Armenian Government approved the package of proposals on transport sector

Today Armenian Government approved the package of proposals on transport sector, which was presented by Armen Yeghiazaryan, Director of the National Center for Legislative Regulation PIU at the Government Staff of the Republic of Armenia.

In accordance with the package, it is proposed to introduce "one-stop-shop" principles outside Yerevan in licensing procedures and reduce unnecessary administration and documentation.

Individuals will have the opportunity to implement taxi passenger carriages using their own cars. It is also proposed to combine the state fee and the tax related to the individual passenger taxi carriages using the following mechanism; in Yerevan in the amount of the base fee 12 fold or quarterly fee 34 fold or annual base fee 120 fold. In other cities the amount is less. It is also worth to mention that the state fee will be charged in accordance with the individuals’ registration place. Thus, the drivers do not need to submit tax reports anymore which will save 3000 drams for them to be paid to different  companies operating in that field.

From now companies will pay annual license fee equal to 25000 drams if they have up to 8 cars and in case when it is more than 8 the sum will be 200000. This will help to avoid sharp price rise. The requirements to the taxi passenger cars have also been clarified.
The demand for the yellow license plates has also been substituted with self-adhesive ticket, thus saving further 17000 drams. The demand for the daily medical inspection for drivers, technical inspection and parking lot for vehicles will be cancelled, giving an opportunity to reduce the corruption risks.  
There has been made a clarification on license issuance process, has been significantly shortened the time-frames for issuing a license – from previous 30 days to 5 days now, and taxi owners will deal with only one state body. 

So, for each vehicle taxi owners will save 10.000-15.000 drams per month (elimination of medical examination, technical examination, parking lot and tax reporting requirements). Given that today there are about 10.000 taxis in the market, annual savings would be around 1.5 billion drams.

In the area of regular passenger transportation, there have been made clarifications in the procedure for providing tender for selecting organizations which in Armenia provide passenger transportation regular services using public transportation. The requirement for license is eliminated.

Instead of current license fee, it is proposed a transportation route service fee which will increase the income side of state budget by 20 million drams.

It is decided that in city of Yerevan, the priority for organizing intra-city passenger transportation regular services using public transportation belongs to the operator of passenger transportation regular services for public transportation.

For the vehicles it is also decided to have additional criteria from the viewpoint of consumers’ interests. For example, to have reconfigured buses with disabled person lift device for buses 1-10, for taking into consideration at least one disable person, for regular routes between marzes (regions) if the distance exceeds 50 km, and to have air-conditioning in the buses.

In the area of cargo transportation, there have been made clarifications in the procedures for providing licenses and permits for various types of cargo transportation. The number required documents are significantly reduced.

According to the proposal, the copies of documents establishing the professional credentials of person should be provided 5 working days earlier than the start of the licensed activity, and their changes – within 3 working days after the change.

The permission giving bodies, after giving the permission, publish it on their website, as well if possible, send it to other state and local bodies via email, which will give an opportunity to provide the administration between corresponding bodies without person’s involvement.
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