The era of war requires swift and decisive actions aimed at a single goal – repelling armed aggression. In times of war, the correct decision, if made too late, often does not differ in its consequences from the wrong decision. The rules governing land relations in peacetime, when land allocation procedures take months, prove to be ineffective and unsuitable for new realities in times of war. This was reported by the Land Fund of Ukraine, as reported by agronews.ua.
The solution to many tasks of Ukraine's economy functioning in wartime, ensuring technological security, protecting internally displaced populations, etc., directly depends on the speed of managerial decisions regarding the formation and allocation of land plots for the appropriate purpose, land management, and land rights registration.
After the start of full-scale war in Ukraine, the state introduced a special mechanism for enterprises to quickly relocate production from combat zones or unsafe regions and resume operations in other areas – relocation of enterprises.
Relocated enterprises are those that have moved (completely or partially) their economic activities, production facilities, equipment, personnel, or other resources from territories of hostilities, temporary occupation, or high-security risk areas to other regions of Ukraine to continue their operations.
One of the state's instruments for Ukraine's economy functioning in wartime is the simplified procedure for obtaining land plots (lease rights) for the placement of production facilities of relocated enterprises.
The Land Code of Ukraine establishes a general rule that the transfer of state or communal land plots for lease is carried out based on the results of land auctions. However, during the period of special regulations, the legislator provided an exception specifically for relocated enterprises.
According to subparagraph 4 of paragraph 27 of Chapter X of the Transitional Provisions of the Land Code of Ukraine, state and communal land plots can be leased without holding land auctions for the placement of production facilities of enterprises relocating (evacuating) from territories where hostilities are taking place or have taken place, or from territories that were or are temporarily occupied. This mechanism aims to ensure the continuity of economic activities, preserve jobs, and support the state's economic stability in times of war.
A particular feature of this procedure is that an enterprise can obtain a land plot through a simplified procedure – without participating in an auction and without applying certain procedures that usually involve lengthy processing times. Moreover, in certain cases, even the establishment or change of the land plot's purpose is allowed for the prompt placement of production.
To obtain a land plot, an enterprise applies to the authorized body managing the land with a statement (petition) and documents confirming the relocation of production facilities and the need to place the enterprise in a new territory. Such land plots can be used for the placement of production workshops, construction and operation of industrial facilities, arrangement of warehouse premises, placement of engineering infrastructure, ensuring the operation of the relocated enterprise in general.
However, the terms of the land lease agreement for relocated enterprises have their own specifics:
– alienation, pledge (mortgage) of the right to use the land plot is prohibited;
– sublease of the land plot is prohibited;
– the lessee must place the objects for which the land plot is leased within the term specified in the land lease agreement. If the lessee fails to fulfill this obligation, the agreement is terminated unilaterally, regardless of the lessee's will;
– the lease of state or communal land plots is not allowed if the land plot is classified as natural reserve or other nature conservation purposes, historical and cultural purposes.
The legal regulation of land allocation for relocated enterprises is based on a combination of general land legislation norms and special temporary regulations introduced during the state of war, including the Land Code of Ukraine (Articles 123, 124, 134; paragraph 27 of Chapter X "Transitional Provisions"), the Law of Ukraine "On Land Lease," subordinate acts of the Cabinet of Ministers of Ukraine regulating the mechanisms of enterprise relocation and land allocation during the state of war.
Thus, on the one hand, the legislator has created a simplified mechanism for relocated enterprises to access land resources, and on the other hand, has established a set of restrictions and guarantees for the targeted use of such land plots. This allows for the prompt recovery of production and support of economic activity in times of war without losing control over the use of state and communal lands.
