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Sep 16, 2015

Russian Railways and FGC UES Have Agreed to Cooperate on Joint Projects

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Russian Railways and FGC UES have signed an agreement on cooperation on joint projects for the development of railway and energy infrastructure. On the part of Russian Railways, the document was signed by President Oleg Belozerov and, from FGC UES, it was signed by Chairman Andrei Murov.

"We intend to continue the cooperation between our companies: there is much need for cooperation and there is a wide range of tasks. The agenda includes the development of joint investment programs for the electrification of the network and the implementation of a common technical policy for the operation and development of electric grids and railways. We will also use your experience to improve the energy efficiency of Russian Railways," said Mr. Belozerov.

The sides discussed the progress of the project of modernizing the railways of the eastern area in the urgent field of electrification. During the meeting it was stressed that only by cooperating can the challenge of ensuring the export of goods at the approved level be overcome. In addition, there were discussions on the prospects for the electrification of the future high-speed Moscow–Kazan–Yekaterinburg line.

"FGC UES is carrying out a number of key state projects, the largest of which is in cooperation with Russian Railways. It is important to speed up its implementation in the near future; this work will create a multiplier effect in terms of regional development, improve the reliability of the power system, and ensure the connection of new residential areas and major consumers in areas adjacent to the mainline. Your colleagues have seriously helped build cooperation, including in developing financing mechanisms for this strategically important project for the country," said Mr. Murov.

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The railway development project of the eastern area would, by 2020, increase the carrying capacity of the Baikal-Amur and Trans-Siberian railways in the direction of seaports and border crossings of the Far East by 66 million t a year to the level of 2012.

The total cost of the project is set at 562 billion rubles, of which 302 billion rubles will be financed by Russian Railways and the remaining 260 billion rubles will come from the National Welfare Fund and the budget of the Russian Federation.

The project to build the energy infrastructure is for 2014–2025 and includes 21 objects worth 128 billion rubles.

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