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MIL OSI Translation. Region: Russian Federation –

M. Khusnullin: “The government supports sustainable business development, in which, in addition to making a profit, companies, in close cooperation with the state, take care of the environment and develop the social sphere.”

Marat Khusnullin at the VIII Infrastructure Congress “Russian PPP Week”

Before speaking at the VIII Infrastructure Congress “Russian PPP Week” Marat Khusnullin read out a welcoming address from Prime Minister Mikhail Mishustin, in which the Prime Minister highly appreciated the role of PPP in the social and economic development of the country and wished the congress participants productive work.

In his report, the Deputy Prime Minister noted that the partnership between the state and business in the implementation of national projects is an important mechanism for solving the tasks set by Russian President Vladimir Putin. “Today, when the pace of construction of roads, housing, infrastructure continues to increase, the role of public-private partnership is growing. Attraction of additional extra-budgetary investments opens up new opportunities for the implementation of the most ambitious tasks, ”said Marat Khusnullin.

He recalled that today the national projects “Housing and Urban Environment” and “Safe High-Quality Roads” set ambitious tasks for large-scale construction of infrastructure facilities. According to him, in addition to using the mechanisms proposed by the government program of financing “Infrastructure Menu”, an important role in the implementation of projects is assigned to investments from non-budgetary sources.

In particular, Marat Khusnullin called on business representatives to become more actively involved in the implementation of projects for the development of housing and communal services infrastructure. “We believe that it is necessary to work out all the financial mechanisms. It is necessary to link programs on concession agreements with state investment programs, ”he said.

It is planned to allocate 150 billion rubles from the National Welfare Fund for the development of housing and communal services in the form of soft loans. Despite the fact that it is quite difficult to recoup projects in the utilities sector, the mechanism of concessional lending at 3% per annum for 25 years significantly contributes to the growth of return on investments, Marat Khusnullin believes. “We will support it in every possible way. This is our growth point, – he noted. – Today, housing and communal services provide under 6 trillion rubles in revenue and about 2 million jobs. This industry could become a driver of development ”.

According to the Deputy Prime Minister, the key factor in bringing the housing and communal services in order is to reduce losses. “Today, in some regions, we lose 50% of the produced water and 30–40% of heat due to leaky pipes. Let’s put things in order, and our consumption will decrease, and even with an increase in tariffs, the total payment from the population will be less, ”he urged. Also, speaking about plans to modernize housing and communal services, Marat Khusnullin recalled that today, within the framework of sustainable development, in order to minimize the carbon footprint in Russia, it is necessary to reduce the number of boiler houses operating on hydrocarbon fuel.

The Deputy Prime Minister recalled that the Government continues to create conditions for increasing the investment attractiveness of the construction industry and increasing the efficiency of capital investments in construction: administrative barriers are being reduced, the transition to digitalization and project financing is being carried out, and the institution of state expertise is being improved.

“The government supports sustainable business development, in which, in addition to making a profit, companies, in close cooperation with the state, take care of the environment and develop the social sphere,” said Marat Khusnullin. He congratulated the laureates of the Rosinfra National Infrastructure Prize, who achieved high results in 2020 on the path of infrastructure development using the PPP mechanism.

EDITOR’S NOTE: This article is a translation. Apologies should the grammar and or sentence structure not be perfect.

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