The Ministry of Economy developed a methodology for determining the losses of enterprises from the Russian Federation aggression

The Ministry of Economy of Ukraine together with the State Property Fund (SPF) have developed a methodology for determining damages caused to Ukrainian enterprises as a result of the aggression of the Russian Federation. The department reports about it on its Facebook page.

The document will help business entities to calculate:

• the amount of real damage to one’s property – this refers to immovable and movable property, objects of unfinished construction, vehicles, inventory, etc., destroyed or damaged as a result of hostilities;
• profit, which the enterprise lost due to the impossibility of continuing its activities;
• the amount of expenses necessary for the restoration of property and property rights that have suffered a devastating impact as a result of armed aggression.

An independent expert will evaluate the affected object based on the initial data, the results of the inspection, as well as on the basis of data on the market value of similar property.

Entrepreneurs will need to prepare a package of documents to confirm the destruction of objects as a result of the aggression of the Russian Federation.

“Damages determined according to the methodology can be used to open criminal proceedings against the aggressor, to submit applications for compensation by affected business entities, as well as for lawsuits to international courts,” the Ministry of Economy reports.

Currently, the draft methodology is published for discussion.

As a result of Russian aggression, the two largest steel plants of Ukraine – Azovstal and Ilyich Iron and Steel Works of Mariupol – were destroyed. According to the results of 2021, both enterprises produced 8.6 million tons of steel, and Ukraine in total – 21.3 million tons. The SCM Group estimates losses from destruction at the plants at $11 billion.

In addition, rockets also hit other enterprises of the Ukrainian steel industry. Novokramatorsky Mashinobudivny Zavod, Energomashspetsstal, Avdiyivka Coke Plant and other enterprises were destroyed.