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2023 March 16   11:19

NSR Development Plan for 2023 foresees completion of four facilities and organization of least three subsidized coastwise voyages

It was earlier planned to increase the number of subsidized voyages to four in 2023

The Northern Sea Route Development Plan for 2023 foresees the completion of four facilities and organization of least three subsidized coastwise voyages, Gajimagomed Guseinov, Deputy Minister for the Development of the Russian Far East and Arctic, wrote on his Telegram channel.

Referring to the discussion of the NSR 2022 results and tasks for the current year which was held at the meeting chaired by Deputy Prime Minister of the Russian Federation Alexander Novak, Gajimagomed Guseinov wrote: “To date, as part of the plan implementation, binding agreements have been concluded to ensure cargo traffic along the NSR with the key cargo owners: Vostok Oil (Rosneft), NOVATEK, Gazprom Neft, MMC Norilsk Nickel, North Star (AEON), GDK Baimskaya; 2 subsidized coastal voyages were performed from the ports of Russia’s North-West to the Far East; the need for ice-class cargo ships, including those needed for supplies, was updated and set at 44 ships. The construction of 26 of them is underway or contracted already.”

According to the Deputy Minister, Utrenny terminal for LNG and gas condensate in Sabbetta is to be put into operation by the end of 2023. Besides, the construction of the following facilities is to be completed: Yenisey terminal for shipment of coal from the Syradasayskoye field, LNG complex in the Murmansk Region and coal terminal Lavna. The facilities of the global maritime distress communication system on the Northern Sea Route (shore station “Dickson”, NAVTEX) will be completed as well.

Gajimagomed Guseinov earlier said that the number of subsidized voyages on the Northern Sea Route (NSR) would be increased to four in 2023 and the volumes of cargo would be increased 2.3 times, from 8,500 tonnes to 20,000 tonnes. According to him, the subsidy provided in 2023 will total RUB 504 million, 1.8 times as much as in 2022 (RUB 275 million).

A total of RUB 7.84 billion is foreseen under the Northern Sea Route Development Plan until 2035. Rosatom and the Ministry for the Development of the Russian Far East and Arctic are responsible for organization of the voyages.

Two round voyages between the ports of Russia’s European and the Far East were made in 2022. The loading for the first voyage to the Far East performed by nuclear-powered container ship “Sevmorput” was 10% and it reached 90% for the second one while the back loading was as high as 46%.

The Northern Sea Route is a single transport system in the Russian Arctic sector. It stretches along the northern coasts of Russia across the seas of the Arctic Ocean (Kara, Laptev, East Siberian, Chukchi seas). The route links the European ports of Russia with the mouths of navigable rivers in Siberia and the Far East. In August 2022, a plan for the development of the Northern Sea Route (NSR) until 2035 was approved. The plan includes over 150 activities with total financing nearing RUB 1.8 trillion.

According to the plan, the annual cargo traffic on the Northern Sea Route is to reach 80 million by 2024, 150 million tonnes by 2030, 220 million tonnes – by 2035.

In 2022, cargo traffic on the Northern Sea Route totaled 34.034 million tonnes with the target of the federal project “Development of the Northern Sea Route” exceeded by 2 million tonnes.

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