State Duma passed in its first reading Northern Delivery Bill
The document sets criteria for inclusion in Northern Delivery territories and categorization of cargoes, a planning institute is to be set up
The State Duma of the Russian Federation at its plenary session held on 22 March 2023, passed in the first reading a bill on Northern Delivery drafted by the Ministry for the Development of the Russian Far East and Arctic with the participation of representatives from the Federal Assembly’s both chambers, regions, science and business representatives, the Ministry tells in its Telegram.
The Northern Delivery is a programme aimed at transportation of cargo and vital products by inland water ways and seaborne transport to supply for 3 million people living in 25 regions of Russia’s Far North.
The existing infrastructure restrictions increase the time of delivery several times, and the prices for socially important goods are 2-2.5 times as high as the national average. In some areas, the delivery window for vital supplies is only several weeks a year.
Major innovations: creation of a centralized system for northern delivery management - today the main challenge for northern delivery is complicated multi-stage logistics; introduction of state and municipal support measures; removal of infrastructure restrictions; launching of mechanisms to prevent the shortage of life vital cargoes; listing of components of the core network of transport and logistics infrastructure under the northern delivery and setting standards for their maintenance.
The new law is expected to ensure the following effect: reduction in the cost of vital goods in the Far North regions by an average of 15%; enhancement of the supplies reliability; reduction of delivery time.
The document sets criteria for inclusion in Northern Delivery territories and categorization of cargoes, a planning institute is to be set up
The amendments into the draft law can be submitted by 20 April 2023, according to the press center of the State Duma.
The package of documents is available in Russian >>>>
As of today, the Northern Delivery covers 25 regions of Russia with the populating exceeding 3 million people. Over RUB 87 million is allocated annually for the purchase and delivery of 3 million tonnes of cargo.