Road Map of Eurointegration Reforms

Road Map ofEurointegration Reforms

FOOD SAFETYREFORM

ENERGY SPHEREREFORM

Further adaptation of Ukrainian legislation inpart of sanitary and phytosanitary measuresis important for:

1. Implementation of the Association Agreement betweenUkraine and the EU, in particular of the Free Trade Area (FTA);

3. Improvement of the safety and quality of productssold on the domestic market of Ukraine.

2. Increase of bilateral trade of food products of animalorigin between Ukraine and the EU;

The Draft Law of Ukraine #2845«On Feeds»

The Draft Law of Ukraine«On informing consumers aboutthe properties of food products»

Has to be adopted to ensure the development of nationalfood safety system in accordance with the basic principleof the EU food law where food safety is monitored throughoutthe chain “from farm to fork”.

1. The issue of food labelling is currently conditioned bynumerous regulations that cause legal discrepanciesand losses for business;2. New labelling rules for food products came into effect inthe EU in December 2014 and are required to be taken intoaccount during the preparation of the relevant draft law in Ukraine;3. Тhe draft law is partly developed, but its inclusion to theagenda of the Verkhovna Rada of Ukraine should take placeonly after its revision by EU food legislation experts!

5. “On veterinary border checks”4. “On novel food”

3. “On the general requirements to food contactingmaterials”

2. “On informig consumers about the propertiesof food products”

1. #2845 “On feeds”

*PRIORITY LAWS As of 21 July 2015

GROUNDS: in pursuance of Chapter 4 “Sanitary and PhytosanitaryMeasures” of the Association Agreement between Ukraine and the EU

ADOPT THE FOLLOWING LAWS:

Reform of Ukrainian legislation in part ofenergy market reform and increase of energytransparency is important for:

1. Implementation of the Association Agreement, the Protocolon the accession of Ukraine to the Energy Community Treaty;

3. Increase of investments in the energy sector,strengthening of energy security.

2. Increase of the energy sector transparency, thusreduction of corruption and liquidation of shadow schemes;

Draft law of Ukraine #2250“On natural gas market”

1. Adoption of the draft law is required for the implementationof the Third Energy Package;

3. The draft law describes the procedures and liability of thesubject to enhance the security of gas supply in a crisissituation, the division of market players, consumer protection.

2. Ukraine has had to pass the law by the year 2015;

1. Adoption of the draft law will allow to fulfil the requirementsof the Extractive Industries Transparency Initiative - namely,to disclose the funds paid by the companies in the field ofextraction and transportation of oil and gas to the budgetsof different levels, and also the income received by the statefrom the activities of these companies; information on theiractivity and the license holders;2. It is important to combat corruption and increasethe attractiveness of the mining industry of Ukraine.

2. #2591 “On transparency of mining industry”1. #2250 “On natural gas market”

GROUNDS: Directives 2009/73/EC (Articles 338, 341, Annex XXVII);2013/34/EC (Articles 338, 341, Annex XXVII to the Association Agreement)

ADOPT THE FOLLOWING LAWS:

Draft law of Ukraine #2591“On transparency of mining industry”

THE CUSTOMSREFORM

The approximation of the Ukrainian customslegislation and customs procedures to the EUpractices is important for:

1. Implementation of the Association Agreementin particular Title IV “Trade and issues related to trade"

3. Improvement of Ukraine's place in Doing Business rate.4. Creation of favourable conditions for international trade,business and investment.

2. Implementation of the Agreement on Trade Facilitation,adopted by the WTO on 27 November 2014 in Geneva;

Draft Law of Ukraine “On the Implementationof EU Regulations provided by AA”

1. Facilitating procedures of goods declaration at customs inaccordance with the EU regulations;

3. Improving provisions of protection of intellectual propertyrights during movement of goods;4. Bringing exemptions from customs payments in line withthe EU practices.

2. Introducing a unified transit procedure during movementof goods across EU-Ukraine border;

1. Elimination of excessive regulatory burden on economicoperators, abolition of unnecessary governmental control;

2. Submission of all permits exclusively in electronic form;

3. A risk-based approach in determining control objects;

4. The principle of "tacit consent" during issue of permits.

3. “On Amendments to Customs Code of Ukraineon Simplification of Customs Formalities forAuthorized Persons”

4. “On Amendments to Customs Code of Ukraine(regarding customs valuation and methods of itsdefinition)” (draft law #2061-а)

2. “On Amendments to Customs Code of Ukraine andCertain other Legislative Acts of Ukraine GoverningMovement of Goods across Customs Border ofUkraine for which Limitations are Set” (regardingimplementation of the “one-stop shop” concept)

1. “On Amendments to Customs Code of Ukraine”(regarding implementation of the EU Regulations,provided for in Article 84 of the Association Agreement)

GROUNDS: Chapter 5 “Customs and Trade Facilitation” and Annex XV“Approximation of Customs Legislation” of the Association Agreement

ADOPT THE FOLLOWING LAWS:

Tasks for the Verkhovna Rada of Ukraine for 2015

Draft Law of Ukraine “On Implementation of“one-stop shop” Concept”

ANTI-MONOPOLYLEGISTATION REFORM

Adaptation of ukrainian anti-monopolylegistation is important for implementation ofthe Association Agreement:

1. Assurance of the transparency of the AntimonopolyCommittee of Ukraine (AMCU) activity;2. Simplification of the system of control over the concentration;3. Deregulation of the economy by strengtheningself-regulation of markets;4. Guarantee of people’s rights enforcement in relationswith the AMCU.

Draft Law of Ukraine #2431 “On Amending thelegislation of Ukraine on competition forimplementing the methodology of fine calculationimposed for violation of competition legislation”

Draft Law of Ukraine #2168-a "On Amending theLaw of Ukraine "On the Protection of EconomicCompetition" to consider an application forpre-merger clearance by simplified procedure"

1. The following Laws of Ukraine "On Antimonopoly Committeeof Ukraine", "On Protection of Economic Competition", "OnProtection from Unfair Competition" are to be amended for thedevelopment of commitment and approval of the methodology;

2. The adoption of the methodology will promote transparentand clear rules, understandable and predictable sanctions tothe economic entities for the violation of competition legislation.For the same violation the companies are exposed to variousamount of fines.

1. #2431 “On Amending the legislation of Ukraineon competition for implementing the methodologyof fines calculation imposed for violation ofcompetition legislation”2. #2168-a "On Amending the Law of Ukraine "On theProtection of Economic Competition" to consideran application for pre-merger clearance bysimplified procedure"

3. "On Amending the Law of Ukraine" On Protection ofEconomic Competition" in part of disclosure of decisionsin relation to concerted f actions and concentration"4. "On Amending the legislation regarding to theinvestigation of cases on the Protection of EconomicCompetition by the Antimonopoly Committee of Ukraineand the appeal of their decisions"5. "On self-regulatory organizations"

GROUNDS: In pursuance of Chapter 10 Title IV of theAssociation Agreement between Ukraine and the EU

ADOPT THE FOLLOWING LAWS:

Ц Е Н Т Р С П І Л Ь Н И Х Д І Й . Г Р О М А Д С Ь К А О Р Г А Н І З А Ц І Я

C E N T R E O F U N I T E D A C T I O N S

1. Currently the vast number of world transactions that do nothave any effect on competition in Ukraine, require priorauthorization by the Antimonopoly Committee of Ukraine.Preparation and review of applications require considerabletime, which in turn makes the parties to postpone thetransaction closing, while the concentration has no impacton competition in Ukraine;2. Simplification of procedures of the AMCU clearance for theconcentration that have no impact on competition in Ukrainewill contribute to more efficient processing of applications ongranting merger clearance and of cases that have a significantimpact on competition in Ukraine.

CUSTOMS