State regulation of tariffs for passenger transportation on high-speed trains canceled

According to the resolution, from January 1, 2024, the practice of state regulation of tariffs for the provision of freight cars and containers, as well as for services for transporting passengers on high-speed trains, will cease with the transition to a mechanism for regulating them based on market principles.

Discounts on tariffs for domestic, export and import transportation of goods by rail will be canceled from January 1, 2024, and a procedure for their provision will be introduced only by decision of the Cabinet of Ministers (with the exception of discounts provided on the basis of agreements with the railway administrations of two or more foreign countries).

Before December 1, 2023, a list of discounts provided on tariffs for the transportation of goods by rail will be approved.

From January 1, 2025, losses incurred in the provision of services for the transportation of passengers on local routes (with the exception of passenger transportation by high-speed trains), as well as discounts provided for services for the transportation of goods by rail by resolutions of the Cabinet of Ministers, will be compensated at the expense of state funds budget. Until January 1, 2027, a zero customs duty rate will apply to machinery and equipment intended for loading and unloading operations imported by enterprises providing railway transport services.

On the basis of Uzbekistan Railways JSC and its subsidiaries, the following will be created by January 1, 2024:

• “Temiryulinfratuzilma” JSC to ensure the operation of road facilities, power supply, signaling and communications, locomotive facilities, a unified dispatch center and freight stations;
• “Temiryulkargo” JSC for the provision of cargo services, maintenance and development of freight wagon and container facilities, establishment of multimodal door-to-door transportation, organization of logistics centers and terminals;
• “Temiryulekspress” JSC for the provision of services for the transportation of passengers by high-speed electric trains;
• “Temir yul vokzallari” LLC to ensure the activities of stations as part of “Uztemiryulyulovchi” JSC and “Shahar atrofida yulovchi tashish” LLC to ensure suburban passenger transportation;
• “Temir yul ijtimoiy hizmatlar” institution for the maintenance of children’s camps, healthcare facilities, cultural, educational and sports facilities.