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
Prime Minister Putin's opening remarks:
Good afternoon, we have a few issues to discuss today.
Let's start with state defence orders for 2010. I would like to stress that it is one of the priority issues, which you are certainly aware of. Despite the present challenges of the global economic crisis, we managed to maintain the same volume of state defence orders and moreover boosted it by 1.2%.
The requirements for the efficiency of spending these funds and towards the quality of military-industrial companies' performance become increasingly tougher.
The volume of financing for defence-related R&D projects as well as armament and military equipment supplies will remain at almost the same level, which will allow us to continue state military development programmes.
As usual, we have outlined key priorities to focus on. As for the armed forces, these priorities include maintaining and boosting Russia's strategic nuclear potential, upgrading ballistic missile defence systems, equipping the army with modern attack, control, intelligence and communication systems, as well as streamlining military infrastructure in key strategic areas.
The implementation of long-term contracts, which has already started, must be prioritised as well and should not be jeopardised, with a total of 200 billion roubles planned to be earmarked for this purpose.
I would like to say a few words about this year's objectives. I would like you (addressing Defence Minister Anatoly Serdyukov) and you, Mr Ivanov (addressing Deputy Prime Minister Sergei Ivanov), to pay special attention to this issue since the heads of several companies are still experiencing certain problems.
The required funds will be allocated for the Army and the Navy's clothing allowance plus their petroleum, oil and lubricant needs.
We will certainly continue addressing military personnel's social problems. First of all, I would like to emphasise that we decided to resolve the problem of permanent housing for military personnel in 2010, which we agreed on when drafting the budget. It is certainly a challenging task given the limited budget funds, budget deficit and financial and economic problems, but we will fulfil it. Despite the financial crisis, a total of 124 billion roubles will be allotted for this which is 50 billion roubles more than last year.
Now let's get to work. I would like to give the floor to Mr Ivanov.
Sergei Ivanov: Mr Prime Minister, I would like to report on the progress of the implementation, or rather the prioritisation of state defence orders for 2010. You touched on this issue in your opening remarks, and I would like to go into more detail.
The prioritisation of state defence orders for the next year has been almost completed. All ministries and agencies, members of the Military-Industrial Commission - there are almost 20 of them - agree that it is necessary to concentrate on six major priorities, which I would like to list now.
The first priority is the strategic nuclear force development programme.
The second priority is space systems and ballistic missile defence systems.
The third priority is the implementation of long-term contracts which all state agencies concerned, including the Ministry of Defence, concluded in 2008-2009 and which expire in 2010. This applies to armament systems such as intercontinental ballistic missiles, space systems, aircraft and ship production, or generally speaking extended manufacturing cycle production. As you know, an increasingly larger amount of long-term fixed-price contracts have been signed in recent years. This priority item requires the heaviest budget allocations, namely 178 billion roubles. But from our viewpoint, it is one of the key priorities, since it will boost Russia's defence capabilities and provide Russian military-industrial companies with a workload.
The fourth priority is maintaining technical readiness of general purpose forces.
The fifth priority is reinforcing the Armed Forces, the establishment of an adequate military infrastructure in the south and other key strategic approaches, plus the modernisation of the Black Sea Fleet.
The sixth priority is increasing the procurement of state of the art aviation technology and equipment for level readiness units with communications, reconnaissance and executive control materiel on instructions of the Russian President, Prime Minister and the Military-Industrial Commission.
These are our six top priorities. Allocations for these programmes total 470 billion roubles - but only for purchases and equipment.
As for the details, the purchases include long-range missile systems, the latest ships and submarines, and aircraft - Sukhoi Su-27 SM (do you remember, we presented this in Komsomolsk-on-Amur?), Sukhoi Su-30 MK-2, Sukhoi Su-35 and Sukhoi Su-34 - all for extra purchases. Then, there is sophisticated precision-homing weaponry. Landed troops will get Iskander-M missile systems, and the Air Force H-102 cruise missiles.
In drafting the state defence orders, the Military-Industrial Commission proceeded from the assumption that these defence orders would help to cope with three basic tasks at once.
First, there are military technical objectives in equipping the army and the navy, and implementing the state armament programme until 2015.
The second concerns the economic side. It includes the development of the military-industrial complex. Its 1,300 plants manufacture not only military but also high-tech civil products.
The third aspect is social because many companies that are part of the military-industrial complex are based in small towns, and are strategic plants and local economic mainstays. It is our duty to keep them afloat.
So I think that the government defence orders are balanced in general. It has been coordinated with all ministries, including the economy-related ministries. We will submit it officially to the Finance Ministry for inclusion in the budget on August 20, according to the schedule the Prime Minister has approved.
We continue to finance defence- and security-oriented federal targeted programmes. They include, first, the reform of the military industrial complex. There is a separate programme for Russian space centres and Plesetsk, which expects new weaponry and equipment, and there is the military aspect of the GLONASS programme. They are fully financed.
Vladimir Putin: Good. I want to come back to the social priority -accommodations for the military. We have agreed that the Defence Ministry will join hands with the Finance Ministry and other relevant agencies to offer several options for infrastructural preparations. Please don't delay it. If necessary, you might cooperate with several regions, the way we did on the 15 + 15 programme. Resources must be concentrated to solve this task as next year's top priority.
