Law of Ukraine
“On Ukrainian Sea Ports”
Date of entry into force:
June 13, 2013
The Law determines the legal, economic and organizational principles of work in Ukrainian sea ports.
Article 1 of the Law provides definitions of terms used in it. For example, a sea port is a territory and aquatory within defined boundaries, equipped to service ships and passengers, carry out hauling, transport and forwarding work, and other types of business activity related to the above.
The Law regulates relations in the sphere of port work, namely, establishes the principles of state regulation of work in sea ports, the procedure for constructing, opening, expanding and closing Ukrainian sea ports, and the procedure for business activity carried out on their territory, including services; and determines the legal status of port infrastructure facilities. The Law regulates the work of executive authorities that carry out state regulation, management, state supervision and control of maritime safety, and supervision and control in the sphere of sea port work; the work of the national commission for state regulation in the sphere of transport, of the Ukrainian sea port administration, owners of marine terminals, stevedore companies, other business companies working in sea ports, and consumers of their services (goods, work). The Law does not apply to river ports, sea fishing ports, bases of the Naval Forces of Ukraine, maritime guard of the central executive authority that provides for implementation of state policy in the sphere of state border protection, and bases of naval ships of foreign states that temporarily remain in Ukraine according to international agreements of Ukraine ratified by the Verkhovna Rada of Ukraine (Article 2 of the Agreement).
The principles for organizing work and development of sea ports are defined in Article 4 of the Law.
New sea ports are constructed with regard to the Strategy Development of Ukrainian Sea Ports, and according to the legislation. The procedure for opening and closing sea ports is determined by the Cabinet of Ministers of Ukraine. Construction of a new sea port is carried out based on a resolution of the Cabinet of Ministers of Ukraine. This resolution must contain information about the geographic location of the sea port, including the coordinates of its territory and aquatory, the planned depth of the aquatory and the internal approach channel, design parameters and tonnage of ships to be received in the sea port, and the sources of financing of the sea port construction (Article 5 of the Law).
According to Article 6 of the Law, the Register of Sea Ports of Ukraine is an electronic database accounting for sea ports, with the objective of supplying data necessary to perform tasks in the sphere of maritime safety, environmental protection, and state supervision (control). The Register of Sea Ports of Ukraine is maintained according to the procedure determined by the Cabinet of Ministers of Ukraine.
Article 7 of the Law is dedicated to planning development of sea ports.
The boundaries of a sea port are the boundaries of its territory and aquatory. The boundaries of sea port territories are defined and changed by the Cabinet of Ministers of Ukraine, based on the provisions of the Land Code of Ukraine. The boundaries of sea port aquatories are defined and changed by the Cabinet of Ministers of Ukraine without infringing on the aquatory boundaries of adjacent sea fishing ports and river ports. A sea port aquatory is allocated (granted use of) to the administration of Ukrainian sea ports based on a resolution of the Cabinet of Ministers of Ukraine, according to the law (Article 8 of the Law).
According to Article 9 of the Law, a guide to sea port entry establishes the rules of servicing ships and passengers in the port, which have formed and been practiced in this sea port for a long time. A guide to sea port entry contains rules about:
- procedure for serving notification of the ship being ready for hauling operations;
- procedure for calculating lay time, unless it is established by agreement of the parties;
- list of services provided in the sea port;
- other rules for carrying out business operations within the sea port.
The guide to sea port entry is applied:
- if the maritime shipping agreement contains a provision on the use of guides to sea port entry;
- if the maritime shipping agreement lacks appropriate rules on the issues regulated by the guide to sea port entry;
- if the maritime shipping agreement contains provisions that are in conflict with the guide to sea port entry.
The regime of stay in a sea port is established by Article 10 of the Law.
Article 11 of the Law determines the regime in the check point on the state border of Ukraine, and customs control in the sea port.
The administration of Ukrainian sea ports and business entities working in the sea port shall take immediate measures to liquidate the consequences of natural disasters, accidents and catastrophes that led to the disruption of work in the sea port (Article 12 of the Law).
According to Article 13 of the Law, state regulation of work in a sea port is carried out by the Cabinet of Ministers of Ukraine, the central executive authority that provides for creation and implements state policy in the sphere of maritime and river transport, the national commission for state regulation in the sphere of transport, and other central executive authorities, within the scope of their authority, in order to provide for:
- maritime safety, and safety of public life and health;
- order in the sea port;
- safe operation of the port infrastructure facilities within the sea port territory and aquatory;
- comprehensive development and increased competitiveness of sea ports;
- appropriate maintenance, efficient management and operation of state-owned port infrastructure facilities;
- creating equal terms for business activities in the sea port;
- equal access to services provided in the sea port;
- preventing environmental pollution, and observing requirements to the use and protection of water bodies within the sea port territory and aquatory.
Navigation in the sea port aquatory is organized based on the distribution of functions to ensure maritime safety and supervise (control) maritime safety. Navigation in the sea port is supervised by the sea port captain, who is the head of the sea port captain service. Maritime safety in the sea port aquatory is ensured by the administration of Ukrainian sea ports, owners of maritime terminals and hydrotechnical facilities, ship owners, and other business entities that work in the sea port, according to the legislation and rules established by mandatory port resolutions (Article 14 of the Law).
The legal status of the administration of sea ports is determined in Article 15 of the Law.
Article 17 of the Law envisages that mandatory port resolutions are adopted by the administration of Ukrainian sea ports, by approval with the sea port captain and the central executive authority that provides for implementation of state policy in the sphere of maritime and river transport safety. Mandatory port resolutions contain port-specific information about:
- boundaries of the sea port watch zone, territory and aquatory, including information about the depth of the sea port aquatory and approach channels, and the sea port technical capacities for receiving ships;
- areas of mandatory and voluntary piloting, categories of ships and requirements to captains of ships exempt from mandatory piloting, as established by the central executive authority that provides for creation and implements state policy in the spheres of maritime and river transport;
- procedure for ship navigation in the sea port aquatory, channels and sea ways, including rules of ship entry and exit to and from the sea port, procedure for providing information about shop arrival and departure, procedure for using means of communication in the sea port aquatory, and the procedure for providing pilot services;
- rules of shop dockage, including coordinates for outer anchorage, rules for berthing and de-berthing;
- rules and established points for hauling and unloading work, and the procedure for ship maintenance and repair in the sea port;
- procedures for ensuring safety and order in the sea port, and the procedure for guarding shops and port facilities;
- environmental protection rules;
- rules for dredging works;
- sanitary and quarantine regime requirements, by suggestion of the department of the state sanitary and epidemiology service in the sea port;
- fire safety requirements in the sea port;
- procedure for ship crew disembarking, and for their stay on the territory of the sea port and port city during the ship dockage;
- other information related to ensuring maritime safety in the sea port.
Specifics of business activity in sea ports are determined by Article 18 of the Law.
Ship servicing, hauling operations, including loading and unloading, passenger services and other services provided for by the legislation are provided in sea ports (Article 19 of the Law). The following services are provided exclusively by state companies, institutions and organizations:
- regulating ship navigation;
- ensuring emergency service works;
- navigation and hydrographic support for seafaring;
- cartographic support for seafaring;
- preventing and liquidating spills of contaminating liquids.
Article 20 of the Law determines the obligations of business entities carrying out business in sea ports.
Tariffs for specialized services provided in sea ports by natural monopoly entities, and services included in port charges, are subject to state regulation by the national commission that carries out state regulation in the sphere of transport (Article 21 of the Law).
According to Article 22 of the Law, the following port charges are levied in sea ports:
- tonnage dues;
- docking dues;
- anchorage dues;
- channel dues;
- beacon dues;
- administrative dues;
- sanitary dues.
Funds collected in port charges can be used exclusively for their designated purpose. Maintenance of hydrotechnical facilities required to maintain their design parameters is financed from port charges levied in sea ports where such hydrotechnical facilities are located.
The legal status of property in the sea port is established by Article 23 of the Law.
Land plots within the territory of sea ports may be in state, municipal or private property. Artificial land plots are owned by the state, and the use of them may be granted, including under a long-term rent. Artificial land plots are included in the water fund lands. The sea port territory may consist of maritime transport land, industrial land and water fund land. Land plots housing strategic port infrastructure facilities and land plots that provide for work of the administration of Ukrainian sea ports are not subject to privatization and/or alienation by any means (Article 24 of the Law).
Article 25 of the Law provides for privatization specifics of port infrastructure facilities.
Private investing into state-owned port infrastructure facilities on the sea port territory is carried out on the basis of:
- concession agreements;
- cooperation agreements;
- rent agreements;
- other types of investment agreements concluded according to specific procedures established by laws of Ukraine.
By consent of the private investor and the state, in the person of the State Property Fund of Ukraine and the central executive authority that provides for creation and implements state policy in the spheres of maritime and river transport, based on an investment agreement or cooperation agreement that was concluded before the Law took effect, a business association can be created on the basis of an integral property complex, created or being created, according to the procedure established by the legislation. Land plots housing the integral property complex of such company, and piers that are technologically required to provide for the complete service range, can be rented out to the business association for a term of up to 49 years, according to the procedure established by the legislation (Article 26 of the Law).
The Law also introduces appropriate amendments to the Code of Ukraine on Administrative Offences, the Water Code of Ukraine, the Code of Ukraine on Commercial Shipping, the Land Code of Ukraine, and the Laws of Ukraine “On Notariate”, “On Transport”, “On State and Communal Property Lease”, “On State Property Privatization”, “On Natural Monopolies”, and “On Alienation of Privately Owned Land Plots and Other Immovable Property Objects Located on Them for Social Needs or Reasons of Social Necessity”.