Nikolai Asaul: Petersburg to find extra territories for the port

Along with the position of a Chairman of St. Petersburg Transport-and-Transit Policy Committee (TTPC), Nikolai Asaul accepted regional strategy for transport-and-logistics complex development (Strategy) from Andrei Karpov, former head of TTPC. The document was approved by the municipal government July 3, 2007. PortNews IAA interviewed Nikolai Asaul on how to put this thesis-based strategy into practice as well as on city’s attitude to the use of existing port territories.

- Nikolai Anatolievich, you are to put the strategy for St. Petersburg transport-and-logistics complex development into practice though it has been worked out by the former TTPC management. It has already been approved by the municipal government, but do you think it is ready to be implemented or maybe it needs some amendments?

- As of today, the document only states the city is interested in stimulation of its transport-and-logistics complex development. So it is a kind of a strategic plan, an objective of the city to start with. The work we have to do should be based on the document. We are to develop separate programs according to the Strategy’s each direction. I am sure implementation of the Strategy implies its further working out through filling it up with detailed programs projects.

For the time being we distinguish three major lines of the Committee activities. The first line, which is the major one, is and infrastructure basis development, primarily construction of new transportation facilities. We are going to promote private projects and to attract large foreign investments in particular. Besides, we are to insist on inflow of federal investments into the infrastructure. The second line is regulation of the industry’s current activities: traffic of heavy transport, airplanes, helicopters, railways, transportation by rivers and canals. I’d like to underline that TTPC does not regulate city traffic as it is the function of Transport Committee, while our competence is regulation of freight traffic. TTPC is responsible for optimization of freight traffic within the city: the trucks should enter the city to make money without making any harm. The last line is marketing of transport complex in Russia and abroad, cooperation with public organizations, organizational and methodical support for activities of Marine and Transport Committees under St. Petersburg Government.

- What, do you think, is the most limiting factor for the development of the port of St. Petersburg: absence of the Law on Ports, poor state of transport infrastructure at the approaches to sea transshipment complexes or imperfection of the customs’ activities?

- All the factors should be treated as a complex. Speaking about the port development problems we should consider all the directions of its activities. As for the customs, everybody knows that the time needed for cargo to be cleared in the port of St. Petersburg makes it non-competitive as compared with other ports of the Baltic Sea. The problem is acknowledged not only at the business level but at the levels of federal and regional authorities as well. And, of course, it is acknowledged by the customs itself. So it is necessary to join our efforts for speeding up cargo transit in the port through improvement of technologies including customs clearance technologies, etc.

The yet-to-be-passed Bill on Ports will serve as a legal basis for operation of the port as a whole, as well as stevedoring companies and other participants of this business. The Bill has already passed the first reading of the RF State Duma. City Administration has in its turn provided the State Duma with its comments and proposals on the Bill.

- As of today, here are two draft laws on ports – the one developed by the deputies and that of the Ministry of Transport. Which one is more complete, in your opinion?

- We have sent our comments and proposals on both drafts. The deputy’s draft is often referred to as a wider one in terms of its volume and the number of articles. The draft prepared by the Government is a deeper one. However both documents correlate in their main part as they are targeted at regulation of the same activities. The deputy’s document contains a number of articles dedicated to property relations omitted in the governmental draft.

I think we are to work with the draft available today. Amendments are to be introduced in the course of the second reading. Besides, the RF Government’s conclusion will be prepared. The branch needs a law to regulate its activities. Of course, no law is a dogma and any law may be amended if necessary. Its absence is worse than a law passed with open issues.

- How do you think will St. Petersburg cooperate with neighbor regions (Leningrad region, in particular) as regards logistics development? Is cooperation possible with separation of services and cargo flows or should there be though competition?

- Our rivals are other countries. As for Leningrad region, we are almost one whole with its territory. How can wecompete with it?

- TTPC has ordered feasibility study for development and alternative use of the territory of the Big Port of St. Petersburg. In particular, scientific center “Marine construction and technologies” has come to a conclusion that the use of the first and second districts of the port for residential and commercial buildings rather than for cargo transshipment is theoretically possible and economically efficient. Will the city support the idea of partial cutting of stevedoring activities in the port with reorientation of its territories for residential construction? What is needed to implement such projects?

- St. Petersburg is interested in making the center more attractive for both tourists and residents. Thus, there should be minimum closed territories so that people could walk enjoying historical places and the possibility to come to the sea. If we make the access to the sea available for people not only at Vasilievski island, but at the mouth of the Neva-river as well, it would contribute to the city’s attractiveness for tourists.

However we cannot ignore the issue of property in the port. It is impossible to force property owners to stop their profitable activities. I think such approach to development of the port territories is possible if there is an economic basis for it.

If terminals’ owners decided to transfer their facilities from the city center they could be provided alternative sites in Lomonosov, for example. Its territories can accommodate terminals, the development of which is not possible in St. Petersburg.

So I think the idea is good though time-consuming in terms of its implementation. I don’t think it is possible to be implemented within a short period of time. There are many projects of port facilities transfer. For example, there is a project for transfer of Baltiysky Zavod. It was announced several years ago though no steps on the project implementation have been made yet. So we think it should be considered as a business-idea rather than a project. The idea is economically viable especially as it was supported with a feasibility study. Such an idea is positive for the city. Of course, its global implementation is possible though today it is difficult to say when: within 5 or 50 years.

Anyway, the city will provide additional territories for port facilities. We are not going to cut our freight activities.