The Ministry of transport has proposed to redirect part of cargo from railway to river

© RIA Novosti / Natalia to Seliverstova in photobacteria of the Ministry of transport of the Russian Federation. Archival photoThe Ministry of transport has proposed to redirect part of cargo from railway to river© RIA Novosti / Natalia to Seliverstova the image Bank

The Ministry of transport of the Russian Federation sets the task to redistribute the flows between the Railways and rivers, and increase their economic efficiency through the creation of transport economic balance, told reporters on the sidelines of the forum, River Port, Deputy transport Minister, head of Rosmorrechflot Yuri Tsvetkov.

The Ministry of transport and the relevant departments had previously considered the feasibility of providing discounts to the tariffs for railway transportation on routes that coincide with the inland waterways. It was discussed that discounts the Railways can have a negative impact on the construction of vessels of type «river» and the turnover of river arteries.

«We now have an established working relationship with Russian Railways, and we are now entering into constructive approaches for different types of cargo to keep the balance on transportation by rail and by river….it is important that we coordinate, that is, given the limited capacity, often overloaded to the South, I cite an example, in the southern ports of Russia, these loads can be reoriented towards the river,» said Flowers.

The speaker believes that this will have a positive impact on railway and river transport. Flowers pointed out that the question of the abolition of discounts for Russian Railways in this case is not – it is the prerogative of the government, not the Ministry of transport.

«The railway itself is unprofitable, given as always limited funds to make huge investments, especially in expensive areas — the payback they will be long enough. Because it is easier to take the goods which are for them more interesting, to convey other cargoes to the river and thus keep the interest», — concluded the speaker.

Russian Railways in 2013 won the right in certain cases, to give bonuses and discounts to the freight rate within the corridor — initially from 12.8% to 13.4%. Then the discount was expanded to 25%. By 2017 upper limit surcharges to the freight rate of the Railways reduced to 10% from 13.4%, but the discount widened to 50%. The upper boundary of the tariff corridor in 2018, reduced to 8%.