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President cancels ban on privatization of CEEN, DNEN, DOEN, TATM, ZAEN

President cancels ban on privatization of CEEN, DNEN, DOEN, TATM, ZAEN

27 May 2009

Yesterday President Yuschenko signed a decree cancelling exclusion of nine companies from the government’s privatization list for 2009. Among nine companies are five listed names: turbine producer Turboatom (TATM), and four power generation companies, namely, Centrenergo (CEEN), Dniproenergo (DNEN), Donbasenergo (DOEN) and Zakhidenergo (ZAEN). Alexander Paraschiy: The recent president’s decree does not necessarily mean that he will allow the companies to be privatized. Cancelling the orders which suspended the Cabinet’s rulings has been usual tactics of the president. If the president suspends a government’ ruling, his action is examined by the Constitutional Court. As Yuschenko is not sure that the Court will support his side, he is inclined to cancel his decree right before the Court starts hearing this case and re-issue the decree later. If the president does not block privatization of the nine companies again in the next couple of weeks, there will be a chance for their privatization in 2009.

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