Photo from UNIAN
In total, the rights of lease for 287 land plots with the total area of 5,200 hectares have been put on e-auctions.
Ukrainian First Deputy Minister of Agrarian Policy and Food Maksym Martyniuk says that, according to electronic land auctions, which have been held in Ukraine since October 18, the starting rental rate more than doubled, or grew by 10 pp, while the total annual rent rate rose from UAH 0.8 million (US$28,767) to UAH 1.8 million ($64,725).
"Let me remind you that all funds from land lease are channeled into local budgets, so the results of online auctions will have a direct impact on welfare of local communities," he said at a government meeting on December 12.
The starting annual rent for the auctioned land plots accounted for 8.13% of the normative monetary valuation on average. As a result of auctions, an average annual rent has reached 18.16%.
Read alsoPM Groysman: No farmland sale in Ukraine until parliament adopts land turnover law
Within the pilot project on conducting electronic land auctions, the State Service of Ukraine for Geodesy, Cartography and Cadastre entered into contracts with Ukraine's state-run enterprise SETAM (OpenMarket) and SE Prozorro.Sale.
As of today, the rights to lease 25 plots of land with a total area of 538.9 hectares have already been sold due to the use of the OpenMarket e-platform.
The number of bidders varied from two to six persons.
In total, the rights of lease for 287 land plots with the total area of 5,200 hectares have been put for e-auctions.
Noteworthy, the procedure for the sale of land plots of state and communal property or rights to them (leases, superficies, and emphyteusis) in the form of an auction is established by Chapter 21 of the Land Code of Ukraine.
The procedure for the implementation of the pilot project on land e-auctions was approved by Resolution No. 688 of June 21, 2017, issued by the Cabinet of Ministers of Ukraine.