Resolution

RESOLUTION
of the conference GlobalPORT-2009
“St. Petersburg – the sea capital of Russia.
Transport and Transit potential”

Project of the Party “United Russia”
“St. Petersburg – the sea capital of Russia”

September 22, 2009                                                                                                                         St.Peterburg

II International conference “St. Petersburg – the sea capital of Russia. Transport and Transit potential” was held on September 22-23, 2009 in St. Petersburg within the framework of the “United Russia” Party project “St. Petersburg – the sea capital of Russia”.

First people from federal legislative and executive authorities, large Russian and international transport, logistics, shipping and industrial companies, representatives of sea and river ports, stevedoring companies, profile ministries and departments of more than 20 regions of the country including St. Petersburg, Leningrad, Arkhangelsk, Murmansk regions, republics of Karelia, Komi, Tatarstan, Chukot Autonomous Area, Republic of Sakha (Yakutia), Perm region etc. took part in the conference.

Participants of the conference having discussed current issues on transport branch development in Russia pointed out the following:

Transportation industry in the Russian Federation is the most important part of production infrastructure, and industry development appears as the priority issue in state activity. Dynamically developing, stable operating and balanced national transport system is an indispensable condition for Russian economic recovery.

Country integration into world economic area demands transportation industry to be appropriately rearranged, Russia potential as transit power to be realized, native carriers’ competitiveness to be raised and transportation service export to be developed.

Geopolitical position of the Russian Federation defines its integral role in providing Eurasian transport connections. Russia occupies more than 30% of Eurasia territory and objectively serves as the natural bridge for transit connection in this direction. However volume and quality characteristics of transport branch including infrastructure level do not allow completing effectively and in full tasks of Russian economics. Thus geopolitical potential of the country is not realized to the full extent. Underrun of the Russian Federation transport and logistic infrastructure led to important international trade routes being laid in circumvention of our country.

The base for dimensional model of transportation industry development should be Eurasian transport corridors of railway, motorway, water and telecommunication lines that being systematically developed would maintain common political, economic and defense space of the country, provide territorial integrity of Russian state, facilitate arrangement of an access to raw material bases and complex development of remote territories.

Arrangement of international transport corridors (TC) supporting integration of the Russian Federation into world cargo turnover system will provide independent transport connection with foreign partners. In future it will attract additional cargo traffic to pass in transit through Russian territory that can lead to significant increase of the state income from transit operations. Northern Sea Rout is to perform the main role in this process.

Participants of the conference unanimously came to the conclusion that competitive advantages of the Russian Federation should be realized in large infrastructure projects, but for future transport branch development State support is needed.

September 18, 2010 President of the Russian Federation Dmitry Anatolievich Medvedev approved Fundamental Principles of State Policy in Arctic for the period up to 2010 and long term ones. It is stated in the document that Northern Sea Rout exploitation performs as a main national interest of the state at Arctic region. Its recovery will serve as a great impact for development of Arctic territories and Russia in whole.

June 22, 2009 Bureau of the Party Supreme Council approved party project “Northern Sea Rout – national transport line of Russia” that can serve a base for federal target program.

Northern Sea Rout exploitation as permanent transport corridor is possible only subject to provision of its year round operation and navigational security, arrangement facilities along the rout for service maintenance, freight terminals, communications and logistic centers, port infrastructure modernization. All above mentioned endorses the need in Federal Target program.

Participants of the conference also pointed out that the main factor in attracting foreign trade transit cargo into Russian territory including water territory of the Northern Sea Rout is arrangement of large transportation hubs and realization of regional infrastructure projects that provide more efficient exploitation of Russian TC.

Among the most important strategic transport facilities aimed at effective service of transit cargo traffic at Northern Sea Rout are a project “Belkomur” that includes construction of new Arkhangelsk deep-water port and railway line “Solikamsk-Gainy-Syktyvkar-Arkhangelsk”; a program of Murmansk transport hub complex development; a project of new deep-water port construction at Belomorsk (Republic of Karelia); transportation facilities of the Yamalo-Nenets Autonomous District etc.

Far East takes an enormous significance in Northern Sea Rout development. Thus Chukot Autonomous Area could and should perform a discrete role as an indispensable part of the Northern Sea Rout. Nowadays at the territory of the region five sea ports are operated. As the main problem and deterrent for their successful performance act a high depreciation level of port fleet and constructions.

The role of Republic of Sakha (Yacutia) in Northern Sea Rout development is very important. At Baikal forum 2007 an idea of international transport corridor China-Skovorodino-Yakutsk-Northern Sea Rout-Western Europe was introduced as one of the elements of general Eastern-Asian inland-pacific transport development. The idea provoked a genuine interest on the part of business representatives of Chinese Peoples Republic and Amur regions.

The primary part in this TC belongs to waterway from Yakutsk to Lena outlet operated by “river-sea” vessels. Nowadays “river-sea” carriages without transshipment are single source. However fleet depreciation is up to 80%.

The other urgent problem to be discussed during the conference “Transport and Transit potential” is development of self-regulation in transport sphere.

Countries with advanced market mechanisms have successful experience in phased transition from general state regulation towards self-regulation that allows making the most use of entrepreneurs potential, initiative and managerial efforts of business participants.

Expediency of self-regulating organizations in transport sphere is due to the need of business society involvement into process of development of standards and economic management rules at new high quality level, increase of control effectiveness and creation of efficient financial and disciplinary liability mechanisms for members of self-regulating organizations for violation of legislation requirements. Moreover self-regulating organizations in transport sphere will help to decrease redundant state supervising function and to liquidate corrupt mechanisms.

According to recommendations included into Resolution of the I International conference “St. Petersburg – the Sea capital of Russia. Transport and Transit potential” in order to reorganize state regulation methods in transport sphere the work group was formed to investigate opportunities for handover redundant functions of governmental authorities to self-regulating organizations. In this respect it is important to mention foundation of noncommercial associations in auto, sea and railway transport sphere that turned into prototype of SRO: “Self-regulating association of auto transport carriers”, noncommercial partnership “Council of participants of railway operator market”, “Russian Association of sea and River Bunkers”. Development of such organization is the primary step on the way towards SRO in all transport branches. However a set of questions is still unregulated.

Nowadays some branches of Russian economics are specified by implementation of self-regulation with legislative recognition. Process of SRO development is on the up at real estate market. Particularly it depends on the speed of control body ascertainment. The need in special designated structure with function of supervision over activity of self-regulating organizations in transport sphere was mentioned at the II International conference “St. Petersburg – the Sea capital of Russia. Transport and Transit potential” during round table discussion “Sea carriage”.

As one of important topics for round table discussion appeared a problem of Russian sea and river fleet renovation for increase of Russia’s competitive ability at shipping market. Speakers underlined the need in state mechanisms for stimulation of new vessel construction as investment abilities of the large part of shipping companies are considerably limited by world financial crisis.

Participants also discussed interdepartmental issues that directly influence cargo turn-over of Russian ports. The general feeling was that it is necessary to remove redundant administrative barriers frequently being artificially raised by law enforcement authorities.

Auto transport branch being an important element of transport system of the Russian Federation needs to be reformed as well. Strategic aim is to satisfy economic demands in cargo carriage, to raise social mobility, to provide carriage security, to keep transport security in whole in the country.

In 2005 auto transport carriage licensing as the method of state regulation was eliminated (but the system of self-regulating organizations was not created yet) and that led to chaotic development of auto transport market and to a complex of social-economic problems.

According to expert analysis the amount of entrepreneurs was up to a million, official branch records have not been keeping since 2005. At this more than 80% of auto transport service market turnover is in shade. Unfair competition and damping by means of ignoring road safety demands and carrying equipment depreciation had reached a critical rage.

On objective opinion of participants of the session on auto transport carriage the change in the system of state regulation of auto carriers’ activity – establishment of the self-regulating organization institute as the way of auto transport service innovative development in new economic conditions – is a mandatory measure for Russian transport branch dynamic development.

Numerous factors inhibit railway transport development in Russia. Currently activity of operators actually performing as an indispensable part of railway transport market still has insufficient legislative base. In case the relevant law is being passed Noncommercial Partnership “Council of railway operators’ market participants” would claim responsibility for a part of state regulatory tasks at this sphere of activity taking into consideration business features of the market, and interests of counterparties railway infrastructure owners and carriers as well.

Operators’ activity based on “transparent” rules and standards defined by themselves will facilitate not only safety on railway transport but business development as well. Also it will attract additional investment into the branch.

From opinion of participants of round table on main aspects of railway carriage management, railway carrying equipment operators should guarantee security of their performance equally to other participants of transportation process. Especially it is important when a carrier renders its wagons to operators who in their turn are in charge of wagon maintenance.

Conference participants turn attention of Executives of “United Russia” Party towards issues that limit effective development of transport branch in the Russian Federation, and address to Conference of “United Russia” Party, Chairman of the “United Russia” Party V.V. Putin, Chairman of Supreme Board B.V. Gryzlov to come forward with an initiative on the following:

1. In order to modernize transport branch in Russia, to realize transport potential of the country and to develop international transport corridors recommend Government of the Russian Federation to issue a direction on development of Federal Target Program on Northern Sea Rout recovery. Ministry of Transport of the Russian Federation in association with concerned federal executive bodies and administrations of the regions of the Russian Federation should develop the program. Within the framework of this project the following should be provided:

1.1. In order to work out primary statements of new Federal target program on Northern Sea Rout recovery and to define essential measures for it’s realization, form a program development workgroup consisting of representatives of Ministry of Transport of the Russian Federation, Ministry of Regional Development of the Russian Federation, Federal Agency of Sea and River transport, administrative group of the “United Russia” Party project “St. Petersburg – the sea capital of Russia”, workgroups of projects “Northern Sea Rout – national transport line in Russia” and “Infrastructure of Russia”, as well as representatives of subjects of the Russian Federation being linked up to Northern sea Rout. Moreover it is suggested to include into workgroup representatives of current and potential Northern Sea Rout customers such as JSC “Murmansk Sea Shipping”, JSC “GMC “Norilsky Nikel”, JSC “Gazprom”, JSC “IC LUKOIL”, JSC “OC Rosneft”, JSC “Sovkomflot”, FSUO “Atomflot”

1.2. To provide legislative base for Northern Sea Rout development recommend State Duma of the Russian Federation to pass a draft federal law “On Northern Sea Rout”.

1.2.1. Within the framework of the draft federal law “On Northern Sea Rout” rework navigational rules for Northern Sea Rout.

1.2.2. Within the framework of the draft federal law “On Northern Sea Rout” develop and pass sublegislative normative legal acts “On sustainable tariff policy at Arctic” and “On payment for service supplied at Northern Sea Rout” in order to increase commercial attractiveness of transportation by Northern Sea Rout and to control cost prices of products delivered to Arctic regions of Russia.

1.3. In order to accommodate interests of everyone concerned on regional Northern Sea Rout development recommend Ministry of Transport of the Russian Federation to arrange establishment of Northern Sea Rout administration with branches in relevant federation units; heads of administrations and representatives of concerned departments at Murmansk and Arkhangelsk regions, Nenets, Yamalo-Nenets and Taimyr Autonomous Areas, Krasnoyarsk region, Republic of Sakha (Yakutia), Magadan region, Chukot Autonomous Area and Kamchatka region should sign an Agreement on working partnership at Arctic and to create Joint administration for Northern Sea Rout management.

1.4. Take measures towards arrangement, reconstruction and development of transport and transit infrastructure (ports, warehouse complexes, receipt sidings, customs terminals) and transport fleet providing high-quality service for transit cargo traffic at regions of the Russian Federation located in close proximity to Northern Sea Rout – Republic of Korea, Murmansk and Arkhangelsk regions, republic of Komi, Perm area, Nenets, Yamalo-Nenets and Taimyr autonomous areas, Krasnoyarsk region, Republic of Sakha (Yakutia), Magadan region, Chukot Autonomous Area, Kamchatka region.

1.4.1. Taking in consideration that Chukot Autonomous Area being challenging resource base takes a special place as the part of Northern Sea Rout, it is important to provide dynamic operation of ports at Pevek, Provideniye, Ekvekinot, Anadyr, Beringovsky that nowadays are operated primarily for delivery of living facilities to the region. In this connection address to the Government of the Russian Federation with suggestion to establish federal state-owned enterprise with working title “Ports of Chukotka” in order to conserve port infrastructure and to provide further undisturbed operation at sea ports of Chukotka autonomous area.

1.4.2. To point out an importance of arrangement at Republic of Sakha (Yakutia) international transport corridor China (ATP) – Skovorodino – Yakutsk - Northern Sea Rout – Western Europe and prospects of autonomous and lightering combined “river-sea” water connection, acknowledge the need in replacement in connection of run-out of combined “river-sea” type and shallow-draft double application river fleet (dry-cargo-bulk) being operated at Lena basin. The following measures should be taken:

1.4.2.1. Combined “river-sea” carriage by river transport should be included into directions of maritime activity of the Russian Federation and this direction should be reflected in the Strategy of maritime activity development worked out to be approved.

 1.4.2.2. Ministry of Regional Development of the Russian Federation, Ministry of Transport of the Russian Federation, Ministry of Industry and Trade of the Russian Federation, Ministry of Economic Development of the Russian Federation should examine possible opportunities for systematic replacement starting from 2012 of JSC “Lenskoe joint river shipping” owned combined “river-sea” vessels dropped out of performance because of depreciation by new generation vessels with operating lifetime of not less than 40 years and shallow-draft double application river vessels being able to carry alternatively both dry cargo and oil products. Among them there should be considered productive facilities of LLC “Onezhsky shipbuilding plant” (Petrozavodsk) specialized at combined river-sea type vessel construction, as well as shipbuilding facilities and infrastructure of JSC “Shipbuilding plant “Avangard” (Petrozavodsk) being out operation by present time. There should be provided funds for reconstruction and modernization of all the elements of unique Arctic lightering system “Northern Sea Rout”.

1.4.2.3. Recommend Ministry of Transport of the Russian Federation to spring into action starting from 2011-2012 a program on renewal of historically gained sea rout depth at low Lena of up to 290-300 cm with further increase for up to 400 cm by 2025. It will help to make by 2025 a river component of international transport corridor of Northern Sea Rout being secure and efficiently operated over 100-110 days a year and it will raise its attractiveness.

1.4.3. In order to develop and to utilize shipbuilding capacity of Far East region recommend Ministry of Regional Development of the Russian Federation, Ministry of Transport of the Russian Federation, Ministry of Industry and Trade of the Russian Federation, Ministry of Economic Development of the Russian Federation to examine capability to construct ice-class vessels at JSC “Amursky shipbuilding plant” and JSC “Khabarovsky shipbuilding plant” for exploitation at Northern Sea Rout.

1.5. In order to provide more efficient exploitation of Northern Sea Rout it is important to develop the largest interregional infrastructure projects. In this connection at sessions of working groups of Presidium of General Council of All-Russian political party “United Russia” on issues of Russian transport system development and state policy formation in sphere of economic and social development of Northern regions of the Russian Federation taking into consideration the importance of transport infrastructure development at North-West of European part of Russia, traffic flow diversification, including the ones situated at the Arctic ocean basin discuss, support and admit to be political a Project on construction of a railway line “Belkomur” for its fastest realization in the interests of further development of ports at Barents and White seas. As well:

1.5.1. Recommend Governmental commission on investment projects of federal significance to approve “Belkomur” project with financing of its construction from Investment Fund of the Russian Federation.

1.6. In order to solve personnel problem in Northern Sea Rout infrastructure speed up the process of singing by the President of the Russian Federation D.A. Medvedev the Order on establishment of the Northern (Arctic) Federal University (NFU) being specialized in personnel trainings and scientific researches to protect interests of Russia at Arctic. Recommend Ministry of Education of the Russian Federation to approve the Project.

1.7.  In order to implement into transport branch modern informational developments recommend Ministry of Transport of the Russian Federation joint with Ministry of Communications and Mass Communications of the Russian Federation and Federal Space Agency to explore an issues on establishment at Murmansk on basis of satellite technologies of information center of Northern Sea Rout and Arctic region on hydrometeorological and hydrographical support including monitoring and forecasting of ice situation, control and management of transport processes and carriages, as well as due notice of о emergent natural anomalies, informational support and cooperation between rescue departments while eliminating effects of natural and anthropogenic emergency situations.

2. In order to develop cargo transportations on the territory of the Russian Federation, to decrease redundant control function of the State, to implement standards and rules of business management initiate a number of measures for self-regulation institute development in transport sphere. For this purpose:

2.1. Admit the importance and need in performance of established at the State Duma of the Russian Federation by initiative of “United Russia” party the interdepartmental working group on working-out self-regulation principles in transport sphere. Supply abovementioned working group by competent representatives of business community, ministries and departments concerned, profiled committees of the State Duma of the Russian Federation.

2.2. In order to implement faster self-regulation institute into sea and river transport sphere:

2.2.1. Turn attention of the Government of the Russian Federation to the fact that since Federal law № 315-FL “On self-regulating organizations” came into effect on February 01, 2007 there had been no non-commercial organization in sea and river transport sphere being registered as self-regulation one. In order solve this issue recommend Government of the Russian Federation to define special executive body authorized to keep a register of self-regulating organizations and to exercise functions of control (oversight) over self-regulating organizations’ performance in transport sphere.

2.2.2. Taking into account that business opinion is not sufficiently considered in development of normative legal acts that regulate activities in sea and river transport sphere, as well as keeping in mind self-regulation interest of the companies involved into licensable types of activity in sea and river transport sphere, and maturity of non-commercial organizations have been established in sea and river transport sphere and being SRO prototypes, recommend Ministry of Transport of the Russian Federation explore the possibility of legislative substitute licensing of certain types of activity in sea and river transport sphere by obligatory participation in self-regulating organizations for entrepreneurs involved into licensable types of activity in sea and river transport sphere. To that effect within the framework of established at State Duma of the Russian Federation by initiative of “United Russia” Party interdepartmental working group on development of self-regulation principles in transport sphere, examine in details foreign self-regulation experience in sea transportation sphere, as well as current Russian experience in other branches of economy, in particular in sphere of building, auditing and valuation activities etc.

2.3. In order to develop optimal layout for cargo delivery consider to be rational to carry out a research on estimation of raise in financial expenses on support of inland water ways and their economic efficiency for making decisions on increase in guaranteed dimensions of navigable pass and (or) construction of new generation vessels.

2.4. In order to develop auto transport cargo transportations on the territory of Russia and to change system of state regulation in motor carriers’ activity recommend State Duma of the Russian Federation:

2.4.1. To pass draft Federal Law “On alterations into certain federal laws in view of establishment of self-regulating organization institute for cargo carriers”

2.4.2. Participation of self-regulating organizations in working out and development of state target programs is very important for SRO institute progress. In this connection recommend self-regulating auto transport organizations being established including NO “Self-regulating organization of motor transport carriers” to take part in realization of the program “Development of transport service export” originated within the framework of “United Russia” Party Project “St. Petersburg – the sea capital of Russia” towards phased putting into operation on territories of St. Petersburg and Leningrad region of motor transport enterprises equipped with modern transport facilities.

2.5. In order to develop railway carriages in Russia and to speedup a process of implementation of self-regulation institute:

2.5.1. Recommend Ministry of Transport of the Russian Federation, JSCo “RZD” and its subsidiaries to initiate sessions of working groups with participation of Non-commercial partnership “Council of participants of railway operator market” and to take an active part in this sessions to create a new model of railway carriage market in default of inventory fleet at JSCo “RZD”

2.5.2. Form legislative base for self-regulation development in competitive sector of providing railway vehicles for cargo transportation (operator activity). To this result recommend Ministry of Transport of the Russian Federation in rework of the Draft Federal Law “On amendments and addendums into Federal Law “On railway transport in the Russian Federation” to make amendments concerning self-regulation in railway vehicle operation sphere and scope of authority granted to SRO by government, and to specify at that obligatory membership of railway vehicle operators in SRO. Particularly:2.5.1. Recommend Ministry of Transport of the Russian Federation, JSCo “RZD” and its subsidiaries to initiate sessions of working groups with participation of Non-commercial partnership “Council of participants of railway operator market” and to take an active part in this sessions to create a new model of railway carriage market in default of inventory fleet at JSCo “RZD”

2.5.3.1. Recommend Ministry of Transport of the Russian Federation, JSCo “RZD” examine an issue on advance construction of railway to vil. Indiga and vil. Ust-Kary (construction of above mentioned main lines is planned in “Strategy on railway development in Russian Federation for up to 2030” since 2016).

2.5.3.2. Recommend Ministry of Transport of the Russian Federation, JSCo “RZD” to examine an issue on increase of investment and reduction of terms of construction and putting into operation of an object “Reconstruction of a subarea Oune-Vysokogorny (Oune-high-mountain) with construction of a new Kuznetsovsky tunnel at subarea Komsomolsk-on-Amur – Soviet Harbor”, on speed up of a start of construction of secondary tracks along Baikal-Amur Mainline and electrification of Northern latitude route with the view to increase BAM carrying and transportation capacity in direction of Vanino and Soviet Harbour ports for up to 80 million tons by 2020.

3. In order to increase competitive ability of Russia on sea transportation market it is necessary to realize measures towards renovation of Russian sea and river fleet. In this connection:

3.1. Recommend Ministry of Transport of the Russian Federation joint with Ministry of Finance of the Russian Federation to implement leasing financing structure for construction and further exploitation of new vessels. This financial structure will provide preferential tax and port fees treatment at Russian ports for ship owners that build and operate new fleet for the leasing payment return period up to the moment of vessel passing into ownership of ship owner.

3.2. In order to maintain competitive environment at bunkering service market in Russian ports and to avoid formalist approach to handing the problem of renovation of Russian bunker vessels (that is exploitation of both acquired abroad old vessels formally satisfying requirements of international conventions (to be schedule replaced according to operating life period) and partially rebuilt old Russian vessels that do not provide fundamentally high-level operation safety), recommend Ministry of Transport of the Russian Federation to examine possibility to work out a complex of organizational and technical measures that will allow to define probable prolongation period of running of moratorium on exploitation at Russian ports single-side bunkers for the period after January 1, 2011.

3.3. Recommend representatives of Flag Administration joint with Russian Association of Sea and River Fuelers to state application criteria of SC MARPOL to bunker vessels involved in heavy oil products handling entirely at port water area.

3.4. For successful realization of an issue on Russian bunker fleet renovation Ministry of Transport of the Russian Federation and representatives of bunker business society should develop conventional concept projects of port bunker vessels with their further realization at Russian shipyards.

3.5. Taking into consideration perspective of combined sea-river water connection recommend Ministry of Regional Development of the Russian Federation, ministry of Transport of the Russian Federation, Ministry of Industry and Trade of the Russian Federation, Ministry of Economic Development of the Russian Federation to examine possible variants of systematic replacement starting from 2013 of combined sea-river type vessels owned by JSC “Amurskoye Shipping” being out of exploitation fleet under depreciation by new generation vessels with operating lifetime not less than 40 years and by shallow-draft double application river vessels for exploitation at Amur basin rivers.

4. In order to develop port capacity recommend Government of the Russian Federation to speed up taking a decision on establishment of special economic port zone at Soviet Harbour (Khabarovsk region), decision on establishment of special economic port zone at Murmansk port (Murmansk region) without a claim tender and to examine possibility of establishment of special economic port type zone at vil. Indiga (Nenets autonomous area). Moreover due to arrangements reached between Sea Collegia at Government of the Russian Federation and State corporation “Bank of Development and Foreign Economic Activity (Vnesheconombank)” on selection of pilot seaside subject of the Russian Federation and pilot port for development of cooperation mechanisms for realization of investment projects following state-private partnership principles to the extent of complex development of territories, approach to Sea Collegia with a proposal to examine as a pilot subject of the Russian Federation Nenets Autonomous Area and as a pilot port – vil. Indiga (Nenets Autonomous Area).

5. In order to raise attraction of Russian ports for cargo owners and carriers as well as to increase cargo turn over recommend Federal Customs Service of the Russian Federation to take measures on arrangement conditions for maximum possible cutting time spent on custom cargo processing and clearing. To this extent customs bodies should promptly and everywhere pass to electronic document management.

6. In order to reduce investment requirements into transportation industry, to create reserve capacity within spring-summer-autumn period at heavy traffic lines and to attract cargo traffic to the inland water transport recommend Ministry of Transport of the Russian Federation to explore an issue on creation of interdepartmental Coordination Council on coordination and cooperation of transport systems in providing of carrying capacity of all kinds of transport, including maximum use of river transport.