On the Further Optimization of the System of Central Executive Authorities

By Resolution No. 903 dated July 21, 2025, the Cabinet of Ministers of Ukraine renamed the Ministry of Economy of Ukraine to the Ministry of Economy, Environment and Agriculture of Ukraine. At the same time, it abolished the Ministry of Agrarian Policy and Food and the Ministry of Environmental Protection and Natural Resources, transferring their functions to the newly restructured Ministry of Economy, Environment and Agriculture.

This resolution introduced amendments to the existing regulatory acts, including those governing the direction and coordination of central executive authorities by the Cabinet of Ministers through relevant members of the Government. According to the changes, the following agencies will now be coordinated via the Minister of Economy, Environment and Agriculture:

• State Service of Export Control of Ukraine
• State Labour Service of Ukraine
• State Forest Resources Agency of Ukraine
• State Service of Geology and Subsoil of Ukraine
• State Water Resources Agency of Ukraine
• State Environmental Inspectorate of Ukraine
• State Service of Ukraine for Geodesy, Cartography and Cadastre

What does “optimization of the system of central executive authorities” mean in Ukraine? Here are just two illustrative examples.

Example 1.
The Cabinet of Ministers of Ukraine:
– By Resolution No. 829 dated September 2, 2019, “On Certain Issues of Optimization of the System of Central Executive Authorities”, renamed the Ministry of Ecology and Natural Resources to the Ministry of Energy and Environmental Protection of Ukraine, reorganizing the Ministry of Energy and Coal Industry by merging it with the new entity.
– By Resolution No. 425 dated May 27, 2020, also titled “On Certain Issues of Optimization of the System of Central Executive Authorities” (note the identical title), renamed the Ministry of Energy and Environmental Protection to the Ministry of Energy and created a separate Ministry of Environmental Protection and Natural Resources.

All of these steps were taken “for the purpose of optimizing the system of central executive authorities.”

As a result, the so-called “optimization” in the case of the Ministry of Energy and Environmental Protection lasted less than nine months—specifically, just 268 days.

Why was such a ministry even created? Someone must have prepared a justification for the necessity of this “optimization.” And did that “someone” (likely a civil servant) face any form of responsibility? A rhetorical question…

Example 2.
Since Ukraine’s independence, the Ministry of Economy has changed its name seven times:

No.	Period	Name of the Ministry
1	August 1991 – August 2001	Ministry of Economy of Ukraine
2	August 2001 – May 2005	Ministry of Economy and European Integration of Ukraine
3	May 2005 – December 2010	Ministry of Economy of Ukraine
4	December 2010 – September 2019	Ministry of Economic Development and Trade of Ukraine
5	September 2019 – May 2021	Ministry for Development of Economy, Trade and Agriculture of Ukraine
6	May 2021 – July 2025	Ministry of Economy of Ukraine
7	July 2025 – ?	Ministry of Economy, Environment and Agriculture of Ukraine

Each time, the process required establishing liquidation commissions, amending legislation related to budget allocations, drafting and approving new regulations, organizational structures, and staffing tables, and ordering new signage, seals, and official stationery.

And did the national economy start functioning more effectively as a result?

As for the creation of the Ministry of Economy, Environment and Agriculture of Ukraine — note that the approved regulation for this new “mega-ministry” spans 94 pages and outlines 570 (!) assigned functions— many environmental and conservation organizations, scientists, and civic activists opposed the merger of three functionally diverse ministries. They warned that such restructuring could lead to institutional failure in the areas of environmental protection, national security, and Ukraine’s strategic course toward European integration.

This concern is further supported by the previous failed attempt to combine the Ministry of Ecology and Natural Resources with the Ministry of Energy and Coal Industry—a merger widely regarded as highly unsuccessful.

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