Install

Get the latest updates as we post them — right on your browser

Today's paper. Last Updated: 05/24/2012

No Blacklist for Road Contractors

New federal roads in 2012 will total 220 kilometers in length, while the rural network will grow by 600 kilometers.
Vladimir Filonov / MT

New federal roads in 2012 will total 220 kilometers in length, while the rural network will grow by 600 kilometers.

Federal Road Agency chief Anatoly Chabunin has conceded that corruption is a problem in road-building, but said a blacklist of unscrupulous contractors was "almost impossible" to put together because companies quickly change their names.

"We have very strong procurement procedures when choosing contractors. But a blacklist just isn't practical. One day they'll be trading as 'OOO Dorogi' and the next day as something else," he told journalists at an end-of-year news conference Tuesday.

Chabunin is the key official overseeing a vast road-building program that includes extending both federal highways and rural road networks. He said both would continue to expand in 2012.

The country will get 220 new kilometers of federal roads, "not counting roads built by the state corporation Avtodor and regional authorities," he said.

Meanwhile the smaller, rural road network will be extended by "not less than 600 kilometers" in 2012, Chabunin promised, up from about 550 kilometers in 2011.

"About 130 billion rubles [$4 billion] will be spent on building federal roads in 2012," Chabunin told reporters, adding that another 114 billion rubles would go to maintenance and repair of the federal network.

He signaled that the government could abandon plans for a second ring road in St. Petersburg, saying "a lot of criticism was leveled at the Moscow ring, and there's no need to repeat that mistake."

The government is sinking billions into a decades-long road-building program aimed at upgrading national infrastructure. Projects include the controversial Moscow-to-St. Petersburg toll road, a new highway connecting Vladivostok and Khabarovsk, and a Europe to China transport corridor running via Kazan and Orenburg.

Spending on road networks and the reliability of contractors came under fire in September, when it emerged that the tarmac on a new highway in the Far East showcased in a road trip by Prime Minister Vladimir Putin had apparently disappeared — leaving only a dirt road.

Putin drove a yellow Lada Kalina down the Chita-to-Khabarovsk highway during a much-publicized drive in 2010. He challenged Transportation Minister Igor Levitin over the vanishing tarmac earlier this year, to be told that about a quarter of the highway was more than 40 years old and needed repair.

The government is struggling to meet the funding requirements of the country's pre-crisis transportation development plan, which called for 5 percent of gross domestic product to be devoted to such projects until 2030.

Earlier this week President Dmitry Medvedev signaled that he may use the Federal Welfare Fund, previously reserved for pensions, to help make up the shortfall.





This article has 0 comments on TheMoscowTimes.com and 1 comment on Facebook.

Leave a comment


Discussion
The Moscow Times welcomes your comments and invites you to discuss topics with other readers. Your comment will be posted automatically to enable a live discussion. If you aren't familiar with our comments policy, you can read it here.

If you're a registered user, you can start typing your comment below. If not, take a moment to sign up. and then return to the article.

If your comment doesn't appear, contact us by using our web form.

Comments

Comments via Facebook



Also in Business

Green on Green: Shipping Threatens to Trouble Baltic Waters

A boom in infrastructure development at the head of the Gulf of Finland near St. Petersburg is causing stress to the environment and risk of ecological disaster.

Gazprom May Increase Investment Spending

Gazprom could again increase its investment program for this year, after recently announcing plans to raise investment spending by 8.5 percent to $27 billion.

Companies in Airline Sector Report Growth

Transaero may double dividends paid to shareholders for 2011 when the company's board of directors votes on increasing the payments to 44 kopecks per share at their June 23 meeting.

Bosch Plans to Expand Auto Plant in Saratov

Bosch is planning to localize more auto parts assembly lines in Russia following a profitable year during which the technology supplier saw its sales in the country jump 50 percent to almost 1 billion euros ($1.2 billion).

Source: Dergunova Tapped to Lead Property Agency

VTB board member Olga Dergunova will be appointed to head the Federal Property Management Agency, Vedomosti reported Wednesday, citing unnamed government sources.

Medicine Ads May Disappear, Defense Ministry May Pick Up Slack

Russians are no strangers to military rigor and physical pain — a cultural trait that the government seems keen to incorporate into its advertising strategy.



print


Comments

This article has 0 comments on TheMoscowTimes.com and 1 comment on Facebook.

Leave a comment




Most Read
MarketGid
 

Eleven Years Ago Today the Earth Moved

I wonder, did you feel it? When last weekend, on Friday and Saturday, the world changed a little?