VLADIMIR PUTIN
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VLADIMIR PUTIN

Media Review

14 october, 2011 12:15

Izvestia: “Utility providers to be purged”

The debt that managing companies have racked has reached 94 billion roubles.

The debt that managing companies have racked has reached 94 billion roubles.

At a Government Presidium meeting, Vladimir Putin summarised the results of the preparation of energy facilities for the autumn and winter.

"To my knowledge, as of October 1, 99.4% of housing, 99.1% of boiler houses, 99.7% of heat supply networks and 99.6% of water supply systems are prepared for the heating season," said Putin. "But it's important that there is not a wide discrepancy among regions. Some regions are prepared for about 50%, others for 100%. That's not how things should be."

However, this discrepancy already exists. According to the prime minister, preparations for the heating season have been completely financed in only 52 regions. Putin emphasised that problems faced by some regions would affect the entire system.

Viktor Basargin tried to explain to Izvestia how the Ministry of Regional Development arrived at the conclusion that there was 99% readiness.

"I don't think problematic areas exist," he said. "We are indeed entering this season a bit earlier. Traditionally, the agreement was that we should prepare all facilities for the autumn and winter by November 15, but this year we are reporting a month earlier."

After resisting for a while, Basargin admitted that some regions were lagging behind in terms of fuel reserves, housing preparation and supply networks. Three regions also occasionally failed to supply heat.

There are also problems with managing companies.

"There need to be professional, responsible companies working in the industry who are prepared to invest in development, rather than dubious businesses that are solely concerned with collecting payment from citizens and self-enrichment," said the prime minister.

Minister of Energy Sergei Shmatko told Izvestiya that the problem is currently very acute. The debt of managing companies grew by 13.4 billion roubles, amounting to 94 billion roubles over the last year.

"We believe that a sanitary purge needs to be carried out among managing companies, in order for us to ascertain which of them can fulfill their obligations and determine the qualifying requirements so that they are able to conscientiously prepare for the winter," Shmatko told Izvestia.

Viktor Basargin, for his part, gave his assurance that such a purge has been under way for several months, but it was still unclear when it would be completed. By December, the Ministry of Regional Development will have launched a special web-site containing the full information on the activity of managing companies and the ministry's recommendations on prices. However, Basargin's agency will still need to determine out who is to blame for such a huge debt.

- Sergei Shmatko is dear to me, but truth is dearer still, Basargin said with a glance at his colleague and with an unruffled expression continued: We will find out whether this service was provided.

He explained that when they looked into the case, they discovered that there were losses from generating companies as well, but that the debts were typically fastened onto the customers. As a result, managing companies receive less meter charges from customers, while having to pay generating companies from their own funds. The debt is growing, and the companies may go bankrupt.

"It would be good if they stay clean by the time they leave the market, but what if they take a couple of million with them?" concluded Basargin.

Pavel Baranov, Izvestiya, Anastasiya Novikova