The Ministry of Transport suggests extending the sea port reform’s implementation term until the 30th of June 2024, according to the ministry’s prepared legislative draft.
Currently the Law on Ports provides for the liquidation of Riga and Ventspils freeport authorities by the 31st of December 2023. The Ministry of Transport, however, wants to extend this term until the 30th of June 2024.
The legislative draft mentions that changes are necessary in order to ensure a high-quality transition period, by evaluating the progress of port management reform so far, reviewing its objectives and making proposals for its improvement.
At the same time, the ministry explains that the order on the foundation of Rīgas osta JSC was submitted to the State Chancellery in May 2023 for the purposes of review in the Cabinet of Ministers still has not been approved. This means it’s not been possible to ensure the evaluation of of Riga Freeport’s property within the term outlined in the law and transfer it to the successor of rights and obligations – the Rīgas osta.
The ministry also suggests extending Rīgas osta’s foundation term until 30th of April 2024.
Ventas osta JSC has yet to take over Ventspils Freeport authority’s functions, considering the difficulties with the assessment of Ventspils Freeport authority’s resources, finances and commitments.
The ministry also stresses that in order to ensure uninterrupted sea port management reform, it is necessary to perform quick and effective regulatory interference. This is why amendments on the extension of terms should come into force on the next day after their adoption.
In November 2023 the Constitutional Court concluded the Riga and Ventspils sea port management reform complies with the constitution, adding that the development goals of large Latvian ports are subordinated to the common good of the state and the legislator has the discretion to choose the port management model.
The Law on Ports came into force in April 2023.
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