Vladimir Putin: Have you signed the contract?
Mikhail Volkov: Yes
Vladimir Putin: Did Mr Deripaska sign the document?
I do not see your signature. Come over here.
Sign it. The document is over here.
Oleg Deripaska: Just give me a pen.
Vladimir Putin:Give a pen back
Vladimir Putin: Excellent.
I heard what you said and hope that the agreement
that has been reached and finally signed will be fulfilled.
As far as further developments, we will discuss them separately.
If assistance is required, we will deal with it separately.
To ensure that raw materials are supplied here,
they need to be transported, and the transportation tariffs
should be reasonable to ensure profitable
functioning of the enterprises.
Mr Yakunin, go ahead, please .
Vladimir Yakunin: Mr Putin, colleagues,
we started to deal with the problems at this manufacturing complex
following a letter from the Governor of the Leningrad Region
of March 11 addressed to the President.
We immediately prepared appropriate
measures and submitted them
to the Leningrad Region Governor's office.
At the meeting convened day before yesterday
by your deputy, Mr Sechin, it was determined
that there were no critical problems
as far as transportation is concerned
We have enough carriages
to transport materials.
As for the clinker, we have already signed an agreement
the transportation will be implemented under tariff 1001
We are ready to provide the First Freight Company
carriages for the purpose.
As far as nepheline, the proposals currently
on the table will result in RZhD
losses in the amount of 56 million roubles.
As far as I understand,
instructions have been given to compensate
these losses in accordance with the law
These instructions are ready to be signed.
I would like to stress once again
that there are no problems whatsoever
as far as the company is concerned
and the technological aspects of transportation
the participants of the meeting
do not have any concerns either.
Vladimir Putin: We have also agreed that the compensation
will be made out of the regional budget
They receive the revenues
from the transportation
Vladimir Yakunin: Mr Putin, this is beyond our prerogative
Vladimir Putin: True. I would just like to ask the Governor if there is such an agreement.
Valery Serdyukov: Mr Putin, we have fulfilled
all our commitments to the Russian Railways
as far as subsidised passenger transportation is concerned.
The losses incurred by the Oktyabrskaya Railway
Passenger transportation and commuter transportation
depend on the established tariffs.
The Oktyabrskaya Railway informed us that 14 roubles
was a justified tariff for 2009
and we accepted it.
Therefore, we have not accepted
any debts related to the losses.
Had we established a lower tariff
than the one proposed by the RZhD
(they proposed a 14 roubles tariff,
and we established it at 14 roubles
then we would have been
responsible for the losses
Vladimir Putin: What are RZhD's shortfalls in revenues?
Vladimir Yakunin: The problem is that the existing system
does not register any debts on the balance sheet
of a constituent entity of the Russian Federation.
These calculations are made by our agency
According to our estimates,
which, however, will need to be coordinated
the shortfall in revenues are in excess of 100
Currently, none of the regions cover
the passenger transportation losses.
As for tariffs, according to the law
RZhD does not set commuter transportation tariffs
In fact, RZhD does not set any tariffs
Tariffs are established by the constituent
entities of the Russian Federation and freight tariffs
by the Federal Tariff Service
Vladimir Putin: Mr Novak please make all financial calculations
As for the sources, we will decide on them
and report to me
Now let us address the infrastructure issue of the complex.
What are the problems there?
Why is it not possible for the complex
to work as a single unit?
I mean joint use of the infrastructure
Filaret Galchev: I would like to address this issue.
Filaret Galchev: First of all, when the site was divided,
I have the lay-out here, the main railways supplying our cement
enterprises became the property of BaselCement
We have had many complaints
and lawsuits on the issue
When they stopped delivering
raw materials to us
we launched our own deliveries
Of course, we had periodic problems
a locomotive would break down or reconstruction
would be required, there is always something
Therefore, neither BaselCement nor anyone
else really needs the railway tracks located in
the territory of our enterprise, except us.
Vladimir Putin: Yesterday
an agreement was reached between the parties concerned
Are there any objections to the scheme that was proposed
for -Basic Element and the Piskalyevo Cement Plant?
Dmitry Savenkov: Yesterday we signed an agreement with Evrocement
on unimpeded cargo transportation using our railways
Therefore, I believe that the issue has been resolved
Vladimir Putin: Very good
I would like to see Mr Deripaska's signature
Could you pass it to him? Please sign the document.
Now, let us discuss the future
We will resolve the current situation
That is good
I will say a little later what methods
and resources we are going to use
The question is what we are going to undertake in the future
Denis Manturov: Mr Putin
I don't think we should go into a detailed discussion
of the issues that arose in 2004
The issue has been analysed thoroughly
Even without a detailed analysis it is obvious
that the divided management structure of the complex
has unfortunately proved ineffective
However, I believe that we should not make
any hasty decisions regarding the corporate structures at this point
At yesterday's meeting, Mr Sechin instructed our ministry
together with the Ministry of Finance to prepare proposals
on the future structure of the enterprise to ensure its efficient functioning
I believe that on top of the priority measures
that you have already mentioned today
an agreement has to be reached on supplying nepheline
The solution to this issue lies with
the joint use of the infrastructure
It is also necessary to sign an agreement on supplying nepheline
from BaselCement-Pikalyovo to Pikalyevo Cement
The supply of carbonate solution to Metakhim
also needs to be ensured
As a result, we will launch the mechanism
that will ensure the functioning of all three
enterprises comprising the complex
Of course, we should issue loans to BaselCement-Pikalyevo
on a priority basis to launch the operation of the complex
and start buying the concentrate, which was mentioned above
We will prepare all necessary proposals in the near
future and will coordinate them with you
Vladimir Putin: Good