REUTERS
The law also extends the list of sources of funding under this budget program.
Ukrainian President Petro Poroshenko has signed a bill into law to amend Ukraine's 2018 national budget, authorizing an additional allocation of UAH 1.4 billion, or US$50 million, to state-owned coal mines as the support of the country's coal mining industry until the completion of its reform.
"The implementation of the law will reduce social tension among coal miners, as the funds of this budget program will be funneled, in particular, into repayment of their wage arrears," the presidential press service said.
The law also extends the list of sources of funding under this state program, as they include seized funds and funds received from the sale of property confiscated under a court ruling on corrupt and corruption-related offenses, it said.
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As UNIAN reported earlier, the Verkhovna Rada, Ukraine's parliament on July 13, 2018, introduced amendments to the national budget for 2018, to additionally provide UAH 1.4 billion in state coal mines' subsidies.
Originally, the lawmakers considered UAH 2.8 billion, or US$100 million, in the subsidies, but the sum was later halved.
Ukrainian Prime Minister Volodymyr Groysman, who was present during debates on the bill in parliament, said that the funds would be spent on coal mines' modernization and would let the coal industry settle debts.
The note enclosed to the bill says that the document is designed to ensure the full-fledged operation of coal mining enterprises and provide Ukraine's thermal power plants with locally produced coal.
Permanent delays in the payment of wages to coal miners are a consequence of the difficult financial situation of state-owned mines. The shortage of funds in the coal sector stems from the fact that coal production costs (on average UAH 2,937 per tonne) exceed the selling price of coal (UAH 2,535 per tonne).