Key Highlights:
Declaration in Lieu of License:
- Businesses can operate by submitting a declaration to licensing authorities, instead of obtaining traditional permits and licenses.
- The procedure for submitting declarations, the required information, and restricted activities will be established by the Cabinet of Ministers within 15 days of the law’s enactment.
Submission Channels:
- Declarations can be submitted at any administrative service center, online via the Unified State Web Portal of Electronic Services, or through the "Diya" application or portal.
- The business location or the facility’s location is irrelevant for the declaration submission.
Validity and Legal Force:
- The declaration holds the same legal force as a permit or license during peacetime.
- It is valid for the duration of martial law and for three months after its termination or cancellation.
- Permits that expired during martial law remain valid for the same period.
Suspended Deadlines and Inspections:
- Deadlines for reissuing permits and submitting reports, notifications, and documents are suspended.
- Planned inspections of permit documents are not conducted during martial law.
Activity Restrictions:
- The law includes clauses prohibiting activities via declaration if they threaten national interests, critical infrastructure, public living conditions, or environmental safety.
- Examples of restricted activities include:
- Passenger and hazardous goods transportation by road and rail.
- Banking, financial services, and foreign economic activities.
- Gambling and lottery operations.
- Television and radio broadcasting.
- Cryptographic information protection services (excluding electronic digital signatures).
- Construction work on objects classified under certain consequence classes (СС1, СС2, СС3).
Broad Applicability:
- The law aims to provide regulatory relaxations for a wide range of business areas outside the specified restricted activities.
Benefits of the Law
Reduces Bureaucratic Barriers:
- Simplifies and speeds up the process of starting and running a business.
- Reduces the administrative burden on companies.
Flexibility for Relocated Businesses:
- Allows businesses to file declarations regardless of their location, benefiting those that have relocated.
Significant for Many Entrepreneurs:
- Eases the regulatory process, making it easier for businesses to operate during challenging times.
Potential Risks and Mitigation
Risk of Abuse:
- Possibility of abuse by unscrupulous business entities.
- Importance of an effective feedback mechanism between businesses, consumers, and government bodies.
Ensuring Compliance:
- Prompt response to possible violations of consumer rights.
- Increased responsibility for providing accurate information in declarations.
Conclusion
The new law has the potential to significantly stimulate entrepreneurial activity in Ukraine by reducing regulatory burdens and facilitating easier business operations during martial law. However, ensuring effective oversight and compliance mechanisms will be crucial to maximizing its positive impacts and minimizing risks.
