Not only public organizations, generously supporting private business, but also state-owned enterprises (SOEs) have focused on solving the coronavirus pandemic crisis and mitigating its inevitable consequences in Lithuania. Governance Coordination Center recalls the initiatives of SOEs that make a significant contribution to addressing the challenges of coronavirus.
“Both state-owned enterprises and private equity are facing significant challenges during these difficult times. Most SOEs perform the social functions (special obligations) assigned to them by the state and ensure their continuation despite of the radically changing environmental conditions. Not only that some SOEs show a high maturity of social responsibility using their infrastructure and resources, but are also determined to take additional initiatives to help manage the coronavirus pandemic crisis.
We would like to review and remind about the contribution of SOEs in solving the coronavirus crisis within the first month of quarantine,” notes Vidas Danielius, Director of the Monitoring and Forecasting Agency, which performs the functions of the Governance Coordination Center.
The most significant publicly announced activities and initiatives of SOEs that help to mitigate the effects of the coronavirus crisis are:
- LG Keleiviams, passenger transport company belonging to the Lietuvos geležinkeliai group of companies, helped Lithuanians stranded on the German-Polish border to reach their homes by a special train. Also, Lithuanians, Latvians and Estonians were made able to return to their homes from Ukraine. In addition, Ukrainians, who were in Lithuania, were facilitated to return home even after borders closure. A cargo of protective equipment for doctors arrived to Lithuania by rail from China last Saturday. The entire logistics chain of the medical supplies and their transportation was taken care of by the representative office of Lietuvos geležinkeliai in China.
- Energy company Ignitis grupė has created preferential payment terms for all its customers who face financial difficulties during the quarantine. Service fees for payments made on the self-service platform e.ignitis.lt have been abolished.
- The state-owned company Lietuvos oro uostai has offered for its business partners an assistance package that significantly eased commercial leasing and other conditions during the quarantine period. Duty free and other stores, ground handling companies, car rental service providers, car park operators and other businesses operating at Vilnius, Kaunas and Palanga airports that have stopped due to non-existent scheduled flights were made able to use the benefits.
- Lietuvos paštas transported and distributed consignments from China to the main Lithuanian hospitals with protective equipment and reagents. In order to facilitate the collection of incoming mail and reduce social contact with bystanders, some incoming mail is routed to self-service terminals during quarantine.
- The National Development Agency Investicijų ir verslo garantijos (INVEGA), in cooperation with the Ministry of Finance and the Ministry of Economy and Innovation, has developed a package of measures to help companies deal with the liquidity and financial problems caused by the COVID-19 pandemic.
- The Public Investment Development Agency Viešųjų investicijų plėtros agentūra helping to mitigate the negative effects of the crisis offered long-term loans to businesses enabling implementation of energy-saving measures.
- Licensed hazardous waste management company Toksika collects medical waste free of charge from three mobile coronavirus testing points in Vilnius, as well as from Šiauliai, Ukmergė, Pasvalys and Biržai.
- The state-owned company Turto bankas, which manages and ensures the maintenance of state real estate, proposed to use the premises managed by it for municipalities of the country for quarantine and other essential needs. Turto bankas has also announced that it will not charge interest to institutional and private customers for delays in the payment of services provided during the quarantine period.
- Registrų centras, center of registry, has indicated and notified that this financial year it will assess the financial reporting process more flexible and take into account the objective reasons because of which businesses and organizations may not be able to report on time. Individuals, who need a joint certificate issued by the Registrų centras, are enabled to obtain it electronically, thus avoiding unnecessary contact with other people.
- State owned company Mūsų amatai, which employs convicts, started the initiative of sewing the reusable protective masks.
About Governance Coordination Centre
The Governance Coordination Centre is a government-established analytical center that seeks to ensure consistent and professional management of state-owned enterprises (SOEs). The functions performed by the Centre include a wide range of coordination activities for SOEs: selection of independent board members, oversight of the implementation of strategic plans, preparation of analytical reports and publicity of SOEs activities, assistance in the formation of SOEs sector policy and consultations on implementation of good governance.
The Governance Coordination Centre is representing Lithuania at OECD state ownership and privatization practices working group.
The owner of the Monitoring and Forecasting Agency is the state.
For more information about the Governance Coordination Centre: www.governance.lt/en
