MIL-OSI Russia: Mikhail Mishutin held a meeting on the situation in the coal industry

Translation. Region: Russian Federal

Source: Government of the Russian Federation – An important disclaimer is at the bottom of this article.

M. Mishustin: “This is one of the basic industries that ensures the stable operation of the most important sectors of the economy, including metallurgy, electric power, and housing and utilities. It also participates in solving social problems.”

Opening remarks by Mikhail Mishustin:

Good afternoon, dear colleagues!

Opening remarks by Mikhail Mishustin at a meeting on the situation in the coal industry

Today we will discuss the situation in the coal industry. This is one of the basic industries that ensures the stable operation of the most important sectors of the economy, including metallurgy, electric power and housing and utilities. It also participates in solving social problems.

In this area, Russia is one of the three largest exporters. This means that incentives are being created for the development of transport infrastructure, primarily railways. The main sales markets here are China, India, Turkey and Korea, as well as other countries in Southeast Asia and Africa.

On the instructions of the President, the Government has implemented a number of measures to support the industry. In particular, an agreement was concluded between Russian Railways and the Kemerovo Region on the guaranteed export of significant volumes of coal in the eastern direction. The share of innovative rolling stock has been increased. Rates for wagon operators and for transshipment in ports have been reduced. An end-to-end transportation technology has been introduced, which has made it possible to reduce delivery time from Kuzbass to southern ports by almost half, which significantly reduces companies’ transportation costs.

Participants of the meeting

List of participants of the meeting on the situation in the coal industry

The federal budget financed measures to restructure the coal industry. The funds were used to resettle citizens, as well as for social support for employees dismissed due to the liquidation of organizations, for additional pension provision, technical and other purposes.

A program is being implemented to further improve working conditions, increase the safety of mining operations and, of course, reduce accidents and injuries.

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Mikhail Mishutin held a meeting on the situation in the coal industry

The corresponding infrastructure is also being developed. Operation of the Pacific Railway has begun, construction of the ports of Elga and Lavna is underway. Coal mining centers are being created in the east of the country with favorable mining and geological occurrence of raw materials. And a shorter transportation shoulder to the main sales markets.

New technologies and modern equipment are also being actively introduced. This allows for a significant increase in extraction efficiency and productivity. If in Soviet times about one and a half million people worked in the industry, then according to the results of last year – only slightly more than 150 thousand. At the same time, the volume of extracted raw materials exceeded the values of the last years of the USSR by almost fifteen million tons.

It is obvious that the innovative potential of the coal industry is far from exhausted. Enterprises are engaged in the implementation of three-dimensional modeling technologies, optimization of mine equipment, coal extraction, including at low-power seams.

In recent years, the industry has faced new serious challenges. World prices for all types of such fuel have fallen sharply. This year, unfortunately, the situation continues to worsen. In the first four months, export prices have fallen by almost a quarter. The situation is also complicated by the high debt load of companies. Significant expenses are required to maintain current operations, ensure industrial safety, labor protection and the environment.

A whole series of measures have been developed to level the situation. It is necessary to help promising organizations that are experiencing temporary difficulties.

In agreement with the President, I gave the corresponding instructions to the Minister of Finance Anton Germanovich Siluanov, the Minister of Energy Sergey Evgenievich Tsivilev, and the head of Russian Railways Oleg Valentinovich Belozerov. They visited the Kemerovo Region, discussed the most pressing issues with the management and employees of coal enterprises, and presented me with a number of proposals. Now we will discuss all of this in detail and report to the President.

We hope that this will allow us to make all the necessary decisions to balance the situation.

Please note: This information is raw content directly from the source of the information. It is exactly what the source states and does not reflect the position of MIL-OSI or its clients.

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