The “Crimean parliament” has resolved to nationalize Ukraine’s businesses and their branches and offices located on the peninsula, including Chornomornaftohaz and Ukrtranshaz. From now on they will be owned by the self-styled republic.
One can read this on the Crimean parliament’s website (http:// www. rada.crimea. ua/). The Crimean separatists appear to be acting without prior arrangement. The document reads: “The Republic of Crimea shall own the movable and immovable property of the Public Joint Stock Company Chornomornaftohaz located on the territory of the Republic of Crimea, except its continental shelf and the exclusive (maritime) economic zone that was included or not included in the authorized capital of PJSC Chornomornaftohaz, consisting of fixed (including intangible) and current assets, including the state property (of Ukraine) that the said company was allowed to use, and which property is on its balance and off-balance sheets.”
This document further reads that the self-styled republic will also own the “movable and immovable property of the public company Ukrtranshas, located on the territory of the Republic of Crimea, entered or not included in the authorized capital of JSC Ukrtranshas, and which property is on its balance and off-balance sheets as part of the non-current (including intangible) and current assets thereof.” Ditto Feodosia’s oil supply facilities and all the Crimean seaports. The Crimean parliament, contrary to the Verkhovna Rada’s disbanding resolution as per Constitution of Ukraine, authorizes the local Cabinet to form “republican” businesses, namely Chornomornaftohaz and Feodosia oil and gas supply businesses.
COMMENTARY
Oleksandr TODIICHUK, president, International Energy Q-Club, Kyiv:
“Everything is happening according to Putin’s scenario: annexation and hostile takeover. However, the redistribution of powers in this world has always been a game with set rules. The Check and Slovak republics are good examples. Both emerged as independent entities from a single polity. At the time a special commission was formed and the rules of the game were determined. Certain rules were observed, when redistributing property, even after the Soviet Union had collapsed. I believe that the way they’re redistributing public property in the Crimea will inevitably cost them a lot. Then everything will be considered in due course, in courtrooms. Right now they appear to be happy grabbing wartime trophies. This is something the [civilized] world will never accept. I can tell you that they will never be able to use their assets, attract [foreign inland] investment for upgrading projects or sign any contracts. Simply because no one recognizes the legitimacy of the alienation of property owned by Ukraine [in the Crimea]. It is true that Gazprom and Gazpromneft delegates have visited the peninsula, but the overall impression is that the leadership of the self-styled Republic of Crimea is in a state of euphoria following special Operation Referendum. Those ‘upstairs’ in Simferopol don’t seem to give a hoot about any rights or rules. It is safe to assume that such attitude will damage the Crimea’s oil and gas industry, regardless of who is calling the shots.”
