RF Government approves rules for subsidizing companies acquiring and building new civil ships (document)

RF Government says it has approved the rules for providing subsidies from the federal budget to partially cover Russian companies’ expenses for acquisition (construction) of new civil ships to replace the scrapped ones (Order No 502, dated 27 April 2017).

The document was submitted by the Ministry of Industry and Trade in fulfillment of the presidential order following the State Council presidium session in Volgograd (15 August 2016) on the issues of the Russian inland waterways development (No Пр-1741, dated 10 September 2016).

According to the statement, there are more than 1,000 river shipping companies in Russia. They operate about 24,000 vessels, many of which were built in 1970–1980-ies and have been in operation for more than 30 years. Experts say over 80% of sea/river class ships will be decommissioned by 2020 due to their incompliance with safety requirements.

In view of the fleet renovation, subsidies from the federal budget are to be provided to cover part of Russian companies’ expenses for acquisition (construction) of new civil ships to replace the scrapped ones. The funds have been earmarked by the federal budget for 2017 and the planed period of 2018 -2019.

The document in Russian is available here >>>>