Money for grants is not enough: can be affected Ukrainians and how to save the situation

On subsidies this year have not 47 billion provided for in the budget, 100 billion, said the Chairman of the parliamentary Committee on housing Alyona Babak. Of funds in the budget is not enough, as a result, the state saves billions of dollars in debts to suppliers of utilities and the preparation for the heating season was under threat. In fact, the utility companies, even if the population pays the bills, can’t pay off before the “Naftogaz”. Ukrainians risk to remain not only without hot water and heating. The website “Today” figured out why the budget did not have enough money for subsidies and what to do next.

How much really should be spent on subsidies

In Ukraine for several years, the number of subsidianes increased several times. If at the end of 2014 “utilities discount” received about a million families at the end of this heating season, grant will receive about seven million households, that is, every second Ukrainian.

For the Ukrainians “discount” suppliers of utility services paid by the state. This payment should ideally take place with a delay of one month. At the moment, according to the representative of the civil network OPORA Tetiana Boiko, in different cities of Ukraine the state does not pay subsidies already from three to six months. “In some houses off the elevators, not a good time to take out the trash. Municipal enterprise was in a catastrophic situation,” – said the expert during a round table “Subsidy and debts for gas: myths and reality”.

“In some houses off the elevators, not a good time to take out the trash. Municipal enterprise was in a catastrophic situation,” – said the expert.

The Ministry of social policy explain: the funds which are budgeted are insufficient in order to Finance the subsidies. About 10 billion hryvnias unused, but already allocated for the grant funds, the state will return in the near future, says the Director of the Department Minsotspolitiki Vitaly muzichenko. Only after that the Ministry will clearly be able to calculate how much money is not enough. “When we finish the return of the unused amounts in the budget. Then we can say that need a certain amount and its not enough”, – says the official.

Photo: archive

The Ministry of Finance estimated that this year the subsidies need to spend about 75 billion hryvnia. To Finance, the Cabinet must prepare a decision on the draft amendments to the budget. To vote this decision before the recess, otherwise the money will end, and means for the preparation for the heating season as service providers is not enough.

“When forming the budget in 2017, it was assumed that 47 billion UAH will be sufficient if the number of subsidianes will not change much. At the end of the heating season, it became clear that this money is not enough. Prepare draft amendments to the state budget to resolve a critical situation. The amount that is provided, another 15 billion hryvnia – this is enough to solve the problem,” the Deputy Minister says.

However, the situation radically will not change. Every second Ukrainian family receives subsidies, and the budget, it becomes too heavy a burden. According to Sergei Marchenko, politicians need to be ready to “make unpopular decisions”.

Some experts believe that 75 billion hryvnia is not enough for subsidies up to the end of the year. The former head of the national Commission, Vice-President of “Ukrteplokommunenergo” Sergey Dunaylo sure that an additional 10-15 billion hryvnia will delay the solution to the problem until October.

“The Association has 90 companies. We do not have any businesses that have received incentives and subsidies for the released heat. I don’t know what you think now in the Cabinet, now every unpaid penny leads to the fact that “Naftogaz” will consist of fines and penalties. Enterprises are now working to pay penalties. Businesses get almost all zeros”, – says Sergey Dunaylo.

Where the state takes the money for subsidies

The current system assumes that subsidies financed through taxation of “Naftogaz”. According to the Director of the Department of tax planning and regulatory policy “Naftogaz of Ukraine” Yuriy Kolbushkin, this year the company will pay $ 74 billion hryvnias of taxes, but subsidies in the state budget provided for only 47 billion.

Photo: archive

“Threshold strength may rupture. We need to work to tolerant to carry out calculations and prepare all enterprises for the heating season”, – says the representative of “Naftogaz”.

“Threshold strength may rupture. We need to work to tolerant to carry out calculations and prepare all enterprises for the heating season”, – says the representative of “Naftogaz”.

As explained in the Ministry of Finance, the budget of Ukraine this year have already been distributed, and to find 10-15 billion in subsidies, they need somewhere or someone to pick up. The funds that will be added in the budget by raising the minimum wage, will be directed to the “modernizing” of pensions. How to solve the problem of financing grants is currently unknown. Recently, Prime Minister Vladimir Groisman said that the government will ask the Parliament to allocate 15 billion. Approximately 10 billion – the savings on subsidies, funds that will return to the budget.

“We have an understanding of the figure, and I want to assure you that the government this month will ask the Parliament’s support, will make proposals for reallocation of 15 billion in benefits subsidies to enterprises CTV and all others who provide communal services”, – said the Prime Minister.

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