Construction during the war: how to work using the Declaration?

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Obtaining a construction license is one of those matters that were not regulated in the legal field before the war and, due to the state of war, were deregulated by the resolution of the Cabinet of Ministers in March 2022. Today, if you plan to commence construction, you can do so by submitting a Declaration to the relevant state authority.

The process of submitting the Declaration itself is not complex, and we have outlined it here. However, a more intriguing question arises: are there any restrictions when operating under the Declaration? How can companies with existing construction licenses continue their operations in this context? Are there any other documents or permits required when working under the Declaration for construction?

Our lawyer addresses these questions in the following article. 

If you seek answers tailored to your specific business or are planning to initiate your own business activities, don't hesitate to consult our specialists.

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What to do if your construction license has expired?

Since 2020, construction licenses have not been issued. The intention was to replace licensing with a certification system for responsible performers to streamline architecture and urban planning authorities. However, this reform was halted, preventing new entrants from joining the market and making changes to existing licenses.

The challenge is that current regulations in the field of urban planning still mention the requirement for licenses for business entities engaged in construction activities.

As a result of the switch to declarations, a question arises: what should be done with old temporary licenses that have already expired?

The validity period of existing temporary licenses and permits issued to business entities before the state of war, and whose validity expired during the state of war, is automatically extended for the duration of the state of war and an additional 3 months from the day it ends or is lifted.

However, after the 3-month period following the end or lifting of the state of war, business entities must promptly apply to the licensing authorities to obtain such licenses, following the conditions and procedures specified by the legislation.

During the state of war, the right to engage in economic activities is granted based on the submission of a Declaration, and in the construction sector, relevant permits must be provided as well.

Is a construction Declaration sufficient? How should one proceed with it?

In addition to the Declaration, specific directions or stages of work may require additional documentation:

Carrying out preparatory works as defined by construction regulations       

Notice of the commencement of preparatory works

Performing construction works on construction sites categorized as objects with minor consequences (СС1)

Notice of the commencement of construction works

Commissioning completed construction projects classified as objects with minor consequences (СС1)

Declaration of the facility's readiness for operation

Undertaking preparatory works (if not previously carried out according to the notice of the commencement of preparatory works) and construction works on construction sites classified as objects with moderate (СС2) and significant (СС3) consequences

Permit for the execution of construction works

Commissioning completed construction projects classified as objects with moderate (СС2) and significant (СС3) consequences

Certificate of acceptance of the completed construction project for operation

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Will it be necessary to obtain a Construction License later?

After the end of the state of war, what should be done with these declarations, and how can one obtain a license? The resolution is clear: those who have been granted the right to engage in economic activities based on a license must, without delay, but no later than three months after the end or lifting of the state of war, obtain the necessary permits according to the procedures, timelines, and conditions specified by the legislation, without interrupting or ceasing their activities.

Currently, this issue remains unresolved: the procedure, scope of work, and timeline for obtaining a construction license have not been defined. 

It is possible that as urban planning reforms progress, certification of performers may be fully implemented, and the accountability in the field of urban planning may be strengthened.

However, at the legislative level, both the certification of relevant performers and the licensing requirements for business entities are still in effect.

Please note! Currently, it is required to submit a separate Declaration for each construction project, even if the same entity is involved. We can assist you in preparing the necessary Declarations, optimizing the cost of our services.

We are committed to our Clients, and as soon as information about obtaining the next license becomes available, we will promptly inform you. Moreover, we can guide you through the necessary procedures efficiently and securely.

For the cost of obtaining the Declaration to commence construction, please refer here.

Publication date: 13/06/2023

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