L&M Finance Group


On October 17, 2019, the Verkhovna Rada of Ukraine adopted the Law "On Amending Certain Legislative Acts Regarding Improving the Procedure for the Provision of Administrative Services in the Construction Sector and the Creation of the Unified State Electronic System in the Construction Sector" - (hereinafter referred to as the "law"). This law introduced a number of important innovations in the existing legislative acts with the aim of improving the quality of services provided, continuing the digitalization policy and operational interaction of participants in legal relations in the field of construction. According to the norms of the law, this will be possible due to the creation in Ukraine of the conditionally called "e-system", which will have the name - the Unified State Electronic System in the field of construction as part of the urban cadastre. The definitions of the concept of an e-system are enshrined in the Law of Ukraine "On the Regulation of Urban Planning", according to which the e-system will provide document management (acceptance, processing, storage and provision of documents, etc.) in the field of construction, as well as electronic interaction between individuals and entities, public authorities and other entities.
The draft law establishes the three constituent parts of the Unified State Electronic System in the field of construction as part of the urban cadastre, among which:
1) register of construction activities;
2) the electronic user account of the electronic system;
3) electronic system portal.
Each of these components will fulfill a number of functions necessary for the operation of the e-system. For example, information and all documents regarding:
1) urban planning conditions and restrictions;
2) design assignments and technical specifications;
3) information on licensing of economic activity for the construction of facilities;
4) information on the professional certification of performers of certain types of work;
5) information on expert organizations conducting expert examination of design documentation for the construction of facilities;
6) information about construction projects, including: documents regarding each construction project, which give the right to carry out preparatory and construction work, documents that confirm the commissioning of facilities, inventory, passport and photographs of construction projects, information about the return to revision, refusal to issue, cancellation and revocation of permits.
It will be possible to obtain data from the register or submit information to the register of construction activities thanks to the electronic user account of the electronic system. According to the norms of the adopted law, it is the electronic office that is the very component of the electronic system that provides electronic interaction between individuals and legal entities, state bodies, local governments, and centers for the provision of administrative services. In addition to filing applications, declarations, and any other documents that are submitted to receive a particular administrative service, the electronic office format allows electronic correspondence between users of such offices, including filing complaints about decisions, actions and inaction of the licensing authority, and reporting unauthorized construction. It is important that users of the electronic cabinet can be not only subjects of authority and economic activity, but also any users who have passed the identification and verification procedure.
As for the third element - the portal of the electronic system, the last one will become the platform through which access will be made to the statements contained in electronic form. According to the law, access will be free. Moreover, the law establishes the presumption of openness, public availability (other than personal data) and the reliability of the statements contained in the electronic system. This means that the statements and documents that have been entered into the electronic system are considered reliable and can be used in a dispute with a third party.
The adopted law also changes the procedure for registering building codes and amendments to them, which are carried out by making changes in the e-system, and come into force no earlier than 90 days from the day they are posted on the portal.
Besides that, the Law also resolves an important issue regarding the procedure for assigning and changing addresses to real estate objects, determines the body for assigning the address, the procedure for submitting documents and their consideration by the authorized body.
In order to introduce a new e-system into the general system of electronic information systems of the country, the legislator has provided and outlined the provisions on the interaction of the e-system in the real-time construction sector with the entities providing administrative services and information resources, which together constitute the state’s information resource.
In addition, it should also be noted that this law amends the legislation on advertising, according to which only the presence of the customer’s construction of a properly secured right of ownership or use of the land allows him to place and distribute advertising on the construction of a residential building. Moreover, such an advertisement will have to have the details of the documents defined by law and the identifier of the construction object in the Unified State Electronic System in the field of construction.
It should be noted that the law comes into force on December 1, 2019, and the provisions regarding the Unified Electronic System in the construction sector will be implemented in stages from 2020.