The newspaper "Kommersant" published a review of Svetlana Maslova, Head of PPP Research Center of GSOM SPBU, on the use of PPPs in the development of the transport system of St. Petersburg and Leningrad region.
Continuing professional discussions on the most pressing economic issues on its pages, "Kommersant" has offered to its readers reviews of experts on the advantages and disadvantages of public-private partnership in transport sector, as well as the problems and prospects of its development in Russia. Experts' comments also was made on the transport situation in St. Petersburg and Leningrad region, about implementation of the "Plato", reconstruction of railway tracks in Levashovo, building stations and TPU, highway "Narva" to St. Petersburg Ring Road, commercial highways in the Leningrad region.
According to experts, there are advantages in PPP projects both for the state and investors. They are: introduction of innovations, constant dynamic development and investment power of non-state companies contribute to the successful implementation of PPP projects and good growth business, ensuring effective transport industry and consumer needs.
Marking the important role of PPPs in transport infrastructure development Svetlana Maslova said that the successful modernization of transport infrastructure and the improvement of the transport sector is impossible without building effective interaction between government and business, because the business structure bring their professional experience, effective management, flexibility and efficiency in decision-making ability to innovation. Reducing budget expenditures acquire is greater urgency to develop construction scheme of PPP projects, as well as de-monopolization of transport services in the country, that is an important factor for the recovery of the Russian economy.
Michael Kozminykh (Chairman of the Road Maintenance Committee) noted the role of private capital in solving the problem of providing transport accessibility in adjoining districts of St. Petersburg. Not high number of these projects attracted a certain interest to their development on the principles of concession agreements (Sberbank, VEB, VTB).
Kirill Polyakov (Head of the Directorate for the Development of Transport System of St. Petersburg and Leningrad region) emphasized the opportunities for business in the current environment to penetrate into previously inaccessible market sectors using PPP schemes, business priorities shift towards the needs of passengers and improve the comfort of public transport. Dmitry Babiner (EY partner) said that PPP is a tool installments city budget, which can be used as a mechanism of partial compensation for property developers for the construction costs of schools and kindergartens. Irina Babyuk (St. Petersburg, Chairman of the Investment Committee) stressed the urgency and relevance of the mechanism of concessions in the implementation of the project on reconstruction of the city tramways.
PPP today continues to stay to be relevant for authorities in St. Petersburg, as well as for local business. This PPP project becomes a catalyst for the realization of a large number of other PPP projects, according to K. Polyakov.
Implementation scheme of PPP projects were discussed within the framework of the Investment Forum of St. Petersburg, which was held in the city on October, 24-25. On November 8, 2016 in St. Petersburg at the III Annual Conference "Transport infrastructure of St. Petersburg and Leningrad Region" will be held Congress of Regions' “The Implementation of Transport Projects with the Involvement of Private Investors and the Federal Co-Financing".
More information about the survey is available here.