UDS is approaching the start of the formation of the supervisory board

The Ukrainian Danube Shipping Company is preparing to form a supervisory board. This is necessary to launch the financing of fleet modernization.

Strategic issues regarding the operation of the enterprise are being worked out with the Ministry of Infrastructure, the UDS reports.

The first point is the formation of the supervisory board, the creation of which was announced four months ago. Currently, the requirements for candidates are being coordinated.

“It is critical that the process does not drag on. The formation of the supervisory board is a signal to international donors about the possibility of launching financing for the modernization of our fleet. We are talking about a program worth 86 million euros. We started modernization, relying on our own resources with the expectation of a credit line from international partners. But there are a number of conditions. Aspects that are very sensitive for donors are corporatization and independent management,” the UDS noted.

The second issue is disposal of the remnants of the old fleet. We are talking about the legendary cemetery of ships of the Danube shipping industry. Dozens of “dead” vessels with an average age of over 56 years (15 vessels over 65 years old). More than 16 thousand tons of scrap metal.

“Recovery is impossible and impractical. Fixed maintenance costs only. Utilization is additional income to the state budget and funds for the development of the enterprise. This is an opportunity to load the UDS ship repair plant and the steamship fleet, if the entire process is organized at our production facilities,” the company said.

In order to implement the “cemetery”, it is also necessary to go through a complex bureaucratic procedure. In particular, approve the appraiser, make changes to the financial plan.

The third issue is the UDS passenger fleet. Meanwhile, approval from the ministry is also awaited.

It will be recalled that UDS sent three more vessels to Austria for modernization. The motor ships left for the Austrian ÖSWAG shipyard in Linz in a caravan consisting of three self-propelled vessels and three barges.