Prices for car registration and issuing a driverʼs license may change: the draft law has been registered

A draft law was registered in the parliament, in which it is proposed to change the logic of calculating the cost of administrative services for issuing driverʼs licenses and vehicle registration: it will be tied to the size of the subsistence minimum. What will the new prices be?

How much the cost of services can change

The authors of the draft Law No. 8193 dated November 9, 2022 " Amendments to some laws of Ukraine regarding fees for services in the field of state registration of vehicles and admission to driving vehicles" propose to review the prices of certain state services for motorists. In the explanatory note to the document, several arguments are given, in particular — the prices for administrative services have not changed for more than 10 years, during this time the costs of providing them have increased significantly, so it is necessary to bring them into line with the actual costs.

Instead of fixed tariffs, it is proposed to tie the cost of administrative services to the size of the living wage. The price of each individual service will be determined as a coefficient from it. At the same time, it is worth emphasizing two important points:

1. new tariffs are indicated not as fixed, but as marginal (maximum), i.e. theoretically they can be lower;
2. the price includes the cost of document forms and number plates for the relevant services.

The size of the subsistence minimum for 2023 is set at UAH 2,684, respectively, the cost of basic services provided at service centers of the Ministry of Internal Affairs for motorists will be:

• Issuing a driverʼs license (within 5 working days) — UAH 805.2
• Taking the theoretical exam (within 1 working day) — 402.6 hryvnias
• Taking a practical exam (within 1 working day) — UAH 536.8
• Driverʼs license exchange (within 5 working days) — UAH 402.6
• State registration (re-registration), deregistration of vehicles (within 1 working day) — UAH 805.2
• Issuing a temporary registration card for vehicles (within 1 working day) — UAH 536.8

Exemption from payment for these services is provided for participants in war, persons with disabilities as a result of war, and participants in hostilities.

Features of the proposed mechanism

Funds received as an administrative fee for the provision of administrative services are transferred to the general fund of the local budget (70% of the cost of the administrative service) and the special fund of the State Budget of Ukraine (the cost of the document form and 30% of the cost of the administrative service). Funds from the latter will be used for the purchase of document forms, development of infrastructure and maintenance of territorial bodies of the Ministry of Internal Affairs.

Experts of the Auto Market Research Institute note that the proposed principle of tariff setting will require a separate regulation regarding the recently announced introduction of electronic documents: it is not clear how to subtract the cost of the form that will not be issued from the cost of the administrative service. It is also not known how to calculate the cost of the administrative service, if the owners will buy license plates separately (there are draft laws that provide for just such an option), because their cost is proposed to be included in the total amount.

As for the actual price change, if the draft law for car re-registration is passed, the new maximum tariff will be about 800 hryvnias (without the cost of expert research), which is not too far from 830 hryvnias now. Tariffs for services related to the issuance of a driverʼs license will increase from UAH 269-295 to UAH 400-800. Also, the cost of taking exams will increase significantly — now it costs UAH 25, with the proposed tariffs you will have to spend up to UAH 940 for "theory" and "practice" together.

When can it work?

Currently, the draft law has the status of being registered in the Verkhovna Rada and has been submitted to specialized committees for consideration. In order to become a law, it must go through all the procedures stipulated by the regulations — discussion and gain the required number of votes during voting in the parliament hall, as well as receive the Presidentʼs signature. After publication in the official press, 6 months have been allocated for its implementation. That is, new tariffs for services for motorists in Service Centers may change no earlier than June 2023.

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