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Feb 15, 2019

“Russian Railways’ Long-Term Development Programme is driving the development of key market participants,” says Vadim Mikhailov

 

 

Vadim Mikhailov, First Deputy Managing Director of Russian Railways, has reported on the prospects for implementing the Company’s Long-Term Development Programme until 2025.

 

Mikhailov was addressing the session "Russia’s Transport: Ensuring the Development of Mainline Infrastructure as the Basis for Economic Growth" at the Russian Investment Forum, which was held in Sochi on 14 February 2019.

The Company’s has developed two scenarios within the framework of the Programme: basic and optimistic. "In the first scenario, the average loading volume in the next seven years will increase by about 2.4% annually, while the optimistic scenario sees a rise of up to 3.8%. Accordingly, freight turnover in the baseline scenario will grow by 3.8% annually and in the optimistic scenario by 4.6 %," said Vadim Mikhailov.

The First Deputy Managing Director noted that during the Programme’s preparation phase, the Company’s representatives worked long and closely with the shippers. "We are one of the few in the country who still do a transport balance in order to articulate clearly who goes where, with what volume, where the bottlenecks are, and how we need to fix these bottlenecks."

The Company pays considerable attention to the development of passenger traffic. According to Mikhailov, what benefit the wider population will gain from implementing such a Programme is important. The Company plans to integrate the railway stations into the urban environment and implement measures to ensure comfortable conditions for passengers to stay at railway transport facilities.

In general, the Long-Term Development Programme provides for a set of initiatives aimed at improving the Company’s focus on the customer and transportation quality and efficiency. Key initiatives are aimed at increasing the capacity of the Baikal-Amur Main Line and Trans-Siberian Railway and the railway approaches to the seaports of the Azov-Black Sea basin.

The transportation time of containers by rail, in particular from Russia’s Far East to its western border with Europe, will be reduced to 7 days, while the volume of container transit shipments by rail will increase fourfold.

Transport communications will be developed between the administrative centres of the constituent entities of the Russian Federation and other cities, centres and hubs where there is strong economic growth.

 

 

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