The next increase in freight tariffs will not make Ukrzaliznytsia more efficient, since the company remains a monopolist and does not have sufficient incentives to reduce costs and improve the quality of services. This was stated by the President of the International Freedom Institute (ILI) Yaroslav Romanchuk.
According to him, the tariffs of Ukrzaliznytsia are not formed in conditions of competition between carriers. Business cannot choose another railway operator, so it is forced to pay the costs of the system regardless of the speed, quality and efficiency of transportation.
“A monopolist’s tariffs are not market prices, but conventional units, which are determined rather by the wishes of the government and managers’ ideas about their own interests,” Romanchuk said.
The expert emphasized that the next indexation will only increase the logistics costs of manufacturers, but will not eliminate the causes of the financial problems of Ukrzaliznytsia.. As long as the infrastructure, rolling stock, freight and unprofitable passenger transportation remain within the framework of one company, the business will continue to cover its internal imbalances.
Romanchuk proposes to allocate tracks and traffic management to a separate infrastructure operator, and open freight and passenger transportation to private companies. Competition, in his opinion, should force carriers to fight for clients with price and quality of services, and not compensate for inefficiency with new tariffs.
“The railway tariff is a payment to Ukrainian producers for maintaining a monopoly and the state’s failures in creating a logistics market,” Romanchuk concluded.
Let us remind you that freight tariffs of Ukrzaliznytsia are planned to increase by 30% from August 1, 2026 and by another 15% from January 1, 2027. The All-Ukrainian Energy Assembly and the Federation of Employers of the Fuel and Energy Complex of Ukraine have already called on the government to prevent an increase in tariffs for freight rail transportation.