UPDATE 3: Putin: Russia must readjust works in Arctic over sanctions

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MOSCOW, Apr 13 (PRIME) -- Russian President Vladimir Putin ordered the authorities on Wednesday to reschedule works in order to provide the Arctic with all necessary goods.

"As you know, some logistic chains were disrupted as a result of activities of the unfriendly countries. Some foreign companies do not fully meet or do not meet at all their contract obligations," the president said.

"Readjust work thoughtfully and fast to, firstly, provide the people of the Arctic territories, rotation workers, facilities and social objects of the region with food and medicines, fuel, construction materials and equipment uninterruptedly."

Deputy Prime Minister Yury Trutnev asked Putin to support subsidies on loan interest to support supplies to the Far North and put a lid on the prices for medicines and food.

Putin said that the Arctic territories are very important for Russia’s security, and the projects there must not be postponed. Russia must focus on construction of the Northern Latitudinal Railway, which was slated to start in 2022. The railway can lessen the burden the Trans-Siberian Railway and the Baikal-Amur Mainline and help the country retarget supplies to the Eastern countries.

Russia may raise local consumption of fuel and deliveries to the regions "where it is really needed" due to the sanctions.

Trutnev said that the Arctic projects will help Russia's gross domestic product (GDP) rise by 30 trillion rubles and the tax income by 13 trillion rubles by 2035. The cargo traffic via the Northeast Passage will exceed 200 million tonnes by 2030, if all plans are fulfilled.

The launch of international transit via the Northeast Passage in 2025 will raise international transit to 30 million tonnes by 2030, the official said.

Far East Development Minister Alexei Chekunkov told channel Rossiya 24 that a united operator for the Northeast Passage would be established in a year, possibly on the basis of nuclear power corporation Rosatom. The organization would route all traffic.

(79.6274 rubles – U.S. $1)

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