VLADIMIR PUTIN
ARCHIVE OF THE OFFICIAL SITE
OF THE 2008-2012 PRIME MINISTER
OF THE RUSSIAN FEDERATION
VLADIMIR PUTIN

Media Review

15 october, 2008 16:38

Gudok: “Degree of Readiness”

Yesterday, Prime Minister Vladimir Putin held a government meeting on ensuring fuel supplies to electric power industry facilities. Mr Putin ordered the Energy Ministry and Russian Railways (RZD) to develop monthly schedules for fuel delivery to electric power plants.

Alexander Vetrov

Government to ensure fuel provision to regional electric power industries

Yesterday, Prime Minister Vladimir Putin held a government meeting on ensuring fuel supplies to electric power industry facilities. Mr Putin ordered the Energy Ministry and Russian Railways (RZD) to develop monthly schedules for fuel delivery to electric power plants.

Opening the meeting, Mr Putin said that between August and September, there was a shortage of railway cars for coal transportation.

Still, most of the territorial energy systems have worked efficiently to prepare for the winter season, the Prime Minister said. "The coal reserves at the electric power plants have already exceeded the norm by 20% and fuel oil reserves by 35%," Mr Putin said.

The Government provided 3.2 billion roubles of financial assistance to regions that were experiencing difficulties due to increased fuel oil prices. In particular, subsidies were provided to the Arkhangelsk and Murmansk regions, as well as to the Kamchatka and Primorye territorires.

Over the last several years, the task of ensuring fuel reserves for the winter season was accomplished "as scheduled and without any major problems," said Mr Putin. "The trend should be maintained this year, as well," said the Prime Minister. "The transitional period, which has to do with the reorganisation of RAO UES (Unified Energy Systems) should not affect the stable power supply to consumers and the economy," he added.

He also reminded that the Energy Ministry was now in charge of the main coordinating functions in the electric power industry.

In addition, the Government has set up federal headquarters to ensure secure power supply. Similar structures have been established at the level of the constituent entities of the Federation.

"The meeting verified that Russian Railways has fulfilled and continues to fulfil its obligations. The country's leadership is satisfied with the work of the railway transport," said Vladimir Yakunin, the RZD president.

Russian Railways has been preparing monthly fuel (mostly coal) transport schedules on a regular basis and without any failures, according to Alexei Mironov, head of the RZD Transport Department.

The schedules have been coordinated with all the organisations involved, including the Energy Ministry, SUEK, Kuzbassrarezugol, and other interested parties. The October schedule is currently in effect. The schedule for November has been drawn, and is in the process of coordination.

Mr Mironov also said that cargo transport to electric power facilities was stable. This year, RZD has transported 25% more coal for the industry than last year, an amount equal to millions of tonnes, which means that a sufficient amount of fuel has been stockpiled by the industry.

Mr Mironov believes that in the future, RZD and the coal mining and power industries should switch to long-term fuel transport planning. This move will provide guarantees for all interested parties and confirm transport and supply plans.

Commenting on the issue of coal removal, raised by mining industry trade unions, Mr Mironov said that this year RZD has transported over 218 million metric tons of coal. This exceeds last year's volume by 10%. The transport volumes continue to grow. At the moment, however, the delivery of coal for the country's electric power industry facilities and the housing and utilities sector is a priority. Therefore, the coal transport for export needs has decreased. It should be understood that while export of coal is a profitable business, the company must first meet government needs and fulfil its obligations as required by the country's leadership.

Gudok has learned that local authorities were to blame for the fuel supply problems in some of the regions. Tenders to purchase coal and fuel oil for local energy systems were held late, and some of the bidding winners did not coordinate the volumes and dates of fuel delivery with RZD in advance.

As a result, there was in fact a shortage of railway cars in the market between August and September.

Mr Putin said that the Energy Ministry suggested establishing additional legal guarantees to ensure stable and secure power and heating supply. "It is necessary to raise the level of responsibility for people who are in charge of ensuring fuel reservation norms, as well as grid repairs and maintenance," stressed the Prime Minister.

On Monday, at a Government Presidium meeting on the regions' preparedness for the winter season, Regional Development Minister Dmitry Kozak said that no major heating problems were expected this winter. Moreover, the regions are better prepared for the winter season than last year.

The Ministry for Regional Development is monitoring preparations for the 2008-2009 heating season, and the regions and municipalities are in charge of control and implementation.

"The preparations for the winter have been accomplished as planned by the municipalities and the constituent entities of the Russian Federation," the Minister said.