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MIL OSI Translation. Region: Russian Federation –

Deputy Prime Minister – Plenipotentiary Representative of the President in the Far Eastern Federal District held a meeting on the creation of a preferential regime for taxpayers operating in the Kuril Islands; discussed with the management of Aurora the development of a unified Far Eastern airline.

Yuri Trutnev held a meeting on the creation of a preferential regime for taxpayers on the territory of the Kuril Islands

In Yuzhno-Sakhalinsk, Deputy Prime Minister – Plenipotentiary Representative of the President in the Far Eastern Federal District Yuri Trutnev held a meeting on the creation of a preferential regime for taxpayers operating in the Kuril Islands; discussed with the management of Aurora the development of a unified Far Eastern airline.

Draft federal law No. 27883-8 “On Amendments to Part Two of the Tax Code of the Russian Federation”, which provides for the creation of a preferential tax regime for taxpayers operating in the Kuril Islands, has already been submitted by the Government to the State Duma. This tax regime provides for such preferences as exemption for 20 years from corporate income tax, corporate property tax, transport tax, land tax; reduced rate of insurance premiums in the aggregate amount of 7.6% for 20 years; application of the free customs zone procedure on the territory of the Kuril Islands.

“The bill was prepared on behalf of the President of the Russian Federation Vladimir Vladimirovich Putin. It passed the first readings in the State Duma and will soon be adopted. But already today we need to understand how to make the preferential regime start quickly. To do this, quite a lot of work needs to be done. It has already begun. We work together: both the leadership of the Sakhalin Region and the federal executive authorities. I am sure that the adoption of the law will help to develop the Kuriles, will benefit the economy of the Far East and the country, will allow the creation of new industrial, tourist and social facilities, create jobs, and ultimately will benefit people,” said Yuri Trutnev.

As part of creating conditions for the launch and operation of the preferential regime on the Kuril Islands, issues of preparing and adopting the necessary federal laws, providing investors with the necessary infrastructure (land plots, electricity, utilities, transport and other infrastructure) were discussed.

Investment potential in the Kuril Islands has such areas as fish processing, energy, tourism and recreational services, transport and logistics. The corresponding portfolio of investment projects is formed by the regional government and the Corporation for the Development of the Far East and the Arctic.

In addition to the possibilities of preferential treatment, investors will be able to use other tools introduced in the Far East. “In the Far East, an instrument of investment quotas developed on behalf of Vladimir Vladimirovich Putin is being used. This tool has already proved its effectiveness: fish processing plants are being created, ships are being built. Investment quotas will be allocated for the construction of processing facilities on the Kuril Islands,” the Deputy Prime Minister said.

The meeting discussed the issue of modernization and expansion of settlements on the Kuril Islands, zoning of territories.

As a result, Yuri Trutnev instructed the federal executive authorities to take the necessary measures aimed at creating conditions for the functioning of the preferential regime in the Kuril Islands, attracting investors and providing them with the necessary infrastructure.

On the same day, the development of a unified Far Eastern airline was discussed. “The unified Far Eastern airline “Aurora” was created on behalf of the President. Its goal is to increase accessibility, provide an opportunity for residents of the Far East to get both to the central territories of Russia and between Far Eastern cities. The airline has quite ambitious goals. The volume of passenger transportation in the Far East should be doubled by 2025. The company is already benefiting the Far East. New air routes are introduced. It is planned to upgrade the aviation fleet with Russian-made ships. All 11 regions of the Far East took part in the creation of Avrora Airlines. A lot of work has been done,” said Yuri Trutnev.

As part of the program of socially significant routes in the Far East, in four and a half months of 2021, 1,934 flights were operated on 20 interregional routes, which were used by almost 70,000 passengers. The success of the program is confirmed by the high demand for new flights. As part of the program, residents of several Far Eastern regions were given the opportunity to travel by direct flights to another subject of the Far Eastern Federal District.

In 2022, the program of socially significant flights will expand to 36 routes, more than 7,000 flights will be operated in a year, and up to 250,000 passengers will be able to use them. Flights to 27 destinations are already being operated, flights to the remaining nine destinations are planned to be launched as part of the summer schedule and ticket sales will begin in February.

The renewal of the fleet through the acquisition of new domestic aircraft will begin this year. It is planned to receive four new Sukhoi Superjet 100 aircraft, which will be used to operate flights on socially significant routes.

The issue of subsidizing the leasing of the supply of domestic aircraft for the renewal of the company’s fleet was discussed. “We need to make the fleet of the same type in order to organize service at an even higher level, to make flights reliable. This work in the Government will continue,” said Yury Trutnev.

Also, work is currently underway on the strategy of a single Far Eastern Airlines to improve the efficiency of using the fleet and develop the specialization of the group’s airlines.

On the same day, the Deputy Prime Minister presented the gratitude of the Government of Russia to the people of Sakhalin who participated in the aftermath of last year’s freezing rain in Primorye.

“The freezing rain in Primorye left one and a half thousand houses without electricity, 180 thousand people fell into the zone of catastrophic phenomena. People from all over the Far East came to help. They worked almost around the clock,” said Yuri Trutnev.

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

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