July 10, 2014 09:26
Putin orders govt to consider raising rail freight tariffs by up to 10% in 2015
MOSCOW. July 10 (Interfax) - Rail freight tariffs in Russia will be indexed by up to 10% in 2015.
President Vladimir Putin has given the government instructions to provide for indexation within this scope, according to a list of instructions issued following a June 25 meeting with members of the government and published on the Kremlin's website.
The president's instructions also call for taking steps to settle the federal and regional budgets' debts to Russian Railways (RZD) (MOEX: RZHD) for suburban passenger services.
Putin gave instructions to ensure, in coordination with the regions, "stable payments" for passenger services provided by regional railway carriers. The president instructed the government to work through the issue of setting a zero value-added tax on such services.
In addition, the government has recommended that the country's regions use revenue from property tax paid by the owner of public railways to subsidize suburban passenger rail services. Almost all public railways are owned by RZD.
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