10 November 2026, 15:24
The Law provides for the reform of the existing system for implementing travel concessions and addresses a number of systemic problems in the field of preferential transport services, including:
the lack of accurate accounting of the number of beneficiaries and actual passenger transport volumes;
a lack of transparency in the use of funds for carrier compensation;
abuses by certain carriers and violations of beneficiaries' rights;
the absence of a legal mechanism for providing targeted monetary assistance at the local level;
conflicts between carriers and preferential categories of the population.
The adopted Law provides for a transition to a targeted monetary form of providing travel concessions in passenger transport.
The exercise of the right to travel on preferential terms in passenger transport shall be carried out upon presentation of a paper ticket, an electronic ticket generated and/or used by a territorial automated fare collection system, or through a software-based settlement complex when purchasing such a ticket using an electronic payment instrument linked to a current account with a special regime of use opened with a bank.
The procedure for exercising the right to travel on preferential terms is determined in accordance with Article 71 of the Law of Ukraine “On Transport”.
All preferential transport services shall be accounted for using territorial Automated Fare Collection System (AFCS). and consolidated into a Single AFCS.
The right to travel on preferential terms in passenger transport for persons specified in the Law of Ukraine “On the Status of War Veterans and Guarantees of Their Social Protection” will be implemented at the expense of the state budget in the order and amounts established by the Cabinet of Ministers of Ukraine. For other preferential categories, it will be funded by local self-government bodies.
The implementation of the Law will allow to:
create a single and transparent accounting system for beneficiaries, minimizing the risk of manipulation and ensuring the efficient allocation of budgetary resources;
introduce modern tools for electronic accounting and transport control, enabling the verification of actual services provided;
reduce conflict situations between carriers and passengers through clear rules and a unified compensation system;
optimize local budget expenditures by eliminating abuse and unjustified spending.
The reform in the field of travel concessions is necessary and timely, as it ensures a fair distribution of funds, increases transparency and public trust in government authorities, and creates conditions for the provision of high-quality and safe transport services.
The Law shall enter into force on July 1, 2028, providing a sufficient transition period for technical, organizational, and regulatory preparation.
Within nine months from the date of publication of the Law, the Government is instructed to submit draft laws introducing amendments to the Budget Code of Ukraine to clearly delineate the sources of funding for concessions between the state and local budgets.