CREATION OF THE STATE AID MONITORING AND CONTROL SYSTEM IN UKRAINE AS A RESULT OF THE SIGNING OF THE ASSOCIATION AGREEMENT BETWEEN UKRAINE AND THE EU

Abstract

The purpose of the article is to research the process of reforming the legislation of Ukraine in the fi eld of monitoring and control of state aid to business entities in connection with the signing of the Association Agreement and to develop proposals for necessary amendments to the Ukrainian legislation in order to align it with the EU acquis.The statistical analysis shows the ineffi ciency of functioning of the state aid system to business entities in Ukraine. According to Association Agreement between Ukraine and the EU, Ukraine has undertaken the obligation to establish a system of state aid monitoring and control. Thus, Ukrainian legislation in this fi eld has developed signifi cantly.The adoption of the Law of Ukraine «On State Aid to Business Entities» has become a signifi cant event. Due to the rapid process of reforming the legislative framework, there is a need for a more detailed research and legal analysis of the State Aid Institute, which proves the relevance of the topic.However, some legislative changes need to be made in the fi eld of monitoring and control of state aid to business entities in order to eliminate signifi cant inconsistencies with EU acquis.The comparative-legal, formal-legal method, the method of generalization and interpretation are used.The practical value of the article is to develop proposals for legislative changes due to the inconsistency of the legal provisions of the Law of Ukraine «On State Aid to Business Entities» and the provisions of the Association Agreement between Ukraine and the EU. In order to avoid contradictions, there is a need to supplement the concept of state aid. The current defi nition of state aid creates grounds for expanding the application of the rules on state aid monitoring and control. It is proposed to supplement the concept with the characteristic «impact on trade between Ukraine and EU Member States».Suggestions to change the approach to identifying services of general economic interest have also been made. In particular, we propose to implement the universal Altmark criteria and to establish them at the level of the Law.