The constant increase in freight rates from Ukrzaliznytsia has been the subject of sharp criticism from Olena Kolesnikova, head of the industry council of the Federation of Metallurgists of Ukraine. She stated that such decisions are evidence of the inefficiency of the company's management, especially in the context of record growth in transportation volumes and revenues of Ukrzaliznytsia.
Kolesnikova noted that another tariff increase for industrialists is a “patching of holes” at the expense of the enterprises that suffered the most. She emphasized that the management of Ukrzaliznytsia must provide an economic justification for changing the tariffs, especially given the concept of “convergence of classes” of cargo, which, according to her, is impractical.
“What is the rapprochement of classes? One used logistics by 10%, and the other by 110%, and we have to pay the same? This is absolutely not economically justified. Therefore, we remain on the position that Ukrzaliznytsia should recalculate tariffs, since they are overpriced for the industry,” Kolesnikova noted.
Kolesnikova also pointed to the need for effective resource management and reforms at Ukrzaliznytsia to ensure transparency in the company's operations and eliminate corruption. According to her, the lack of reforms and the unjustified expenses incurred by the company indicate poor management.
"If they had carried out the necessary reforms, there would have been no strange purchases and unjustified expenses. Now it seems that the efficiency of their work is ensured solely by increasing tariffs for those who already pay more than is justified," she noted.
“Ukrzaliznytsia” is demonstrating record transportation volumes, for the first half of 2024 the company reports a profit of UAH 3.1 billion. However, according to forecasts, a loss of UAH 2.7 billion may be recorded by the end of the year. The company’s management has not yet explained the reasons for the possible loss, but has already initiated a new increase in freight tariffs.
The European Business Association called on Ukrzaliznytsia to focus on finding internal reserves and reducing operating costs, rather than shifting its financial problems to the business.
