Lviv cannot utilize 970 million UAH: how will this affect public transport
In Lviv, budget payments have been blocked since mid-September. As of October 9, approximately 970 million UAH were involved. Due to delays in financing, companies are unable to settle for services on time, and carriers are warning about the possible reduction of the number of buses. They have previously warned about the risk of route suspensions. Regarding the blocked funds, states 'Hromadske Radio' citing the city mayor Andriy Sadoyov.
How blocked payments affect Lviv
According to Sadoyov, the city cannot settle on time for sanitary cleaning, public transport, gas, and electricity. There have also been difficulties with tax payments and preparing infrastructure for winter.
Delays complicate settlements with contractors and the procurement of equipment to enhance energy resilience. The mayor also mentioned payments on loans to the European Bank for Reconstruction and Development and financing for defense support. He called on the government to conduct consultations and help unblock payments.
Why Lviv carriers may reduce the number of buses
Private carriers report delays in compensation for transporting preferential passengers. The head of 'Ecopastrans' Ihor Samardak stated that the company expects about 30 million UAH for September. This money is needed, in particular, for fuel and salaries. Due to the lack of compensation, carriers have already discussed a possible fare increase.
In the company 'Mira i K', it is noted that about half of the passengers are preferential passengers. Due to payment delays, the carrier finds it harder to pay drivers and purchase fuel. Buses need about four tons of fuel daily, so the company is forced to take it on credit.
In APT No. 14630, it was reported that municipal compensations account for approximately 60–70% of the company's financing. Due to delays, debts for spare parts are accumulating, and there are issues with salaries and fuel. On unprofitable routes, the company is already limiting operations, and if the situation does not change, the number of buses could be reduced by about half.
Carriers have also previously proposed increasing the fare, including discussing a fare of 42 UAH. If financing continues to be delayed, passengers may face increased intervals of movement or cancellation of some routes.
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