News
21 July 2010

Russian Highways State Company marks first year of existence

A year ago, on July 20, 2009, the Federal law #145-FZ On the Russian Highways State Company came into force and became the starting point for the state company and its actual birthday.
A year ago, on July 20, 2009, the Federal law #145-FZ On the Russian Highways State Company came into force and became the starting point for the state company and its actual birthday.  

On the even of the date state company CEO Sergei Kostin told reporters in the RIA-Novosti business club in Tverskaya Street the history of Avtodor creation and the first results of its operations and future tasks.

Kostin said in several months of state company activities a team of professionals has been built up and the long-term program of Avtodor activities was approved by the Russian government. The company received into trust management federal highways M-1 Belarus and M-4 Don where work is ongoing to build new toll sections. This year three toll sections are to be launched on the M-4 highway - a bypass of Khlvenoe settlement and the town of Zadonsk in Lipetsk region and bypasses of the towns of Bogoroditsk and Yefremov in Tula region.  The toll on the sections comprises 1 ruble per kilometer. Previous toll-free routes through the towns will continue to operate along with toll highway sections.
Journalists also asked about financial instruments which the company will use and technological innovations in road construction.  The state company CEO said Avtodor is preparing a pilot bond issue worth 3 billion rubles and talks are underway with grantees (also foreign) on concession of sections of the high-speed Moscow – St. Petersburg road which is under construction.

Major interest was caused by information on life-cycle contracts with construction companies which are a novelty for our country. The contract will hand over a section of the highway under construction to concession grantee for 20-30 years and the grantee will be in charge of the whole life cycle during the period – from design to capital overhaul of the road. Kostin also explained how company experts work to improve construction quality. Requirements to construction materials and technologies have been raised and western technical construction norms are being analyzed and adapted to Russian conditions.  

Kostin spoke in detail about plans to modernize roadside servicing facilities along federal highways in trust management of the company. He said the monitoring of such facilities held in spring resulted in a report with disappointing conclusions. To remedy the situation and raise the quality of services the state company designed a concept of multifunctional servicing facilities to be built along new sections of M-1 and M-4 highways. Small and medium businesses displayed interest in the project. Kostin believes the facilities have a promising future.

In conclusion the Avtodor CEO told those present the state company offers a unique site to master new technologies in road construction business. He expressed hope the experience which the company is accumulating will be demanded by the whole road industry and will help our country to finally put an end to the misfortune of roads.