Tashkent, Uzbekistan (UzDaily.com) – A resolution by the Cabinet of Ministers dated July 16, 2024, No. 425 "On Approving the Procedure for Compensating Damage Incurred During the Provision of Passenger Transport Services on Domestic Trains from the State Budget" has been adopted.

According to the Presidential Resolution from 10 October 2023, No. PP-329 “On Measures for Radical Reform of the Railway Transport Sector of the Republic of Uzbekistan,” starting from 1 January 2025, a procedure will be introduced for compensating from the State Budget the losses incurred from providing passenger transport services on local routes (excluding high-speed and express trains).

It is noted that, starting from 1 January 2024, the practice of state regulation of tariffs for freight wagon and container services, as well as for passenger transport on high-speed and express trains, will be abolished, and a transition to market-based regulation will be implemented.

The document establishes a Temporary Regulation on the Procedure for Compensating Damage Incurred During the Provision of Passenger Transport Services on Domestic Trains from the State Budget. It defines the procedures for:

- Calculating losses for the carrier from providing passenger transport services on domestic trains;
- Considering the issue of reimbursement from the State Budget for these losses;
- Providing necessary documents for claiming compensation.

By 1 December 2025, a procedure for determining and approving prices for state-regulated services in the railway transport sector will be developed. Mechanisms for incentives (bonuses) aimed at improving service quality and operational efficiency will be introduced, along with a methodology for making advance payments.

By 1 July 2026, a project for the procedure for concluding and financing public service agreements for passenger transport services on domestic railway routes is planned to be developed.

Starting from 2027, compensation funds from the State Budget will be allocated only based on contracts for providing passenger transport services on domestic trains.