaries. Since the beginning of hostilities, employees have received 5,000 - 7,000 hryvnia per month.

2020: You can now ride trains in Ukraine with digital documents

In July 2020, it became possible to ride trains in Ukraine with digital documents. The local railway carrier - Ukrainian Railway - already accepts four digital documents from the Dіya application: an ID card, a foreign biometric passport, a driver's license and a student ticket.

For example, a digital student has the same features as a plastic one: identifies an identity that confirms student status and provides discounts.

Students, when boarding a train, instead of the plastic original, can present a digital document from the mobile application "Dіya." A digital student ticket also allows you to travel by train with a 50% discount, the Ukrzalіznitsya press service reports.

Reduced travel is provided to students of universities of I-IV accreditation levels and students of vocational educational institutions.

You can now ride trains in Ukraine with digital documents

You can travel with discounts with digital student cars in common and reserved seat cars, class 2-3 cars of all categories of intercity communication, all regional train cars, commuter trains. However, when driving in cars of the highest category of the SV type, coupe and in cars of the 1st class, except for trains of the Regional Train category, the full ticket price is set for students.

In "Dіya" are available electronic analogues of internal passports in the form of an ID card and foreign biometric passports, as well as a driver's license and a vehicle registration certificate. You can verify their authenticity using a QR code. By scanning it through the application, any Ukrainian will be able to verify the validity of another person's document.

Upon completion of quarantine, a digital passport will become an integral part of life for more than 19.5 million citizens of Ukraine, the country's authorities said.^[1]

2019: Underground mining

In mid-November 2019, it became known that underground mining was organized at the Ukrainian Railway (UZD) and caused large losses to the enterprise.

According to the UZD website, cryptocurrencies about 100 units of computer equipment connected to the network were found in the room where the equipment for mining was located. The farm was organized by workers of the Lviv railway.

It became known that underground mining was organized at the Ukrainian Railway (UZD) and caused large losses to the enterprise

The farm was discovered by the economic and information security department of the URD, after which the local prosecutor's office opened a criminal case.

According to Oleg Nazaruk, director of the economic and information security department of Ukrainian Railways, the corporation's losses are estimated at about 1 million hryvnia ($41 thousand) due to illegal use of electricity.

The inspection materials were sent to the Ternopil police department. In fact, criminal proceedings have been opened.

Oleg Nazaruk stressed that Ukrainian legislation prohibits the issue and circulation of cryptocurrencies in the country.

Meanwhile, in early November 2019 Verkhovna Rada , bills were introduced in, which will allow legalization in, To Ukraine cryptocurrency as well as determine the status of mining and crypto assets.

The draft law proposes to introduce a 5% tax on personal income on investment profits from the sale of crypto assets for a period of 5 years. At the same time, the document notes that transactions for the sale of crypto assets are not subject to value added tax taxation.

The Ministry of Digital Transformation reports that it has developed a bill together with the blockchain community, the inter-factional deputy association of the Verkhovna Rada of Blockchain4Ukraine ("Blockchain for Ukraine") and the non-governmental expert center BRDO Effective Regulation Office.^[2]

1989

Yanov Station, 1980s, Kyiv region, Pripyat

Notes