The Verkhovna Rada registered a draft law "On Amendments to the Law of Ukraine "On State Regulation of the Production and Turnover of Ethyl, Cognac and Fruit Alcohol, Alcoholic Beverages, Tobacco Products, Liquids Used in Electronic Cigarettes, and Fuel" Regarding Fuel Storage Licensing" No. 5242-1 of 30 March 2021 (the "Draft Law").
Current legislation requires business entities (in particular, agricultural producers) to obtain a license to store fuel for their own consumption. For fuel storage without obtaining such a license, the law establishes a fine of UAH 500,000.
However, the Draft Law suggests to abolish the licensing of storage of fuel for businesses that store fuel for their own consumption needs, as well as reduce the fine for storage of fuel without a license, namely, set it at UAH 78,000. Also, the Draft Law proposes to postpone the application of sanctions in case of fuel storage without a license.
According to the authors of the Draft Law, it will eliminate excessive over-regulation in the activities of economic entities that store fuel exclusively for their own consumption needs.
We are monitoring the status of the Draft Law and will inform regarding its further consideration.
For more information, please contact Partner Vadym Samoilenko and Counsel Anton Sintsov