THE ECONOMIC AND LEGAL SUPPORT OF ENCOURAGEMENT OF THE CONSTRUCTION ACTIVITY

Author

, PhD. Student, Kharkiv, Pushinska, 77

In heading

Law;

Signed print

27.11.2015

Issues number

2016 - № 1 (24)

Page

197-212

Type of articles

Scientific article

Code UDK

346:332.82

ISSN print

2411-5584

Abstract

Problem setting. Depending on housing or industrial purposes, there are different peculiarities being inherent to encouragement of the economic activity in the construction area. Solution of the mentioned problem is of great significance in the process of construction of social projects.
Recent research and publications analysis. Matters of encouragement of the economic activity in different areas of the market economy have been thoroughly researched by lawyers. Particularly, O. M. Vinnyk, D. V. Zadykhailo, V. K. Mamutov, V. M. Pashkov, O. P. Podtserkovnyi, V. A. Ustymenko, O. V. Shapovalova, V. S. Shcherbyna, etc., have comprehensively examined the mentioned matters. Nevertheless, the observed scientists have not paid considerable attention to problems of the economic and legal support of
encouragement of the very construction activity.
Paper objective. The article purpose is to actualize the economic and legal measures of the construction activity, depending on the construction project purpose.
Paper main body. As for the construction area, there is no special industrial legislative act on support of the whole industry. However, the author indicates the following normative and legal acts: a) the Law of Ukraine «On Prevention of the Influence of the World Crisis on Development of the Construction Industry and Housing Construction»; b) «On General Scheme of Planning the Ukrainian Territory».
The government should encourage construction organizations to execute housing programs and to achieve figures determined in individual plans for construction of affordable housing. To attain this goal, there is a need to apply a set of incentive measures substantiated by contracts between public authorities and construction organizations. The measures include selling lend for construction, decrease of a tax rate, obtaining a loan at a beneficial rate, and state-guaranteed orders.
A state-guaranteed order for construction is the most widespread form of encouragement of construction organizations used to execute investment and housing programs of the construction industry. In addition, to eliminate obstacles for competition and to decrease risks of participators of investment and housing relations, the government should activate the activity concerned with creation of the appropriate legislative and investment climate in housing construction markets. The effective governmental encouragement of independent constructers and construction companies conduces to their active engagement in the housing
construction.
Conclusions of the research. The legislator has indicated measures of governmental support among measures of governmental encouragement. The measures of governmental support encompass support of the stable legislative and normative frameworks in order to ensure predictable conditions of development of the economic activity in the construction industry, non-involvement of executive power bodies in the choice of business forms and the economic activity of business entities, except in the cases determined by the law.

Keywords

Construction activity, construction projects, housing construction, construction activity encouragement.

Reviewer

External reviewer

Article in PDF

1 197-212

Bibliography

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Code DOI

This post is also available in: Russian, Ukrainian

30.10.2015