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RESOLUTION OF THE CABINET OF MINISTERS OF THE REPUBLIC OF UZBEKISTAN

of April 26, 2020 No. 259

About enhancement of procedure for projects implementation of public-private partnership

For the purpose of ensuring realization of single state policy in the field of public-private partnership according to the Law of the Republic of Uzbekistan "About public-private partnership" the DECIDES: Cabinet of Ministers

1. Approve Regulations on procedure for projects implementation of public-private partnership according to appendix No. 1, providing:

initiation, project development of public-private partnership and selection of the private partner;

determination of procedure for provisional estimate of projects of public-private partnership;

preparation of the concept of the project of public-private partnership;

accounting on projects implementation of public-private partnership;

maintaining register of projects of public-private partnership.

2. Make changes and additions to some decisions of the Government of the Republic of Uzbekistan according to appendix No. 2.

3. To recognize Items 43 and 44 of the Regulations on procedure for forming, declaring (approval) and establishment of regulated prices (rates) for services of the water supply and the sewerage approved by the resolution of the Cabinet of Ministers of April 13, 2019 No. 309, invalid.

4. To the Ministry of Finance of the Republic of Uzbekistan together with the interested ministries and departments to bring the regulatory legal acts adopted by them into accord with this resolution in a month.

5. To impose control of execution of this resolution on the deputy prime minister of the Republic of Uzbekistan on financial and economic questions and reducing poverty - the Minister of Economic Development and reducing poverty of Kuchkarov D. A. and Minister of Finance of the Republic of Uzbekistan Ishmetov T. A.

Appendix No. 1

to the Resolution of the Cabinet of Ministers of the Republic of Uzbekistan of April 26, 2020 No. 259

Regulations on procedure for projects implementation of public-private partnership

Chapter 1. General provisions

1. This Provision determines procedure for initiation, development, consideration of all projects of public-private partnership (further - PPP), selection of the private partner, maintaining the register of projects of PPP and the reporting on their realization.

2. The cost of projects of the PPP offered by state body (organization) (further - the state initiator) and (or) the individual entrepreneur or the legal entity (further - the private initiator), consists of amount of the capital investments and investments which are directly connected with project implementation of PPP in the period of construction (reconstruction and upgrade), servicing and (or) implementation of the best practices of management.

At the same time project cost does not join the cost of the buildings provided by the state and also cost of the areas provided in lease, and the parcels of land which are allocated with the state on a grant basis.

Rules of this provision are not applied to the projects which are at stage of tender procedures on the date of entry into force of this provision.

3. In this Provision the following concepts are used:

PPP - the cooperation of the state partner and private partner which is legally drawn up for certain term based on consolidation of their resources for project implementation of PPP;

the project of PPP - set of the actions realized on the basis of attraction of private investments and (or) the implementations of the best practices of management directed to the solution of economic, social and infrastructure tasks;

the concept of the project of PPP - the document prepared by the state partner and (or) the private initiator, proving the choice of the solution of realization determining the cost and the project description of PPP, containing reasons for efficiency and relevance, the main characteristics and features of its realization, and also mechanisms of ensuring recoverability of the involved investments;

object of PPP - property, property complexes, public infrastructure, designing, construction which creation, delivery, financing, reconstruction, upgrade, operation and servicing are performed within project implementation of PPP, and also work (service) and innovation, subject to implementation in the project progress of PPP;

payment for availability of object of PPP - the payments of the state partner to the private partner made according to the agreement on PPP during use (operation) and (or) servicing of object of PPP for ensuring its availability;

the state partner - the Republic of Uzbekistan on behalf of which state bodies, executive bodies on places, and also other bodies (organizations) authorized by the Cabinet of Ministers of the Republic of Uzbekistan, or their consolidation act;

payment for use - the payments collected by the private partner according to the agreement on PPP within project implementation of PPP from consumers of goods (works, services);

the private partner - the subject of business activity registered according to the legislation of the Republic of Uzbekistan or foreign state, consolidation of such subjects with which the state partner signed the agreement on PPP;

the reserve winner - the applicant whose tender offer according to the decision of the tender commission is recognized as the best after the tender offer of the winner of the tender;

the document on project evaluation - the project document determining project cost and amount of the means necessary for financing, and also proving adoption of the most suitable technical and technological and organizational decision on project implementation;

the applicant - the individual entrepreneurs or the legal entity, including the legal entities created and who are acting according to the legislation of foreign states, expressed interest in project implementation of PPP, submitted the application for participation in the tender (the tender, the tender offer);

the winner of the tender - the applicant selected for project implementation of PPP following the results of the tender.

Chapter 2. Procedure for provisional estimate of the project

4. For the purpose of sales research of the offered project on the basis of mechanisms of PPP the state partner carries out provisional estimate of certain project.

For realization of mechanisms of PPP projects shall correspond to all following criteria and conditions:

orientation on the solution of economic, social and infrastructure tasks;

activities for the offered projects are performed by the ministries, the state committees, departments and executive bodies on places;

quality and level of goods (works, services), provided on the offered project, exceed the current indicators;

compliance to durations of the agreement about PPP;

compliance to conditions of the legal acceptability, i.e. property rights on object of PPP are in competence of the state partner;

project compliance to conditions of financial provision;

attraction of private investments;

compliance to conditions of availability of demand and need for project;

application by the offered project of foreign or local experience;

distribution of the risks connected with project implementation;

implementation of the best practices of management;

inclusion of innovative approach and ensuring the balanced benefit acceptable for the parties;

implementation of the automated electronic calculations and reports in the project progress.

5. Priority of the offered project in economic and social spheres is determined on the basis of such documents as the development program of industry, investing program and reports of technical audit.