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Ukrainian President Petro Poroshenko has signed a law allowing local authorities to introduce automated fare collection systems, including an electronic ticket, in urban and suburban passenger transport, according to the Verkhovna Rada's website.
As reported, relevant law No. 4121 on amendments to some legislative acts of Ukraine on the introduction of automated payment system for city passenger transport was forwarded back to the Verkhovna Rada with the president's signature, the statement said.
As noted in the explanatory note of the document, local authorities are allowed to introduce automated fare collection systems in public transport, regardless of their ownership, as well as to determine how they will function.
The electronic fare payment system is expected to improve the profitability of public transport and lead to a reduction in budget financing.
Moreover, the introduction of e-tickets will boost the transparency of accounting of transport services provided to passengers entitled to benefits and other categories of passengers. The new law is also designed to prevent the use of false travel documents, as well as reduce the operating costs of carriers on the organization and control of revenue collection.
Read alsoEBA opposes increase in railway tariffsAs UNIAN reported earlier, the bill on the introduction of e-payment in public transport was adopted on January 17. Some 265 deputies voted for it with the required minimum being 226 votes.
The Cabinet of Ministers issued instructions to install equipment at urban electric transport for cashless electronic payment of fares before 2017.
Earlier, Acting Deputy Mayor of the city of Dnipro, Advisor to the Ukraine's Infrastructure Minister, Jaanika Merilo, announced that the deployment of an integrated, automated fare collection system in urban passenger transport in a Ukrainian city could cost around EUR 10-15 million.
On November 17, 2016, the European Bank for Reconstruction and Development (EBRD) signed an agreement with Lviv authorities on a EUR 10 million loan for the implementation of an automated fare collection system, providing for the purchase, installation and operation of necessary hardware and software, as well as e-cards.
Lviv's municipality pointed out that the introduction of electronic tickets would increase the transport companies' profit by 30-40%.