Implementation of the Russian Railways Investment Programme for 2015
On the path to change
One of the priority tasks in executing the Russian Railways investment budget in 2015 was the implementation of projects of national importance related to the fulfilment of orders from the Russian President and Russian Government that are implemented with state support.
The Company performed substantial work in 2015 to ensure its investment programme had the necessary sources of funding.
A total of RUB 50 bln was raised from preferred shares for the project to modernise the Baikal-Amur and Trans-Siberian Mainlines.
A number of projects, including renovations to traction rolling stock, were funded via infrastructure bonds.
Based on materials from the final meeting of the Russian Railways Management Board
In 2015, the actual execution of Russian Railways Investment Programme amounted to RUB 365.5 bln.
The adjustments to the Investment Programme were primarily attributable to changes to the 2015 federal budget in the form of updates to funding sources for the Company’s infrastructure projects as well as certain decisions by the Russian Government on the implementation of Russian Railways investment projects and in connection with work on technological and price solutions that are required to optimise and enhance the effective use of budget funds.
Among other things, spending on railway track reconstruction was moved up to 2015 from 2016 taking into account work performed on closed runs using ‘winter stowage’ technology, and updates were made to the parameters of a number of investment projects.
In 2015, the structure of the Russian Railways investment budget continued to be presented in the form of independent units that allow for prioritising their implementation with a breakdown of key tasks, including:
- projects related to the fulfilment of orders by the Russian Government;
- ensuring safety;
- eliminating infrastructural constraints;
- improving transportation accessibility for the public;
- renovating rolling stock;
- other projects.
| Section | 2014 | 2015 | +/— 2015 vs. 2014 | % 2015 vs. 2014 | ||||
|---|---|---|---|---|---|---|---|---|
| Actual | Share of total expenditures | Target | Actual | Share of total expenditures | % | |||
| TOTAL | 396.0 | 100.0 | 382.9 | 365.5 | 100.0 | 95.4 | —30.5 | 92.3 |
| Projects related to the fulfilment of the Russian Government’s orders | 67.5 | 17.1 | 147.4 | 133.8 | 36.6 | 90.8 | 66.3 | 198.2 |
| Safety | 46.9 | 11.8 | 45.6 | 44.3 | 12.1 | 97.0 | —2.6 | 94.4 |
| Elimination of infrastructural constraints | 140.8 | 35.6 | 74.8 | 74.3 | 20.3 | 99.3 | —66.5 | 52.8 |
| Improving transportation accessibility for the public | 12.8 | 3.2 | 13.4 | 13.2 | 3.6 | 98.9 | 0.4 | 103.4 |
| Renovating rolling stock | 104.4 | 26.4 | 89.5 | 88.8 | 24.3 | 99.2 | —15.6 | 85.0 |
| Other projects | 23.6 | 6.0 | 12.2 | 11.0 | 3.0 | 90.5 | —12.6 | 46.7 |
The priority objective in the Russian Railways investment budget for 2015 was to implement projects of national importance involving the fulfilment of orders from the Russian President and Government that are to be carried out with state support.
| Source | Plan | Fulfilment | % vs. plan |
|---|---|---|---|
| Total | 382.9 | 365.5 | 95.4 |
| Including: | |||
| internal | 238.7 | 228.6 | 95.8 |
| Russian Railways | 201.7 | 191.7 | 95.0 |
| Pension Fund bonds | 37.0 | 37.0 | 100.0 |
| government support | 144.2 | 136.9 | 94.9 |
| NWF | 8.9 | 7.9 | 88.8 |
| federal budget, City of Moscow funds, subsidies | 75.1 | 69.1 | 91.9 |
| NWF bonds | 60.2 | 59.9 | 99.5 |