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Reforming and Restructuring Ukrzaliznytsia: A Crucial Task for Ukrainian Reformers

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  • Pittman, Russell

Abstract

If the Ukrainian economy is to be successfully restructured going forward, a restructured railway system will have to be part of the picture. Ukraine’s economy depends on the production and sale of a number of bulk commodities, including coal, iron ore, steel, and agricultural products, that require shipment by rail in order to reach both domestic and export markets economically. In this paper we first discuss in more detail the crucial role that UZ plays in the Ukrainian economy. We follow with a survey of the world experience with railways restructuring: a large number of countries have already undertaken the task of converting aging government-owned monopoly railways into more dynamic and competitive transport enterprises, and their experience in very diverse settings may have important lessons to offer. We then examine the current state of rail reform plans in Ukraine. We conclude with discussions of an alternative path forward that seems most likely to be successful in Ukraine, based on both the experience elsewhere and the country’s current situation.

Suggested Citation

  • Pittman, Russell, 2016. "Reforming and Restructuring Ukrzaliznytsia: A Crucial Task for Ukrainian Reformers," MPRA Paper 76028, University Library of Munich, Germany.
    • Handle: RePEc:pra:mprapa:76028
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    File URL: https://mpra.ub.uni-muenchen.de/76028/1/MPRA_paper_76028.pdf
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    References listed on IDEAS

    as
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    2. Campos, J., 2001. "Lessons from railway reforms in Brazil and Mexico," Transport Policy, Elsevier, vol. 8(2), pages 85-95, April.
    3. Ivaldi, M & McCullough, G J, 2001. "Density and Integration Effects on Class I U.S. Freight Railroads," Journal of Regulatory Economics, Springer, vol. 19(2), pages 161-182, March.
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    More about this item

    Keywords

    Ukrainian Railways (Ukrzaliznytsia); railways; reform; restructuring; vertical separation; horizontal separation; competition; investment;
    All these keywords.

    JEL classification:

    • L43 - Industrial Organization - - Antitrust Issues and Policies - - - Legal Monopolies and Regulation or Deregulation
    • L92 - Industrial Organization - - Industry Studies: Transportation and Utilities - - - Railroads and Other Surface Transportation
    • P31 - Political Economy and Comparative Economic Systems - - Socialist Institutions and Their Transitions - - - Socialist Enterprises and Their Transitions
    • R42 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Transportation Economics - - - Government and Private Investment Analysis; Road Maintenance; Transportation Planning

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