VLADIMIR PUTIN
ARCHIVE OF THE OFFICIAL SITE
OF THE 2008-2012 PRIME MINISTER
OF THE RUSSIAN FEDERATION
VLADIMIR PUTIN
ARCHIVE OF THE OFFICIAL SITE
OF THE 2008-2012 PRIME MINISTER
OF THE RUSSIAN FEDERATION
VLADIMIR PUTIN
Transcript of the beginning of the meeting:
Vladimir Putin: Today we will discuss how work on the various Olympic sites is progressing: how the plans we made are being realised, the pace of the work being carried out, and what unresolved questions there might be. Please, let us begin.
Dmitry Kozak: Mr Putin, we can report that we have entered the phase of full-scale construction on the Olympic sites. Today construction is underway not only in the alpine area, but also on the coast with four new ice hockey stadiums.
Site preparation is nearly complete, and we are entering the initial phase of construction to lay the foundations for the stadiums. Incidentally, I would like to note that the decision you made requiring these three facilities to be demountable, has not impeded our progress. Today, while the foundations are being laid, the design of the demountable structures is underway. The buildings will be constructed on these foundations. There will be no glitches. The Corporation found the necessary solutions.
Vladimir Putin: Now we only need to decide which regions will use these facilities after the Olympic Games are over.
Dmitry Kozak: We are currently exploring our options. There are several possibilities for each facility. It is vital that the climate be analogous to that of Sochi's, to ensure that these Olympic arenas will not need significant reconditioning after the Olympic Games.
I would also like to say that we are nearing completion of the construction on the temporary communications infrastructure. It will be completed by the end of June. Also, all the temporary roads are, for the most part, finished. All the coastal areas have access to energy, the relevant power supply has been secured, and the Federal Authorities also have reserves of power. As recently as this evening, the final decisions were made to provide guaranteed energy for the coastal area on a permanent basis without using temporary diesel engines. This minimises the environmental burden for the area during construction and is a great comfort to local people.
Vladimir Putin: And how is the construction of housing for people who have to relocate coming along?
Dmitry Kozak: The solutions have all been found, and if we have the opportunity, I can tell you in detail about this later. Literally in recent months all the sites needed to build these homes have been found. The village of Nekrasovsky is currently under construction.
But one positive effect of the work that the Corporation carried out together with the Administration of Krasnodarsk Region, was that we found tracts of land which are very well equipped with engineering infrastructure. In this way we have minimise the cost of public infrastructure in the new micro-regions, and on the relocation of the residents.
The schedule for housing construction was recently approved and synchronised with the schedule for the construction of the relevant Olympic facilities; where residential accommodation lies within the construction zone. And this means that not only will we not be delayed in building the Olympic facilities, but also that people will be able to move immediately into permanent accommodation from their current houses.
In addition, I would like to mention the activity in attracting private investors to Olympic projects in recent months. We have three investors for the six waterside stadiums, and in this respect we can say in definite terms that we can begin construction work on our own, without any State support, without asking for State loans from Vneshekonombank. The construction of the ice hockey stadiums will be funded from our own pocket, at a total cost of 14.3 billion roubles.
We have talked about how the Olympic Games will cost approximately 206 billion roubles, 18 billion of which are extra-budgetary. Now only 104 billion roubles from the budget will be spent on Olympic facilities, while expenditure covered by private investors amounts to over 102 billion roubles. This is particularly important during the economic crisis, and I think that we will continue to work in this direction.
Overall at this point, the amount of private investment in the Olympics and for Sochi's development, taking into account these recent additions, has reached 490 billion roubles. I would like to remind you that this is for both sport and tourist facilities which are not directly involved in the Olympics. There are the three ski resorts which are being built by Krasnaya Polyana, Alpiko-Service and Gazprom. They will not be directly involved in the Olympic Games, but by 2014 they will have completed building these sites, so that during the Olympics, they will be functioning tourist attractions.
Vladimir Putin: Good, and the infrastructure? How are the railway lines and highways coming along?
Dmitry Kozak: On May 28, Russian Railways started building the tunnels, which are the most difficult parts of the whole Olympic project. By that point all the production facilities had been prepared. A high quality, 12 km long, temporary access road has been built along the route to improve the transport options and accessibility for those 15,000 people who live on the left bank.
When it opened, residents thanked the builders for providing them with such a good road. There are also two temporary bridges which are also seen as fundamental. People now have transport access to the right bank, something they haven't had all these years.
Vladimir Putin: And the cost of the infrastructure including the railway? You saw the document that the Krasnodar Administration gave the railway workers saying that construction costs must not be decreased. What was that about?
Dmitry Kozak: Yes I saw the document. I understand the Krasnodar Administration, which is promoting the interests of the local residents. But it is absolutely...
Vladimir Putin: What does this have to do with the local people?
Dmitry Kozak :The people who are working there think that they could be paid more today.
Vladimir Putin: Is this really the root of the problem? This is not only about wages, but also about the cost of the construction materials and the cost of other components. The reasoning was completely different.
Dmitry Kozak: You are absolutely correct to note that, Mr Putin. The decision does not reflect that opinion. Today the Governor, the Administration as a whole, and I got to the bottom of it. The deputy governor, who spoke up for an increase in construction costs for these facilities, has already been sacked. We have copies of the order for his dismissal.
Regarding the optimisation of spending on the construction, we will act consistently and in accordance with the schedule. Those who try to promote special interests, to increase the cost of construction, will be severely punished.
I would like to say that today we can already see tangible results of the Olympic Project. I was there ten days ago, when we opened construction on the tunnels. Dmitry Chernyshenko, the President of the Sochi 2014 Organising Committee, literally the day before yesterday was on the construction site, and brought back photos that show this. You remember that there was a swamp there, and now, visible results from the implementation of these large projects. He can tell you about that himself.
Vladimir Putin: Please do.
Dmitry Chernyshenko: The Organising Committee and the International Olympic Committee have indeed noted the great progress that has been made in the last two months.
The Olympic site is really taking shape and it is clear how large a construction project this is, how well organised it is, how it is fulfilling all the current requirements, above all for environmental safety. Car wash points have been implemented, as have examination points for incoming freight. Excavation work for the Stadiums is underway, and the foundation trenches are already visible. Work is being carried out at a fast pace. Mr Bolloyev and I discussed whether we should follow the example of our British colleagues, who regularly organise tours of the work in progress, so we can show visitors the Olympic city of Sochi and what progress is being made on the Olympic site.
Vladimir Putin: Good.
Dmitry Kozak: I would also like to say that there is one less than pleasant circumstance, for since the project is extremely difficult, it requires full committment and round the clock work, practically without any time off. For the last year Mr Viktor Kolodyazhny carried out this work. Unfortunately due to personal problems he asked to be transferred from this project to other duties, involving permanent residence in Krasnodar. It is a personal matter that we will not discuss here.
He has already been on leave for two months, and the duties of the President of the Corporation have been carried out by his First Deputy, Mr Taimuraz Bolloyev. He is well known as one of our country's top managers. His work with the Corporation overall, and in particular during these past two months has proved him to be an efficient and professional manager. I think that his notoriety and the respect he commands in the country allows the Corporation to achieve its objectives: the coordination and control of the projects and of all those involved in the projects. There are an extraordinarily number of them, including Federal authorities, and the private companies that invest in the projects.
Vladimir Putin: Mr Kolodyazhny didn't do a bad job overall. There were some problems, weren't there?
Victor Kolodyazhny: I would like to thank Mr Kozak for his understanding of my personal situation and for the support of the Corporation as a whole. I would like to say a big thank you to Taimuraz Bolloyev. I have known him a long time; we are colleagues, and friends. During those two months he did everything to ensure the smooth operation of the Corporation. I think his appointment is the most practical choice. The Corporation will work very consistently under his leadership.
Vladimir Putin: Thank you Mr Kolodyazhny for the time you spent working on the project, it was probably the most difficult time: getting a project off the ground. We know how many difficulties and problems there were along the way. Almost all these problems have been resolved, the difficulties - overcome. Thank you very much for your work, I am sure we will meet again on many occasions to discuss industrial matters. Let us talk later about where your knowledge and experience can be deployed. I would very much like our work together to continue in some way.
As for Mr Taimuraz Bolloyev, he really is a famous man. He has worked, successfully, in business for many years, making his company one of the most famous companies in our country and in Europe as well. But all the same this is a very specific project. It is not private, it is totally public, and it has great national significance. I rely on the fact that if you give 100% in your work on this, as you know you can, then you will achieve those results that we are all counting on.
Taimuraz Bolloyev: Thank you very much Mr Putin. Your decision is very important to me, and involves great responsibility. As far as I can judge from the time I have been working with the Corporation, the tasks that face us are absolutely exceptional, as you suggest. The difficulty of these tasks is dictated by their many participants, and the Corporation's role includes the coordination of these participants. That is why this year we plan to resolve those design questions which we face.
One of the most difficult aspects of the project is road construction: because they are in mountainous regions, and there are infrastructure questions. And we understand that it is our job to coordinate all those involved in the work, all those involved in the project. We are currently enjoying cooperation and activity from all these participants: both Federal agencies and investors. We think we can make the decisions regarding this work on time, and to a high standard.
Vladimir Putin: Good. Mr Bolloyev, the project that you were involved in during previous years, which you completed, as I already mentioned, is one of this country's, and possibly Europe's, leading businesses. The Baltika brewery is well known in our country and abroad. It is not just a brewery, it is a major business enterprise that you started practically from scratch. Here the groundwork has already been done, a lot has been accomplished by Mr Kolodzhany and previous leaders, but a massive amount of work lies ahead.
I would like to emphasise once more that this is not an ordinary company, or a private project. I ask you to monitor assiduously: the project schedules, the working conditions for those on site, the discharging of social duties towards those who live in the region, by which I mean those who will be re-located, and as I have already said, the cost of the ongoing projects.
The issue that we referred to, when a high-ranking official not only does not seek to decrease the costs of a project, but on the contrary, demands retaining and even increasing costs especially in today's conditions, this is absolutely unacceptable. His dismissal is understandable. But one needs to keep in mind that if these incidents are in the past, then first of all, they deserve serious investigation. It also needs to be understood that perhaps these sorts of actions caused harm. And secondly, nothing like it must be allowed in future. I ask you all to bear this in mind.
