As of May 2019, Ukrainians owe 63.5bln hryvnia to utility services providers, and this level of indebtedness is critical for the entire housing services system. This was stated by OPPOSITION PLATFORM — FOR LIFE MP Serhiy Lovochkin.
“The entire system of housing and utilities services is heading to its collapse. In early 2018, the housing services debt was 32.2bln hryvnia, in early 2019 it was 55.6bln hryvnia, and by May it has reached more than 2bln euro — 63.5bln hryvnia. When the system lacks this huge amount of money, it is no longer efficient, and no punitive measures can help. The only way to cut the citizens’ debt is to lower the utility rates and simplify the rules for subsidizing,” Lovochkin believes.
The politician is certain that the debt has been growing due to decisions made by the previous administration, not the people’s reluctance to pay.
“When the government was increasing the fees for utilities, it promised that everyone in need of financial assistance would be eligible to receive it, so no one is hurt. But they failed to deliver on their promises and started cutting the number of eligible subsidy applicants. 6.9mln households were subsidized as of early 2018, and only 4.3mln in April 2019. Many of them received their allowances with a delay, thus being forced into debts,” Lovochkin said.
“This crisis, created by the former administration, should be stopped before the next heating season. In August, after the parliamentary election, a new government should be appointed. It must review the utility rates and set the rules for receiving subsidies. Ukrainian government should stop blindly following instructions by foreign creditors and take a look at what they’ve done to their people,” the MP summed up.Follow @serhiylovochkin