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Many Reasons to Talk



– Mr Chevalier, you entered the Ministry of Transport and became responsible for the opening of the rail freight transport market. What were your most important decisions?



– France has been, for historical reasons, not very keen on the opening of the markets. This is true for rail as well as for other sectors. In the rail freight sector, initiatives came from the European Commission with the first railway package adopted in 2001, for international freight, and then with the second railway package, finally adopted in 2004, for national freight. I was in charge of the negotiation of this one. 

Probably the main contribution of France, and of myself, at that time, was to introduce the idea of the safety directive. If there were to be many players in the market, rather than just one historical public company in each country, it is necessary to work towards harmonization of safety standards. For example, in France, the rail regulatory texts, which were internal SNCF documentation, had to be rewritten at State level to apply to all companies in the same way to make sure they can use it to operate safely.



– Then you spent five years working in the French Ministry of Finance. How can you describe the current situation in the global economy?



– Globalalisation is the main change that happened in our society in the last decades. Before there was local instability in many places, but making it global has certainly increased both the opportunities and the size of the instability. 

Especially for a transport expert, which is what I am trying to be today, the global economy has raised many challenges. Just to give one example, we have so many more reasons now to talk to our Russian colleagues and friends than we had years ago. There was always diplomacy, but now there is more trade, more tourism, more financial relationships… All this means more transport, but there is always a limit to the amount of new infrastructure (roads, airport, railways) that we can build. It is especially true for rail: stations and freight terminals are so difficult to move to a new place that we always try to make the best of historical geographical structures.

There is also such an increase in the number of planes, trucks, trains required to make all these partnerships possible that congestion or even accidents are at risk of increasing. The recent news has reminded this to us in a very painful way. It must be our daily challenge to manage the increase in transport while not increasing the risk in terms of safety but also in terms of environment consequences.



– Do you think the political crisis will influence the global economy?



– Crisis is definitely not something that business people like: they already have enough uncertainty in their daily life. However, just to give one example, the post-second world war era up to the oil crisis was certainly not a peaceful time (think of the Berlin wall, the Cuban missiles crisis, the Vietnam war, etc.), and yet it was a great time for innovation and economic growth.



Infrastructure Ideas



– What can you say about the level of the competition in the European railway sector?



– The competition should not be considered only at the railway sector level. For most goods to be transported, and for most people, there is already a choice between rail, road (by truck for the goods, by car or by bus for the passengers) and air transport.

Of course, there are certainly many things that should be improved in the rail sector, and just to talk about France, it is quite likely that the fourth railway package will end up creating competition for national transport where today there is almost none. But society's changes did not wait for the rail market to open: nowadays, the growth of car-sharing though organized internet platforms is probably a more important event, for the transport sector, than the creation of competition that may happen in ten years – the exact dates will be the key point of the negotiation.

For the same reason, I can assure you that SNCF, the French national rail operator, is more concerned about any initiative that Google may take in the transport sector, such as developing its own travel agency, than it is about Deutsche Bahn.



– Which infrastructure projects are being discussed in your Ministry now?



– We have many ideas about the future of transport infrastructure, but we are already building four high speed train lines at the same time : the line to Brittany, the line to Bordeaux in the South-West, the final part of the line to the East and the Nimes-Montpellier bypass in the South of France. It is a new challenge in France where in the eighties and nineties, there was only one TGV line being built at a given time. It is also very expensive.

The French Citizens are now demanding not new infrastructure, but the improvement of existing, daily trains. This concerns both the trains themselves and the infrastructure they are using. The investment should now go mostly to the improvement of capacity, punctuality and comfort of existing lines, especially in the Paris suburbs, where every day the public transport system carries double the maximum capacity that its designers thought possible when its construction started at the end of the XIXth century.

For this reason, one new project is very high on the French agenda: the “Grand Paris” Metro, a circular metro around Paris that will ease the pressure inside our Capital by making it easy for people to go from one suburban area to another without crossing the center. This will be a revolution for the town planning and geography of Paris region.



Government Should Help



– One of the important themes in the European railway sector is the question of railway investment. How would you describe the investment policy on railway infrastructure development, railway freight and passenger transport in Europe?



– Each country has its own investment policy, and then the European Commission comes with structural funds and Trans-European networks funds to complete it. It is especially efficient when the European Union funding goes into cross–border projects, as any country has a natural tendency to concentrate on national infrastructure, and the funding is generally less available for international projects, such as the Lyon–Turin Tunnel.

However, it becomes more and more evident that the development of rail is not only a question of investment, or let’s say the investments at stake are quite limited, compared to the cost of a new line.

Rail freight transport in France suffers from a saturated infrastructure that makes the train paths less reliable. Of course we could build a completely separate freight network, but within a realistic budget and timescale, there are a number of modest improvements, concentrated on bottlenecks, that allow increased capacity. Unfortunately, the civil works associated with these improvements take time, and while they are in progress they actually reduce the capacity of the line, at least at night, because trains cannot run at the same time when the infrastructure staff are working on the tracks. There is a subtle balance to find, for this reason, between works, freight and passenger trains, in the priority system. This is not just a money issue. We have to re-think the way we have been working for years.



– How is it possible to increase direct foreign investment in the railway sector today?



– There is a limited number of infrastructure projects where private investment is really possible, and anyway it will require strong Government commitments in a public-private partnership. Private transport infrastructure projects have a long record of being investor’s nightmares, from the Panama Canal to the Channel Tunnel – precious infrastructure for the world today, but both bankrolled by the total or partial bankruptcy of small shareholders.

However, I am very confident that the fourth railway package, the opening up of competition and the progress towards technical interoperability can bring a lot of foreign investment into the railway services sector: running trains on an existing infrastructure represents less cost, less risk, and a faster return on investment, than actually building the infrastructure itself. With sufficient legal certainty to give confidence to investors – and this is true in any country – there are bound to be many players opening their mind to new opportunities in not-so-foreign countries.

Interviewed by Kirill Kovalenko


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Many Reasons to Talk



– Mr Chevalier, you entered the Ministry of Transport and became responsible for the opening of the rail freight transport market. What were your most important decisions?



– France has been, for historical reasons, not very keen on the opening of the markets. This is true for rail as well as for other sectors. In the rail freight sector, initiatives came from the European Commission with the first railway package adopted in 2001, for international freight, and then with the second railway package, finally adopted in 2004, for national freight. I was in charge of the negotiation of this one. 

Probably the main contribution of France, and of myself, at that time, was to introduce the idea of the safety directive. If there were to be many players in the market, rather than just one historical public company in each country, it is necessary to work towards harmonization of safety standards. For example, in France, the rail regulatory texts, which were internal SNCF documentation, had to be rewritten at State level to apply to all companies in the same way to make sure they can use it to operate safely.



– Then you spent five years working in the French Ministry of Finance. How can you describe the current situation in the global economy?



– Globalalisation is the main change that happened in our society in the last decades. Before there was local instability in many places, but making it global has certainly increased both the opportunities and the size of the instability. 

Especially for a transport expert, which is what I am trying to be today, the global economy has raised many challenges. Just to give one example, we have so many more reasons now to talk to our Russian colleagues and friends than we had years ago. There was always diplomacy, but now there is more trade, more tourism, more financial relationships… All this means more transport, but there is always a limit to the amount of new infrastructure (roads, airport, railways) that we can build. It is especially true for rail: stations and freight terminals are so difficult to move to a new place that we always try to make the best of historical geographical structures.

There is also such an increase in the number of planes, trucks, trains required to make all these partnerships possible that congestion or even accidents are at risk of increasing. The recent news has reminded this to us in a very painful way. It must be our daily challenge to manage the increase in transport while not increasing the risk in terms of safety but also in terms of environment consequences.



– Do you think the political crisis will influence the global economy?



– Crisis is definitely not something that business people like: they already have enough uncertainty in their daily life. However, just to give one example, the post-second world war era up to the oil crisis was certainly not a peaceful time (think of the Berlin wall, the Cuban missiles crisis, the Vietnam war, etc.), and yet it was a great time for innovation and economic growth.



Infrastructure Ideas



– What can you say about the level of the competition in the European railway sector?



– The competition should not be considered only at the railway sector level. For most goods to be transported, and for most people, there is already a choice between rail, road (by truck for the goods, by car or by bus for the passengers) and air transport.

Of course, there are certainly many things that should be improved in the rail sector, and just to talk about France, it is quite likely that the fourth railway package will end up creating competition for national transport where today there is almost none. But society's changes did not wait for the rail market to open: nowadays, the growth of car-sharing though organized internet platforms is probably a more important event, for the transport sector, than the creation of competition that may happen in ten years – the exact dates will be the key point of the negotiation.

For the same reason, I can assure you that SNCF, the French national rail operator, is more concerned about any initiative that Google may take in the transport sector, such as developing its own travel agency, than it is about Deutsche Bahn.



– Which infrastructure projects are being discussed in your Ministry now?



– We have many ideas about the future of transport infrastructure, but we are already building four high speed train lines at the same time : the line to Brittany, the line to Bordeaux in the South-West, the final part of the line to the East and the Nimes-Montpellier bypass in the South of France. It is a new challenge in France where in the eighties and nineties, there was only one TGV line being built at a given time. It is also very expensive.

The French Citizens are now demanding not new infrastructure, but the improvement of existing, daily trains. This concerns both the trains themselves and the infrastructure they are using. The investment should now go mostly to the improvement of capacity, punctuality and comfort of existing lines, especially in the Paris suburbs, where every day the public transport system carries double the maximum capacity that its designers thought possible when its construction started at the end of the XIXth century.

For this reason, one new project is very high on the French agenda: the “Grand Paris” Metro, a circular metro around Paris that will ease the pressure inside our Capital by making it easy for people to go from one suburban area to another without crossing the center. This will be a revolution for the town planning and geography of Paris region.



Government Should Help



– One of the important themes in the European railway sector is the question of railway investment. How would you describe the investment policy on railway infrastructure development, railway freight and passenger transport in Europe?



– Each country has its own investment policy, and then the European Commission comes with structural funds and Trans-European networks funds to complete it. It is especially efficient when the European Union funding goes into cross–border projects, as any country has a natural tendency to concentrate on national infrastructure, and the funding is generally less available for international projects, such as the Lyon–Turin Tunnel.

However, it becomes more and more evident that the development of rail is not only a question of investment, or let’s say the investments at stake are quite limited, compared to the cost of a new line.

Rail freight transport in France suffers from a saturated infrastructure that makes the train paths less reliable. Of course we could build a completely separate freight network, but within a realistic budget and timescale, there are a number of modest improvements, concentrated on bottlenecks, that allow increased capacity. Unfortunately, the civil works associated with these improvements take time, and while they are in progress they actually reduce the capacity of the line, at least at night, because trains cannot run at the same time when the infrastructure staff are working on the tracks. There is a subtle balance to find, for this reason, between works, freight and passenger trains, in the priority system. This is not just a money issue. We have to re-think the way we have been working for years.



– How is it possible to increase direct foreign investment in the railway sector today?



– There is a limited number of infrastructure projects where private investment is really possible, and anyway it will require strong Government commitments in a public-private partnership. Private transport infrastructure projects have a long record of being investor’s nightmares, from the Panama Canal to the Channel Tunnel – precious infrastructure for the world today, but both bankrolled by the total or partial bankruptcy of small shareholders.

However, I am very confident that the fourth railway package, the opening up of competition and the progress towards technical interoperability can bring a lot of foreign investment into the railway services sector: running trains on an existing infrastructure represents less cost, less risk, and a faster return on investment, than actually building the infrastructure itself. With sufficient legal certainty to give confidence to investors – and this is true in any country – there are bound to be many players opening their mind to new opportunities in not-so-foreign countries.

Interviewed by Kirill Kovalenko


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Many Reasons to Talk



– Mr Chevalier, you entered the Ministry of Transport and became responsible for the opening of the rail freight transport market. What were your most important decisions?



– France has been, for historical reasons, not very keen on the opening of the markets. This is true for rail as well as for other sectors. In the rail freight sector, initiatives came from the European Commission with the first railway package adopted in 2001, for international freight, and then with the second railway package, finally adopted in 2004, for national freight. I was in charge of the negotiation of this one. 

Probably the main contribution of France, and of myself, at that time, was to introduce the idea of the safety directive. If there were to be many players in the market, rather than just one historical public company in each country, it is necessary to work towards harmonization of safety standards. For example, in France, the rail regulatory texts, which were internal SNCF documentation, had to be rewritten at State level to apply to all companies in the same way to make sure they can use it to operate safely.



– Then you spent five years working in the French Ministry of Finance. How can you describe the current situation in the global economy?



– Globalalisation is the main change that happened in our society in the last decades. Before there was local instability in many places, but making it global has certainly increased both the opportunities and the size of the instability. 

Especially for a transport expert, which is what I am trying to be today, the global economy has raised many challenges. Just to give one example, we have so many more reasons now to talk to our Russian colleagues and friends than we had years ago. There was always diplomacy, but now there is more trade, more tourism, more financial relationships… All this means more transport, but there is always a limit to the amount of new infrastructure (roads, airport, railways) that we can build. It is especially true for rail: stations and freight terminals are so difficult to move to a new place that we always try to make the best of historical geographical structures.

There is also such an increase in the number of planes, trucks, trains required to make all these partnerships possible that congestion or even accidents are at risk of increasing. The recent news has reminded this to us in a very painful way. It must be our daily challenge to manage the increase in transport while not increasing the risk in terms of safety but also in terms of environment consequences.



– Do you think the political crisis will influence the global economy?



– Crisis is definitely not something that business people like: they already have enough uncertainty in their daily life. However, just to give one example, the post-second world war era up to the oil crisis was certainly not a peaceful time (think of the Berlin wall, the Cuban missiles crisis, the Vietnam war, etc.), and yet it was a great time for innovation and economic growth.



Infrastructure Ideas



– What can you say about the level of the competition in the European railway sector?



– The competition should not be considered only at the railway sector level. For most goods to be transported, and for most people, there is already a choice between rail, road (by truck for the goods, by car or by bus for the passengers) and air transport.

Of course, there are certainly many things that should be improved in the rail sector, and just to talk about France, it is quite likely that the fourth railway package will end up creating competition for national transport where today there is almost none. But society's changes did not wait for the rail market to open: nowadays, the growth of car-sharing though organized internet platforms is probably a more important event, for the transport sector, than the creation of competition that may happen in ten years – the exact dates will be the key point of the negotiation.

For the same reason, I can assure you that SNCF, the French national rail operator, is more concerned about any initiative that Google may take in the transport sector, such as developing its own travel agency, than it is about Deutsche Bahn.



– Which infrastructure projects are being discussed in your Ministry now?



– We have many ideas about the future of transport infrastructure, but we are already building four high speed train lines at the same time : the line to Brittany, the line to Bordeaux in the South-West, the final part of the line to the East and the Nimes-Montpellier bypass in the South of France. It is a new challenge in France where in the eighties and nineties, there was only one TGV line being built at a given time. It is also very expensive.

The French Citizens are now demanding not new infrastructure, but the improvement of existing, daily trains. This concerns both the trains themselves and the infrastructure they are using. The investment should now go mostly to the improvement of capacity, punctuality and comfort of existing lines, especially in the Paris suburbs, where every day the public transport system carries double the maximum capacity that its designers thought possible when its construction started at the end of the XIXth century.

For this reason, one new project is very high on the French agenda: the “Grand Paris” Metro, a circular metro around Paris that will ease the pressure inside our Capital by making it easy for people to go from one suburban area to another without crossing the center. This will be a revolution for the town planning and geography of Paris region.



Government Should Help



– One of the important themes in the European railway sector is the question of railway investment. How would you describe the investment policy on railway infrastructure development, railway freight and passenger transport in Europe?



– Each country has its own investment policy, and then the European Commission comes with structural funds and Trans-European networks funds to complete it. It is especially efficient when the European Union funding goes into cross–border projects, as any country has a natural tendency to concentrate on national infrastructure, and the funding is generally less available for international projects, such as the Lyon–Turin Tunnel.

However, it becomes more and more evident that the development of rail is not only a question of investment, or let’s say the investments at stake are quite limited, compared to the cost of a new line.

Rail freight transport in France suffers from a saturated infrastructure that makes the train paths less reliable. Of course we could build a completely separate freight network, but within a realistic budget and timescale, there are a number of modest improvements, concentrated on bottlenecks, that allow increased capacity. Unfortunately, the civil works associated with these improvements take time, and while they are in progress they actually reduce the capacity of the line, at least at night, because trains cannot run at the same time when the infrastructure staff are working on the tracks. There is a subtle balance to find, for this reason, between works, freight and passenger trains, in the priority system. This is not just a money issue. We have to re-think the way we have been working for years.



– How is it possible to increase direct foreign investment in the railway sector today?



– There is a limited number of infrastructure projects where private investment is really possible, and anyway it will require strong Government commitments in a public-private partnership. Private transport infrastructure projects have a long record of being investor’s nightmares, from the Panama Canal to the Channel Tunnel – precious infrastructure for the world today, but both bankrolled by the total or partial bankruptcy of small shareholders.

However, I am very confident that the fourth railway package, the opening up of competition and the progress towards technical interoperability can bring a lot of foreign investment into the railway services sector: running trains on an existing infrastructure represents less cost, less risk, and a faster return on investment, than actually building the infrastructure itself. With sufficient legal certainty to give confidence to investors – and this is true in any country – there are bound to be many players opening their mind to new opportunities in not-so-foreign countries.

Interviewed by Kirill Kovalenko


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Many Reasons to Talk



– Mr Chevalier, you entered the Ministry of Transport and became responsible for the opening of the rail freight transport market. What were your most important decisions?



– France has been, for historical reasons, not very keen on the opening of the markets. This is true for rail as well as for other sectors. In the rail freight sector, initiatives came from the European Commission with the first railway package adopted in 2001, for international freight, and then with the second railway package, finally adopted in 2004, for national freight. I was in charge of the negotiation of this one. 

Probably the main contribution of France, and of myself, at that time, was to introduce the idea of the safety directive. If there were to be many players in the market, rather than just one historical public company in each country, it is necessary to work towards harmonization of safety standards. For example, in France, the rail regulatory texts, which were internal SNCF documentation, had to be rewritten at State level to apply to all companies in the same way to make sure they can use it to operate safely.



– Then you spent five years working in the French Ministry of Finance. How can you describe the current situation in the global economy?



– Globalalisation is the main change that happened in our society in the last decades. Before there was local instability in many places, but making it global has certainly increased both the opportunities and the size of the instability. 

Especially for a transport expert, which is what I am trying to be today, the global economy has raised many challenges. Just to give one example, we have so many more reasons now to talk to our Russian colleagues and friends than we had years ago. There was always diplomacy, but now there is more trade, more tourism, more financial relationships… All this means more transport, but there is always a limit to the amount of new infrastructure (roads, airport, railways) that we can build. It is especially true for rail: stations and freight terminals are so difficult to move to a new place that we always try to make the best of historical geographical structures.

There is also such an increase in the number of planes, trucks, trains required to make all these partnerships possible that congestion or even accidents are at risk of increasing. The recent news has reminded this to us in a very painful way. It must be our daily challenge to manage the increase in transport while not increasing the risk in terms of safety but also in terms of environment consequences.



– Do you think the political crisis will influence the global economy?



– Crisis is definitely not something that business people like: they already have enough uncertainty in their daily life. However, just to give one example, the post-second world war era up to the oil crisis was certainly not a peaceful time (think of the Berlin wall, the Cuban missiles crisis, the Vietnam war, etc.), and yet it was a great time for innovation and economic growth.



Infrastructure Ideas



– What can you say about the level of the competition in the European railway sector?



– The competition should not be considered only at the railway sector level. For most goods to be transported, and for most people, there is already a choice between rail, road (by truck for the goods, by car or by bus for the passengers) and air transport.

Of course, there are certainly many things that should be improved in the rail sector, and just to talk about France, it is quite likely that the fourth railway package will end up creating competition for national transport where today there is almost none. But society's changes did not wait for the rail market to open: nowadays, the growth of car-sharing though organized internet platforms is probably a more important event, for the transport sector, than the creation of competition that may happen in ten years – the exact dates will be the key point of the negotiation.

For the same reason, I can assure you that SNCF, the French national rail operator, is more concerned about any initiative that Google may take in the transport sector, such as developing its own travel agency, than it is about Deutsche Bahn.



– Which infrastructure projects are being discussed in your Ministry now?



– We have many ideas about the future of transport infrastructure, but we are already building four high speed train lines at the same time : the line to Brittany, the line to Bordeaux in the South-West, the final part of the line to the East and the Nimes-Montpellier bypass in the South of France. It is a new challenge in France where in the eighties and nineties, there was only one TGV line being built at a given time. It is also very expensive.

The French Citizens are now demanding not new infrastructure, but the improvement of existing, daily trains. This concerns both the trains themselves and the infrastructure they are using. The investment should now go mostly to the improvement of capacity, punctuality and comfort of existing lines, especially in the Paris suburbs, where every day the public transport system carries double the maximum capacity that its designers thought possible when its construction started at the end of the XIXth century.

For this reason, one new project is very high on the French agenda: the “Grand Paris” Metro, a circular metro around Paris that will ease the pressure inside our Capital by making it easy for people to go from one suburban area to another without crossing the center. This will be a revolution for the town planning and geography of Paris region.



Government Should Help



– One of the important themes in the European railway sector is the question of railway investment. How would you describe the investment policy on railway infrastructure development, railway freight and passenger transport in Europe?



– Each country has its own investment policy, and then the European Commission comes with structural funds and Trans-European networks funds to complete it. It is especially efficient when the European Union funding goes into cross–border projects, as any country has a natural tendency to concentrate on national infrastructure, and the funding is generally less available for international projects, such as the Lyon–Turin Tunnel.

However, it becomes more and more evident that the development of rail is not only a question of investment, or let’s say the investments at stake are quite limited, compared to the cost of a new line.

Rail freight transport in France suffers from a saturated infrastructure that makes the train paths less reliable. Of course we could build a completely separate freight network, but within a realistic budget and timescale, there are a number of modest improvements, concentrated on bottlenecks, that allow increased capacity. Unfortunately, the civil works associated with these improvements take time, and while they are in progress they actually reduce the capacity of the line, at least at night, because trains cannot run at the same time when the infrastructure staff are working on the tracks. There is a subtle balance to find, for this reason, between works, freight and passenger trains, in the priority system. This is not just a money issue. We have to re-think the way we have been working for years.



– How is it possible to increase direct foreign investment in the railway sector today?



– There is a limited number of infrastructure projects where private investment is really possible, and anyway it will require strong Government commitments in a public-private partnership. Private transport infrastructure projects have a long record of being investor’s nightmares, from the Panama Canal to the Channel Tunnel – precious infrastructure for the world today, but both bankrolled by the total or partial bankruptcy of small shareholders.

However, I am very confident that the fourth railway package, the opening up of competition and the progress towards technical interoperability can bring a lot of foreign investment into the railway services sector: running trains on an existing infrastructure represents less cost, less risk, and a faster return on investment, than actually building the infrastructure itself. With sufficient legal certainty to give confidence to investors – and this is true in any country – there are bound to be many players opening their mind to new opportunities in not-so-foreign countries.

Interviewed by Kirill Kovalenko


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Fight for Nature, but Not Against Each Other



– Dr Szeghi, we know that you support environmental responsibility. In your opinion, how well is the global transportation sector handling environmental responsibility?  



– We need a new global trade regime, which incorporates the full environmental and social cost of production and transportation into what we call “comparative advantage”.  Market prices need to reflect the full cost, but they do not.  Market prices cannot reflect true and full costs unless nations cooperate in creating a new trade regime and a global governance structure.  A global tax on pollution and carbon emissions is needed.  This will encourage more environmentally friendly modes of transport and production.

We also need a new global economic system that respects the diversity of economic systems.  Each nation should be free to choose its own mix of market, command, and tradition in the allocation of goods and services, just as each nation should be free to choose its own mix of public and private ownership of production and infrastructure capability.  The exact mix each country chooses will be a reflection of its own history, culture, and values, but the global trading regime must be structured to reflect the full and complete costs, including environmental costs in market prices.



– What is your opinion about the Russian transport market?  



– I am a keen interest in Rail Transport.  And I visited The Ninth International Rail Business Forum 1520 Strategic Partnership in Sochi this summer.  I believe that Rail Transport, be it passenger or freight, even with conventional locomotives, is the most environmentally friendly mode of transport, compared with the car or plane.  I was excited about the development of LNG locomotives to make rail transport even more environmentally friendly.  I also wanted to come to Russia, to see the country for myself – how it differs from the image of Russia portrayed in the American Media, on television shows, in commercials, and in American movies.  I was glad to be at the conference and grateful for the experience.  I found it one of the most rewarding experiences of my life.  I think Russian people are warm, engaging, thought provoking, and friendly.



– One of the key topics at the Forum was high-speed transportation. In your opinion, how effective can investment be in high-speed transportation? What aspects should be taken into account during the construction of HSR?



– I believe that high-speed rail transport is absolutely critical to the future of building a greener global and national economy.  With the wider availability of high-speed rail more transport customers will choose rail over more environmentally costly alternatives such as the car or plane.

Professionals in the Railway business should promote the benefits to the environment and ecology in rail transport over other modes of transport.  Professionals should focus on advertising the environmental advantages of rail transport – such as LNG and other alternatives.  In addition to this, transport routes should be avoided if they compromise vital habitats for wildlife or endanger the few wilderness areas that remain on this planet.  Route planners should avoid the lands of indigenous tribal or aboriginal people, as well as being mindful of rustic and pastoral scenery, both concerning new routes as well as increased traffic on existing routes.



Clean Air for You and Me



– You are also the author of several articles on environmental economics. Could you tell us about the main problems in this part of the economy? 



– There are three rather huge environmental problems: climate change because of human economic activity in the form of carbon emissions, loss of habitat for wildlife, including wildlife corridors and pollution in general – toxic pollution, noise and light pollution.  Fuel economy standards were toughened by the Obama administration in the USA and recently new rules were implemented to reduce carbon emissions at power plants.  

In most countries across the globe, there are measures to preserve at least some critical habitats for wildlife but far more needs to be done.  Severe penalties for violators coupled with greater social justice and inclusion in economic benefits for marginalized populations are both essential.

In terms of pollution controls, many forms of toxic pollution are appropriately regulated, but many others are not.  The city of Tucson, Arizona fights against various forms of light pollution in order to preserve its views of the night sky.  In the summer one can look up and see the Milky Way in Tucson.  So in terms of pollution there are signs of hope across the globe, but there is so much that still has to be done.



– In your opinion, how effective are markets today at distributing resources? After all, this is one of the key factors of environmental economics… 



– Markets are not very good at all in distributing resources when negative factors such as pollution and climate change are involved.  Those who cause the pollution or climate change in their production or consumption are creating additional costs for other people and for society that they do not pay for.  The market does not factor in these additional costs and therefore markets will produce too much pollution and climate change.  Standard economic theory insists that these producers or consumers need to pay the full cost that they are generating for society in the form of an appropriate tax.  

Standard economic theory also teaches us that markets are not effective at distributing resources when public goods are involved.  A public good is defined by two characteristics.  A public good is a good that once it is provided for some it is available to others at little or no additional cost.  It is also difficult or impossible to exclude someone from the benefits of a public good.  Clean air is a public good, if we make the air clean for me, it will also be clean for you, and we cannot exclude anyone from the benefits of clean air.  Most environmental goods are public goods such as clean air, clean water, protection from climate change, bio diversity, national parks, and wilderness.  Standard economic theory teaches us that markets are incapable of providing an adequate amount of any public good.  Markets alone will not provide clean air or wilderness, so a strong role is needed for the state in the form of rules, regulations, mandates, as well as trade systems.  Markets are also not very good at producing fairness, equality, or social justice.



– What should the government’s role be in developing railroad infrastructure? How would you describe the model used in the USA?  



– In the United States there is a belief supported by the Republican Party, that Government should play little or no role in the economy.  An economy based only on markets and private ownership is impossible, but the proponents of market fundamentalism seem not to realize it. Their goal seems to be 100% market allocation and 100% private ownership.  

All functional political economies have always involved some mix of market, command, and tradition in the allocation of resources.  All healthy economic systems are a mix of private and public ownership. 

This philosophy of market fundamentalism though, unfortunately is all too alive and well in the United States today and it is very difficult for the Government to play the role it needs to play in the economy.  It is extremely difficult, particularly in an era of divided government, to even rebuild crumbling public infrastructure (roads, bridges, sewer systems, ports, airports, and rail lines).

There was a time in the United States, from the New Deal of Franklin Roosevelt up until the early 1980s when government was indeed quite capable of expanding public infrastructure.  But the politics of supply side economics and market fundamentalism, which has been successful at getting roughly 50% of the votes in most elections over three decades, has made infrastructure development very difficult since the election of Ronald Reagan in 1980. Over the past three decades the proponents of market fundamentalism have only become more and more extreme in their views.  Some market extremists are even advocating the privatization of roads and bridges. 

As difficult as it has been for public infrastructure in general in the United States in recent times, it has been even more difficult for the railroads, particularly passenger transport.  The trucking industry and the passenger cars are subsidized by the Government in the form of the construction of roads and bridges.  At the same time it is often repeated that railroads, both freight and passenger, are supposed to function and work well without any taxpayer funds.  So public funding for rail lines has become even more difficult than public funding for highway construction.

In the United States the condition of public infrastructure in general is quite poor today, and the condition of public infrastructure in railroads is even worse.  As an example, the Economic Stimulus Act of 2009 created the funding for high speed passenger rail lines in several states, but Republican governors elected in Ohio and in Florida in 2010 vetoed these projects. 



– What kind of effect will the recent political events related to the crisis in Ukraine have on the global economy? 



– I am not an expert on the crisis in Ukraine, but I think all events are filtered through the US Media.  I suppose that Russia is not really doing anything much different in Ukraine from what the US has often done in countries close to the United States.  Implementation of sanctions is not the way the US and the EU should choose. They impact the global economy. We need dialogue instead.  The crisis in Ukraine need not be ramped up through ever more sanctions into a global crisis. 

We have to focus on ways in which the US and Russia can peacefully cooperate on a range of issues such as fighting climate change, preserving critical habitats for wildlife, and combating global poverty and inequality.  It is time for the two countries to become the partners they were during World War II.  This time there is a war to be won to protect the environment, and endangered species, and to ensure a decent life for all the people.

Interviewed by Kirill Kovalenko
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Fight for Nature, but Not Against Each Other



– Dr Szeghi, we know that you support environmental responsibility. In your opinion, how well is the global transportation sector handling environmental responsibility?  



– We need a new global trade regime, which incorporates the full environmental and social cost of production and transportation into what we call “comparative advantage”.  Market prices need to reflect the full cost, but they do not.  Market prices cannot reflect true and full costs unless nations cooperate in creating a new trade regime and a global governance structure.  A global tax on pollution and carbon emissions is needed.  This will encourage more environmentally friendly modes of transport and production.

We also need a new global economic system that respects the diversity of economic systems.  Each nation should be free to choose its own mix of market, command, and tradition in the allocation of goods and services, just as each nation should be free to choose its own mix of public and private ownership of production and infrastructure capability.  The exact mix each country chooses will be a reflection of its own history, culture, and values, but the global trading regime must be structured to reflect the full and complete costs, including environmental costs in market prices.



– What is your opinion about the Russian transport market?  



– I am a keen interest in Rail Transport.  And I visited The Ninth International Rail Business Forum 1520 Strategic Partnership in Sochi this summer.  I believe that Rail Transport, be it passenger or freight, even with conventional locomotives, is the most environmentally friendly mode of transport, compared with the car or plane.  I was excited about the development of LNG locomotives to make rail transport even more environmentally friendly.  I also wanted to come to Russia, to see the country for myself – how it differs from the image of Russia portrayed in the American Media, on television shows, in commercials, and in American movies.  I was glad to be at the conference and grateful for the experience.  I found it one of the most rewarding experiences of my life.  I think Russian people are warm, engaging, thought provoking, and friendly.



– One of the key topics at the Forum was high-speed transportation. In your opinion, how effective can investment be in high-speed transportation? What aspects should be taken into account during the construction of HSR?



– I believe that high-speed rail transport is absolutely critical to the future of building a greener global and national economy.  With the wider availability of high-speed rail more transport customers will choose rail over more environmentally costly alternatives such as the car or plane.

Professionals in the Railway business should promote the benefits to the environment and ecology in rail transport over other modes of transport.  Professionals should focus on advertising the environmental advantages of rail transport – such as LNG and other alternatives.  In addition to this, transport routes should be avoided if they compromise vital habitats for wildlife or endanger the few wilderness areas that remain on this planet.  Route planners should avoid the lands of indigenous tribal or aboriginal people, as well as being mindful of rustic and pastoral scenery, both concerning new routes as well as increased traffic on existing routes.



Clean Air for You and Me



– You are also the author of several articles on environmental economics. Could you tell us about the main problems in this part of the economy? 



– There are three rather huge environmental problems: climate change because of human economic activity in the form of carbon emissions, loss of habitat for wildlife, including wildlife corridors and pollution in general – toxic pollution, noise and light pollution.  Fuel economy standards were toughened by the Obama administration in the USA and recently new rules were implemented to reduce carbon emissions at power plants.  

In most countries across the globe, there are measures to preserve at least some critical habitats for wildlife but far more needs to be done.  Severe penalties for violators coupled with greater social justice and inclusion in economic benefits for marginalized populations are both essential.

In terms of pollution controls, many forms of toxic pollution are appropriately regulated, but many others are not.  The city of Tucson, Arizona fights against various forms of light pollution in order to preserve its views of the night sky.  In the summer one can look up and see the Milky Way in Tucson.  So in terms of pollution there are signs of hope across the globe, but there is so much that still has to be done.



– In your opinion, how effective are markets today at distributing resources? After all, this is one of the key factors of environmental economics… 



– Markets are not very good at all in distributing resources when negative factors such as pollution and climate change are involved.  Those who cause the pollution or climate change in their production or consumption are creating additional costs for other people and for society that they do not pay for.  The market does not factor in these additional costs and therefore markets will produce too much pollution and climate change.  Standard economic theory insists that these producers or consumers need to pay the full cost that they are generating for society in the form of an appropriate tax.  

Standard economic theory also teaches us that markets are not effective at distributing resources when public goods are involved.  A public good is defined by two characteristics.  A public good is a good that once it is provided for some it is available to others at little or no additional cost.  It is also difficult or impossible to exclude someone from the benefits of a public good.  Clean air is a public good, if we make the air clean for me, it will also be clean for you, and we cannot exclude anyone from the benefits of clean air.  Most environmental goods are public goods such as clean air, clean water, protection from climate change, bio diversity, national parks, and wilderness.  Standard economic theory teaches us that markets are incapable of providing an adequate amount of any public good.  Markets alone will not provide clean air or wilderness, so a strong role is needed for the state in the form of rules, regulations, mandates, as well as trade systems.  Markets are also not very good at producing fairness, equality, or social justice.



– What should the government’s role be in developing railroad infrastructure? How would you describe the model used in the USA?  



– In the United States there is a belief supported by the Republican Party, that Government should play little or no role in the economy.  An economy based only on markets and private ownership is impossible, but the proponents of market fundamentalism seem not to realize it. Their goal seems to be 100% market allocation and 100% private ownership.  

All functional political economies have always involved some mix of market, command, and tradition in the allocation of resources.  All healthy economic systems are a mix of private and public ownership. 

This philosophy of market fundamentalism though, unfortunately is all too alive and well in the United States today and it is very difficult for the Government to play the role it needs to play in the economy.  It is extremely difficult, particularly in an era of divided government, to even rebuild crumbling public infrastructure (roads, bridges, sewer systems, ports, airports, and rail lines).

There was a time in the United States, from the New Deal of Franklin Roosevelt up until the early 1980s when government was indeed quite capable of expanding public infrastructure.  But the politics of supply side economics and market fundamentalism, which has been successful at getting roughly 50% of the votes in most elections over three decades, has made infrastructure development very difficult since the election of Ronald Reagan in 1980. Over the past three decades the proponents of market fundamentalism have only become more and more extreme in their views.  Some market extremists are even advocating the privatization of roads and bridges. 

As difficult as it has been for public infrastructure in general in the United States in recent times, it has been even more difficult for the railroads, particularly passenger transport.  The trucking industry and the passenger cars are subsidized by the Government in the form of the construction of roads and bridges.  At the same time it is often repeated that railroads, both freight and passenger, are supposed to function and work well without any taxpayer funds.  So public funding for rail lines has become even more difficult than public funding for highway construction.

In the United States the condition of public infrastructure in general is quite poor today, and the condition of public infrastructure in railroads is even worse.  As an example, the Economic Stimulus Act of 2009 created the funding for high speed passenger rail lines in several states, but Republican governors elected in Ohio and in Florida in 2010 vetoed these projects. 



– What kind of effect will the recent political events related to the crisis in Ukraine have on the global economy? 



– I am not an expert on the crisis in Ukraine, but I think all events are filtered through the US Media.  I suppose that Russia is not really doing anything much different in Ukraine from what the US has often done in countries close to the United States.  Implementation of sanctions is not the way the US and the EU should choose. They impact the global economy. We need dialogue instead.  The crisis in Ukraine need not be ramped up through ever more sanctions into a global crisis. 

We have to focus on ways in which the US and Russia can peacefully cooperate on a range of issues such as fighting climate change, preserving critical habitats for wildlife, and combating global poverty and inequality.  It is time for the two countries to become the partners they were during World War II.  This time there is a war to be won to protect the environment, and endangered species, and to ensure a decent life for all the people.

Interviewed by Kirill Kovalenko
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Fight for Nature, but Not Against Each Other



– Dr Szeghi, we know that you support environmental responsibility. In your opinion, how well is the global transportation sector handling environmental responsibility?  



– We need a new global trade regime, which incorporates the full environmental and social cost of production and transportation into what we call “comparative advantage”.  Market prices need to reflect the full cost, but they do not.  Market prices cannot reflect true and full costs unless nations cooperate in creating a new trade regime and a global governance structure.  A global tax on pollution and carbon emissions is needed.  This will encourage more environmentally friendly modes of transport and production.

We also need a new global economic system that respects the diversity of economic systems.  Each nation should be free to choose its own mix of market, command, and tradition in the allocation of goods and services, just as each nation should be free to choose its own mix of public and private ownership of production and infrastructure capability.  The exact mix each country chooses will be a reflection of its own history, culture, and values, but the global trading regime must be structured to reflect the full and complete costs, including environmental costs in market prices.



– What is your opinion about the Russian transport market?  



– I am a keen interest in Rail Transport.  And I visited The Ninth International Rail Business Forum 1520 Strategic Partnership in Sochi this summer.  I believe that Rail Transport, be it passenger or freight, even with conventional locomotives, is the most environmentally friendly mode of transport, compared with the car or plane.  I was excited about the development of LNG locomotives to make rail transport even more environmentally friendly.  I also wanted to come to Russia, to see the country for myself – how it differs from the image of Russia portrayed in the American Media, on television shows, in commercials, and in American movies.  I was glad to be at the conference and grateful for the experience.  I found it one of the most rewarding experiences of my life.  I think Russian people are warm, engaging, thought provoking, and friendly.



– One of the key topics at the Forum was high-speed transportation. In your opinion, how effective can investment be in high-speed transportation? What aspects should be taken into account during the construction of HSR?



– I believe that high-speed rail transport is absolutely critical to the future of building a greener global and national economy.  With the wider availability of high-speed rail more transport customers will choose rail over more environmentally costly alternatives such as the car or plane.

Professionals in the Railway business should promote the benefits to the environment and ecology in rail transport over other modes of transport.  Professionals should focus on advertising the environmental advantages of rail transport – such as LNG and other alternatives.  In addition to this, transport routes should be avoided if they compromise vital habitats for wildlife or endanger the few wilderness areas that remain on this planet.  Route planners should avoid the lands of indigenous tribal or aboriginal people, as well as being mindful of rustic and pastoral scenery, both concerning new routes as well as increased traffic on existing routes.



Clean Air for You and Me



– You are also the author of several articles on environmental economics. Could you tell us about the main problems in this part of the economy? 



– There are three rather huge environmental problems: climate change because of human economic activity in the form of carbon emissions, loss of habitat for wildlife, including wildlife corridors and pollution in general – toxic pollution, noise and light pollution.  Fuel economy standards were toughened by the Obama administration in the USA and recently new rules were implemented to reduce carbon emissions at power plants.  

In most countries across the globe, there are measures to preserve at least some critical habitats for wildlife but far more needs to be done.  Severe penalties for violators coupled with greater social justice and inclusion in economic benefits for marginalized populations are both essential.

In terms of pollution controls, many forms of toxic pollution are appropriately regulated, but many others are not.  The city of Tucson, Arizona fights against various forms of light pollution in order to preserve its views of the night sky.  In the summer one can look up and see the Milky Way in Tucson.  So in terms of pollution there are signs of hope across the globe, but there is so much that still has to be done.



– In your opinion, how effective are markets today at distributing resources? After all, this is one of the key factors of environmental economics… 



– Markets are not very good at all in distributing resources when negative factors such as pollution and climate change are involved.  Those who cause the pollution or climate change in their production or consumption are creating additional costs for other people and for society that they do not pay for.  The market does not factor in these additional costs and therefore markets will produce too much pollution and climate change.  Standard economic theory insists that these producers or consumers need to pay the full cost that they are generating for society in the form of an appropriate tax.  

Standard economic theory also teaches us that markets are not effective at distributing resources when public goods are involved.  A public good is defined by two characteristics.  A public good is a good that once it is provided for some it is available to others at little or no additional cost.  It is also difficult or impossible to exclude someone from the benefits of a public good.  Clean air is a public good, if we make the air clean for me, it will also be clean for you, and we cannot exclude anyone from the benefits of clean air.  Most environmental goods are public goods such as clean air, clean water, protection from climate change, bio diversity, national parks, and wilderness.  Standard economic theory teaches us that markets are incapable of providing an adequate amount of any public good.  Markets alone will not provide clean air or wilderness, so a strong role is needed for the state in the form of rules, regulations, mandates, as well as trade systems.  Markets are also not very good at producing fairness, equality, or social justice.



– What should the government’s role be in developing railroad infrastructure? How would you describe the model used in the USA?  



– In the United States there is a belief supported by the Republican Party, that Government should play little or no role in the economy.  An economy based only on markets and private ownership is impossible, but the proponents of market fundamentalism seem not to realize it. Their goal seems to be 100% market allocation and 100% private ownership.  

All functional political economies have always involved some mix of market, command, and tradition in the allocation of resources.  All healthy economic systems are a mix of private and public ownership. 

This philosophy of market fundamentalism though, unfortunately is all too alive and well in the United States today and it is very difficult for the Government to play the role it needs to play in the economy.  It is extremely difficult, particularly in an era of divided government, to even rebuild crumbling public infrastructure (roads, bridges, sewer systems, ports, airports, and rail lines).

There was a time in the United States, from the New Deal of Franklin Roosevelt up until the early 1980s when government was indeed quite capable of expanding public infrastructure.  But the politics of supply side economics and market fundamentalism, which has been successful at getting roughly 50% of the votes in most elections over three decades, has made infrastructure development very difficult since the election of Ronald Reagan in 1980. Over the past three decades the proponents of market fundamentalism have only become more and more extreme in their views.  Some market extremists are even advocating the privatization of roads and bridges. 

As difficult as it has been for public infrastructure in general in the United States in recent times, it has been even more difficult for the railroads, particularly passenger transport.  The trucking industry and the passenger cars are subsidized by the Government in the form of the construction of roads and bridges.  At the same time it is often repeated that railroads, both freight and passenger, are supposed to function and work well without any taxpayer funds.  So public funding for rail lines has become even more difficult than public funding for highway construction.

In the United States the condition of public infrastructure in general is quite poor today, and the condition of public infrastructure in railroads is even worse.  As an example, the Economic Stimulus Act of 2009 created the funding for high speed passenger rail lines in several states, but Republican governors elected in Ohio and in Florida in 2010 vetoed these projects. 



– What kind of effect will the recent political events related to the crisis in Ukraine have on the global economy? 



– I am not an expert on the crisis in Ukraine, but I think all events are filtered through the US Media.  I suppose that Russia is not really doing anything much different in Ukraine from what the US has often done in countries close to the United States.  Implementation of sanctions is not the way the US and the EU should choose. They impact the global economy. We need dialogue instead.  The crisis in Ukraine need not be ramped up through ever more sanctions into a global crisis. 

We have to focus on ways in which the US and Russia can peacefully cooperate on a range of issues such as fighting climate change, preserving critical habitats for wildlife, and combating global poverty and inequality.  It is time for the two countries to become the partners they were during World War II.  This time there is a war to be won to protect the environment, and endangered species, and to ensure a decent life for all the people.

Interviewed by Kirill Kovalenko
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Fight for Nature, but Not Against Each Other



– Dr Szeghi, we know that you support environmental responsibility. In your opinion, how well is the global transportation sector handling environmental responsibility?  



– We need a new global trade regime, which incorporates the full environmental and social cost of production and transportation into what we call “comparative advantage”.  Market prices need to reflect the full cost, but they do not.  Market prices cannot reflect true and full costs unless nations cooperate in creating a new trade regime and a global governance structure.  A global tax on pollution and carbon emissions is needed.  This will encourage more environmentally friendly modes of transport and production.

We also need a new global economic system that respects the diversity of economic systems.  Each nation should be free to choose its own mix of market, command, and tradition in the allocation of goods and services, just as each nation should be free to choose its own mix of public and private ownership of production and infrastructure capability.  The exact mix each country chooses will be a reflection of its own history, culture, and values, but the global trading regime must be structured to reflect the full and complete costs, including environmental costs in market prices.



– What is your opinion about the Russian transport market?  



– I am a keen interest in Rail Transport.  And I visited The Ninth International Rail Business Forum 1520 Strategic Partnership in Sochi this summer.  I believe that Rail Transport, be it passenger or freight, even with conventional locomotives, is the most environmentally friendly mode of transport, compared with the car or plane.  I was excited about the development of LNG locomotives to make rail transport even more environmentally friendly.  I also wanted to come to Russia, to see the country for myself – how it differs from the image of Russia portrayed in the American Media, on television shows, in commercials, and in American movies.  I was glad to be at the conference and grateful for the experience.  I found it one of the most rewarding experiences of my life.  I think Russian people are warm, engaging, thought provoking, and friendly.



– One of the key topics at the Forum was high-speed transportation. In your opinion, how effective can investment be in high-speed transportation? What aspects should be taken into account during the construction of HSR?



– I believe that high-speed rail transport is absolutely critical to the future of building a greener global and national economy.  With the wider availability of high-speed rail more transport customers will choose rail over more environmentally costly alternatives such as the car or plane.

Professionals in the Railway business should promote the benefits to the environment and ecology in rail transport over other modes of transport.  Professionals should focus on advertising the environmental advantages of rail transport – such as LNG and other alternatives.  In addition to this, transport routes should be avoided if they compromise vital habitats for wildlife or endanger the few wilderness areas that remain on this planet.  Route planners should avoid the lands of indigenous tribal or aboriginal people, as well as being mindful of rustic and pastoral scenery, both concerning new routes as well as increased traffic on existing routes.



Clean Air for You and Me



– You are also the author of several articles on environmental economics. Could you tell us about the main problems in this part of the economy? 



– There are three rather huge environmental problems: climate change because of human economic activity in the form of carbon emissions, loss of habitat for wildlife, including wildlife corridors and pollution in general – toxic pollution, noise and light pollution.  Fuel economy standards were toughened by the Obama administration in the USA and recently new rules were implemented to reduce carbon emissions at power plants.  

In most countries across the globe, there are measures to preserve at least some critical habitats for wildlife but far more needs to be done.  Severe penalties for violators coupled with greater social justice and inclusion in economic benefits for marginalized populations are both essential.

In terms of pollution controls, many forms of toxic pollution are appropriately regulated, but many others are not.  The city of Tucson, Arizona fights against various forms of light pollution in order to preserve its views of the night sky.  In the summer one can look up and see the Milky Way in Tucson.  So in terms of pollution there are signs of hope across the globe, but there is so much that still has to be done.



– In your opinion, how effective are markets today at distributing resources? After all, this is one of the key factors of environmental economics… 



– Markets are not very good at all in distributing resources when negative factors such as pollution and climate change are involved.  Those who cause the pollution or climate change in their production or consumption are creating additional costs for other people and for society that they do not pay for.  The market does not factor in these additional costs and therefore markets will produce too much pollution and climate change.  Standard economic theory insists that these producers or consumers need to pay the full cost that they are generating for society in the form of an appropriate tax.  

Standard economic theory also teaches us that markets are not effective at distributing resources when public goods are involved.  A public good is defined by two characteristics.  A public good is a good that once it is provided for some it is available to others at little or no additional cost.  It is also difficult or impossible to exclude someone from the benefits of a public good.  Clean air is a public good, if we make the air clean for me, it will also be clean for you, and we cannot exclude anyone from the benefits of clean air.  Most environmental goods are public goods such as clean air, clean water, protection from climate change, bio diversity, national parks, and wilderness.  Standard economic theory teaches us that markets are incapable of providing an adequate amount of any public good.  Markets alone will not provide clean air or wilderness, so a strong role is needed for the state in the form of rules, regulations, mandates, as well as trade systems.  Markets are also not very good at producing fairness, equality, or social justice.



– What should the government’s role be in developing railroad infrastructure? How would you describe the model used in the USA?  



– In the United States there is a belief supported by the Republican Party, that Government should play little or no role in the economy.  An economy based only on markets and private ownership is impossible, but the proponents of market fundamentalism seem not to realize it. Their goal seems to be 100% market allocation and 100% private ownership.  

All functional political economies have always involved some mix of market, command, and tradition in the allocation of resources.  All healthy economic systems are a mix of private and public ownership. 

This philosophy of market fundamentalism though, unfortunately is all too alive and well in the United States today and it is very difficult for the Government to play the role it needs to play in the economy.  It is extremely difficult, particularly in an era of divided government, to even rebuild crumbling public infrastructure (roads, bridges, sewer systems, ports, airports, and rail lines).

There was a time in the United States, from the New Deal of Franklin Roosevelt up until the early 1980s when government was indeed quite capable of expanding public infrastructure.  But the politics of supply side economics and market fundamentalism, which has been successful at getting roughly 50% of the votes in most elections over three decades, has made infrastructure development very difficult since the election of Ronald Reagan in 1980. Over the past three decades the proponents of market fundamentalism have only become more and more extreme in their views.  Some market extremists are even advocating the privatization of roads and bridges. 

As difficult as it has been for public infrastructure in general in the United States in recent times, it has been even more difficult for the railroads, particularly passenger transport.  The trucking industry and the passenger cars are subsidized by the Government in the form of the construction of roads and bridges.  At the same time it is often repeated that railroads, both freight and passenger, are supposed to function and work well without any taxpayer funds.  So public funding for rail lines has become even more difficult than public funding for highway construction.

In the United States the condition of public infrastructure in general is quite poor today, and the condition of public infrastructure in railroads is even worse.  As an example, the Economic Stimulus Act of 2009 created the funding for high speed passenger rail lines in several states, but Republican governors elected in Ohio and in Florida in 2010 vetoed these projects. 



– What kind of effect will the recent political events related to the crisis in Ukraine have on the global economy? 



– I am not an expert on the crisis in Ukraine, but I think all events are filtered through the US Media.  I suppose that Russia is not really doing anything much different in Ukraine from what the US has often done in countries close to the United States.  Implementation of sanctions is not the way the US and the EU should choose. They impact the global economy. We need dialogue instead.  The crisis in Ukraine need not be ramped up through ever more sanctions into a global crisis. 

We have to focus on ways in which the US and Russia can peacefully cooperate on a range of issues such as fighting climate change, preserving critical habitats for wildlife, and combating global poverty and inequality.  It is time for the two countries to become the partners they were during World War II.  This time there is a war to be won to protect the environment, and endangered species, and to ensure a decent life for all the people.

Interviewed by Kirill Kovalenko
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The basic idea is to identify the most vulnerable areas, where defects usually appear, which can lead to malfunctions of the cast parts of bogies. Basically, it is a different type of cracking and, in some cases, transparent casting defects (regardless of size) in the areas of the radii R55 axle openings, console parts, oblique, upper and lower zones, spring gap racks, the edges of openings, corners, edges, enhanced openings, spring suspension bracket and opening triangles.



New Technologies to Find Defects



In order to facilitate inspection of bogies for casting defects, the management of the rolling stock department at RZD recommended the use of DSh-2 rods (T-1416 PKBCV project). Previously, inspection rods were used on the railways for the visual inspection of the undercarriages of cars. However, the present criteria for culling the cast parts of freight car bogies of the 18-100 model and their equivalents have more stringent requirements for the quality of visual inspection. The parts of bogies with high risks of defects should be inspected more intensively.

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In addition, some infrastructure directorates unveiled their own versions of inspection rods. They applied different mirror design and combinations with backlighting. Now the Department for Wagon Facilities is going to determine the most efficient design and the manufacturer. ®

By Eugeny Yolkin, Head of the Design Bureau of Wagon Facilities, 

an affiliate of RZD   
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Looking for Defects



According to the analysis of fractures in 2013, manufacturers only declare the reliability of cast parts, but do not prove their words in practice. These products do not match the strength specifications. Therefore, on the one hand, it was important to look for ways to encourage producers to improve the technology and the design of the side frames, and, on the other hand, as in the current situation, to ensure traffic safety. Particular attention should be paid to the control of the undercarriage of freight cars in service, to identify defects in the metal at an early stage.

The basic idea is to identify the most vulnerable areas, where defects usually appear, which can lead to malfunctions of the cast parts of bogies. Basically, it is a different type of cracking and, in some cases, transparent casting defects (regardless of size) in the areas of the radii R55 axle openings, console parts, oblique, upper and lower zones, spring gap racks, the edges of openings, corners, edges, enhanced openings, spring suspension bracket and opening triangles.



New Technologies to Find Defects



In order to facilitate inspection of bogies for casting defects, the management of the rolling stock department at RZD recommended the use of DSh-2 rods (T-1416 PKBCV project). Previously, inspection rods were used on the railways for the visual inspection of the undercarriages of cars. However, the present criteria for culling the cast parts of freight car bogies of the 18-100 model and their equivalents have more stringent requirements for the quality of visual inspection. The parts of bogies with high risks of defects should be inspected more intensively.

Meanwhile, they are located in hard-to-reach places. Previously railway staff tried to use flexible and rigid rods, the use of which is regulated by the Standard Technological Process of Work of a Maintenance Point for Freight Railcars TK-292

However, this tool is outdated. After monitoring rods used on railways, specialists developed technical requirements to improve the design of these devices. According to these requirements, four rolling stock inspection rods were designed by the engineering design bureau of RZD. New devices are produced to inspect radii R55 of the side frames and the other hard-to-reach places of bogies of freight cars. During the pilot operation the rods showed positive effects. The following experimental batch of the devices was even more effective.

In the third quarter of 2013, rods were rolled out for extensive testing at the maintenance stations of all wagon facility services of infrastructure directorates of railways-affiliates of RZD. Operation of the rods in different temperatures and climatic conditions helped to standardize requirements for the devices.

In addition, some infrastructure directorates unveiled their own versions of inspection rods. They applied different mirror design and combinations with backlighting. Now the Department for Wagon Facilities is going to determine the most efficient design and the manufacturer. ®

By Eugeny Yolkin, Head of the Design Bureau of Wagon Facilities, 

an affiliate of RZD   
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The basic idea is to identify the most vulnerable areas, where defects usually appear, which can lead to malfunctions of the cast parts of bogies. Basically, it is a different type of cracking and, in some cases, transparent casting defects (regardless of size) in the areas of the radii R55 axle openings, console parts, oblique, upper and lower zones, spring gap racks, the edges of openings, corners, edges, enhanced openings, spring suspension bracket and opening triangles.



New Technologies to Find Defects



In order to facilitate inspection of bogies for casting defects, the management of the rolling stock department at RZD recommended the use of DSh-2 rods (T-1416 PKBCV project). Previously, inspection rods were used on the railways for the visual inspection of the undercarriages of cars. However, the present criteria for culling the cast parts of freight car bogies of the 18-100 model and their equivalents have more stringent requirements for the quality of visual inspection. The parts of bogies with high risks of defects should be inspected more intensively.

Meanwhile, they are located in hard-to-reach places. Previously railway staff tried to use flexible and rigid rods, the use of which is regulated by the Standard Technological Process of Work of a Maintenance Point for Freight Railcars TK-292

However, this tool is outdated. After monitoring rods used on railways, specialists developed technical requirements to improve the design of these devices. According to these requirements, four rolling stock inspection rods were designed by the engineering design bureau of RZD. New devices are produced to inspect radii R55 of the side frames and the other hard-to-reach places of bogies of freight cars. During the pilot operation the rods showed positive effects. The following experimental batch of the devices was even more effective.

In the third quarter of 2013, rods were rolled out for extensive testing at the maintenance stations of all wagon facility services of infrastructure directorates of railways-affiliates of RZD. Operation of the rods in different temperatures and climatic conditions helped to standardize requirements for the devices.

In addition, some infrastructure directorates unveiled their own versions of inspection rods. They applied different mirror design and combinations with backlighting. Now the Department for Wagon Facilities is going to determine the most efficient design and the manufacturer. ®

By Eugeny Yolkin, Head of the Design Bureau of Wagon Facilities, 

an affiliate of RZD   
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Looking for Defects



According to the analysis of fractures in 2013, manufacturers only declare the reliability of cast parts, but do not prove their words in practice. These products do not match the strength specifications. Therefore, on the one hand, it was important to look for ways to encourage producers to improve the technology and the design of the side frames, and, on the other hand, as in the current situation, to ensure traffic safety. Particular attention should be paid to the control of the undercarriage of freight cars in service, to identify defects in the metal at an early stage.

The basic idea is to identify the most vulnerable areas, where defects usually appear, which can lead to malfunctions of the cast parts of bogies. Basically, it is a different type of cracking and, in some cases, transparent casting defects (regardless of size) in the areas of the radii R55 axle openings, console parts, oblique, upper and lower zones, spring gap racks, the edges of openings, corners, edges, enhanced openings, spring suspension bracket and opening triangles.



New Technologies to Find Defects



In order to facilitate inspection of bogies for casting defects, the management of the rolling stock department at RZD recommended the use of DSh-2 rods (T-1416 PKBCV project). Previously, inspection rods were used on the railways for the visual inspection of the undercarriages of cars. However, the present criteria for culling the cast parts of freight car bogies of the 18-100 model and their equivalents have more stringent requirements for the quality of visual inspection. The parts of bogies with high risks of defects should be inspected more intensively.

Meanwhile, they are located in hard-to-reach places. Previously railway staff tried to use flexible and rigid rods, the use of which is regulated by the Standard Technological Process of Work of a Maintenance Point for Freight Railcars TK-292

However, this tool is outdated. After monitoring rods used on railways, specialists developed technical requirements to improve the design of these devices. According to these requirements, four rolling stock inspection rods were designed by the engineering design bureau of RZD. New devices are produced to inspect radii R55 of the side frames and the other hard-to-reach places of bogies of freight cars. During the pilot operation the rods showed positive effects. The following experimental batch of the devices was even more effective.

In the third quarter of 2013, rods were rolled out for extensive testing at the maintenance stations of all wagon facility services of infrastructure directorates of railways-affiliates of RZD. Operation of the rods in different temperatures and climatic conditions helped to standardize requirements for the devices.

In addition, some infrastructure directorates unveiled their own versions of inspection rods. They applied different mirror design and combinations with backlighting. Now the Department for Wagon Facilities is going to determine the most efficient design and the manufacturer. ®

By Eugeny Yolkin, Head of the Design Bureau of Wagon Facilities, 

an affiliate of RZD   
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Powder or Ultrasound?



To expose defects, RZD has been working to arrange the testing procedures and using equipment based on different technologies for three years already. The key problem is that manufacturers offer many methods, but their applications are not regulated. The company is trying to fill in the gaps in the regulations. According to Grigory Dymkin, Director of NK-Center (a branch of the Research Institute of Bridges and Defectoscopy at the Federal Agency of Railway Transport), the authorized body on certification of nondestructive testing, adoption of the documents that describe, in which case you should use the certain technology, would be a significant step forward.

According to the regulations “On Implementation of Technical Requirements “Non-Destructive Tes­ting in the Manufacture of Cast Parts of Freight Wagons”, the railway must be checked only after the visual inspection of cast products. In addition, such control could be carried out, if hard-to-reach parts of cast details had not been carefully inspected. It became outdated, however, after the implementation of modern inspection systems, like rods with the lighting and mirror, for the inspection of cast parts of rolling stock.

According to the Railway Research Institute (VNIIZhT), one of the most common methods of non-destructive testing is the magnetic particle test. Most of the parts made of steel are easily magnetized. In addition, fatigue cracks that occur during operations, usually appear on the surface of the casting. Magnetic particle devices are used in repair depots and railway engineering plants for different cast details: large, small, and odd-shaped ones.

Under the new rules, set by RZD, magnetic control should be used to detect damage in areas with depths of up to 3 mm. If you are looking for deeper damage (up to 10 mm), flux-gate control should be used. In case of internal or structural defects of the metal, ultrasonic testing should be implemented. If you find that these methods do not guarantee reliable results, it is possible to use other methods of flaw detection. For example,  x-ray, capillary and vibration diagnostics systems. A number of manufacturers offer vortex-current systems.

There are hybrid devices. According to the Director of Votum LLC Anatoly Slyadnev, the device invented by his company brings together laser measuring of the molded parts and detection (ultrasonic and vortex-current).In addition to static systems, there are portable devices. For example, Сlean Technologies group of companies offered a mobile device that works on acoustic vibrations, intelligent hammer control (IMC), which, according to the developer, helps to recognize the problem, even in the most hard-to-reach places - for example, in a R-55 side frame. Now such pilot devices are used on the railways. The main problem is that it is difficult to discover future cracks even using such devices. So workers are forced to rely on visual inspection and special devices with mirrors.



Responsibility for Defects



The next stage in the development of regulations is choosing the methods of control. It is important to take into account many nuances. In particular, as explained by Sergey Palkin, Director of Evraz for Technical Regulation of Railway Products, the damage to the side frame of a bogie begins usually with surface cracks. In this case, magnetic flaw detection is the most effective method. Specialists at Moscow State University of Railway Engineering (MIIT), say that acoustic emission is not an effective way of testing new, unused components. There are components that can have deep damage. Flux-gate control is more suitable for them. That's why major enterprises and large depots carry out a complex diagnostics of the casting in a variety of ways.

All of these nuances must be taken into account in the new normative document, which is expected to come into force on January 1, 2015. There is a requirement for repair enterprises to harmonize methods of diagnosis with similar technological instructions for rolling stock manufacturers in the new document. However, as it turned out, there are gaps in the rules. First of all, they concern the regulation of inspection of hard-to-reach parts of the components. This makes the interaction between repairmen and manufacturers of rolling stock more complicated. According to Alexander Shanaurin, Chief Designer of Mikroakustika LLC, the harmonization of criteria for removal of defective components may take much more time than is left before the regulations come into force.

According to Vladimir Yakunin, President of RZD, manufacturers must be responsible for defects. “Yes, we carry out  our own inspection, but we cannot use large systems for non-destructive testing at our stations. It is the responsibility of railcar producers, as well as the organizations that perform repair works to confirm the possibility of further utilisation.”

Today the process of replacing the analogue devices by new equipment is going on. However, it is clear that the production of  the equipment for non-destructive tests should be more specialized to match the task set.

 

Everyone Needs Straight Track



RZD has special requirements for equipment identifying rail defects. Modernization affects the whole range of equipment needed by the company.

Improvement of the bogies by defectoscopy is provided in three main areas. Firstly, the accuracy of measurement increases. Secondly, the range of detectable defects widens. Thirdly, the monitoring procedures become automatic. In particular, different types of bogies equipped with next-generation satellite navigation systems, which track the movements of the operator, are undergoing testing now.

Innovation will help to integrate the results from all diagnostic tools in a unified system for monitoring and diagnosing track facilities (ESMD-P) in order to strengthen control over the rail infrastructure. Now information is transferred to the ESMD-P mainly from the modern models of defectoscopy cars, controlling the condition of mainlines. They are also equipped with surveillance video recording systems. Their quality is being improved now: modern devices allow working at 50-80 kph, which reduces delays in the movement of trains. ®

By Alexander Solntsev
    [~DETAIL_TEXT] => 
Powder or Ultrasound?



To expose defects, RZD has been working to arrange the testing procedures and using equipment based on different technologies for three years already. The key problem is that manufacturers offer many methods, but their applications are not regulated. The company is trying to fill in the gaps in the regulations. According to Grigory Dymkin, Director of NK-Center (a branch of the Research Institute of Bridges and Defectoscopy at the Federal Agency of Railway Transport), the authorized body on certification of nondestructive testing, adoption of the documents that describe, in which case you should use the certain technology, would be a significant step forward.

According to the regulations “On Implementation of Technical Requirements “Non-Destructive Tes­ting in the Manufacture of Cast Parts of Freight Wagons”, the railway must be checked only after the visual inspection of cast products. In addition, such control could be carried out, if hard-to-reach parts of cast details had not been carefully inspected. It became outdated, however, after the implementation of modern inspection systems, like rods with the lighting and mirror, for the inspection of cast parts of rolling stock.

According to the Railway Research Institute (VNIIZhT), one of the most common methods of non-destructive testing is the magnetic particle test. Most of the parts made of steel are easily magnetized. In addition, fatigue cracks that occur during operations, usually appear on the surface of the casting. Magnetic particle devices are used in repair depots and railway engineering plants for different cast details: large, small, and odd-shaped ones.

Under the new rules, set by RZD, magnetic control should be used to detect damage in areas with depths of up to 3 mm. If you are looking for deeper damage (up to 10 mm), flux-gate control should be used. In case of internal or structural defects of the metal, ultrasonic testing should be implemented. If you find that these methods do not guarantee reliable results, it is possible to use other methods of flaw detection. For example,  x-ray, capillary and vibration diagnostics systems. A number of manufacturers offer vortex-current systems.

There are hybrid devices. According to the Director of Votum LLC Anatoly Slyadnev, the device invented by his company brings together laser measuring of the molded parts and detection (ultrasonic and vortex-current).In addition to static systems, there are portable devices. For example, Сlean Technologies group of companies offered a mobile device that works on acoustic vibrations, intelligent hammer control (IMC), which, according to the developer, helps to recognize the problem, even in the most hard-to-reach places - for example, in a R-55 side frame. Now such pilot devices are used on the railways. The main problem is that it is difficult to discover future cracks even using such devices. So workers are forced to rely on visual inspection and special devices with mirrors.



Responsibility for Defects



The next stage in the development of regulations is choosing the methods of control. It is important to take into account many nuances. In particular, as explained by Sergey Palkin, Director of Evraz for Technical Regulation of Railway Products, the damage to the side frame of a bogie begins usually with surface cracks. In this case, magnetic flaw detection is the most effective method. Specialists at Moscow State University of Railway Engineering (MIIT), say that acoustic emission is not an effective way of testing new, unused components. There are components that can have deep damage. Flux-gate control is more suitable for them. That's why major enterprises and large depots carry out a complex diagnostics of the casting in a variety of ways.

All of these nuances must be taken into account in the new normative document, which is expected to come into force on January 1, 2015. There is a requirement for repair enterprises to harmonize methods of diagnosis with similar technological instructions for rolling stock manufacturers in the new document. However, as it turned out, there are gaps in the rules. First of all, they concern the regulation of inspection of hard-to-reach parts of the components. This makes the interaction between repairmen and manufacturers of rolling stock more complicated. According to Alexander Shanaurin, Chief Designer of Mikroakustika LLC, the harmonization of criteria for removal of defective components may take much more time than is left before the regulations come into force.

According to Vladimir Yakunin, President of RZD, manufacturers must be responsible for defects. “Yes, we carry out  our own inspection, but we cannot use large systems for non-destructive testing at our stations. It is the responsibility of railcar producers, as well as the organizations that perform repair works to confirm the possibility of further utilisation.”

Today the process of replacing the analogue devices by new equipment is going on. However, it is clear that the production of  the equipment for non-destructive tests should be more specialized to match the task set.

 

Everyone Needs Straight Track



RZD has special requirements for equipment identifying rail defects. Modernization affects the whole range of equipment needed by the company.

Improvement of the bogies by defectoscopy is provided in three main areas. Firstly, the accuracy of measurement increases. Secondly, the range of detectable defects widens. Thirdly, the monitoring procedures become automatic. In particular, different types of bogies equipped with next-generation satellite navigation systems, which track the movements of the operator, are undergoing testing now.

Innovation will help to integrate the results from all diagnostic tools in a unified system for monitoring and diagnosing track facilities (ESMD-P) in order to strengthen control over the rail infrastructure. Now information is transferred to the ESMD-P mainly from the modern models of defectoscopy cars, controlling the condition of mainlines. They are also equipped with surveillance video recording systems. Their quality is being improved now: modern devices allow working at 50-80 kph, which reduces delays in the movement of trains. ®

By Alexander Solntsev
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Powder or Ultrasound?



To expose defects, RZD has been working to arrange the testing procedures and using equipment based on different technologies for three years already. The key problem is that manufacturers offer many methods, but their applications are not regulated. The company is trying to fill in the gaps in the regulations. According to Grigory Dymkin, Director of NK-Center (a branch of the Research Institute of Bridges and Defectoscopy at the Federal Agency of Railway Transport), the authorized body on certification of nondestructive testing, adoption of the documents that describe, in which case you should use the certain technology, would be a significant step forward.

According to the regulations “On Implementation of Technical Requirements “Non-Destructive Tes­ting in the Manufacture of Cast Parts of Freight Wagons”, the railway must be checked only after the visual inspection of cast products. In addition, such control could be carried out, if hard-to-reach parts of cast details had not been carefully inspected. It became outdated, however, after the implementation of modern inspection systems, like rods with the lighting and mirror, for the inspection of cast parts of rolling stock.

According to the Railway Research Institute (VNIIZhT), one of the most common methods of non-destructive testing is the magnetic particle test. Most of the parts made of steel are easily magnetized. In addition, fatigue cracks that occur during operations, usually appear on the surface of the casting. Magnetic particle devices are used in repair depots and railway engineering plants for different cast details: large, small, and odd-shaped ones.

Under the new rules, set by RZD, magnetic control should be used to detect damage in areas with depths of up to 3 mm. If you are looking for deeper damage (up to 10 mm), flux-gate control should be used. In case of internal or structural defects of the metal, ultrasonic testing should be implemented. If you find that these methods do not guarantee reliable results, it is possible to use other methods of flaw detection. For example,  x-ray, capillary and vibration diagnostics systems. A number of manufacturers offer vortex-current systems.

There are hybrid devices. According to the Director of Votum LLC Anatoly Slyadnev, the device invented by his company brings together laser measuring of the molded parts and detection (ultrasonic and vortex-current).In addition to static systems, there are portable devices. For example, Сlean Technologies group of companies offered a mobile device that works on acoustic vibrations, intelligent hammer control (IMC), which, according to the developer, helps to recognize the problem, even in the most hard-to-reach places - for example, in a R-55 side frame. Now such pilot devices are used on the railways. The main problem is that it is difficult to discover future cracks even using such devices. So workers are forced to rely on visual inspection and special devices with mirrors.



Responsibility for Defects



The next stage in the development of regulations is choosing the methods of control. It is important to take into account many nuances. In particular, as explained by Sergey Palkin, Director of Evraz for Technical Regulation of Railway Products, the damage to the side frame of a bogie begins usually with surface cracks. In this case, magnetic flaw detection is the most effective method. Specialists at Moscow State University of Railway Engineering (MIIT), say that acoustic emission is not an effective way of testing new, unused components. There are components that can have deep damage. Flux-gate control is more suitable for them. That's why major enterprises and large depots carry out a complex diagnostics of the casting in a variety of ways.

All of these nuances must be taken into account in the new normative document, which is expected to come into force on January 1, 2015. There is a requirement for repair enterprises to harmonize methods of diagnosis with similar technological instructions for rolling stock manufacturers in the new document. However, as it turned out, there are gaps in the rules. First of all, they concern the regulation of inspection of hard-to-reach parts of the components. This makes the interaction between repairmen and manufacturers of rolling stock more complicated. According to Alexander Shanaurin, Chief Designer of Mikroakustika LLC, the harmonization of criteria for removal of defective components may take much more time than is left before the regulations come into force.

According to Vladimir Yakunin, President of RZD, manufacturers must be responsible for defects. “Yes, we carry out  our own inspection, but we cannot use large systems for non-destructive testing at our stations. It is the responsibility of railcar producers, as well as the organizations that perform repair works to confirm the possibility of further utilisation.”

Today the process of replacing the analogue devices by new equipment is going on. However, it is clear that the production of  the equipment for non-destructive tests should be more specialized to match the task set.

 

Everyone Needs Straight Track



RZD has special requirements for equipment identifying rail defects. Modernization affects the whole range of equipment needed by the company.

Improvement of the bogies by defectoscopy is provided in three main areas. Firstly, the accuracy of measurement increases. Secondly, the range of detectable defects widens. Thirdly, the monitoring procedures become automatic. In particular, different types of bogies equipped with next-generation satellite navigation systems, which track the movements of the operator, are undergoing testing now.

Innovation will help to integrate the results from all diagnostic tools in a unified system for monitoring and diagnosing track facilities (ESMD-P) in order to strengthen control over the rail infrastructure. Now information is transferred to the ESMD-P mainly from the modern models of defectoscopy cars, controlling the condition of mainlines. They are also equipped with surveillance video recording systems. Their quality is being improved now: modern devices allow working at 50-80 kph, which reduces delays in the movement of trains. ®

By Alexander Solntsev
    [~DETAIL_TEXT] => 
Powder or Ultrasound?



To expose defects, RZD has been working to arrange the testing procedures and using equipment based on different technologies for three years already. The key problem is that manufacturers offer many methods, but their applications are not regulated. The company is trying to fill in the gaps in the regulations. According to Grigory Dymkin, Director of NK-Center (a branch of the Research Institute of Bridges and Defectoscopy at the Federal Agency of Railway Transport), the authorized body on certification of nondestructive testing, adoption of the documents that describe, in which case you should use the certain technology, would be a significant step forward.

According to the regulations “On Implementation of Technical Requirements “Non-Destructive Tes­ting in the Manufacture of Cast Parts of Freight Wagons”, the railway must be checked only after the visual inspection of cast products. In addition, such control could be carried out, if hard-to-reach parts of cast details had not been carefully inspected. It became outdated, however, after the implementation of modern inspection systems, like rods with the lighting and mirror, for the inspection of cast parts of rolling stock.

According to the Railway Research Institute (VNIIZhT), one of the most common methods of non-destructive testing is the magnetic particle test. Most of the parts made of steel are easily magnetized. In addition, fatigue cracks that occur during operations, usually appear on the surface of the casting. Magnetic particle devices are used in repair depots and railway engineering plants for different cast details: large, small, and odd-shaped ones.

Under the new rules, set by RZD, magnetic control should be used to detect damage in areas with depths of up to 3 mm. If you are looking for deeper damage (up to 10 mm), flux-gate control should be used. In case of internal or structural defects of the metal, ultrasonic testing should be implemented. If you find that these methods do not guarantee reliable results, it is possible to use other methods of flaw detection. For example,  x-ray, capillary and vibration diagnostics systems. A number of manufacturers offer vortex-current systems.

There are hybrid devices. According to the Director of Votum LLC Anatoly Slyadnev, the device invented by his company brings together laser measuring of the molded parts and detection (ultrasonic and vortex-current).In addition to static systems, there are portable devices. For example, Сlean Technologies group of companies offered a mobile device that works on acoustic vibrations, intelligent hammer control (IMC), which, according to the developer, helps to recognize the problem, even in the most hard-to-reach places - for example, in a R-55 side frame. Now such pilot devices are used on the railways. The main problem is that it is difficult to discover future cracks even using such devices. So workers are forced to rely on visual inspection and special devices with mirrors.



Responsibility for Defects



The next stage in the development of regulations is choosing the methods of control. It is important to take into account many nuances. In particular, as explained by Sergey Palkin, Director of Evraz for Technical Regulation of Railway Products, the damage to the side frame of a bogie begins usually with surface cracks. In this case, magnetic flaw detection is the most effective method. Specialists at Moscow State University of Railway Engineering (MIIT), say that acoustic emission is not an effective way of testing new, unused components. There are components that can have deep damage. Flux-gate control is more suitable for them. That's why major enterprises and large depots carry out a complex diagnostics of the casting in a variety of ways.

All of these nuances must be taken into account in the new normative document, which is expected to come into force on January 1, 2015. There is a requirement for repair enterprises to harmonize methods of diagnosis with similar technological instructions for rolling stock manufacturers in the new document. However, as it turned out, there are gaps in the rules. First of all, they concern the regulation of inspection of hard-to-reach parts of the components. This makes the interaction between repairmen and manufacturers of rolling stock more complicated. According to Alexander Shanaurin, Chief Designer of Mikroakustika LLC, the harmonization of criteria for removal of defective components may take much more time than is left before the regulations come into force.

According to Vladimir Yakunin, President of RZD, manufacturers must be responsible for defects. “Yes, we carry out  our own inspection, but we cannot use large systems for non-destructive testing at our stations. It is the responsibility of railcar producers, as well as the organizations that perform repair works to confirm the possibility of further utilisation.”

Today the process of replacing the analogue devices by new equipment is going on. However, it is clear that the production of  the equipment for non-destructive tests should be more specialized to match the task set.

 

Everyone Needs Straight Track



RZD has special requirements for equipment identifying rail defects. Modernization affects the whole range of equipment needed by the company.

Improvement of the bogies by defectoscopy is provided in three main areas. Firstly, the accuracy of measurement increases. Secondly, the range of detectable defects widens. Thirdly, the monitoring procedures become automatic. In particular, different types of bogies equipped with next-generation satellite navigation systems, which track the movements of the operator, are undergoing testing now.

Innovation will help to integrate the results from all diagnostic tools in a unified system for monitoring and diagnosing track facilities (ESMD-P) in order to strengthen control over the rail infrastructure. Now information is transferred to the ESMD-P mainly from the modern models of defectoscopy cars, controlling the condition of mainlines. They are also equipped with surveillance video recording systems. Their quality is being improved now: modern devices allow working at 50-80 kph, which reduces delays in the movement of trains. ®

By Alexander Solntsev
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    [DETAIL_TEXT] => 
The UAE: Infrastructure of Etihad Rail



The 1,200 km network of Etihad Rail, the national railway operator of the UAE, will be expanded across the deserts of the Arab Emirates to run from the border of Saudi Arabia in the west to the border of Oman in the east. 

The $11 billion project, developed for cargo and passenger traffic, will finally link the international railway network covering Bahrain, Kuwait, Saudi Arabia, Oman and Qatar. 

Unlike other large scale global infrastructure projects, everything is going to plan in the UAE. The project is split into three stages. The first is the 264 km Shah-Habshan-Ruwais railway. Today, it is operating in test mode. About 22,000 tons of granulated sulphur will be carried on this route every day in the future. At the second stage, the railway will reach Mussafah, the Gulf ports of Khalifa and Jebel Ali, and the Saudi and Omani borders. This section will be 628 km long. The tender for construction is in its final stage. Stage 3 will extend the network from Dubai to the northern regions of Fujairah, Ras Al Khaimah and Sharjah. Its total length will be 27 km. According to Project Finance magazine, the organizer of the prestigious Project Finance Awards, the contract for carrying out the first stage of the project was the deal of the year.

During the project planning, a lot of attention was paid to the environment. Etihad Rail developed a plan of waste management for every stage. The plan will see waste being segregated, re-used and recycled where possible to divert from landfill. Moreover, Etihad Rail will further commission registered service providers to manage any remaining waste generated. 

In a country with no railways linking cities, experts are cautious about every aspect of construction. For example, the issue of crossings is very important. According to reports, there will be 20 over–bridges, two under-bridges, 10 road underpasses and 18 smaller underpasses. Animals will also be able to move around their environment via the 10 camel underpasses, 22 gazelle underpasses, and 78 reptile underpasses.

International companies are enthusiastic about the project in the UAE and are ready to take part in it. For example, Etihad Rail and DB Schenker signed an agreement about launching a JV. 

The company will operate and maintain the first 264 km section of the railway and commercial transportation on it will begin this year. Also, the German partner can also consult on future phases, which other companies will be responsible for.



CHINA: HSR China–Russia–Canada–the USA



The plan for the construction of one of the most ambitious infrastructure projects of the day is ready – China is going to build a 13,000-kilometre long high-speed railway. It is 3,000 kilometres more than the longest railway in the world – the Transsib in Russia. This super railway will link four countries – China, Russia, Canada, and the USA.

The starting point for the railway will be in northeast China, then it will pass through Siberia and the Far East of Russia to Chukotka, then the Bering Strait undersea tunnel (200 km long) to Canada and the continental part of the USA. The entire trip will take two days, with the train travelling at an average of 350 kph. Today, about 13 hours are needed to cover 350 km by train.

One of the biggest questions that must be raised is one of the construction of the undersea tunnel, which would be four times longer than the Channel Tunnel between the United Kingdom and France. Experts think that the project exceeds all modern technical innovations, because the shortest distance between the shores of the Bering Strait is 86 km. Others state that there are no technical obstacles to the tunnel project.

The railway community is rather skeptical about the plans of China. No experts have supported the project. It is still unclear whether the Chinese government consulted Russia, the USA, or Canada about this issue.     

Vladimir Yakunin, President of RZD, commented on the construction of the Bering Strait undersea tunnel. In his words, it is a quite a major project. “There is just one objective: to find the consumer for this project. Russian authorities are not involved yet, the discussion continues at the level of railway companies, the project has not progressed to the level of interstate relations,” said the President of the Russian company. The senior manager believes in the ability to build the railway tunnel under the Bering Strait, noting that the decision should be taken before 2017. 

“I am convinced that Russia needs to expand railways in areas of the Far East and Kamchatka to develop these regions, and I believe that the decision about the tunnel should be taken within the next three or five years. I mean, there is a need to do it,” said the head of the company. “I think that 10–15 years are needed to carry out the project,” he declared earlier.

According to Chinese authorities, the technology of building such a tunnel exists, and it will soon be tested when constructing the high-speed line linking the south-eastern province of Fujian and Taiwan, which will be fully financed by the Chinese side.

Back in 2008, the Russian press wrote that the technology of constructing a large tunnel could be in hands of businessman Roman Abramovich. At that time he bought the largest drill on Earth, i.e. a tunneling machine, with which he was going to take part in infrastructure projects worldwide. No information about it, however, has been disclosed by the billionaire since then. 

This is not the only international HSR project, which China can propose to investors. The second such railway, according to the project developers, will start from London crossing Paris, Berlin, Warsaw, and Kiev to Moscow, where it will split into two separate routes: to China via Kazakhstan and via Siberia. And a third will begin in the north of the country and go through Kazakhstan, Uzbekistan, Turkmenistan, Iran, Turkey, and Germany. 



INDIA: The Mumbai–Ahmedabad HSR



The Indian High Speed Rail Corporation (HSRC), a special body created last year to manage high–speed railway projects in India, has received €12.3 billion for the development of HSR infrastructure in the country. The link between Mumbai and Ahmedabad will become the core of the system. It is estimated at more than €7.7 billion. Authorities are actively promoting this project, but experts worry about the condition of the available infrastructure. The railway sections between Delhi–Kanpur, Chennai–Hyderabad, and Nagpur–Bilaspur need urgent modernization.

The Mumbai-Ahmedabad project is part of the 650 km Pune-Mumbai – Ahmedabad line, one of the six potential high-speed corridors, considered by Indian authorities. The project is expected to be implemented via a public–private partnership (PPP).

The high-speed railway line construction between Mumbai and Ahmedabad is expected to take at least ten years to complete. The Pune-Mumbai HSR line will be implemented thereafter.

The pre-feasibility study had projected around 26.6 million passengers using the high-speed line in 2021 and 104 million passengers in 2041. The travel time between Mumbai and Ahmedabad is expected to be reduced to less than two hours compared to the current express journey time of more than six hours.

As a reminder, India has one of the largest rail networks in the word with a total route length of over 64,000 km. There are more than 7,000 railway stations. However, the country does not have a high-speed line allowing trains operating at over 200 kph. Today, the fastest train in India is the Shatabdi Express that runs with a top speed of 150 kph.

Narendra Modi, Prime Minister of India elected this year, promised in his election campaign to significantly improve the country’s economy, particularly to speed up the development of the railway sector.  Confidence in the new leader is high, however, experts doubt that the country needs such expensive infrastructure now.

“If we have money for a spaceship, why don’t we find it for high-speed railways?” says Surendra Khurana, ex-Chairman of the Ministry of Railways. (As reminder, in summer 2014 India test-fired the BrahMos supersonic cruise missile made by Indian and Russian specialists).

Politicians, however, made a rash move trying to get funds for the project, – a 14% increase in railway tariffs caused massive protests. The country needs high-speed railway infrastructure, but not at any price! Also, HSR hardly brings any profit. For example, all high–speed lines in China, except Beijing–Shanghai, will be loss-making over the next few decades. 

Major market players, however, are ready to take part in tenders. For example, Bombardier announced it would bid to develop signaling systems and supply rolling stock. Such companies as   Alstom, Siemens, Hitachi, Mitsui, Mitsubishi, Kawasaki and Toshiba are also interested in the project.

Meanwhile, the project is moving forward at a snail’s pace. The Japanese Internal Cooperation Agency will conduct a feasibility study for it only in the middle of 2015.

By Christina Alexandrova


    [~DETAIL_TEXT] => 
The UAE: Infrastructure of Etihad Rail



The 1,200 km network of Etihad Rail, the national railway operator of the UAE, will be expanded across the deserts of the Arab Emirates to run from the border of Saudi Arabia in the west to the border of Oman in the east. 

The $11 billion project, developed for cargo and passenger traffic, will finally link the international railway network covering Bahrain, Kuwait, Saudi Arabia, Oman and Qatar. 

Unlike other large scale global infrastructure projects, everything is going to plan in the UAE. The project is split into three stages. The first is the 264 km Shah-Habshan-Ruwais railway. Today, it is operating in test mode. About 22,000 tons of granulated sulphur will be carried on this route every day in the future. At the second stage, the railway will reach Mussafah, the Gulf ports of Khalifa and Jebel Ali, and the Saudi and Omani borders. This section will be 628 km long. The tender for construction is in its final stage. Stage 3 will extend the network from Dubai to the northern regions of Fujairah, Ras Al Khaimah and Sharjah. Its total length will be 27 km. According to Project Finance magazine, the organizer of the prestigious Project Finance Awards, the contract for carrying out the first stage of the project was the deal of the year.

During the project planning, a lot of attention was paid to the environment. Etihad Rail developed a plan of waste management for every stage. The plan will see waste being segregated, re-used and recycled where possible to divert from landfill. Moreover, Etihad Rail will further commission registered service providers to manage any remaining waste generated. 

In a country with no railways linking cities, experts are cautious about every aspect of construction. For example, the issue of crossings is very important. According to reports, there will be 20 over–bridges, two under-bridges, 10 road underpasses and 18 smaller underpasses. Animals will also be able to move around their environment via the 10 camel underpasses, 22 gazelle underpasses, and 78 reptile underpasses.

International companies are enthusiastic about the project in the UAE and are ready to take part in it. For example, Etihad Rail and DB Schenker signed an agreement about launching a JV. 

The company will operate and maintain the first 264 km section of the railway and commercial transportation on it will begin this year. Also, the German partner can also consult on future phases, which other companies will be responsible for.



CHINA: HSR China–Russia–Canada–the USA



The plan for the construction of one of the most ambitious infrastructure projects of the day is ready – China is going to build a 13,000-kilometre long high-speed railway. It is 3,000 kilometres more than the longest railway in the world – the Transsib in Russia. This super railway will link four countries – China, Russia, Canada, and the USA.

The starting point for the railway will be in northeast China, then it will pass through Siberia and the Far East of Russia to Chukotka, then the Bering Strait undersea tunnel (200 km long) to Canada and the continental part of the USA. The entire trip will take two days, with the train travelling at an average of 350 kph. Today, about 13 hours are needed to cover 350 km by train.

One of the biggest questions that must be raised is one of the construction of the undersea tunnel, which would be four times longer than the Channel Tunnel between the United Kingdom and France. Experts think that the project exceeds all modern technical innovations, because the shortest distance between the shores of the Bering Strait is 86 km. Others state that there are no technical obstacles to the tunnel project.

The railway community is rather skeptical about the plans of China. No experts have supported the project. It is still unclear whether the Chinese government consulted Russia, the USA, or Canada about this issue.     

Vladimir Yakunin, President of RZD, commented on the construction of the Bering Strait undersea tunnel. In his words, it is a quite a major project. “There is just one objective: to find the consumer for this project. Russian authorities are not involved yet, the discussion continues at the level of railway companies, the project has not progressed to the level of interstate relations,” said the President of the Russian company. The senior manager believes in the ability to build the railway tunnel under the Bering Strait, noting that the decision should be taken before 2017. 

“I am convinced that Russia needs to expand railways in areas of the Far East and Kamchatka to develop these regions, and I believe that the decision about the tunnel should be taken within the next three or five years. I mean, there is a need to do it,” said the head of the company. “I think that 10–15 years are needed to carry out the project,” he declared earlier.

According to Chinese authorities, the technology of building such a tunnel exists, and it will soon be tested when constructing the high-speed line linking the south-eastern province of Fujian and Taiwan, which will be fully financed by the Chinese side.

Back in 2008, the Russian press wrote that the technology of constructing a large tunnel could be in hands of businessman Roman Abramovich. At that time he bought the largest drill on Earth, i.e. a tunneling machine, with which he was going to take part in infrastructure projects worldwide. No information about it, however, has been disclosed by the billionaire since then. 

This is not the only international HSR project, which China can propose to investors. The second such railway, according to the project developers, will start from London crossing Paris, Berlin, Warsaw, and Kiev to Moscow, where it will split into two separate routes: to China via Kazakhstan and via Siberia. And a third will begin in the north of the country and go through Kazakhstan, Uzbekistan, Turkmenistan, Iran, Turkey, and Germany. 



INDIA: The Mumbai–Ahmedabad HSR



The Indian High Speed Rail Corporation (HSRC), a special body created last year to manage high–speed railway projects in India, has received €12.3 billion for the development of HSR infrastructure in the country. The link between Mumbai and Ahmedabad will become the core of the system. It is estimated at more than €7.7 billion. Authorities are actively promoting this project, but experts worry about the condition of the available infrastructure. The railway sections between Delhi–Kanpur, Chennai–Hyderabad, and Nagpur–Bilaspur need urgent modernization.

The Mumbai-Ahmedabad project is part of the 650 km Pune-Mumbai – Ahmedabad line, one of the six potential high-speed corridors, considered by Indian authorities. The project is expected to be implemented via a public–private partnership (PPP).

The high-speed railway line construction between Mumbai and Ahmedabad is expected to take at least ten years to complete. The Pune-Mumbai HSR line will be implemented thereafter.

The pre-feasibility study had projected around 26.6 million passengers using the high-speed line in 2021 and 104 million passengers in 2041. The travel time between Mumbai and Ahmedabad is expected to be reduced to less than two hours compared to the current express journey time of more than six hours.

As a reminder, India has one of the largest rail networks in the word with a total route length of over 64,000 km. There are more than 7,000 railway stations. However, the country does not have a high-speed line allowing trains operating at over 200 kph. Today, the fastest train in India is the Shatabdi Express that runs with a top speed of 150 kph.

Narendra Modi, Prime Minister of India elected this year, promised in his election campaign to significantly improve the country’s economy, particularly to speed up the development of the railway sector.  Confidence in the new leader is high, however, experts doubt that the country needs such expensive infrastructure now.

“If we have money for a spaceship, why don’t we find it for high-speed railways?” says Surendra Khurana, ex-Chairman of the Ministry of Railways. (As reminder, in summer 2014 India test-fired the BrahMos supersonic cruise missile made by Indian and Russian specialists).

Politicians, however, made a rash move trying to get funds for the project, – a 14% increase in railway tariffs caused massive protests. The country needs high-speed railway infrastructure, but not at any price! Also, HSR hardly brings any profit. For example, all high–speed lines in China, except Beijing–Shanghai, will be loss-making over the next few decades. 

Major market players, however, are ready to take part in tenders. For example, Bombardier announced it would bid to develop signaling systems and supply rolling stock. Such companies as   Alstom, Siemens, Hitachi, Mitsui, Mitsubishi, Kawasaki and Toshiba are also interested in the project.

Meanwhile, the project is moving forward at a snail’s pace. The Japanese Internal Cooperation Agency will conduct a feasibility study for it only in the middle of 2015.

By Christina Alexandrova


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    [DETAIL_TEXT] => 
The UAE: Infrastructure of Etihad Rail



The 1,200 km network of Etihad Rail, the national railway operator of the UAE, will be expanded across the deserts of the Arab Emirates to run from the border of Saudi Arabia in the west to the border of Oman in the east. 

The $11 billion project, developed for cargo and passenger traffic, will finally link the international railway network covering Bahrain, Kuwait, Saudi Arabia, Oman and Qatar. 

Unlike other large scale global infrastructure projects, everything is going to plan in the UAE. The project is split into three stages. The first is the 264 km Shah-Habshan-Ruwais railway. Today, it is operating in test mode. About 22,000 tons of granulated sulphur will be carried on this route every day in the future. At the second stage, the railway will reach Mussafah, the Gulf ports of Khalifa and Jebel Ali, and the Saudi and Omani borders. This section will be 628 km long. The tender for construction is in its final stage. Stage 3 will extend the network from Dubai to the northern regions of Fujairah, Ras Al Khaimah and Sharjah. Its total length will be 27 km. According to Project Finance magazine, the organizer of the prestigious Project Finance Awards, the contract for carrying out the first stage of the project was the deal of the year.

During the project planning, a lot of attention was paid to the environment. Etihad Rail developed a plan of waste management for every stage. The plan will see waste being segregated, re-used and recycled where possible to divert from landfill. Moreover, Etihad Rail will further commission registered service providers to manage any remaining waste generated. 

In a country with no railways linking cities, experts are cautious about every aspect of construction. For example, the issue of crossings is very important. According to reports, there will be 20 over–bridges, two under-bridges, 10 road underpasses and 18 smaller underpasses. Animals will also be able to move around their environment via the 10 camel underpasses, 22 gazelle underpasses, and 78 reptile underpasses.

International companies are enthusiastic about the project in the UAE and are ready to take part in it. For example, Etihad Rail and DB Schenker signed an agreement about launching a JV. 

The company will operate and maintain the first 264 km section of the railway and commercial transportation on it will begin this year. Also, the German partner can also consult on future phases, which other companies will be responsible for.



CHINA: HSR China–Russia–Canada–the USA



The plan for the construction of one of the most ambitious infrastructure projects of the day is ready – China is going to build a 13,000-kilometre long high-speed railway. It is 3,000 kilometres more than the longest railway in the world – the Transsib in Russia. This super railway will link four countries – China, Russia, Canada, and the USA.

The starting point for the railway will be in northeast China, then it will pass through Siberia and the Far East of Russia to Chukotka, then the Bering Strait undersea tunnel (200 km long) to Canada and the continental part of the USA. The entire trip will take two days, with the train travelling at an average of 350 kph. Today, about 13 hours are needed to cover 350 km by train.

One of the biggest questions that must be raised is one of the construction of the undersea tunnel, which would be four times longer than the Channel Tunnel between the United Kingdom and France. Experts think that the project exceeds all modern technical innovations, because the shortest distance between the shores of the Bering Strait is 86 km. Others state that there are no technical obstacles to the tunnel project.

The railway community is rather skeptical about the plans of China. No experts have supported the project. It is still unclear whether the Chinese government consulted Russia, the USA, or Canada about this issue.     

Vladimir Yakunin, President of RZD, commented on the construction of the Bering Strait undersea tunnel. In his words, it is a quite a major project. “There is just one objective: to find the consumer for this project. Russian authorities are not involved yet, the discussion continues at the level of railway companies, the project has not progressed to the level of interstate relations,” said the President of the Russian company. The senior manager believes in the ability to build the railway tunnel under the Bering Strait, noting that the decision should be taken before 2017. 

“I am convinced that Russia needs to expand railways in areas of the Far East and Kamchatka to develop these regions, and I believe that the decision about the tunnel should be taken within the next three or five years. I mean, there is a need to do it,” said the head of the company. “I think that 10–15 years are needed to carry out the project,” he declared earlier.

According to Chinese authorities, the technology of building such a tunnel exists, and it will soon be tested when constructing the high-speed line linking the south-eastern province of Fujian and Taiwan, which will be fully financed by the Chinese side.

Back in 2008, the Russian press wrote that the technology of constructing a large tunnel could be in hands of businessman Roman Abramovich. At that time he bought the largest drill on Earth, i.e. a tunneling machine, with which he was going to take part in infrastructure projects worldwide. No information about it, however, has been disclosed by the billionaire since then. 

This is not the only international HSR project, which China can propose to investors. The second such railway, according to the project developers, will start from London crossing Paris, Berlin, Warsaw, and Kiev to Moscow, where it will split into two separate routes: to China via Kazakhstan and via Siberia. And a third will begin in the north of the country and go through Kazakhstan, Uzbekistan, Turkmenistan, Iran, Turkey, and Germany. 



INDIA: The Mumbai–Ahmedabad HSR



The Indian High Speed Rail Corporation (HSRC), a special body created last year to manage high–speed railway projects in India, has received €12.3 billion for the development of HSR infrastructure in the country. The link between Mumbai and Ahmedabad will become the core of the system. It is estimated at more than €7.7 billion. Authorities are actively promoting this project, but experts worry about the condition of the available infrastructure. The railway sections between Delhi–Kanpur, Chennai–Hyderabad, and Nagpur–Bilaspur need urgent modernization.

The Mumbai-Ahmedabad project is part of the 650 km Pune-Mumbai – Ahmedabad line, one of the six potential high-speed corridors, considered by Indian authorities. The project is expected to be implemented via a public–private partnership (PPP).

The high-speed railway line construction between Mumbai and Ahmedabad is expected to take at least ten years to complete. The Pune-Mumbai HSR line will be implemented thereafter.

The pre-feasibility study had projected around 26.6 million passengers using the high-speed line in 2021 and 104 million passengers in 2041. The travel time between Mumbai and Ahmedabad is expected to be reduced to less than two hours compared to the current express journey time of more than six hours.

As a reminder, India has one of the largest rail networks in the word with a total route length of over 64,000 km. There are more than 7,000 railway stations. However, the country does not have a high-speed line allowing trains operating at over 200 kph. Today, the fastest train in India is the Shatabdi Express that runs with a top speed of 150 kph.

Narendra Modi, Prime Minister of India elected this year, promised in his election campaign to significantly improve the country’s economy, particularly to speed up the development of the railway sector.  Confidence in the new leader is high, however, experts doubt that the country needs such expensive infrastructure now.

“If we have money for a spaceship, why don’t we find it for high-speed railways?” says Surendra Khurana, ex-Chairman of the Ministry of Railways. (As reminder, in summer 2014 India test-fired the BrahMos supersonic cruise missile made by Indian and Russian specialists).

Politicians, however, made a rash move trying to get funds for the project, – a 14% increase in railway tariffs caused massive protests. The country needs high-speed railway infrastructure, but not at any price! Also, HSR hardly brings any profit. For example, all high–speed lines in China, except Beijing–Shanghai, will be loss-making over the next few decades. 

Major market players, however, are ready to take part in tenders. For example, Bombardier announced it would bid to develop signaling systems and supply rolling stock. Such companies as   Alstom, Siemens, Hitachi, Mitsui, Mitsubishi, Kawasaki and Toshiba are also interested in the project.

Meanwhile, the project is moving forward at a snail’s pace. The Japanese Internal Cooperation Agency will conduct a feasibility study for it only in the middle of 2015.

By Christina Alexandrova


    [~DETAIL_TEXT] => 
The UAE: Infrastructure of Etihad Rail



The 1,200 km network of Etihad Rail, the national railway operator of the UAE, will be expanded across the deserts of the Arab Emirates to run from the border of Saudi Arabia in the west to the border of Oman in the east. 

The $11 billion project, developed for cargo and passenger traffic, will finally link the international railway network covering Bahrain, Kuwait, Saudi Arabia, Oman and Qatar. 

Unlike other large scale global infrastructure projects, everything is going to plan in the UAE. The project is split into three stages. The first is the 264 km Shah-Habshan-Ruwais railway. Today, it is operating in test mode. About 22,000 tons of granulated sulphur will be carried on this route every day in the future. At the second stage, the railway will reach Mussafah, the Gulf ports of Khalifa and Jebel Ali, and the Saudi and Omani borders. This section will be 628 km long. The tender for construction is in its final stage. Stage 3 will extend the network from Dubai to the northern regions of Fujairah, Ras Al Khaimah and Sharjah. Its total length will be 27 km. According to Project Finance magazine, the organizer of the prestigious Project Finance Awards, the contract for carrying out the first stage of the project was the deal of the year.

During the project planning, a lot of attention was paid to the environment. Etihad Rail developed a plan of waste management for every stage. The plan will see waste being segregated, re-used and recycled where possible to divert from landfill. Moreover, Etihad Rail will further commission registered service providers to manage any remaining waste generated. 

In a country with no railways linking cities, experts are cautious about every aspect of construction. For example, the issue of crossings is very important. According to reports, there will be 20 over–bridges, two under-bridges, 10 road underpasses and 18 smaller underpasses. Animals will also be able to move around their environment via the 10 camel underpasses, 22 gazelle underpasses, and 78 reptile underpasses.

International companies are enthusiastic about the project in the UAE and are ready to take part in it. For example, Etihad Rail and DB Schenker signed an agreement about launching a JV. 

The company will operate and maintain the first 264 km section of the railway and commercial transportation on it will begin this year. Also, the German partner can also consult on future phases, which other companies will be responsible for.



CHINA: HSR China–Russia–Canada–the USA



The plan for the construction of one of the most ambitious infrastructure projects of the day is ready – China is going to build a 13,000-kilometre long high-speed railway. It is 3,000 kilometres more than the longest railway in the world – the Transsib in Russia. This super railway will link four countries – China, Russia, Canada, and the USA.

The starting point for the railway will be in northeast China, then it will pass through Siberia and the Far East of Russia to Chukotka, then the Bering Strait undersea tunnel (200 km long) to Canada and the continental part of the USA. The entire trip will take two days, with the train travelling at an average of 350 kph. Today, about 13 hours are needed to cover 350 km by train.

One of the biggest questions that must be raised is one of the construction of the undersea tunnel, which would be four times longer than the Channel Tunnel between the United Kingdom and France. Experts think that the project exceeds all modern technical innovations, because the shortest distance between the shores of the Bering Strait is 86 km. Others state that there are no technical obstacles to the tunnel project.

The railway community is rather skeptical about the plans of China. No experts have supported the project. It is still unclear whether the Chinese government consulted Russia, the USA, or Canada about this issue.     

Vladimir Yakunin, President of RZD, commented on the construction of the Bering Strait undersea tunnel. In his words, it is a quite a major project. “There is just one objective: to find the consumer for this project. Russian authorities are not involved yet, the discussion continues at the level of railway companies, the project has not progressed to the level of interstate relations,” said the President of the Russian company. The senior manager believes in the ability to build the railway tunnel under the Bering Strait, noting that the decision should be taken before 2017. 

“I am convinced that Russia needs to expand railways in areas of the Far East and Kamchatka to develop these regions, and I believe that the decision about the tunnel should be taken within the next three or five years. I mean, there is a need to do it,” said the head of the company. “I think that 10–15 years are needed to carry out the project,” he declared earlier.

According to Chinese authorities, the technology of building such a tunnel exists, and it will soon be tested when constructing the high-speed line linking the south-eastern province of Fujian and Taiwan, which will be fully financed by the Chinese side.

Back in 2008, the Russian press wrote that the technology of constructing a large tunnel could be in hands of businessman Roman Abramovich. At that time he bought the largest drill on Earth, i.e. a tunneling machine, with which he was going to take part in infrastructure projects worldwide. No information about it, however, has been disclosed by the billionaire since then. 

This is not the only international HSR project, which China can propose to investors. The second such railway, according to the project developers, will start from London crossing Paris, Berlin, Warsaw, and Kiev to Moscow, where it will split into two separate routes: to China via Kazakhstan and via Siberia. And a third will begin in the north of the country and go through Kazakhstan, Uzbekistan, Turkmenistan, Iran, Turkey, and Germany. 



INDIA: The Mumbai–Ahmedabad HSR



The Indian High Speed Rail Corporation (HSRC), a special body created last year to manage high–speed railway projects in India, has received €12.3 billion for the development of HSR infrastructure in the country. The link between Mumbai and Ahmedabad will become the core of the system. It is estimated at more than €7.7 billion. Authorities are actively promoting this project, but experts worry about the condition of the available infrastructure. The railway sections between Delhi–Kanpur, Chennai–Hyderabad, and Nagpur–Bilaspur need urgent modernization.

The Mumbai-Ahmedabad project is part of the 650 km Pune-Mumbai – Ahmedabad line, one of the six potential high-speed corridors, considered by Indian authorities. The project is expected to be implemented via a public–private partnership (PPP).

The high-speed railway line construction between Mumbai and Ahmedabad is expected to take at least ten years to complete. The Pune-Mumbai HSR line will be implemented thereafter.

The pre-feasibility study had projected around 26.6 million passengers using the high-speed line in 2021 and 104 million passengers in 2041. The travel time between Mumbai and Ahmedabad is expected to be reduced to less than two hours compared to the current express journey time of more than six hours.

As a reminder, India has one of the largest rail networks in the word with a total route length of over 64,000 km. There are more than 7,000 railway stations. However, the country does not have a high-speed line allowing trains operating at over 200 kph. Today, the fastest train in India is the Shatabdi Express that runs with a top speed of 150 kph.

Narendra Modi, Prime Minister of India elected this year, promised in his election campaign to significantly improve the country’s economy, particularly to speed up the development of the railway sector.  Confidence in the new leader is high, however, experts doubt that the country needs such expensive infrastructure now.

“If we have money for a spaceship, why don’t we find it for high-speed railways?” says Surendra Khurana, ex-Chairman of the Ministry of Railways. (As reminder, in summer 2014 India test-fired the BrahMos supersonic cruise missile made by Indian and Russian specialists).

Politicians, however, made a rash move trying to get funds for the project, – a 14% increase in railway tariffs caused massive protests. The country needs high-speed railway infrastructure, but not at any price! Also, HSR hardly brings any profit. For example, all high–speed lines in China, except Beijing–Shanghai, will be loss-making over the next few decades. 

Major market players, however, are ready to take part in tenders. For example, Bombardier announced it would bid to develop signaling systems and supply rolling stock. Such companies as   Alstom, Siemens, Hitachi, Mitsui, Mitsubishi, Kawasaki and Toshiba are also interested in the project.

Meanwhile, the project is moving forward at a snail’s pace. The Japanese Internal Cooperation Agency will conduct a feasibility study for it only in the middle of 2015.

By Christina Alexandrova


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    [DETAIL_TEXT] => 
It Can Be a Double-Decker



Alstom offers Russia two types of high-speed rolling stock: a double-deck TGV Duplex and an AGV. The TGV Duplex trainset has two head railcars. Today, such trains run at 320 kph. The design speed limit has not been reached so far, and it is possible to increase the speed. Thanks to extruded aluminum used for the train body, the total weight has been reduced by more than 20%.

The head wagon and bogies are designed considering aerodynamic drag, which has streamlined the trainset so that the air resistance at 300 kph is just 4% more than that of a single-deck TGV. Thanks to articulated bogies, maintenance is cheaper, and safety figures improve. Also, the full-train architecture minimises the risk that the trainset will break up and cars will pile up in the case of a derailment. After the TGV Duplex was put into operation on regular routes, the carrying capacity rose by 45%.

The second solution for Russian railways is a single-deck high-speed AGV trainset. 

The key benefits of this model are fulfilling the need for reliable energy-saving and environmental solutions with flexible configurations, minimal life cycle costs, and the highest safety and passenger convenience standards. Today, the operational speed of the train is 360 kph. An incorporated technological innovation is synchronous engines with permanent magnets, which have an improved power-to-weight ratio of over 1kW/kg and the distributed traction principle. Thanks to these, the bogie was updated and the power transmission mechanism was optimized, thus, improving the reliability and reducing expenses on maintenance. The unique architecture of AGV allows adaptation of its design to any needs of the customer, for example, to increase the speed to 400 kph. And this is not the limit!

At Wind Speed 

Having participated in 95% of HSR projects worldwide as supplier, contractor, or a consortium member, Bombardier developed the Zefiro platform at the end of the 2000-s, targeted at the global market and a production localization strategy. The company named the brand after the ancient Greek god of the west wind, Zephyrus. All three versions of the platform became the most efficient in their class: Zefiro 380 for very high speed, V300Zefiro for Europe (the first contract in a consortium with AnsaldoBreda in Italy), and Zefiro 250 for high speed.

Being now the fastest train in the world (operational speed – 380 kph, design speed – 420 kph), it was specially adapted to the specific market conditions in China. The contract for 70 eight-car Zefiro 380 trains was signed in 2012. 

When developing Zefiro 380, the main goal was to create a high-speed train with the lowest energy consumption per seat and maximum speed with the lowest traction power needed for it. Therefore, developers paid a lot of attention to the aerodynamics of the train. This model consumes 10% less energy than other state-of-the-art trains.

Today, Bombardier promotes Zefiro 380 as the most energy-saving and eco-friendly high-speed train in the world, able to combine the highest capacity with the highest levels of comfort. The first variant of this train for China had 569 seats, of which 44 were in the first-class car, and 14 – in the restaurant car. The 16-car train seats up to 1,336 passengers (depends on planning the interior as per the wishes of the rolling stock operator). The bogie of this model can be changed for 1520 mm gauge, and no problems arise at its utilization in low temperatures. 

The second variant of the Zefiro platform suitable for utilization in Russia is the V300Zefiro model, named Frecciarossa 1000 in Italy. 

V300Zefiro trains can be used for domestic and international transportation, which means that they meet the ERA Technical Specification for Interoperability (TSI). The train has distributed traction. Its maximum speed is 400 kph. Trenitalia is going to utilize it at 360 kph. The 202-metre long train has eight cars. There are sitting cars of four classes in it, and the train capacity can vary from 469 to 600 passengers. Also, two such trains can be combined, then the total capacity reaches 1,200 passengers. 



Tested and Good



Siemens is ready to offer next-generation trains to Russia. The rolling stock has synchronous motors allowing increased acceleration using less energy, and a better aerodynamic profile contributing to energy efficiency with the 400 kph design speed. By the way, Siemens has a positive experience of cooperation, i.e. the “Sapsan” high-speed train operating on the Moscow – St Petersburg and Moscow –

Nizhny Novgorod routes at 250 kph speed. Since the end of 2009, these trains have transported over 11 million passengers.

The “Sapsan” is based on the modern technology of the Velaro platform of trains. It was adapted to the climatic requirements as well as to the standards of the Russian Federation by the joint efforts of German and Russian specialists. Over 60 joint patents for technical solutions were filed during the development of the trainset. The length of a 10-car “Sapsan” is 250 metres. There are 604 seats in the train. The model was developed for the 1520 mm gauge track used in Russia, thus it is 33 centimeters broader than ICE3 trains utilized by Deutsche Bahn in Germany. 

Therefore, Russia can choose out of a wide variety of rolling stock for HSR. Today, RZD can select the most efficient models meeting its technical, environmental and other requirements. 



Russian-Made Rails 



RZD will purchase rolling stock from foreign companies, but rails for the high-speed railway will be made by Russian plants. 

Vladimir Yakunin, President of RZD said last May that rails for the Moscow-Kazan HSR can be supplied by Mechel and Evraz Group. He didn’t mention the cost of the potential contracts, saying that the project documentation should be completed first. The President of RZD said that the issues of attracting companies to the construction of the infrastructure in the framework of this project would be considered by a single competition commission. 

100 metre long rails are needed to build the HSR. It is unprofitable to buy them from foreign producers because of the expensive logistics. Currently EVRAZ is the only Russian certificated producer of rails.

Rails for use in high-speed networks require an improved level of integrity regarding straightness (four times higher than that required for ordinary rails), and improved cross section accuracy. Both aspects provide longer lifecycles not only for the rails, but for the wheels, and indeed all the railway equipment involved.

With its state-of-the-art rail mill at Novokuznetsk, Russian company EVRAZ is ready to supply head-hardened 100 meter long rails for the high-speed Moscow-Kazan project. In November 2013, the company received a quality control certificate for its DT-350 R-65 head-hardened rails with a length of up to 100 meters, which ensure high performance and allow for more efficient maintenance and repair technologies. The new hardening system also substantially improves the durability of the rails and reduces railway maintenance costs, as well as delivering better levels of safety and speed. 

This year Evraz made its first delivery of Russian-made head-hardened 100 meter long rails. Evraz already received Compliance Certificates for two new rail types: head-hardened DT350 rails for use in high-speed mixed-traffic railway operations and DT370 rails with higher wear resistance and contact fatigue life, from the Register of Certification on the Federal Railway. The samples of these rail types passed all the required tests both in EVRAZ labs and at the All-Russia Railways’ Research and Development Institute. The tests confirmed all claimed specifications of the new rail products. 

Evraz’s other metallurgical plant – Evraz NTMK – has a modern wheel shop producing wheel types for Russian and foreign markets. It includes the 1250 wheel for EP 20 locomotives used for lines with speeds of up to 200 kph, unique among Russian and CIS producers. The plant’s experts are constantly working on new types of high quality railway wheels, and modern equipment and technical expertise allow the production of wheels for high-speed lines. The company is also ready to provide construction steel for the new infrastructure that will be built around the line.

EVRAZ has every reason to believe that construction of high-speed lines in Russia will boost the growth of the Russian economy. As a vertically integrated company, it is ready to offer its customers in Russia and abroad innovative railroad products meeting all the highest standards required in world markets. 

As for Mechel, a new universal rolling mill at Chelyabinsk Metallurgical Plant was launched this year. It can produce 100 metre long rails. Now the company can produce structural shapes and rails of 12.5 to 100 meters long. The mill’s capacity is up to 1.1 million tonnes of finished product a year. On the 21 of July Mechel reported about shipping rail batch for certification.

As a reminder, this year RZD plans to buy 100,000-130,000 tons of rails from Mechel and 600,000 tons from Evraz. Starting from 2015, RZD is going to purchase rails from Russian metal companies only.

By Alexandra Mozharovskaya


    [~DETAIL_TEXT] => 
It Can Be a Double-Decker



Alstom offers Russia two types of high-speed rolling stock: a double-deck TGV Duplex and an AGV. The TGV Duplex trainset has two head railcars. Today, such trains run at 320 kph. The design speed limit has not been reached so far, and it is possible to increase the speed. Thanks to extruded aluminum used for the train body, the total weight has been reduced by more than 20%.

The head wagon and bogies are designed considering aerodynamic drag, which has streamlined the trainset so that the air resistance at 300 kph is just 4% more than that of a single-deck TGV. Thanks to articulated bogies, maintenance is cheaper, and safety figures improve. Also, the full-train architecture minimises the risk that the trainset will break up and cars will pile up in the case of a derailment. After the TGV Duplex was put into operation on regular routes, the carrying capacity rose by 45%.

The second solution for Russian railways is a single-deck high-speed AGV trainset. 

The key benefits of this model are fulfilling the need for reliable energy-saving and environmental solutions with flexible configurations, minimal life cycle costs, and the highest safety and passenger convenience standards. Today, the operational speed of the train is 360 kph. An incorporated technological innovation is synchronous engines with permanent magnets, which have an improved power-to-weight ratio of over 1kW/kg and the distributed traction principle. Thanks to these, the bogie was updated and the power transmission mechanism was optimized, thus, improving the reliability and reducing expenses on maintenance. The unique architecture of AGV allows adaptation of its design to any needs of the customer, for example, to increase the speed to 400 kph. And this is not the limit!

At Wind Speed 

Having participated in 95% of HSR projects worldwide as supplier, contractor, or a consortium member, Bombardier developed the Zefiro platform at the end of the 2000-s, targeted at the global market and a production localization strategy. The company named the brand after the ancient Greek god of the west wind, Zephyrus. All three versions of the platform became the most efficient in their class: Zefiro 380 for very high speed, V300Zefiro for Europe (the first contract in a consortium with AnsaldoBreda in Italy), and Zefiro 250 for high speed.

Being now the fastest train in the world (operational speed – 380 kph, design speed – 420 kph), it was specially adapted to the specific market conditions in China. The contract for 70 eight-car Zefiro 380 trains was signed in 2012. 

When developing Zefiro 380, the main goal was to create a high-speed train with the lowest energy consumption per seat and maximum speed with the lowest traction power needed for it. Therefore, developers paid a lot of attention to the aerodynamics of the train. This model consumes 10% less energy than other state-of-the-art trains.

Today, Bombardier promotes Zefiro 380 as the most energy-saving and eco-friendly high-speed train in the world, able to combine the highest capacity with the highest levels of comfort. The first variant of this train for China had 569 seats, of which 44 were in the first-class car, and 14 – in the restaurant car. The 16-car train seats up to 1,336 passengers (depends on planning the interior as per the wishes of the rolling stock operator). The bogie of this model can be changed for 1520 mm gauge, and no problems arise at its utilization in low temperatures. 

The second variant of the Zefiro platform suitable for utilization in Russia is the V300Zefiro model, named Frecciarossa 1000 in Italy. 

V300Zefiro trains can be used for domestic and international transportation, which means that they meet the ERA Technical Specification for Interoperability (TSI). The train has distributed traction. Its maximum speed is 400 kph. Trenitalia is going to utilize it at 360 kph. The 202-metre long train has eight cars. There are sitting cars of four classes in it, and the train capacity can vary from 469 to 600 passengers. Also, two such trains can be combined, then the total capacity reaches 1,200 passengers. 



Tested and Good



Siemens is ready to offer next-generation trains to Russia. The rolling stock has synchronous motors allowing increased acceleration using less energy, and a better aerodynamic profile contributing to energy efficiency with the 400 kph design speed. By the way, Siemens has a positive experience of cooperation, i.e. the “Sapsan” high-speed train operating on the Moscow – St Petersburg and Moscow –

Nizhny Novgorod routes at 250 kph speed. Since the end of 2009, these trains have transported over 11 million passengers.

The “Sapsan” is based on the modern technology of the Velaro platform of trains. It was adapted to the climatic requirements as well as to the standards of the Russian Federation by the joint efforts of German and Russian specialists. Over 60 joint patents for technical solutions were filed during the development of the trainset. The length of a 10-car “Sapsan” is 250 metres. There are 604 seats in the train. The model was developed for the 1520 mm gauge track used in Russia, thus it is 33 centimeters broader than ICE3 trains utilized by Deutsche Bahn in Germany. 

Therefore, Russia can choose out of a wide variety of rolling stock for HSR. Today, RZD can select the most efficient models meeting its technical, environmental and other requirements. 



Russian-Made Rails 



RZD will purchase rolling stock from foreign companies, but rails for the high-speed railway will be made by Russian plants. 

Vladimir Yakunin, President of RZD said last May that rails for the Moscow-Kazan HSR can be supplied by Mechel and Evraz Group. He didn’t mention the cost of the potential contracts, saying that the project documentation should be completed first. The President of RZD said that the issues of attracting companies to the construction of the infrastructure in the framework of this project would be considered by a single competition commission. 

100 metre long rails are needed to build the HSR. It is unprofitable to buy them from foreign producers because of the expensive logistics. Currently EVRAZ is the only Russian certificated producer of rails.

Rails for use in high-speed networks require an improved level of integrity regarding straightness (four times higher than that required for ordinary rails), and improved cross section accuracy. Both aspects provide longer lifecycles not only for the rails, but for the wheels, and indeed all the railway equipment involved.

With its state-of-the-art rail mill at Novokuznetsk, Russian company EVRAZ is ready to supply head-hardened 100 meter long rails for the high-speed Moscow-Kazan project. In November 2013, the company received a quality control certificate for its DT-350 R-65 head-hardened rails with a length of up to 100 meters, which ensure high performance and allow for more efficient maintenance and repair technologies. The new hardening system also substantially improves the durability of the rails and reduces railway maintenance costs, as well as delivering better levels of safety and speed. 

This year Evraz made its first delivery of Russian-made head-hardened 100 meter long rails. Evraz already received Compliance Certificates for two new rail types: head-hardened DT350 rails for use in high-speed mixed-traffic railway operations and DT370 rails with higher wear resistance and contact fatigue life, from the Register of Certification on the Federal Railway. The samples of these rail types passed all the required tests both in EVRAZ labs and at the All-Russia Railways’ Research and Development Institute. The tests confirmed all claimed specifications of the new rail products. 

Evraz’s other metallurgical plant – Evraz NTMK – has a modern wheel shop producing wheel types for Russian and foreign markets. It includes the 1250 wheel for EP 20 locomotives used for lines with speeds of up to 200 kph, unique among Russian and CIS producers. The plant’s experts are constantly working on new types of high quality railway wheels, and modern equipment and technical expertise allow the production of wheels for high-speed lines. The company is also ready to provide construction steel for the new infrastructure that will be built around the line.

EVRAZ has every reason to believe that construction of high-speed lines in Russia will boost the growth of the Russian economy. As a vertically integrated company, it is ready to offer its customers in Russia and abroad innovative railroad products meeting all the highest standards required in world markets. 

As for Mechel, a new universal rolling mill at Chelyabinsk Metallurgical Plant was launched this year. It can produce 100 metre long rails. Now the company can produce structural shapes and rails of 12.5 to 100 meters long. The mill’s capacity is up to 1.1 million tonnes of finished product a year. On the 21 of July Mechel reported about shipping rail batch for certification.

As a reminder, this year RZD plans to buy 100,000-130,000 tons of rails from Mechel and 600,000 tons from Evraz. Starting from 2015, RZD is going to purchase rails from Russian metal companies only.

By Alexandra Mozharovskaya


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    [DETAIL_TEXT] => 
It Can Be a Double-Decker



Alstom offers Russia two types of high-speed rolling stock: a double-deck TGV Duplex and an AGV. The TGV Duplex trainset has two head railcars. Today, such trains run at 320 kph. The design speed limit has not been reached so far, and it is possible to increase the speed. Thanks to extruded aluminum used for the train body, the total weight has been reduced by more than 20%.

The head wagon and bogies are designed considering aerodynamic drag, which has streamlined the trainset so that the air resistance at 300 kph is just 4% more than that of a single-deck TGV. Thanks to articulated bogies, maintenance is cheaper, and safety figures improve. Also, the full-train architecture minimises the risk that the trainset will break up and cars will pile up in the case of a derailment. After the TGV Duplex was put into operation on regular routes, the carrying capacity rose by 45%.

The second solution for Russian railways is a single-deck high-speed AGV trainset. 

The key benefits of this model are fulfilling the need for reliable energy-saving and environmental solutions with flexible configurations, minimal life cycle costs, and the highest safety and passenger convenience standards. Today, the operational speed of the train is 360 kph. An incorporated technological innovation is synchronous engines with permanent magnets, which have an improved power-to-weight ratio of over 1kW/kg and the distributed traction principle. Thanks to these, the bogie was updated and the power transmission mechanism was optimized, thus, improving the reliability and reducing expenses on maintenance. The unique architecture of AGV allows adaptation of its design to any needs of the customer, for example, to increase the speed to 400 kph. And this is not the limit!

At Wind Speed 

Having participated in 95% of HSR projects worldwide as supplier, contractor, or a consortium member, Bombardier developed the Zefiro platform at the end of the 2000-s, targeted at the global market and a production localization strategy. The company named the brand after the ancient Greek god of the west wind, Zephyrus. All three versions of the platform became the most efficient in their class: Zefiro 380 for very high speed, V300Zefiro for Europe (the first contract in a consortium with AnsaldoBreda in Italy), and Zefiro 250 for high speed.

Being now the fastest train in the world (operational speed – 380 kph, design speed – 420 kph), it was specially adapted to the specific market conditions in China. The contract for 70 eight-car Zefiro 380 trains was signed in 2012. 

When developing Zefiro 380, the main goal was to create a high-speed train with the lowest energy consumption per seat and maximum speed with the lowest traction power needed for it. Therefore, developers paid a lot of attention to the aerodynamics of the train. This model consumes 10% less energy than other state-of-the-art trains.

Today, Bombardier promotes Zefiro 380 as the most energy-saving and eco-friendly high-speed train in the world, able to combine the highest capacity with the highest levels of comfort. The first variant of this train for China had 569 seats, of which 44 were in the first-class car, and 14 – in the restaurant car. The 16-car train seats up to 1,336 passengers (depends on planning the interior as per the wishes of the rolling stock operator). The bogie of this model can be changed for 1520 mm gauge, and no problems arise at its utilization in low temperatures. 

The second variant of the Zefiro platform suitable for utilization in Russia is the V300Zefiro model, named Frecciarossa 1000 in Italy. 

V300Zefiro trains can be used for domestic and international transportation, which means that they meet the ERA Technical Specification for Interoperability (TSI). The train has distributed traction. Its maximum speed is 400 kph. Trenitalia is going to utilize it at 360 kph. The 202-metre long train has eight cars. There are sitting cars of four classes in it, and the train capacity can vary from 469 to 600 passengers. Also, two such trains can be combined, then the total capacity reaches 1,200 passengers. 



Tested and Good



Siemens is ready to offer next-generation trains to Russia. The rolling stock has synchronous motors allowing increased acceleration using less energy, and a better aerodynamic profile contributing to energy efficiency with the 400 kph design speed. By the way, Siemens has a positive experience of cooperation, i.e. the “Sapsan” high-speed train operating on the Moscow – St Petersburg and Moscow –

Nizhny Novgorod routes at 250 kph speed. Since the end of 2009, these trains have transported over 11 million passengers.

The “Sapsan” is based on the modern technology of the Velaro platform of trains. It was adapted to the climatic requirements as well as to the standards of the Russian Federation by the joint efforts of German and Russian specialists. Over 60 joint patents for technical solutions were filed during the development of the trainset. The length of a 10-car “Sapsan” is 250 metres. There are 604 seats in the train. The model was developed for the 1520 mm gauge track used in Russia, thus it is 33 centimeters broader than ICE3 trains utilized by Deutsche Bahn in Germany. 

Therefore, Russia can choose out of a wide variety of rolling stock for HSR. Today, RZD can select the most efficient models meeting its technical, environmental and other requirements. 



Russian-Made Rails 



RZD will purchase rolling stock from foreign companies, but rails for the high-speed railway will be made by Russian plants. 

Vladimir Yakunin, President of RZD said last May that rails for the Moscow-Kazan HSR can be supplied by Mechel and Evraz Group. He didn’t mention the cost of the potential contracts, saying that the project documentation should be completed first. The President of RZD said that the issues of attracting companies to the construction of the infrastructure in the framework of this project would be considered by a single competition commission. 

100 metre long rails are needed to build the HSR. It is unprofitable to buy them from foreign producers because of the expensive logistics. Currently EVRAZ is the only Russian certificated producer of rails.

Rails for use in high-speed networks require an improved level of integrity regarding straightness (four times higher than that required for ordinary rails), and improved cross section accuracy. Both aspects provide longer lifecycles not only for the rails, but for the wheels, and indeed all the railway equipment involved.

With its state-of-the-art rail mill at Novokuznetsk, Russian company EVRAZ is ready to supply head-hardened 100 meter long rails for the high-speed Moscow-Kazan project. In November 2013, the company received a quality control certificate for its DT-350 R-65 head-hardened rails with a length of up to 100 meters, which ensure high performance and allow for more efficient maintenance and repair technologies. The new hardening system also substantially improves the durability of the rails and reduces railway maintenance costs, as well as delivering better levels of safety and speed. 

This year Evraz made its first delivery of Russian-made head-hardened 100 meter long rails. Evraz already received Compliance Certificates for two new rail types: head-hardened DT350 rails for use in high-speed mixed-traffic railway operations and DT370 rails with higher wear resistance and contact fatigue life, from the Register of Certification on the Federal Railway. The samples of these rail types passed all the required tests both in EVRAZ labs and at the All-Russia Railways’ Research and Development Institute. The tests confirmed all claimed specifications of the new rail products. 

Evraz’s other metallurgical plant – Evraz NTMK – has a modern wheel shop producing wheel types for Russian and foreign markets. It includes the 1250 wheel for EP 20 locomotives used for lines with speeds of up to 200 kph, unique among Russian and CIS producers. The plant’s experts are constantly working on new types of high quality railway wheels, and modern equipment and technical expertise allow the production of wheels for high-speed lines. The company is also ready to provide construction steel for the new infrastructure that will be built around the line.

EVRAZ has every reason to believe that construction of high-speed lines in Russia will boost the growth of the Russian economy. As a vertically integrated company, it is ready to offer its customers in Russia and abroad innovative railroad products meeting all the highest standards required in world markets. 

As for Mechel, a new universal rolling mill at Chelyabinsk Metallurgical Plant was launched this year. It can produce 100 metre long rails. Now the company can produce structural shapes and rails of 12.5 to 100 meters long. The mill’s capacity is up to 1.1 million tonnes of finished product a year. On the 21 of July Mechel reported about shipping rail batch for certification.

As a reminder, this year RZD plans to buy 100,000-130,000 tons of rails from Mechel and 600,000 tons from Evraz. Starting from 2015, RZD is going to purchase rails from Russian metal companies only.

By Alexandra Mozharovskaya


    [~DETAIL_TEXT] => 
It Can Be a Double-Decker



Alstom offers Russia two types of high-speed rolling stock: a double-deck TGV Duplex and an AGV. The TGV Duplex trainset has two head railcars. Today, such trains run at 320 kph. The design speed limit has not been reached so far, and it is possible to increase the speed. Thanks to extruded aluminum used for the train body, the total weight has been reduced by more than 20%.

The head wagon and bogies are designed considering aerodynamic drag, which has streamlined the trainset so that the air resistance at 300 kph is just 4% more than that of a single-deck TGV. Thanks to articulated bogies, maintenance is cheaper, and safety figures improve. Also, the full-train architecture minimises the risk that the trainset will break up and cars will pile up in the case of a derailment. After the TGV Duplex was put into operation on regular routes, the carrying capacity rose by 45%.

The second solution for Russian railways is a single-deck high-speed AGV trainset. 

The key benefits of this model are fulfilling the need for reliable energy-saving and environmental solutions with flexible configurations, minimal life cycle costs, and the highest safety and passenger convenience standards. Today, the operational speed of the train is 360 kph. An incorporated technological innovation is synchronous engines with permanent magnets, which have an improved power-to-weight ratio of over 1kW/kg and the distributed traction principle. Thanks to these, the bogie was updated and the power transmission mechanism was optimized, thus, improving the reliability and reducing expenses on maintenance. The unique architecture of AGV allows adaptation of its design to any needs of the customer, for example, to increase the speed to 400 kph. And this is not the limit!

At Wind Speed 

Having participated in 95% of HSR projects worldwide as supplier, contractor, or a consortium member, Bombardier developed the Zefiro platform at the end of the 2000-s, targeted at the global market and a production localization strategy. The company named the brand after the ancient Greek god of the west wind, Zephyrus. All three versions of the platform became the most efficient in their class: Zefiro 380 for very high speed, V300Zefiro for Europe (the first contract in a consortium with AnsaldoBreda in Italy), and Zefiro 250 for high speed.

Being now the fastest train in the world (operational speed – 380 kph, design speed – 420 kph), it was specially adapted to the specific market conditions in China. The contract for 70 eight-car Zefiro 380 trains was signed in 2012. 

When developing Zefiro 380, the main goal was to create a high-speed train with the lowest energy consumption per seat and maximum speed with the lowest traction power needed for it. Therefore, developers paid a lot of attention to the aerodynamics of the train. This model consumes 10% less energy than other state-of-the-art trains.

Today, Bombardier promotes Zefiro 380 as the most energy-saving and eco-friendly high-speed train in the world, able to combine the highest capacity with the highest levels of comfort. The first variant of this train for China had 569 seats, of which 44 were in the first-class car, and 14 – in the restaurant car. The 16-car train seats up to 1,336 passengers (depends on planning the interior as per the wishes of the rolling stock operator). The bogie of this model can be changed for 1520 mm gauge, and no problems arise at its utilization in low temperatures. 

The second variant of the Zefiro platform suitable for utilization in Russia is the V300Zefiro model, named Frecciarossa 1000 in Italy. 

V300Zefiro trains can be used for domestic and international transportation, which means that they meet the ERA Technical Specification for Interoperability (TSI). The train has distributed traction. Its maximum speed is 400 kph. Trenitalia is going to utilize it at 360 kph. The 202-metre long train has eight cars. There are sitting cars of four classes in it, and the train capacity can vary from 469 to 600 passengers. Also, two such trains can be combined, then the total capacity reaches 1,200 passengers. 



Tested and Good



Siemens is ready to offer next-generation trains to Russia. The rolling stock has synchronous motors allowing increased acceleration using less energy, and a better aerodynamic profile contributing to energy efficiency with the 400 kph design speed. By the way, Siemens has a positive experience of cooperation, i.e. the “Sapsan” high-speed train operating on the Moscow – St Petersburg and Moscow –

Nizhny Novgorod routes at 250 kph speed. Since the end of 2009, these trains have transported over 11 million passengers.

The “Sapsan” is based on the modern technology of the Velaro platform of trains. It was adapted to the climatic requirements as well as to the standards of the Russian Federation by the joint efforts of German and Russian specialists. Over 60 joint patents for technical solutions were filed during the development of the trainset. The length of a 10-car “Sapsan” is 250 metres. There are 604 seats in the train. The model was developed for the 1520 mm gauge track used in Russia, thus it is 33 centimeters broader than ICE3 trains utilized by Deutsche Bahn in Germany. 

Therefore, Russia can choose out of a wide variety of rolling stock for HSR. Today, RZD can select the most efficient models meeting its technical, environmental and other requirements. 



Russian-Made Rails 



RZD will purchase rolling stock from foreign companies, but rails for the high-speed railway will be made by Russian plants. 

Vladimir Yakunin, President of RZD said last May that rails for the Moscow-Kazan HSR can be supplied by Mechel and Evraz Group. He didn’t mention the cost of the potential contracts, saying that the project documentation should be completed first. The President of RZD said that the issues of attracting companies to the construction of the infrastructure in the framework of this project would be considered by a single competition commission. 

100 metre long rails are needed to build the HSR. It is unprofitable to buy them from foreign producers because of the expensive logistics. Currently EVRAZ is the only Russian certificated producer of rails.

Rails for use in high-speed networks require an improved level of integrity regarding straightness (four times higher than that required for ordinary rails), and improved cross section accuracy. Both aspects provide longer lifecycles not only for the rails, but for the wheels, and indeed all the railway equipment involved.

With its state-of-the-art rail mill at Novokuznetsk, Russian company EVRAZ is ready to supply head-hardened 100 meter long rails for the high-speed Moscow-Kazan project. In November 2013, the company received a quality control certificate for its DT-350 R-65 head-hardened rails with a length of up to 100 meters, which ensure high performance and allow for more efficient maintenance and repair technologies. The new hardening system also substantially improves the durability of the rails and reduces railway maintenance costs, as well as delivering better levels of safety and speed. 

This year Evraz made its first delivery of Russian-made head-hardened 100 meter long rails. Evraz already received Compliance Certificates for two new rail types: head-hardened DT350 rails for use in high-speed mixed-traffic railway operations and DT370 rails with higher wear resistance and contact fatigue life, from the Register of Certification on the Federal Railway. The samples of these rail types passed all the required tests both in EVRAZ labs and at the All-Russia Railways’ Research and Development Institute. The tests confirmed all claimed specifications of the new rail products. 

Evraz’s other metallurgical plant – Evraz NTMK – has a modern wheel shop producing wheel types for Russian and foreign markets. It includes the 1250 wheel for EP 20 locomotives used for lines with speeds of up to 200 kph, unique among Russian and CIS producers. The plant’s experts are constantly working on new types of high quality railway wheels, and modern equipment and technical expertise allow the production of wheels for high-speed lines. The company is also ready to provide construction steel for the new infrastructure that will be built around the line.

EVRAZ has every reason to believe that construction of high-speed lines in Russia will boost the growth of the Russian economy. As a vertically integrated company, it is ready to offer its customers in Russia and abroad innovative railroad products meeting all the highest standards required in world markets. 

As for Mechel, a new universal rolling mill at Chelyabinsk Metallurgical Plant was launched this year. It can produce 100 metre long rails. Now the company can produce structural shapes and rails of 12.5 to 100 meters long. The mill’s capacity is up to 1.1 million tonnes of finished product a year. On the 21 of July Mechel reported about shipping rail batch for certification.

As a reminder, this year RZD plans to buy 100,000-130,000 tons of rails from Mechel and 600,000 tons from Evraz. Starting from 2015, RZD is going to purchase rails from Russian metal companies only.

By Alexandra Mozharovskaya


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Going to the East?



The Moscow-Kazan high-speed line should become a pilot project in the future construction of the HSR network in Russia. Justification of investment, an audit by independent expert (PwC) and the tender documentation are ready. The legal scheme of the project using the mechanism of concessions has been chosen as one of the most effective mechanisms of public-private partnership in infrastructure projects. The Moscow-Kazan HSR is included in the territorial planning scheme of the RF. At the moment, negotiations with potential investors are being carried out.

Calculations carried out by a consortium of leading institutes together with the Center for Strategic Research shows that the construction phase of the project will create more than 370,000 jobs. During the operational phase, additional tax revenue growth will be provided in the budgets of all levels: regions will get RUB 900 billion extra income, the federal budget – nearly RUB 3.8 trillion (in projected revenue). This is more than triple the construction cost, which amounts to RUB 1.068 trillion.

The total uplift in the GDP of the Russian Federation from effects arising from productivity growth and increased business activity will be more than RUB 11 trillion. The first section of the Moscow-Nizhny Novgorod-Kazan HSR should appear by 2018.

By 2030, it will be extended to Yekaterinburg. In the framework of the Customs Union, there has been an opportunity to build a high-speed line linking Minsk and Astana at the expense of extending the line to the borders of states. The President of Kazakhstan Temir Zholy JSC (Kazakh railways) Askar Mamin has already unveiled plans to prepare a pre-feasibility study for this project in the foreseeable future.



To Adler: As fast as the Wind



The project of the Moscow-Adler HSR is possible. The pre-project stage is finished. The justification for investment in the construction of the Moscow-Rostov-on-Don-Adler (Center-South HSR line), which has already passed state examination and received a positive opinion, has been done.

According to preliminary estimates, the total travel time from Moscow to Rostov will be 4.5 hours (instead of 18 hours on an ordinary train), from Rostov to Adler – 3.5 hours. It is planned that high-speed locomotives will run at 400 kph on this route.

This line will allow passengers to travel more quickly, not only between regions. In the intervals between trains, the “Lastochka” high-speed intercity train will undertake short-distance transportation. The creation of a new Moscow-Rostov-on-Don-Adler high-speed rail line (1,549 km long) is planned for 2021-2028.

Within the current geopolitical situation, the line may be extended to the peninsula of Crimea, said Maxim Sokolov, Transport Minister of Russia.



St Petersburg Is Waiting



Originally it was planned to build the Moscow-St Petersburg HSR first of all. In 1992 the Lengiprotrans Company developed a project of this railway, but in 1998, the order on creation of the line was recognized as void. And the project was never implemented.

In 2004 authorities came back to this question. There was a presentation on behalf of HSR, which announced its projected specs: length – 660 km, travel time – 2.5 hours, speeds of up to 400 kph, the volume of traffic – up to 42 pairs of trains per day and up to 14 million passengers a year. It was planned to finish the main line by 2017.

However, last year, during a meeting on the prospects of high-speed railways in Sochi, Russian President Vladimir Putin unveiled the decision to build Russia’s first Moscow-Kazan HSR with a possible extension to Yekaterinburg in 2014-2018. The project of the St Petersburg-Moscow HSR was postponed indefinitely.

Nevertheless, it remains a priority as it will optimize traffic flows in the north-west direction, which is occupied by passenger traffic now and is one of the bottlenecks on the network. Vladimir Yakunin, President of Russian Railways said that RZD had to invest up to RUB 70 billion in this direction, therefore it is profitable to invest this amount in the development of the HSR, and redirect cargo flows to the existing routes.

Today, it is known that the length of the future St Petersburg-Moscow HSR would be 659 km. The travel time of high-speed trains will be 2.30 hours.



Siberian Speed



The idea of high-speed traffic has become alluring for the Siberian region. Construction of the Omsk-Novosibirsk-Krasnoyarsk HSR is proposed there. The project should improve transport accessibility for the three major industrial cities of Russia and adjacent territories. 

There are three options for the laying of the Novosibirsk-Krasnoyarsk line. The first option is an HSR line along the Trans-Siberian Mainline through the Taiga station in the Kemerovo region. The second option is the construction of a line through Tomsk, north of the Trans-Siberian railway, and the third - through Kemerovo, south of the Trans-Siberian railway. In this regard, the Krasnoyarsk railway undertook an online survey of residents of in the Siberian Federal District (SFD) about which option is preferred, the majority voted for the high-speed railway project between Krasnoyarsk and Novosibirsk through Tomsk. The survey participants were asked to choose the best travel time between Krasnoyarsk and Novosibirsk. More than 50% of the survey participants would like to spend from 3 up to 5 hours on the trip between the two cities, and 41% – no more than 5-7 hours.

The Government of the Novosibirsk region made the proposal to extend the line to Barnaul. The total length of the Omsk-Novosibirsk-Krasnoyarsk route is 1390 km. The maximum speed is up to 160 kph. The promising travel time will be 18.47 hours, but it is too early to speak about this project.

The plans are very ambitious. The first phase of the Moscow-Kazan high-speed railway will help to gain the necessary experience, which will develop the HSR network in the country. ®

By Alexandra Mozharovskaya



viewpoint

Fedor Pehterev, 

Director General of the Institute of Economy and Transport Development (IETD)

In accordance with the Strategy for the Development of Railway Transport in the Russian Federation till 2030, the construction of high-speed railways with trains running at 300-400 kph is provided in three areas:

• Moscow-Kazan-Yekaterinburg 

   (with additional lines to Perm and Ufa);

• Moscow-St Petersburg;

• Moscow-Rostov-on-Don-Adler.

First of all, the Moscow-Kazan HSR line, as the first phase of the Moscow-Kazan-Yekaterinburg line, will be constructed. 

The projected passenger traffic of high-speed trains on this route is estimated at 6.4 million/year by 2020. The Kazan-Yekaterinburg line will be finished by 2020.

The length of the Moscow-Yekaterinburg HSR will be 1,535 km. A projected travel time for high-speed trains in the Moscow-Yekaterinburg direction will be 7 hours (a 72% decrease!).

The Moscow-Kazan-Yekaterinburg direction is a part of the second international transport corridor, which has real prospects to become the main route in the European West-East direction, as it will pass through the capital and major industrial centers of Russia, Belarus, Poland and Germany. The modernization will increase not only the international transit traffic, but also will also influence international tourism, the development of the territories, employment and living standards.



Maxim Lebedev

First Deputy Director General of ETS Consulting

The “Sapsan” high-speed train has run between Moscow and St Petersburg for 5 years. During this time, the route has become more attractive than air transportation.

However, the construction of the HSR between Moscow and Saint Petersburg, probably, is not very rational.

In my opinion, the most promising directions for HSR in Russia are Moscow-Nizhny Novgorod-Kazan-Yekaterinburg and Moscow-Smolensk-Minsk. A passenger travelling from Moscow to Yekaterinburg, of course, will more likely choose a plane. But getting from the center of Yekaterinburg to the center of Kazan in 3 hours or from the center of Kazan to Nizhny Novgorod in 1.5 hours is the indisputable advantage of the HSR.

Moreover, the effect of HSR routes can be significantly enhanced through the development of passenger logistics. In addition, further development of regional airports, located on the axis of the HSR, will be a more comfortable alternative to flights through the airports of Moscow aviation hub.

In general, the efficiency of the routes of the HSR for the Russian economy will very much depend on how effective the coordination of railway, airlines and carriers would be. The active zone of influence of the HSR could reach up to 300 miles in each direction and influence 50.7% of the population of the Russian Federation. The Central Federal District, the Privolzhsky Federal District (except for the Kirov, Saratov, Orenburg regions) and the Ural Federal District are in the zone of this influence. 
    [~DETAIL_TEXT] => 
Going to the East?



The Moscow-Kazan high-speed line should become a pilot project in the future construction of the HSR network in Russia. Justification of investment, an audit by independent expert (PwC) and the tender documentation are ready. The legal scheme of the project using the mechanism of concessions has been chosen as one of the most effective mechanisms of public-private partnership in infrastructure projects. The Moscow-Kazan HSR is included in the territorial planning scheme of the RF. At the moment, negotiations with potential investors are being carried out.

Calculations carried out by a consortium of leading institutes together with the Center for Strategic Research shows that the construction phase of the project will create more than 370,000 jobs. During the operational phase, additional tax revenue growth will be provided in the budgets of all levels: regions will get RUB 900 billion extra income, the federal budget – nearly RUB 3.8 trillion (in projected revenue). This is more than triple the construction cost, which amounts to RUB 1.068 trillion.

The total uplift in the GDP of the Russian Federation from effects arising from productivity growth and increased business activity will be more than RUB 11 trillion. The first section of the Moscow-Nizhny Novgorod-Kazan HSR should appear by 2018.

By 2030, it will be extended to Yekaterinburg. In the framework of the Customs Union, there has been an opportunity to build a high-speed line linking Minsk and Astana at the expense of extending the line to the borders of states. The President of Kazakhstan Temir Zholy JSC (Kazakh railways) Askar Mamin has already unveiled plans to prepare a pre-feasibility study for this project in the foreseeable future.



To Adler: As fast as the Wind



The project of the Moscow-Adler HSR is possible. The pre-project stage is finished. The justification for investment in the construction of the Moscow-Rostov-on-Don-Adler (Center-South HSR line), which has already passed state examination and received a positive opinion, has been done.

According to preliminary estimates, the total travel time from Moscow to Rostov will be 4.5 hours (instead of 18 hours on an ordinary train), from Rostov to Adler – 3.5 hours. It is planned that high-speed locomotives will run at 400 kph on this route.

This line will allow passengers to travel more quickly, not only between regions. In the intervals between trains, the “Lastochka” high-speed intercity train will undertake short-distance transportation. The creation of a new Moscow-Rostov-on-Don-Adler high-speed rail line (1,549 km long) is planned for 2021-2028.

Within the current geopolitical situation, the line may be extended to the peninsula of Crimea, said Maxim Sokolov, Transport Minister of Russia.



St Petersburg Is Waiting



Originally it was planned to build the Moscow-St Petersburg HSR first of all. In 1992 the Lengiprotrans Company developed a project of this railway, but in 1998, the order on creation of the line was recognized as void. And the project was never implemented.

In 2004 authorities came back to this question. There was a presentation on behalf of HSR, which announced its projected specs: length – 660 km, travel time – 2.5 hours, speeds of up to 400 kph, the volume of traffic – up to 42 pairs of trains per day and up to 14 million passengers a year. It was planned to finish the main line by 2017.

However, last year, during a meeting on the prospects of high-speed railways in Sochi, Russian President Vladimir Putin unveiled the decision to build Russia’s first Moscow-Kazan HSR with a possible extension to Yekaterinburg in 2014-2018. The project of the St Petersburg-Moscow HSR was postponed indefinitely.

Nevertheless, it remains a priority as it will optimize traffic flows in the north-west direction, which is occupied by passenger traffic now and is one of the bottlenecks on the network. Vladimir Yakunin, President of Russian Railways said that RZD had to invest up to RUB 70 billion in this direction, therefore it is profitable to invest this amount in the development of the HSR, and redirect cargo flows to the existing routes.

Today, it is known that the length of the future St Petersburg-Moscow HSR would be 659 km. The travel time of high-speed trains will be 2.30 hours.



Siberian Speed



The idea of high-speed traffic has become alluring for the Siberian region. Construction of the Omsk-Novosibirsk-Krasnoyarsk HSR is proposed there. The project should improve transport accessibility for the three major industrial cities of Russia and adjacent territories. 

There are three options for the laying of the Novosibirsk-Krasnoyarsk line. The first option is an HSR line along the Trans-Siberian Mainline through the Taiga station in the Kemerovo region. The second option is the construction of a line through Tomsk, north of the Trans-Siberian railway, and the third - through Kemerovo, south of the Trans-Siberian railway. In this regard, the Krasnoyarsk railway undertook an online survey of residents of in the Siberian Federal District (SFD) about which option is preferred, the majority voted for the high-speed railway project between Krasnoyarsk and Novosibirsk through Tomsk. The survey participants were asked to choose the best travel time between Krasnoyarsk and Novosibirsk. More than 50% of the survey participants would like to spend from 3 up to 5 hours on the trip between the two cities, and 41% – no more than 5-7 hours.

The Government of the Novosibirsk region made the proposal to extend the line to Barnaul. The total length of the Omsk-Novosibirsk-Krasnoyarsk route is 1390 km. The maximum speed is up to 160 kph. The promising travel time will be 18.47 hours, but it is too early to speak about this project.

The plans are very ambitious. The first phase of the Moscow-Kazan high-speed railway will help to gain the necessary experience, which will develop the HSR network in the country. ®

By Alexandra Mozharovskaya



viewpoint

Fedor Pehterev, 

Director General of the Institute of Economy and Transport Development (IETD)

In accordance with the Strategy for the Development of Railway Transport in the Russian Federation till 2030, the construction of high-speed railways with trains running at 300-400 kph is provided in three areas:

• Moscow-Kazan-Yekaterinburg 

   (with additional lines to Perm and Ufa);

• Moscow-St Petersburg;

• Moscow-Rostov-on-Don-Adler.

First of all, the Moscow-Kazan HSR line, as the first phase of the Moscow-Kazan-Yekaterinburg line, will be constructed. 

The projected passenger traffic of high-speed trains on this route is estimated at 6.4 million/year by 2020. The Kazan-Yekaterinburg line will be finished by 2020.

The length of the Moscow-Yekaterinburg HSR will be 1,535 km. A projected travel time for high-speed trains in the Moscow-Yekaterinburg direction will be 7 hours (a 72% decrease!).

The Moscow-Kazan-Yekaterinburg direction is a part of the second international transport corridor, which has real prospects to become the main route in the European West-East direction, as it will pass through the capital and major industrial centers of Russia, Belarus, Poland and Germany. The modernization will increase not only the international transit traffic, but also will also influence international tourism, the development of the territories, employment and living standards.



Maxim Lebedev

First Deputy Director General of ETS Consulting

The “Sapsan” high-speed train has run between Moscow and St Petersburg for 5 years. During this time, the route has become more attractive than air transportation.

However, the construction of the HSR between Moscow and Saint Petersburg, probably, is not very rational.

In my opinion, the most promising directions for HSR in Russia are Moscow-Nizhny Novgorod-Kazan-Yekaterinburg and Moscow-Smolensk-Minsk. A passenger travelling from Moscow to Yekaterinburg, of course, will more likely choose a plane. But getting from the center of Yekaterinburg to the center of Kazan in 3 hours or from the center of Kazan to Nizhny Novgorod in 1.5 hours is the indisputable advantage of the HSR.

Moreover, the effect of HSR routes can be significantly enhanced through the development of passenger logistics. In addition, further development of regional airports, located on the axis of the HSR, will be a more comfortable alternative to flights through the airports of Moscow aviation hub.

In general, the efficiency of the routes of the HSR for the Russian economy will very much depend on how effective the coordination of railway, airlines and carriers would be. The active zone of influence of the HSR could reach up to 300 miles in each direction and influence 50.7% of the population of the Russian Federation. The Central Federal District, the Privolzhsky Federal District (except for the Kirov, Saratov, Orenburg regions) and the Ural Federal District are in the zone of this influence. 
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Going to the East?



The Moscow-Kazan high-speed line should become a pilot project in the future construction of the HSR network in Russia. Justification of investment, an audit by independent expert (PwC) and the tender documentation are ready. The legal scheme of the project using the mechanism of concessions has been chosen as one of the most effective mechanisms of public-private partnership in infrastructure projects. The Moscow-Kazan HSR is included in the territorial planning scheme of the RF. At the moment, negotiations with potential investors are being carried out.

Calculations carried out by a consortium of leading institutes together with the Center for Strategic Research shows that the construction phase of the project will create more than 370,000 jobs. During the operational phase, additional tax revenue growth will be provided in the budgets of all levels: regions will get RUB 900 billion extra income, the federal budget – nearly RUB 3.8 trillion (in projected revenue). This is more than triple the construction cost, which amounts to RUB 1.068 trillion.

The total uplift in the GDP of the Russian Federation from effects arising from productivity growth and increased business activity will be more than RUB 11 trillion. The first section of the Moscow-Nizhny Novgorod-Kazan HSR should appear by 2018.

By 2030, it will be extended to Yekaterinburg. In the framework of the Customs Union, there has been an opportunity to build a high-speed line linking Minsk and Astana at the expense of extending the line to the borders of states. The President of Kazakhstan Temir Zholy JSC (Kazakh railways) Askar Mamin has already unveiled plans to prepare a pre-feasibility study for this project in the foreseeable future.



To Adler: As fast as the Wind



The project of the Moscow-Adler HSR is possible. The pre-project stage is finished. The justification for investment in the construction of the Moscow-Rostov-on-Don-Adler (Center-South HSR line), which has already passed state examination and received a positive opinion, has been done.

According to preliminary estimates, the total travel time from Moscow to Rostov will be 4.5 hours (instead of 18 hours on an ordinary train), from Rostov to Adler – 3.5 hours. It is planned that high-speed locomotives will run at 400 kph on this route.

This line will allow passengers to travel more quickly, not only between regions. In the intervals between trains, the “Lastochka” high-speed intercity train will undertake short-distance transportation. The creation of a new Moscow-Rostov-on-Don-Adler high-speed rail line (1,549 km long) is planned for 2021-2028.

Within the current geopolitical situation, the line may be extended to the peninsula of Crimea, said Maxim Sokolov, Transport Minister of Russia.



St Petersburg Is Waiting



Originally it was planned to build the Moscow-St Petersburg HSR first of all. In 1992 the Lengiprotrans Company developed a project of this railway, but in 1998, the order on creation of the line was recognized as void. And the project was never implemented.

In 2004 authorities came back to this question. There was a presentation on behalf of HSR, which announced its projected specs: length – 660 km, travel time – 2.5 hours, speeds of up to 400 kph, the volume of traffic – up to 42 pairs of trains per day and up to 14 million passengers a year. It was planned to finish the main line by 2017.

However, last year, during a meeting on the prospects of high-speed railways in Sochi, Russian President Vladimir Putin unveiled the decision to build Russia’s first Moscow-Kazan HSR with a possible extension to Yekaterinburg in 2014-2018. The project of the St Petersburg-Moscow HSR was postponed indefinitely.

Nevertheless, it remains a priority as it will optimize traffic flows in the north-west direction, which is occupied by passenger traffic now and is one of the bottlenecks on the network. Vladimir Yakunin, President of Russian Railways said that RZD had to invest up to RUB 70 billion in this direction, therefore it is profitable to invest this amount in the development of the HSR, and redirect cargo flows to the existing routes.

Today, it is known that the length of the future St Petersburg-Moscow HSR would be 659 km. The travel time of high-speed trains will be 2.30 hours.



Siberian Speed



The idea of high-speed traffic has become alluring for the Siberian region. Construction of the Omsk-Novosibirsk-Krasnoyarsk HSR is proposed there. The project should improve transport accessibility for the three major industrial cities of Russia and adjacent territories. 

There are three options for the laying of the Novosibirsk-Krasnoyarsk line. The first option is an HSR line along the Trans-Siberian Mainline through the Taiga station in the Kemerovo region. The second option is the construction of a line through Tomsk, north of the Trans-Siberian railway, and the third - through Kemerovo, south of the Trans-Siberian railway. In this regard, the Krasnoyarsk railway undertook an online survey of residents of in the Siberian Federal District (SFD) about which option is preferred, the majority voted for the high-speed railway project between Krasnoyarsk and Novosibirsk through Tomsk. The survey participants were asked to choose the best travel time between Krasnoyarsk and Novosibirsk. More than 50% of the survey participants would like to spend from 3 up to 5 hours on the trip between the two cities, and 41% – no more than 5-7 hours.

The Government of the Novosibirsk region made the proposal to extend the line to Barnaul. The total length of the Omsk-Novosibirsk-Krasnoyarsk route is 1390 km. The maximum speed is up to 160 kph. The promising travel time will be 18.47 hours, but it is too early to speak about this project.

The plans are very ambitious. The first phase of the Moscow-Kazan high-speed railway will help to gain the necessary experience, which will develop the HSR network in the country. ®

By Alexandra Mozharovskaya



viewpoint

Fedor Pehterev, 

Director General of the Institute of Economy and Transport Development (IETD)

In accordance with the Strategy for the Development of Railway Transport in the Russian Federation till 2030, the construction of high-speed railways with trains running at 300-400 kph is provided in three areas:

• Moscow-Kazan-Yekaterinburg 

   (with additional lines to Perm and Ufa);

• Moscow-St Petersburg;

• Moscow-Rostov-on-Don-Adler.

First of all, the Moscow-Kazan HSR line, as the first phase of the Moscow-Kazan-Yekaterinburg line, will be constructed. 

The projected passenger traffic of high-speed trains on this route is estimated at 6.4 million/year by 2020. The Kazan-Yekaterinburg line will be finished by 2020.

The length of the Moscow-Yekaterinburg HSR will be 1,535 km. A projected travel time for high-speed trains in the Moscow-Yekaterinburg direction will be 7 hours (a 72% decrease!).

The Moscow-Kazan-Yekaterinburg direction is a part of the second international transport corridor, which has real prospects to become the main route in the European West-East direction, as it will pass through the capital and major industrial centers of Russia, Belarus, Poland and Germany. The modernization will increase not only the international transit traffic, but also will also influence international tourism, the development of the territories, employment and living standards.



Maxim Lebedev

First Deputy Director General of ETS Consulting

The “Sapsan” high-speed train has run between Moscow and St Petersburg for 5 years. During this time, the route has become more attractive than air transportation.

However, the construction of the HSR between Moscow and Saint Petersburg, probably, is not very rational.

In my opinion, the most promising directions for HSR in Russia are Moscow-Nizhny Novgorod-Kazan-Yekaterinburg and Moscow-Smolensk-Minsk. A passenger travelling from Moscow to Yekaterinburg, of course, will more likely choose a plane. But getting from the center of Yekaterinburg to the center of Kazan in 3 hours or from the center of Kazan to Nizhny Novgorod in 1.5 hours is the indisputable advantage of the HSR.

Moreover, the effect of HSR routes can be significantly enhanced through the development of passenger logistics. In addition, further development of regional airports, located on the axis of the HSR, will be a more comfortable alternative to flights through the airports of Moscow aviation hub.

In general, the efficiency of the routes of the HSR for the Russian economy will very much depend on how effective the coordination of railway, airlines and carriers would be. The active zone of influence of the HSR could reach up to 300 miles in each direction and influence 50.7% of the population of the Russian Federation. The Central Federal District, the Privolzhsky Federal District (except for the Kirov, Saratov, Orenburg regions) and the Ural Federal District are in the zone of this influence. 
    [~DETAIL_TEXT] => 
Going to the East?



The Moscow-Kazan high-speed line should become a pilot project in the future construction of the HSR network in Russia. Justification of investment, an audit by independent expert (PwC) and the tender documentation are ready. The legal scheme of the project using the mechanism of concessions has been chosen as one of the most effective mechanisms of public-private partnership in infrastructure projects. The Moscow-Kazan HSR is included in the territorial planning scheme of the RF. At the moment, negotiations with potential investors are being carried out.

Calculations carried out by a consortium of leading institutes together with the Center for Strategic Research shows that the construction phase of the project will create more than 370,000 jobs. During the operational phase, additional tax revenue growth will be provided in the budgets of all levels: regions will get RUB 900 billion extra income, the federal budget – nearly RUB 3.8 trillion (in projected revenue). This is more than triple the construction cost, which amounts to RUB 1.068 trillion.

The total uplift in the GDP of the Russian Federation from effects arising from productivity growth and increased business activity will be more than RUB 11 trillion. The first section of the Moscow-Nizhny Novgorod-Kazan HSR should appear by 2018.

By 2030, it will be extended to Yekaterinburg. In the framework of the Customs Union, there has been an opportunity to build a high-speed line linking Minsk and Astana at the expense of extending the line to the borders of states. The President of Kazakhstan Temir Zholy JSC (Kazakh railways) Askar Mamin has already unveiled plans to prepare a pre-feasibility study for this project in the foreseeable future.



To Adler: As fast as the Wind



The project of the Moscow-Adler HSR is possible. The pre-project stage is finished. The justification for investment in the construction of the Moscow-Rostov-on-Don-Adler (Center-South HSR line), which has already passed state examination and received a positive opinion, has been done.

According to preliminary estimates, the total travel time from Moscow to Rostov will be 4.5 hours (instead of 18 hours on an ordinary train), from Rostov to Adler – 3.5 hours. It is planned that high-speed locomotives will run at 400 kph on this route.

This line will allow passengers to travel more quickly, not only between regions. In the intervals between trains, the “Lastochka” high-speed intercity train will undertake short-distance transportation. The creation of a new Moscow-Rostov-on-Don-Adler high-speed rail line (1,549 km long) is planned for 2021-2028.

Within the current geopolitical situation, the line may be extended to the peninsula of Crimea, said Maxim Sokolov, Transport Minister of Russia.



St Petersburg Is Waiting



Originally it was planned to build the Moscow-St Petersburg HSR first of all. In 1992 the Lengiprotrans Company developed a project of this railway, but in 1998, the order on creation of the line was recognized as void. And the project was never implemented.

In 2004 authorities came back to this question. There was a presentation on behalf of HSR, which announced its projected specs: length – 660 km, travel time – 2.5 hours, speeds of up to 400 kph, the volume of traffic – up to 42 pairs of trains per day and up to 14 million passengers a year. It was planned to finish the main line by 2017.

However, last year, during a meeting on the prospects of high-speed railways in Sochi, Russian President Vladimir Putin unveiled the decision to build Russia’s first Moscow-Kazan HSR with a possible extension to Yekaterinburg in 2014-2018. The project of the St Petersburg-Moscow HSR was postponed indefinitely.

Nevertheless, it remains a priority as it will optimize traffic flows in the north-west direction, which is occupied by passenger traffic now and is one of the bottlenecks on the network. Vladimir Yakunin, President of Russian Railways said that RZD had to invest up to RUB 70 billion in this direction, therefore it is profitable to invest this amount in the development of the HSR, and redirect cargo flows to the existing routes.

Today, it is known that the length of the future St Petersburg-Moscow HSR would be 659 km. The travel time of high-speed trains will be 2.30 hours.



Siberian Speed



The idea of high-speed traffic has become alluring for the Siberian region. Construction of the Omsk-Novosibirsk-Krasnoyarsk HSR is proposed there. The project should improve transport accessibility for the three major industrial cities of Russia and adjacent territories. 

There are three options for the laying of the Novosibirsk-Krasnoyarsk line. The first option is an HSR line along the Trans-Siberian Mainline through the Taiga station in the Kemerovo region. The second option is the construction of a line through Tomsk, north of the Trans-Siberian railway, and the third - through Kemerovo, south of the Trans-Siberian railway. In this regard, the Krasnoyarsk railway undertook an online survey of residents of in the Siberian Federal District (SFD) about which option is preferred, the majority voted for the high-speed railway project between Krasnoyarsk and Novosibirsk through Tomsk. The survey participants were asked to choose the best travel time between Krasnoyarsk and Novosibirsk. More than 50% of the survey participants would like to spend from 3 up to 5 hours on the trip between the two cities, and 41% – no more than 5-7 hours.

The Government of the Novosibirsk region made the proposal to extend the line to Barnaul. The total length of the Omsk-Novosibirsk-Krasnoyarsk route is 1390 km. The maximum speed is up to 160 kph. The promising travel time will be 18.47 hours, but it is too early to speak about this project.

The plans are very ambitious. The first phase of the Moscow-Kazan high-speed railway will help to gain the necessary experience, which will develop the HSR network in the country. ®

By Alexandra Mozharovskaya



viewpoint

Fedor Pehterev, 

Director General of the Institute of Economy and Transport Development (IETD)

In accordance with the Strategy for the Development of Railway Transport in the Russian Federation till 2030, the construction of high-speed railways with trains running at 300-400 kph is provided in three areas:

• Moscow-Kazan-Yekaterinburg 

   (with additional lines to Perm and Ufa);

• Moscow-St Petersburg;

• Moscow-Rostov-on-Don-Adler.

First of all, the Moscow-Kazan HSR line, as the first phase of the Moscow-Kazan-Yekaterinburg line, will be constructed. 

The projected passenger traffic of high-speed trains on this route is estimated at 6.4 million/year by 2020. The Kazan-Yekaterinburg line will be finished by 2020.

The length of the Moscow-Yekaterinburg HSR will be 1,535 km. A projected travel time for high-speed trains in the Moscow-Yekaterinburg direction will be 7 hours (a 72% decrease!).

The Moscow-Kazan-Yekaterinburg direction is a part of the second international transport corridor, which has real prospects to become the main route in the European West-East direction, as it will pass through the capital and major industrial centers of Russia, Belarus, Poland and Germany. The modernization will increase not only the international transit traffic, but also will also influence international tourism, the development of the territories, employment and living standards.



Maxim Lebedev

First Deputy Director General of ETS Consulting

The “Sapsan” high-speed train has run between Moscow and St Petersburg for 5 years. During this time, the route has become more attractive than air transportation.

However, the construction of the HSR between Moscow and Saint Petersburg, probably, is not very rational.

In my opinion, the most promising directions for HSR in Russia are Moscow-Nizhny Novgorod-Kazan-Yekaterinburg and Moscow-Smolensk-Minsk. A passenger travelling from Moscow to Yekaterinburg, of course, will more likely choose a plane. But getting from the center of Yekaterinburg to the center of Kazan in 3 hours or from the center of Kazan to Nizhny Novgorod in 1.5 hours is the indisputable advantage of the HSR.

Moreover, the effect of HSR routes can be significantly enhanced through the development of passenger logistics. In addition, further development of regional airports, located on the axis of the HSR, will be a more comfortable alternative to flights through the airports of Moscow aviation hub.

In general, the efficiency of the routes of the HSR for the Russian economy will very much depend on how effective the coordination of railway, airlines and carriers would be. The active zone of influence of the HSR could reach up to 300 miles in each direction and influence 50.7% of the population of the Russian Federation. The Central Federal District, the Privolzhsky Federal District (except for the Kirov, Saratov, Orenburg regions) and the Ural Federal District are in the zone of this influence. 
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Growing Membership



– Mr Parisi, you were elected as the FIATA’s President at the General Meeting in October, 2013. What was your first big decision as Presi­dent? 



– The governing structure of FIATA, which I have inherited from my wise predecessors, is very complex, but fully democratic. The President’s main duty is to make sure that the decision making process of the Institutes and Committees runs smoothly under the supervision of the Extended Board, over which I am honored to preside; it is crucial that the decisions taken are timely and they are correctly implemented. Having said that, it is my intention to make sure that FIATA will serve the demands of its association members in the different parts of the world at least as closely as they have been tended in the past, with the ambition to learn from the past and try to perform even better. Listening to their requirements is probably my first and most important presidential task. 

Furthermore, FIATA will liaise continually with international organisations, especially those connected to the UN, with whom we have been able to make investments and arrange for the appropriate resources. To achieve the ambitious goals of its vast agenda FIATA will have to employ more resources, for this reason, we are working on an important medium term plan to strengthen the organisation of FIATA.



– One of the main goals of your Association is the integration of the forwarders of all countries and representation of its interests at the global forwarding market. Is it a complex process for a company to be included in the Association? 



– The process to join FIATA is a very simple one indeed. If a freight forwarding or logistics company wishes to join FIATA as an Individual Member, they first must apply to join the FIATA Member Association in their country or region. In this case, it is the Freight Forwarders’ Association of the Russian Federation (FAR). If they are accepted into FAR and endorsed by the Association, the company can then submit their application (which is signed and stamped by FAR) for Membership Type Blue to FIATA. Once received by the FIATA Secretariat in Zurich, an invoice for the membership fee is created and sent to the applicant. After payment is confirmed, the company is sent their welcome pack and is a full-fledged Individual Member of FIATA. 



– How long does it take to make a decision about the future participation of any company? 



– As you can tell from the above, this is a process that could take some time, several weeks in some cases. However, this process is about to be streamlined. This is thanks to the new Automated Membership Management System (AMMS) which will be a main feature in the new FIATA website, which was launched in May. With the new AMMS, a company applies on the FIATA website and the entire process, from application to payment, is conducted online. As with the previous process, the Association Member has the final say on which company can become a member however, this new process will shorten the time to become an Individual Member of FIATA to a couple days.



– The Russian Railways Logistics Company joined the FIATA Association in January 2013. What share of FIATA’s participants are from the Russian forwarding sector? 



– There are presently over 5.000 Individual Members of FIATA and 110 Association Members. Out of these, there is only one Russian Association, FAR. In addition, there are approximately 70 Individual Members from Russia. Given the scope of the Russian economy and the sheer size of the country, there is a significant opportunity for more FIATA representation in Russia. It is my goal during my term as President to grow FIATA membership around the globe, especially in such economically important countries as Russia.



Focusing on Sustainability



– One of FIATA's aims is improving the quality of forwarding services. How will your Association achieve this? 



– This is a very broad topic, as every activity that FIATA undertakes is to improve the quality of forwarding services around the world. I will just briefly touch on a few points. The first point is the promotion and development of electronic freight solutions and the digitalisation of accompanying documents, such as the electronic FIATA Bill of Lading. A second point is working with other international organisations to update transport standards, for example, our work with IATA on the Air Cargo Modernisation Programme. Other points include advocacy with high-level policy makers, such as the WCO, WTO, UN, etc. to create standards that support the facilitation of international trade and ergo the freight forwarder. 



 – Does the Association have any difficulties performing its role? 



– Over the last few years we have been gaining significant ground in the realms of advocacy for the industry. This will only improve in the coming years. The only difficulty that we have experienced is the constraints of our own resources. 



 – FIATA has consultative status with the Economic and Social Council of the UN. What advantages does it bring? 



– This gives FIATA a tremendous advantage. More specifically, it gives an international and influential forum where we can make the voice of the freight forwarding industry heard. Furthermore, it allows us to bring key issues such as logistics connectivity and sustainability to the UN for discussion, which in turn will translate into international policy. 



– The organizational structure of FIATA includes: the Multimodal Transport Institute, the Air Freight Institute and the Customs Affairs Institute. What is the main task for each of these organisations today? 



– As I am sure you are aware, the Multimodal Transport Institute (MTI) contains three Working Groups that handle transport issues in the road, rail, and maritime sectors. Its main purpose is to keep freight forwarders advised of legislative developments, their implementations, and their associated impact. In addition, in recent years, FIATA has made a concerted effort to improve the way in which transport documents are exchanged, such as with e-freight and the digitalisation of documents (the electronic FIATA Bill of Lading, for example). 

 The Air Freight Institute (AFI) is tasked with defining, crafting, and promoting the role of the forwarder in the international air cargo market. To further its mission, the Air Freight Institute has developed ongoing relationships with all the stakeholders in the air transport industry such as NGOs, Governments, carriers, regulators, etc. In a more specific example, AFI has been working with IATA to develop an Air Cargo Modernisation Programme in order to bring airfreight into the 21st century in terms of technology and ease of use. 

 The final institute, the Customs Affairs Institute (CAI), deals with the issue that is the most prevalent for all freight forwarders, that being customs. It is the task of CAI to examine the customs arrangements or regulations of countries and advise FIATA members on their implications. Through CAI, FIATA has developed a close working relationship with the World Customs Organisation in order to give a louder voice to the forwarding industry in all matters concerning international customs.  



– Could you tell us, please, about FIATA's main projects for the next several years? 



– FIATA is involved in multiple areas of the transportation and logistics industry; there will be several key focus areas. Given that freight forwarders are the main facilitators in world trade, all of our activities and policies are driven by the concept of trade facilitation. Advocacy is always a key activity from year to year and this will be true for this year, especially with our focus on logistics connectivity in the UN’s Sustainability Goals. Areas such as security concerns, vocational training (especially in dangerous goods), and the development of the Air Cargo Modernization Programme will draw considerable attention and resources in the coming months if not years. We will be very busy at FIATA. 



– The FIATA World Congress will be held in October 2014 where you are going to present some new projects. Could you “lift the veil” for our readers? 



– I can assure you that this year’s FIATA World Congress in Istanbul will be filled with engaging discussions on the most pertinent issues facing the global transportation and logistics industry. However, I cannot just give out the big surprises, you will have to wait and see! 

Interviewed by Kirill Kovalenko
    [~DETAIL_TEXT] => 
Growing Membership



– Mr Parisi, you were elected as the FIATA’s President at the General Meeting in October, 2013. What was your first big decision as Presi­dent? 



– The governing structure of FIATA, which I have inherited from my wise predecessors, is very complex, but fully democratic. The President’s main duty is to make sure that the decision making process of the Institutes and Committees runs smoothly under the supervision of the Extended Board, over which I am honored to preside; it is crucial that the decisions taken are timely and they are correctly implemented. Having said that, it is my intention to make sure that FIATA will serve the demands of its association members in the different parts of the world at least as closely as they have been tended in the past, with the ambition to learn from the past and try to perform even better. Listening to their requirements is probably my first and most important presidential task. 

Furthermore, FIATA will liaise continually with international organisations, especially those connected to the UN, with whom we have been able to make investments and arrange for the appropriate resources. To achieve the ambitious goals of its vast agenda FIATA will have to employ more resources, for this reason, we are working on an important medium term plan to strengthen the organisation of FIATA.



– One of the main goals of your Association is the integration of the forwarders of all countries and representation of its interests at the global forwarding market. Is it a complex process for a company to be included in the Association? 



– The process to join FIATA is a very simple one indeed. If a freight forwarding or logistics company wishes to join FIATA as an Individual Member, they first must apply to join the FIATA Member Association in their country or region. In this case, it is the Freight Forwarders’ Association of the Russian Federation (FAR). If they are accepted into FAR and endorsed by the Association, the company can then submit their application (which is signed and stamped by FAR) for Membership Type Blue to FIATA. Once received by the FIATA Secretariat in Zurich, an invoice for the membership fee is created and sent to the applicant. After payment is confirmed, the company is sent their welcome pack and is a full-fledged Individual Member of FIATA. 



– How long does it take to make a decision about the future participation of any company? 



– As you can tell from the above, this is a process that could take some time, several weeks in some cases. However, this process is about to be streamlined. This is thanks to the new Automated Membership Management System (AMMS) which will be a main feature in the new FIATA website, which was launched in May. With the new AMMS, a company applies on the FIATA website and the entire process, from application to payment, is conducted online. As with the previous process, the Association Member has the final say on which company can become a member however, this new process will shorten the time to become an Individual Member of FIATA to a couple days.



– The Russian Railways Logistics Company joined the FIATA Association in January 2013. What share of FIATA’s participants are from the Russian forwarding sector? 



– There are presently over 5.000 Individual Members of FIATA and 110 Association Members. Out of these, there is only one Russian Association, FAR. In addition, there are approximately 70 Individual Members from Russia. Given the scope of the Russian economy and the sheer size of the country, there is a significant opportunity for more FIATA representation in Russia. It is my goal during my term as President to grow FIATA membership around the globe, especially in such economically important countries as Russia.



Focusing on Sustainability



– One of FIATA's aims is improving the quality of forwarding services. How will your Association achieve this? 



– This is a very broad topic, as every activity that FIATA undertakes is to improve the quality of forwarding services around the world. I will just briefly touch on a few points. The first point is the promotion and development of electronic freight solutions and the digitalisation of accompanying documents, such as the electronic FIATA Bill of Lading. A second point is working with other international organisations to update transport standards, for example, our work with IATA on the Air Cargo Modernisation Programme. Other points include advocacy with high-level policy makers, such as the WCO, WTO, UN, etc. to create standards that support the facilitation of international trade and ergo the freight forwarder. 



 – Does the Association have any difficulties performing its role? 



– Over the last few years we have been gaining significant ground in the realms of advocacy for the industry. This will only improve in the coming years. The only difficulty that we have experienced is the constraints of our own resources. 



 – FIATA has consultative status with the Economic and Social Council of the UN. What advantages does it bring? 



– This gives FIATA a tremendous advantage. More specifically, it gives an international and influential forum where we can make the voice of the freight forwarding industry heard. Furthermore, it allows us to bring key issues such as logistics connectivity and sustainability to the UN for discussion, which in turn will translate into international policy. 



– The organizational structure of FIATA includes: the Multimodal Transport Institute, the Air Freight Institute and the Customs Affairs Institute. What is the main task for each of these organisations today? 



– As I am sure you are aware, the Multimodal Transport Institute (MTI) contains three Working Groups that handle transport issues in the road, rail, and maritime sectors. Its main purpose is to keep freight forwarders advised of legislative developments, their implementations, and their associated impact. In addition, in recent years, FIATA has made a concerted effort to improve the way in which transport documents are exchanged, such as with e-freight and the digitalisation of documents (the electronic FIATA Bill of Lading, for example). 

 The Air Freight Institute (AFI) is tasked with defining, crafting, and promoting the role of the forwarder in the international air cargo market. To further its mission, the Air Freight Institute has developed ongoing relationships with all the stakeholders in the air transport industry such as NGOs, Governments, carriers, regulators, etc. In a more specific example, AFI has been working with IATA to develop an Air Cargo Modernisation Programme in order to bring airfreight into the 21st century in terms of technology and ease of use. 

 The final institute, the Customs Affairs Institute (CAI), deals with the issue that is the most prevalent for all freight forwarders, that being customs. It is the task of CAI to examine the customs arrangements or regulations of countries and advise FIATA members on their implications. Through CAI, FIATA has developed a close working relationship with the World Customs Organisation in order to give a louder voice to the forwarding industry in all matters concerning international customs.  



– Could you tell us, please, about FIATA's main projects for the next several years? 



– FIATA is involved in multiple areas of the transportation and logistics industry; there will be several key focus areas. Given that freight forwarders are the main facilitators in world trade, all of our activities and policies are driven by the concept of trade facilitation. Advocacy is always a key activity from year to year and this will be true for this year, especially with our focus on logistics connectivity in the UN’s Sustainability Goals. Areas such as security concerns, vocational training (especially in dangerous goods), and the development of the Air Cargo Modernization Programme will draw considerable attention and resources in the coming months if not years. We will be very busy at FIATA. 



– The FIATA World Congress will be held in October 2014 where you are going to present some new projects. Could you “lift the veil” for our readers? 



– I can assure you that this year’s FIATA World Congress in Istanbul will be filled with engaging discussions on the most pertinent issues facing the global transportation and logistics industry. However, I cannot just give out the big surprises, you will have to wait and see! 

Interviewed by Kirill Kovalenko
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The President of International Federation of Freight Forwarders Associations (FIATA), Mr Francesco Parisi, talks about the activities of his organization and cooperation with Russia. 
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Growing Membership



– Mr Parisi, you were elected as the FIATA’s President at the General Meeting in October, 2013. What was your first big decision as Presi­dent? 



– The governing structure of FIATA, which I have inherited from my wise predecessors, is very complex, but fully democratic. The President’s main duty is to make sure that the decision making process of the Institutes and Committees runs smoothly under the supervision of the Extended Board, over which I am honored to preside; it is crucial that the decisions taken are timely and they are correctly implemented. Having said that, it is my intention to make sure that FIATA will serve the demands of its association members in the different parts of the world at least as closely as they have been tended in the past, with the ambition to learn from the past and try to perform even better. Listening to their requirements is probably my first and most important presidential task. 

Furthermore, FIATA will liaise continually with international organisations, especially those connected to the UN, with whom we have been able to make investments and arrange for the appropriate resources. To achieve the ambitious goals of its vast agenda FIATA will have to employ more resources, for this reason, we are working on an important medium term plan to strengthen the organisation of FIATA.



– One of the main goals of your Association is the integration of the forwarders of all countries and representation of its interests at the global forwarding market. Is it a complex process for a company to be included in the Association? 



– The process to join FIATA is a very simple one indeed. If a freight forwarding or logistics company wishes to join FIATA as an Individual Member, they first must apply to join the FIATA Member Association in their country or region. In this case, it is the Freight Forwarders’ Association of the Russian Federation (FAR). If they are accepted into FAR and endorsed by the Association, the company can then submit their application (which is signed and stamped by FAR) for Membership Type Blue to FIATA. Once received by the FIATA Secretariat in Zurich, an invoice for the membership fee is created and sent to the applicant. After payment is confirmed, the company is sent their welcome pack and is a full-fledged Individual Member of FIATA. 



– How long does it take to make a decision about the future participation of any company? 



– As you can tell from the above, this is a process that could take some time, several weeks in some cases. However, this process is about to be streamlined. This is thanks to the new Automated Membership Management System (AMMS) which will be a main feature in the new FIATA website, which was launched in May. With the new AMMS, a company applies on the FIATA website and the entire process, from application to payment, is conducted online. As with the previous process, the Association Member has the final say on which company can become a member however, this new process will shorten the time to become an Individual Member of FIATA to a couple days.



– The Russian Railways Logistics Company joined the FIATA Association in January 2013. What share of FIATA’s participants are from the Russian forwarding sector? 



– There are presently over 5.000 Individual Members of FIATA and 110 Association Members. Out of these, there is only one Russian Association, FAR. In addition, there are approximately 70 Individual Members from Russia. Given the scope of the Russian economy and the sheer size of the country, there is a significant opportunity for more FIATA representation in Russia. It is my goal during my term as President to grow FIATA membership around the globe, especially in such economically important countries as Russia.



Focusing on Sustainability



– One of FIATA's aims is improving the quality of forwarding services. How will your Association achieve this? 



– This is a very broad topic, as every activity that FIATA undertakes is to improve the quality of forwarding services around the world. I will just briefly touch on a few points. The first point is the promotion and development of electronic freight solutions and the digitalisation of accompanying documents, such as the electronic FIATA Bill of Lading. A second point is working with other international organisations to update transport standards, for example, our work with IATA on the Air Cargo Modernisation Programme. Other points include advocacy with high-level policy makers, such as the WCO, WTO, UN, etc. to create standards that support the facilitation of international trade and ergo the freight forwarder. 



 – Does the Association have any difficulties performing its role? 



– Over the last few years we have been gaining significant ground in the realms of advocacy for the industry. This will only improve in the coming years. The only difficulty that we have experienced is the constraints of our own resources. 



 – FIATA has consultative status with the Economic and Social Council of the UN. What advantages does it bring? 



– This gives FIATA a tremendous advantage. More specifically, it gives an international and influential forum where we can make the voice of the freight forwarding industry heard. Furthermore, it allows us to bring key issues such as logistics connectivity and sustainability to the UN for discussion, which in turn will translate into international policy. 



– The organizational structure of FIATA includes: the Multimodal Transport Institute, the Air Freight Institute and the Customs Affairs Institute. What is the main task for each of these organisations today? 



– As I am sure you are aware, the Multimodal Transport Institute (MTI) contains three Working Groups that handle transport issues in the road, rail, and maritime sectors. Its main purpose is to keep freight forwarders advised of legislative developments, their implementations, and their associated impact. In addition, in recent years, FIATA has made a concerted effort to improve the way in which transport documents are exchanged, such as with e-freight and the digitalisation of documents (the electronic FIATA Bill of Lading, for example). 

 The Air Freight Institute (AFI) is tasked with defining, crafting, and promoting the role of the forwarder in the international air cargo market. To further its mission, the Air Freight Institute has developed ongoing relationships with all the stakeholders in the air transport industry such as NGOs, Governments, carriers, regulators, etc. In a more specific example, AFI has been working with IATA to develop an Air Cargo Modernisation Programme in order to bring airfreight into the 21st century in terms of technology and ease of use. 

 The final institute, the Customs Affairs Institute (CAI), deals with the issue that is the most prevalent for all freight forwarders, that being customs. It is the task of CAI to examine the customs arrangements or regulations of countries and advise FIATA members on their implications. Through CAI, FIATA has developed a close working relationship with the World Customs Organisation in order to give a louder voice to the forwarding industry in all matters concerning international customs.  



– Could you tell us, please, about FIATA's main projects for the next several years? 



– FIATA is involved in multiple areas of the transportation and logistics industry; there will be several key focus areas. Given that freight forwarders are the main facilitators in world trade, all of our activities and policies are driven by the concept of trade facilitation. Advocacy is always a key activity from year to year and this will be true for this year, especially with our focus on logistics connectivity in the UN’s Sustainability Goals. Areas such as security concerns, vocational training (especially in dangerous goods), and the development of the Air Cargo Modernization Programme will draw considerable attention and resources in the coming months if not years. We will be very busy at FIATA. 



– The FIATA World Congress will be held in October 2014 where you are going to present some new projects. Could you “lift the veil” for our readers? 



– I can assure you that this year’s FIATA World Congress in Istanbul will be filled with engaging discussions on the most pertinent issues facing the global transportation and logistics industry. However, I cannot just give out the big surprises, you will have to wait and see! 

Interviewed by Kirill Kovalenko
    [~DETAIL_TEXT] => 
Growing Membership



– Mr Parisi, you were elected as the FIATA’s President at the General Meeting in October, 2013. What was your first big decision as Presi­dent? 



– The governing structure of FIATA, which I have inherited from my wise predecessors, is very complex, but fully democratic. The President’s main duty is to make sure that the decision making process of the Institutes and Committees runs smoothly under the supervision of the Extended Board, over which I am honored to preside; it is crucial that the decisions taken are timely and they are correctly implemented. Having said that, it is my intention to make sure that FIATA will serve the demands of its association members in the different parts of the world at least as closely as they have been tended in the past, with the ambition to learn from the past and try to perform even better. Listening to their requirements is probably my first and most important presidential task. 

Furthermore, FIATA will liaise continually with international organisations, especially those connected to the UN, with whom we have been able to make investments and arrange for the appropriate resources. To achieve the ambitious goals of its vast agenda FIATA will have to employ more resources, for this reason, we are working on an important medium term plan to strengthen the organisation of FIATA.



– One of the main goals of your Association is the integration of the forwarders of all countries and representation of its interests at the global forwarding market. Is it a complex process for a company to be included in the Association? 



– The process to join FIATA is a very simple one indeed. If a freight forwarding or logistics company wishes to join FIATA as an Individual Member, they first must apply to join the FIATA Member Association in their country or region. In this case, it is the Freight Forwarders’ Association of the Russian Federation (FAR). If they are accepted into FAR and endorsed by the Association, the company can then submit their application (which is signed and stamped by FAR) for Membership Type Blue to FIATA. Once received by the FIATA Secretariat in Zurich, an invoice for the membership fee is created and sent to the applicant. After payment is confirmed, the company is sent their welcome pack and is a full-fledged Individual Member of FIATA. 



– How long does it take to make a decision about the future participation of any company? 



– As you can tell from the above, this is a process that could take some time, several weeks in some cases. However, this process is about to be streamlined. This is thanks to the new Automated Membership Management System (AMMS) which will be a main feature in the new FIATA website, which was launched in May. With the new AMMS, a company applies on the FIATA website and the entire process, from application to payment, is conducted online. As with the previous process, the Association Member has the final say on which company can become a member however, this new process will shorten the time to become an Individual Member of FIATA to a couple days.



– The Russian Railways Logistics Company joined the FIATA Association in January 2013. What share of FIATA’s participants are from the Russian forwarding sector? 



– There are presently over 5.000 Individual Members of FIATA and 110 Association Members. Out of these, there is only one Russian Association, FAR. In addition, there are approximately 70 Individual Members from Russia. Given the scope of the Russian economy and the sheer size of the country, there is a significant opportunity for more FIATA representation in Russia. It is my goal during my term as President to grow FIATA membership around the globe, especially in such economically important countries as Russia.



Focusing on Sustainability



– One of FIATA's aims is improving the quality of forwarding services. How will your Association achieve this? 



– This is a very broad topic, as every activity that FIATA undertakes is to improve the quality of forwarding services around the world. I will just briefly touch on a few points. The first point is the promotion and development of electronic freight solutions and the digitalisation of accompanying documents, such as the electronic FIATA Bill of Lading. A second point is working with other international organisations to update transport standards, for example, our work with IATA on the Air Cargo Modernisation Programme. Other points include advocacy with high-level policy makers, such as the WCO, WTO, UN, etc. to create standards that support the facilitation of international trade and ergo the freight forwarder. 



 – Does the Association have any difficulties performing its role? 



– Over the last few years we have been gaining significant ground in the realms of advocacy for the industry. This will only improve in the coming years. The only difficulty that we have experienced is the constraints of our own resources. 



 – FIATA has consultative status with the Economic and Social Council of the UN. What advantages does it bring? 



– This gives FIATA a tremendous advantage. More specifically, it gives an international and influential forum where we can make the voice of the freight forwarding industry heard. Furthermore, it allows us to bring key issues such as logistics connectivity and sustainability to the UN for discussion, which in turn will translate into international policy. 



– The organizational structure of FIATA includes: the Multimodal Transport Institute, the Air Freight Institute and the Customs Affairs Institute. What is the main task for each of these organisations today? 



– As I am sure you are aware, the Multimodal Transport Institute (MTI) contains three Working Groups that handle transport issues in the road, rail, and maritime sectors. Its main purpose is to keep freight forwarders advised of legislative developments, their implementations, and their associated impact. In addition, in recent years, FIATA has made a concerted effort to improve the way in which transport documents are exchanged, such as with e-freight and the digitalisation of documents (the electronic FIATA Bill of Lading, for example). 

 The Air Freight Institute (AFI) is tasked with defining, crafting, and promoting the role of the forwarder in the international air cargo market. To further its mission, the Air Freight Institute has developed ongoing relationships with all the stakeholders in the air transport industry such as NGOs, Governments, carriers, regulators, etc. In a more specific example, AFI has been working with IATA to develop an Air Cargo Modernisation Programme in order to bring airfreight into the 21st century in terms of technology and ease of use. 

 The final institute, the Customs Affairs Institute (CAI), deals with the issue that is the most prevalent for all freight forwarders, that being customs. It is the task of CAI to examine the customs arrangements or regulations of countries and advise FIATA members on their implications. Through CAI, FIATA has developed a close working relationship with the World Customs Organisation in order to give a louder voice to the forwarding industry in all matters concerning international customs.  



– Could you tell us, please, about FIATA's main projects for the next several years? 



– FIATA is involved in multiple areas of the transportation and logistics industry; there will be several key focus areas. Given that freight forwarders are the main facilitators in world trade, all of our activities and policies are driven by the concept of trade facilitation. Advocacy is always a key activity from year to year and this will be true for this year, especially with our focus on logistics connectivity in the UN’s Sustainability Goals. Areas such as security concerns, vocational training (especially in dangerous goods), and the development of the Air Cargo Modernization Programme will draw considerable attention and resources in the coming months if not years. We will be very busy at FIATA. 



– The FIATA World Congress will be held in October 2014 where you are going to present some new projects. Could you “lift the veil” for our readers? 



– I can assure you that this year’s FIATA World Congress in Istanbul will be filled with engaging discussions on the most pertinent issues facing the global transportation and logistics industry. However, I cannot just give out the big surprises, you will have to wait and see! 

Interviewed by Kirill Kovalenko
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Trucks Win the Competition



– Mr Semenov, could you tell us, please, about the process of beer transportation? What modes of transport are usually chosen for this purpose?



– There are no special conditions for the transportation of beer. It is delivered by all types of transport at temperatures from 0°C to +30°C. Temperature increases to 37°C within 25 days are allowed. During the summer time we use normal rolling stock – isothermal eurotrucks or isothermal coaches. During the winter period we choose trucks with special thermo–systems or refrigerated rolling stock, in which beer does not freeze. Transportation by rail is more complicated because we have to think about the size of the cargo. Sometimes our clients just don't need such large volumes. Shipment by trucks has a great advantage – we can send our goods directly to the client's door.

There are many criteria influencing the choice of rolling stock – environmental protection, economy, speed, and as I already mentioned, the volume of freight. To choose the right rolling stock Heineken in Russia uses a special tool, which shows, how exactly we will deliver beer to our customer. It is important to know if our customer has its own railway infrastructure – most clients do not have it. Even if we want to send goods by railway, sometimes it is just impossible.

Trucks allow the provision of regular deliveries, and to send small volumes over short distances. However, motor transport has also a number of disadvantages. For example, the high level of harmful CO2 emissions, traffic conditions, low demand for backloading in some regions and limited range.

Traditionally only about a quarter of production by Heineken in Russia goes by rail, and this figure has not changed for many years. 

Why? Nothing changed in infrastructure development recently. Logistics complexes, which allow a carrier to transport cargo to the station and to deliver it directly to the client, were not built. 

We would like to transport more goods by rail, but in present conditions, we are not able to do it. Many clients of Heineken refrain from developing a rail infrastructure, as it is very expensive to maintain.



– What logistic problems does your company face?



– There is legislative pressure on brewing enterprises, connected with the introduction of high administrative barriers. For example since 2012 the requirement for provision of the additional accompanying documentation – forms A and B – was implemented. They need to be made for each type of shipped freight. Additionally, there was a requirement for mandatory declaration of alcoholic products, even for internal transportation. All this data should also correspond to forms A and B. 

The main difficulty connected to these changes is that the number of documents grew. It complicates our operation and leads to additional expenses.

Besides, our strong dependence on motor transport is based upon the current market situation: sometimes there is not enough free rolling stock. It leads to failures in the logistics chains of all cargo owners. It happens during New Year and May celebrations, in the case of the introduction of new laws hindering commodity turnover with neighboring countries, etc.



The Advantages Are Unclear



–    As we know, the Heineken company set a goal to become the greenest brewer in the world. That means you have to organize green logistics chains. How are you going to achieve this goal if rail transportation still loses out to road transport?



– Since 2010 the Heineken company has implemented a program of sustainable development called “Brewing a Better Future”. According to this program, our purpose is to become the most socially responsible vendor of beer by 2020. We are trying to come closer to our target at each stage of production and distribution.

Of course, within this concept we pay attention to the process of distribution of raw materials and finished goods. When we choose our suppliers, we always give priority to carriers with high environmental and technical standards of safety and motor transport with Euro-4 standard fuel. Additionally, to lower levels of CO2 emission, we developed a unique model to reduce our carbon footprint at all stages of the life cycle of a product. Within this model at a distribution stage, we trace CO2 emissions from all the types of vehicles we use. We also have such tools as the “green compass” which helps define what work has to be done in future to decrease CO2 emissions, and “The book of the best practice”, created together with other operational companies. Due to it, we can borrow the already successfully tested practices of our colleagues.



– Is it difficult to develop green logistics in Russia? Is it easy to find responsible operators here?



– We organize tenders during which our potential partners fill in questionnaires. They have to answer questions concerning their green activities. Then we evaluate their rolling stock, compliance of their trucks to norms of Euro-4, we look at whether green distribution is developed in these companies.

The Russian transport companies for many years were buying second-hand rolling stock from the European Union. This practice changed a few years ago when operators began to take new machines under a lease. Actually, the market starts understanding that it is necessary to become more responsible. There are examples when we cooperated with other suppliers to reduce the empty running of some transport. We also inform companies about new types of the lightweight trailers and on methods of loading – if it is possible to load more freight without violating legislative norms. 

We and train drivers regularly discuss driving in a green zone. In Poland the transport-forwarding companies have now bought lightweight trailers into which it is possible to load 10–15% more cargo. It is difficult for Russian owners to buy such trailers, as they are more expensive than standard ones. The state has to participate in these initiatives and provide subsidies. In addition, we suggest all our energy industries be connected to the Green Freight Europe portal. 

As for stimulation of the development of green logistics, the market can offer opportunities for long-term cooperation with large cargo owners. That would be the best motivation here. If the transport company understands that it gets certain advantages, it will be motivated to use green delivery chains.



– It is known that RZD is now interested in profitable loads. Therefore, the company is offering a variety of new services to such cargo owners. For example, specialists from the Oktyabrskaya Railway provided an opportunity to book a place in freight shuttle trains running from St Petersburg to the Far East. Is this interesting to you?



– Within our distribution process, we send our goods both by truck and rail. If we know more about the benefits we receive from railway deliveries, we will probably be more interested in new services.

Today there is a certain threshold from which we start using railroad services – 2,500 km, but here it is also important to consider the logistics. 

As for shuttles, it is not clear yet how this process will be organized.  The train will go from station to station.  Somehow, delivery from the platform to the door of the client should be also organized.  Now the process becomes complicated.

RZD is trying to solve this problem. Only when this element is clear, will it be possible to switch from motor transport to the railroad, but for now clients will not take delivery of freight at the station. They want to receive it directly at their warehouse.

The service offered by railway, should be comparable to the service offered by motor transport. Transportation by trucks is faster, even if we compare it with shuttle trains, offered by Oktyabrskaya Railway, and there are no additional operations. If you overload the integrity of the package, it always breaks. The more often the package is touched, the worse it looks. Therefore, only the services of sophisticated logistics will allow the Russian Railways to attract new players.

Interviewed by Kristina Alexandrova


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Trucks Win the Competition



– Mr Semenov, could you tell us, please, about the process of beer transportation? What modes of transport are usually chosen for this purpose?



– There are no special conditions for the transportation of beer. It is delivered by all types of transport at temperatures from 0°C to +30°C. Temperature increases to 37°C within 25 days are allowed. During the summer time we use normal rolling stock – isothermal eurotrucks or isothermal coaches. During the winter period we choose trucks with special thermo–systems or refrigerated rolling stock, in which beer does not freeze. Transportation by rail is more complicated because we have to think about the size of the cargo. Sometimes our clients just don't need such large volumes. Shipment by trucks has a great advantage – we can send our goods directly to the client's door.

There are many criteria influencing the choice of rolling stock – environmental protection, economy, speed, and as I already mentioned, the volume of freight. To choose the right rolling stock Heineken in Russia uses a special tool, which shows, how exactly we will deliver beer to our customer. It is important to know if our customer has its own railway infrastructure – most clients do not have it. Even if we want to send goods by railway, sometimes it is just impossible.

Trucks allow the provision of regular deliveries, and to send small volumes over short distances. However, motor transport has also a number of disadvantages. For example, the high level of harmful CO2 emissions, traffic conditions, low demand for backloading in some regions and limited range.

Traditionally only about a quarter of production by Heineken in Russia goes by rail, and this figure has not changed for many years. 

Why? Nothing changed in infrastructure development recently. Logistics complexes, which allow a carrier to transport cargo to the station and to deliver it directly to the client, were not built. 

We would like to transport more goods by rail, but in present conditions, we are not able to do it. Many clients of Heineken refrain from developing a rail infrastructure, as it is very expensive to maintain.



– What logistic problems does your company face?



– There is legislative pressure on brewing enterprises, connected with the introduction of high administrative barriers. For example since 2012 the requirement for provision of the additional accompanying documentation – forms A and B – was implemented. They need to be made for each type of shipped freight. Additionally, there was a requirement for mandatory declaration of alcoholic products, even for internal transportation. All this data should also correspond to forms A and B. 

The main difficulty connected to these changes is that the number of documents grew. It complicates our operation and leads to additional expenses.

Besides, our strong dependence on motor transport is based upon the current market situation: sometimes there is not enough free rolling stock. It leads to failures in the logistics chains of all cargo owners. It happens during New Year and May celebrations, in the case of the introduction of new laws hindering commodity turnover with neighboring countries, etc.



The Advantages Are Unclear



–    As we know, the Heineken company set a goal to become the greenest brewer in the world. That means you have to organize green logistics chains. How are you going to achieve this goal if rail transportation still loses out to road transport?



– Since 2010 the Heineken company has implemented a program of sustainable development called “Brewing a Better Future”. According to this program, our purpose is to become the most socially responsible vendor of beer by 2020. We are trying to come closer to our target at each stage of production and distribution.

Of course, within this concept we pay attention to the process of distribution of raw materials and finished goods. When we choose our suppliers, we always give priority to carriers with high environmental and technical standards of safety and motor transport with Euro-4 standard fuel. Additionally, to lower levels of CO2 emission, we developed a unique model to reduce our carbon footprint at all stages of the life cycle of a product. Within this model at a distribution stage, we trace CO2 emissions from all the types of vehicles we use. We also have such tools as the “green compass” which helps define what work has to be done in future to decrease CO2 emissions, and “The book of the best practice”, created together with other operational companies. Due to it, we can borrow the already successfully tested practices of our colleagues.



– Is it difficult to develop green logistics in Russia? Is it easy to find responsible operators here?



– We organize tenders during which our potential partners fill in questionnaires. They have to answer questions concerning their green activities. Then we evaluate their rolling stock, compliance of their trucks to norms of Euro-4, we look at whether green distribution is developed in these companies.

The Russian transport companies for many years were buying second-hand rolling stock from the European Union. This practice changed a few years ago when operators began to take new machines under a lease. Actually, the market starts understanding that it is necessary to become more responsible. There are examples when we cooperated with other suppliers to reduce the empty running of some transport. We also inform companies about new types of the lightweight trailers and on methods of loading – if it is possible to load more freight without violating legislative norms. 

We and train drivers regularly discuss driving in a green zone. In Poland the transport-forwarding companies have now bought lightweight trailers into which it is possible to load 10–15% more cargo. It is difficult for Russian owners to buy such trailers, as they are more expensive than standard ones. The state has to participate in these initiatives and provide subsidies. In addition, we suggest all our energy industries be connected to the Green Freight Europe portal. 

As for stimulation of the development of green logistics, the market can offer opportunities for long-term cooperation with large cargo owners. That would be the best motivation here. If the transport company understands that it gets certain advantages, it will be motivated to use green delivery chains.



– It is known that RZD is now interested in profitable loads. Therefore, the company is offering a variety of new services to such cargo owners. For example, specialists from the Oktyabrskaya Railway provided an opportunity to book a place in freight shuttle trains running from St Petersburg to the Far East. Is this interesting to you?



– Within our distribution process, we send our goods both by truck and rail. If we know more about the benefits we receive from railway deliveries, we will probably be more interested in new services.

Today there is a certain threshold from which we start using railroad services – 2,500 km, but here it is also important to consider the logistics. 

As for shuttles, it is not clear yet how this process will be organized.  The train will go from station to station.  Somehow, delivery from the platform to the door of the client should be also organized.  Now the process becomes complicated.

RZD is trying to solve this problem. Only when this element is clear, will it be possible to switch from motor transport to the railroad, but for now clients will not take delivery of freight at the station. They want to receive it directly at their warehouse.

The service offered by railway, should be comparable to the service offered by motor transport. Transportation by trucks is faster, even if we compare it with shuttle trains, offered by Oktyabrskaya Railway, and there are no additional operations. If you overload the integrity of the package, it always breaks. The more often the package is touched, the worse it looks. Therefore, only the services of sophisticated logistics will allow the Russian Railways to attract new players.

Interviewed by Kristina Alexandrova


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Trucks Win the Competition



– Mr Semenov, could you tell us, please, about the process of beer transportation? What modes of transport are usually chosen for this purpose?



– There are no special conditions for the transportation of beer. It is delivered by all types of transport at temperatures from 0°C to +30°C. Temperature increases to 37°C within 25 days are allowed. During the summer time we use normal rolling stock – isothermal eurotrucks or isothermal coaches. During the winter period we choose trucks with special thermo–systems or refrigerated rolling stock, in which beer does not freeze. Transportation by rail is more complicated because we have to think about the size of the cargo. Sometimes our clients just don't need such large volumes. Shipment by trucks has a great advantage – we can send our goods directly to the client's door.

There are many criteria influencing the choice of rolling stock – environmental protection, economy, speed, and as I already mentioned, the volume of freight. To choose the right rolling stock Heineken in Russia uses a special tool, which shows, how exactly we will deliver beer to our customer. It is important to know if our customer has its own railway infrastructure – most clients do not have it. Even if we want to send goods by railway, sometimes it is just impossible.

Trucks allow the provision of regular deliveries, and to send small volumes over short distances. However, motor transport has also a number of disadvantages. For example, the high level of harmful CO2 emissions, traffic conditions, low demand for backloading in some regions and limited range.

Traditionally only about a quarter of production by Heineken in Russia goes by rail, and this figure has not changed for many years. 

Why? Nothing changed in infrastructure development recently. Logistics complexes, which allow a carrier to transport cargo to the station and to deliver it directly to the client, were not built. 

We would like to transport more goods by rail, but in present conditions, we are not able to do it. Many clients of Heineken refrain from developing a rail infrastructure, as it is very expensive to maintain.



– What logistic problems does your company face?



– There is legislative pressure on brewing enterprises, connected with the introduction of high administrative barriers. For example since 2012 the requirement for provision of the additional accompanying documentation – forms A and B – was implemented. They need to be made for each type of shipped freight. Additionally, there was a requirement for mandatory declaration of alcoholic products, even for internal transportation. All this data should also correspond to forms A and B. 

The main difficulty connected to these changes is that the number of documents grew. It complicates our operation and leads to additional expenses.

Besides, our strong dependence on motor transport is based upon the current market situation: sometimes there is not enough free rolling stock. It leads to failures in the logistics chains of all cargo owners. It happens during New Year and May celebrations, in the case of the introduction of new laws hindering commodity turnover with neighboring countries, etc.



The Advantages Are Unclear



–    As we know, the Heineken company set a goal to become the greenest brewer in the world. That means you have to organize green logistics chains. How are you going to achieve this goal if rail transportation still loses out to road transport?



– Since 2010 the Heineken company has implemented a program of sustainable development called “Brewing a Better Future”. According to this program, our purpose is to become the most socially responsible vendor of beer by 2020. We are trying to come closer to our target at each stage of production and distribution.

Of course, within this concept we pay attention to the process of distribution of raw materials and finished goods. When we choose our suppliers, we always give priority to carriers with high environmental and technical standards of safety and motor transport with Euro-4 standard fuel. Additionally, to lower levels of CO2 emission, we developed a unique model to reduce our carbon footprint at all stages of the life cycle of a product. Within this model at a distribution stage, we trace CO2 emissions from all the types of vehicles we use. We also have such tools as the “green compass” which helps define what work has to be done in future to decrease CO2 emissions, and “The book of the best practice”, created together with other operational companies. Due to it, we can borrow the already successfully tested practices of our colleagues.



– Is it difficult to develop green logistics in Russia? Is it easy to find responsible operators here?



– We organize tenders during which our potential partners fill in questionnaires. They have to answer questions concerning their green activities. Then we evaluate their rolling stock, compliance of their trucks to norms of Euro-4, we look at whether green distribution is developed in these companies.

The Russian transport companies for many years were buying second-hand rolling stock from the European Union. This practice changed a few years ago when operators began to take new machines under a lease. Actually, the market starts understanding that it is necessary to become more responsible. There are examples when we cooperated with other suppliers to reduce the empty running of some transport. We also inform companies about new types of the lightweight trailers and on methods of loading – if it is possible to load more freight without violating legislative norms. 

We and train drivers regularly discuss driving in a green zone. In Poland the transport-forwarding companies have now bought lightweight trailers into which it is possible to load 10–15% more cargo. It is difficult for Russian owners to buy such trailers, as they are more expensive than standard ones. The state has to participate in these initiatives and provide subsidies. In addition, we suggest all our energy industries be connected to the Green Freight Europe portal. 

As for stimulation of the development of green logistics, the market can offer opportunities for long-term cooperation with large cargo owners. That would be the best motivation here. If the transport company understands that it gets certain advantages, it will be motivated to use green delivery chains.



– It is known that RZD is now interested in profitable loads. Therefore, the company is offering a variety of new services to such cargo owners. For example, specialists from the Oktyabrskaya Railway provided an opportunity to book a place in freight shuttle trains running from St Petersburg to the Far East. Is this interesting to you?



– Within our distribution process, we send our goods both by truck and rail. If we know more about the benefits we receive from railway deliveries, we will probably be more interested in new services.

Today there is a certain threshold from which we start using railroad services – 2,500 km, but here it is also important to consider the logistics. 

As for shuttles, it is not clear yet how this process will be organized.  The train will go from station to station.  Somehow, delivery from the platform to the door of the client should be also organized.  Now the process becomes complicated.

RZD is trying to solve this problem. Only when this element is clear, will it be possible to switch from motor transport to the railroad, but for now clients will not take delivery of freight at the station. They want to receive it directly at their warehouse.

The service offered by railway, should be comparable to the service offered by motor transport. Transportation by trucks is faster, even if we compare it with shuttle trains, offered by Oktyabrskaya Railway, and there are no additional operations. If you overload the integrity of the package, it always breaks. The more often the package is touched, the worse it looks. Therefore, only the services of sophisticated logistics will allow the Russian Railways to attract new players.

Interviewed by Kristina Alexandrova


    [~DETAIL_TEXT] => 
Trucks Win the Competition



– Mr Semenov, could you tell us, please, about the process of beer transportation? What modes of transport are usually chosen for this purpose?



– There are no special conditions for the transportation of beer. It is delivered by all types of transport at temperatures from 0°C to +30°C. Temperature increases to 37°C within 25 days are allowed. During the summer time we use normal rolling stock – isothermal eurotrucks or isothermal coaches. During the winter period we choose trucks with special thermo–systems or refrigerated rolling stock, in which beer does not freeze. Transportation by rail is more complicated because we have to think about the size of the cargo. Sometimes our clients just don't need such large volumes. Shipment by trucks has a great advantage – we can send our goods directly to the client's door.

There are many criteria influencing the choice of rolling stock – environmental protection, economy, speed, and as I already mentioned, the volume of freight. To choose the right rolling stock Heineken in Russia uses a special tool, which shows, how exactly we will deliver beer to our customer. It is important to know if our customer has its own railway infrastructure – most clients do not have it. Even if we want to send goods by railway, sometimes it is just impossible.

Trucks allow the provision of regular deliveries, and to send small volumes over short distances. However, motor transport has also a number of disadvantages. For example, the high level of harmful CO2 emissions, traffic conditions, low demand for backloading in some regions and limited range.

Traditionally only about a quarter of production by Heineken in Russia goes by rail, and this figure has not changed for many years. 

Why? Nothing changed in infrastructure development recently. Logistics complexes, which allow a carrier to transport cargo to the station and to deliver it directly to the client, were not built. 

We would like to transport more goods by rail, but in present conditions, we are not able to do it. Many clients of Heineken refrain from developing a rail infrastructure, as it is very expensive to maintain.



– What logistic problems does your company face?



– There is legislative pressure on brewing enterprises, connected with the introduction of high administrative barriers. For example since 2012 the requirement for provision of the additional accompanying documentation – forms A and B – was implemented. They need to be made for each type of shipped freight. Additionally, there was a requirement for mandatory declaration of alcoholic products, even for internal transportation. All this data should also correspond to forms A and B. 

The main difficulty connected to these changes is that the number of documents grew. It complicates our operation and leads to additional expenses.

Besides, our strong dependence on motor transport is based upon the current market situation: sometimes there is not enough free rolling stock. It leads to failures in the logistics chains of all cargo owners. It happens during New Year and May celebrations, in the case of the introduction of new laws hindering commodity turnover with neighboring countries, etc.



The Advantages Are Unclear



–    As we know, the Heineken company set a goal to become the greenest brewer in the world. That means you have to organize green logistics chains. How are you going to achieve this goal if rail transportation still loses out to road transport?



– Since 2010 the Heineken company has implemented a program of sustainable development called “Brewing a Better Future”. According to this program, our purpose is to become the most socially responsible vendor of beer by 2020. We are trying to come closer to our target at each stage of production and distribution.

Of course, within this concept we pay attention to the process of distribution of raw materials and finished goods. When we choose our suppliers, we always give priority to carriers with high environmental and technical standards of safety and motor transport with Euro-4 standard fuel. Additionally, to lower levels of CO2 emission, we developed a unique model to reduce our carbon footprint at all stages of the life cycle of a product. Within this model at a distribution stage, we trace CO2 emissions from all the types of vehicles we use. We also have such tools as the “green compass” which helps define what work has to be done in future to decrease CO2 emissions, and “The book of the best practice”, created together with other operational companies. Due to it, we can borrow the already successfully tested practices of our colleagues.



– Is it difficult to develop green logistics in Russia? Is it easy to find responsible operators here?



– We organize tenders during which our potential partners fill in questionnaires. They have to answer questions concerning their green activities. Then we evaluate their rolling stock, compliance of their trucks to norms of Euro-4, we look at whether green distribution is developed in these companies.

The Russian transport companies for many years were buying second-hand rolling stock from the European Union. This practice changed a few years ago when operators began to take new machines under a lease. Actually, the market starts understanding that it is necessary to become more responsible. There are examples when we cooperated with other suppliers to reduce the empty running of some transport. We also inform companies about new types of the lightweight trailers and on methods of loading – if it is possible to load more freight without violating legislative norms. 

We and train drivers regularly discuss driving in a green zone. In Poland the transport-forwarding companies have now bought lightweight trailers into which it is possible to load 10–15% more cargo. It is difficult for Russian owners to buy such trailers, as they are more expensive than standard ones. The state has to participate in these initiatives and provide subsidies. In addition, we suggest all our energy industries be connected to the Green Freight Europe portal. 

As for stimulation of the development of green logistics, the market can offer opportunities for long-term cooperation with large cargo owners. That would be the best motivation here. If the transport company understands that it gets certain advantages, it will be motivated to use green delivery chains.



– It is known that RZD is now interested in profitable loads. Therefore, the company is offering a variety of new services to such cargo owners. For example, specialists from the Oktyabrskaya Railway provided an opportunity to book a place in freight shuttle trains running from St Petersburg to the Far East. Is this interesting to you?



– Within our distribution process, we send our goods both by truck and rail. If we know more about the benefits we receive from railway deliveries, we will probably be more interested in new services.

Today there is a certain threshold from which we start using railroad services – 2,500 km, but here it is also important to consider the logistics. 

As for shuttles, it is not clear yet how this process will be organized.  The train will go from station to station.  Somehow, delivery from the platform to the door of the client should be also organized.  Now the process becomes complicated.

RZD is trying to solve this problem. Only when this element is clear, will it be possible to switch from motor transport to the railroad, but for now clients will not take delivery of freight at the station. They want to receive it directly at their warehouse.

The service offered by railway, should be comparable to the service offered by motor transport. Transportation by trucks is faster, even if we compare it with shuttle trains, offered by Oktyabrskaya Railway, and there are no additional operations. If you overload the integrity of the package, it always breaks. The more often the package is touched, the worse it looks. Therefore, only the services of sophisticated logistics will allow the Russian Railways to attract new players.

Interviewed by Kristina Alexandrova


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Management and Control



Green technologies put into operation on Russian railways have brought about significant improvements. In fact, it means a stimulation of a renewal of standards, rules, and regulations, and an adjustment of interaction between regulating and controlling state bodies in the environmental protection sector. Let’s talk about the Oktyabrskaya Railway as an example of what has been done in this area (an affiliate of RZD engaged in railway infrastructure operation in the northwest of Russia (except the Kaliningrad region), including routes linking St Petersburg and Moscow).

Let's begin with the first direction. An internal audit of labor protection and industrial safety was carried out on the Oktyabrskaya Railway. This project was managed with the assistance of consultants from DuPont Science and Technology LLC. Following the results of the project, an appropriate network standard was implemented by RZD. 

The next step was the introduction of behavioral safety audits – again under the guidance of consultants from DuPont Science and Technology. 

Risk assessment becomes the main mechanism for developing and making management decisions at the international, state, or regional level, as well as at some production capacities in Europe and international organizations in the safety and environmental sectors. According to this concept, risk management must be the basis of the response, monitoring and control systems, so that risks could be revised after approved corrective actions.

A system of environmental management is being implemented on the railway in the framework of the Environmental Strategy of RZD. It is done in accordance with the Russian legislation and the GOST R ISO-14001 international standard. Environmental monitoring and production environmental control are under way.   

One of the priorities for environmental protection activity is a constant reduction in negative impacts on the environment. This is achieved through the realization of RZD's investment programmes, one of which is the sectoral programme for the management of labour protection, industrial safety, and environmental control of RZD “Provision of Environmental Safety” and railway environment protection programmes.

In the framework of the investment program of RZD “Provision of Environmental Safety”, treatment facilities were built at stations of Sortavala, Olenegorsk; industrial environmental laboratories were equipped and got mobile machinery; equipment and technical facilities for the petrochemical spill response were purchased. Thanks to this, the railway has had no penalties from the regulatory authorities of the Russian Federation Ministry of Natural Resources for pollution of the environment in recent years. 

Therefore, the Oktyabrskaya Railway is very interested in close cooperation with the Directorate for Labour Protection, Industrial Safety, and Environmental Control of RZD, and takes into account the concerns of international consulting companies to continue to improve the labour protection management system. This helps not only to form a positive image of the railway, but also to improve its economic performance.

   

A Factor of Competitiveness



Investment in energy-saving and environmentally-friendly technologies is not just inner efficiency, but a creation of additional benefits in comparison with other transport modes.

Examples of logistics projects carried out in the Russian northwest show what effect green technologies can have.

According to estimations, even a 1% increase in the share of railways in the total transportation volume improves the situation on motorways – there will be fewer emissions from heavy trucks and fewer traffic jams. This is one of the aspects of a positive impact on the environment.

Another aspect is the optimization of fuel consumed by freight transportation. Firstly, in this case we talk about keeping non-renewable resources for future generations. Secondly, fuel costs make up a significant part of transport costs. If a heavy truck consumes 7,114 kg of fuel per one million kilometers, a locomotive needs 2,311 kg of fuel to transport the same amount of cargo. Alternative logistics chains could help save 15,500 tons of fuel, reduce carbon dioxide emissions and the burden on motorways.

Naturally, being an environment-friendly transport is not enough to attract and keep customers in a competitive market. One should offer customers products meeting their price and quality requirements.

Therefore, the Oktyabrskaya Railway offers special services for delivering a high-yielding cargo, so that cargo owners could choose green logistics.

Particularly, to increase the quality of services to customers with small shipments, the concept of selling a “wagon-place” in so called “cargo shuttles” on a timetable was introduced. The basis of the new transport product is the “Technology of Accumulating Wagonloads from St Petersburg stations by the Departure of a Through Weekly St Petersburg-Sortirovochny Moskovsky – Yekaterinburg – Inskaya Train.”

This scheme allows reserving wagon-places in the freight train formed at the St Petersburg-Sortirovochny Moskovsky and moving to Siberia on schedule. At the same time, loaded wagons are consolidated from the departure station of the St Petersburg hub and are carried in pick-up goods trains also travelling on schedule to St Petersburg-Sortirovochny Moskovsky.   

When developing the concept of the new product, its boundary parameters were set. They were defined on the basis of the operating parameters of road transport working on the same route. A comparison of the characteristics of railways and the road transport shows that a competitive delivery time is possible. For example, the delivery time in the direction to the West-Siberian Railway is quite competitive with that of road hauliers – four days (instead of the usual nine days). 

A benefit, especially valued by a customer, is a clear timetable for collection of the freight at stations of St Petersburg hub and delivering it to the final destination stations on time under the supervisory control of the Central Directorate for Traffic Control. 

According to the poll of customers, who already tried it, this service is now in demand. Due to this service, a number of customers have increased the share of rail transport in their consignments, especially taking into account another competitive advantage of the railway – the safety of cargo. 

The next step is to expand the client base and to use this technology on other routes. When planning sales and resources of logistics products, one can take into account, for example, the practice of Sweden, where the railway has long been selling wagon-places in trains, ensuring cargo delivery “just in time”.  ®

By Christina Maleryan, 

Artem Shepelyaev, 

Deputy Head for Marketing 

at Oktyabrsky Territorial 

Transport Service Centre 
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Management and Control



Green technologies put into operation on Russian railways have brought about significant improvements. In fact, it means a stimulation of a renewal of standards, rules, and regulations, and an adjustment of interaction between regulating and controlling state bodies in the environmental protection sector. Let’s talk about the Oktyabrskaya Railway as an example of what has been done in this area (an affiliate of RZD engaged in railway infrastructure operation in the northwest of Russia (except the Kaliningrad region), including routes linking St Petersburg and Moscow).

Let's begin with the first direction. An internal audit of labor protection and industrial safety was carried out on the Oktyabrskaya Railway. This project was managed with the assistance of consultants from DuPont Science and Technology LLC. Following the results of the project, an appropriate network standard was implemented by RZD. 

The next step was the introduction of behavioral safety audits – again under the guidance of consultants from DuPont Science and Technology. 

Risk assessment becomes the main mechanism for developing and making management decisions at the international, state, or regional level, as well as at some production capacities in Europe and international organizations in the safety and environmental sectors. According to this concept, risk management must be the basis of the response, monitoring and control systems, so that risks could be revised after approved corrective actions.

A system of environmental management is being implemented on the railway in the framework of the Environmental Strategy of RZD. It is done in accordance with the Russian legislation and the GOST R ISO-14001 international standard. Environmental monitoring and production environmental control are under way.   

One of the priorities for environmental protection activity is a constant reduction in negative impacts on the environment. This is achieved through the realization of RZD's investment programmes, one of which is the sectoral programme for the management of labour protection, industrial safety, and environmental control of RZD “Provision of Environmental Safety” and railway environment protection programmes.

In the framework of the investment program of RZD “Provision of Environmental Safety”, treatment facilities were built at stations of Sortavala, Olenegorsk; industrial environmental laboratories were equipped and got mobile machinery; equipment and technical facilities for the petrochemical spill response were purchased. Thanks to this, the railway has had no penalties from the regulatory authorities of the Russian Federation Ministry of Natural Resources for pollution of the environment in recent years. 

Therefore, the Oktyabrskaya Railway is very interested in close cooperation with the Directorate for Labour Protection, Industrial Safety, and Environmental Control of RZD, and takes into account the concerns of international consulting companies to continue to improve the labour protection management system. This helps not only to form a positive image of the railway, but also to improve its economic performance.

   

A Factor of Competitiveness



Investment in energy-saving and environmentally-friendly technologies is not just inner efficiency, but a creation of additional benefits in comparison with other transport modes.

Examples of logistics projects carried out in the Russian northwest show what effect green technologies can have.

According to estimations, even a 1% increase in the share of railways in the total transportation volume improves the situation on motorways – there will be fewer emissions from heavy trucks and fewer traffic jams. This is one of the aspects of a positive impact on the environment.

Another aspect is the optimization of fuel consumed by freight transportation. Firstly, in this case we talk about keeping non-renewable resources for future generations. Secondly, fuel costs make up a significant part of transport costs. If a heavy truck consumes 7,114 kg of fuel per one million kilometers, a locomotive needs 2,311 kg of fuel to transport the same amount of cargo. Alternative logistics chains could help save 15,500 tons of fuel, reduce carbon dioxide emissions and the burden on motorways.

Naturally, being an environment-friendly transport is not enough to attract and keep customers in a competitive market. One should offer customers products meeting their price and quality requirements.

Therefore, the Oktyabrskaya Railway offers special services for delivering a high-yielding cargo, so that cargo owners could choose green logistics.

Particularly, to increase the quality of services to customers with small shipments, the concept of selling a “wagon-place” in so called “cargo shuttles” on a timetable was introduced. The basis of the new transport product is the “Technology of Accumulating Wagonloads from St Petersburg stations by the Departure of a Through Weekly St Petersburg-Sortirovochny Moskovsky – Yekaterinburg – Inskaya Train.”

This scheme allows reserving wagon-places in the freight train formed at the St Petersburg-Sortirovochny Moskovsky and moving to Siberia on schedule. At the same time, loaded wagons are consolidated from the departure station of the St Petersburg hub and are carried in pick-up goods trains also travelling on schedule to St Petersburg-Sortirovochny Moskovsky.   

When developing the concept of the new product, its boundary parameters were set. They were defined on the basis of the operating parameters of road transport working on the same route. A comparison of the characteristics of railways and the road transport shows that a competitive delivery time is possible. For example, the delivery time in the direction to the West-Siberian Railway is quite competitive with that of road hauliers – four days (instead of the usual nine days). 

A benefit, especially valued by a customer, is a clear timetable for collection of the freight at stations of St Petersburg hub and delivering it to the final destination stations on time under the supervisory control of the Central Directorate for Traffic Control. 

According to the poll of customers, who already tried it, this service is now in demand. Due to this service, a number of customers have increased the share of rail transport in their consignments, especially taking into account another competitive advantage of the railway – the safety of cargo. 

The next step is to expand the client base and to use this technology on other routes. When planning sales and resources of logistics products, one can take into account, for example, the practice of Sweden, where the railway has long been selling wagon-places in trains, ensuring cargo delivery “just in time”.  ®

By Christina Maleryan, 

Artem Shepelyaev, 

Deputy Head for Marketing 

at Oktyabrsky Territorial 

Transport Service Centre 
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According to the environmental strategy of RZD, a priority of the railways is to implement safe technological processes and energy-saving equipment. 

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Management and Control



Green technologies put into operation on Russian railways have brought about significant improvements. In fact, it means a stimulation of a renewal of standards, rules, and regulations, and an adjustment of interaction between regulating and controlling state bodies in the environmental protection sector. Let’s talk about the Oktyabrskaya Railway as an example of what has been done in this area (an affiliate of RZD engaged in railway infrastructure operation in the northwest of Russia (except the Kaliningrad region), including routes linking St Petersburg and Moscow).

Let's begin with the first direction. An internal audit of labor protection and industrial safety was carried out on the Oktyabrskaya Railway. This project was managed with the assistance of consultants from DuPont Science and Technology LLC. Following the results of the project, an appropriate network standard was implemented by RZD. 

The next step was the introduction of behavioral safety audits – again under the guidance of consultants from DuPont Science and Technology. 

Risk assessment becomes the main mechanism for developing and making management decisions at the international, state, or regional level, as well as at some production capacities in Europe and international organizations in the safety and environmental sectors. According to this concept, risk management must be the basis of the response, monitoring and control systems, so that risks could be revised after approved corrective actions.

A system of environmental management is being implemented on the railway in the framework of the Environmental Strategy of RZD. It is done in accordance with the Russian legislation and the GOST R ISO-14001 international standard. Environmental monitoring and production environmental control are under way.   

One of the priorities for environmental protection activity is a constant reduction in negative impacts on the environment. This is achieved through the realization of RZD's investment programmes, one of which is the sectoral programme for the management of labour protection, industrial safety, and environmental control of RZD “Provision of Environmental Safety” and railway environment protection programmes.

In the framework of the investment program of RZD “Provision of Environmental Safety”, treatment facilities were built at stations of Sortavala, Olenegorsk; industrial environmental laboratories were equipped and got mobile machinery; equipment and technical facilities for the petrochemical spill response were purchased. Thanks to this, the railway has had no penalties from the regulatory authorities of the Russian Federation Ministry of Natural Resources for pollution of the environment in recent years. 

Therefore, the Oktyabrskaya Railway is very interested in close cooperation with the Directorate for Labour Protection, Industrial Safety, and Environmental Control of RZD, and takes into account the concerns of international consulting companies to continue to improve the labour protection management system. This helps not only to form a positive image of the railway, but also to improve its economic performance.

   

A Factor of Competitiveness



Investment in energy-saving and environmentally-friendly technologies is not just inner efficiency, but a creation of additional benefits in comparison with other transport modes.

Examples of logistics projects carried out in the Russian northwest show what effect green technologies can have.

According to estimations, even a 1% increase in the share of railways in the total transportation volume improves the situation on motorways – there will be fewer emissions from heavy trucks and fewer traffic jams. This is one of the aspects of a positive impact on the environment.

Another aspect is the optimization of fuel consumed by freight transportation. Firstly, in this case we talk about keeping non-renewable resources for future generations. Secondly, fuel costs make up a significant part of transport costs. If a heavy truck consumes 7,114 kg of fuel per one million kilometers, a locomotive needs 2,311 kg of fuel to transport the same amount of cargo. Alternative logistics chains could help save 15,500 tons of fuel, reduce carbon dioxide emissions and the burden on motorways.

Naturally, being an environment-friendly transport is not enough to attract and keep customers in a competitive market. One should offer customers products meeting their price and quality requirements.

Therefore, the Oktyabrskaya Railway offers special services for delivering a high-yielding cargo, so that cargo owners could choose green logistics.

Particularly, to increase the quality of services to customers with small shipments, the concept of selling a “wagon-place” in so called “cargo shuttles” on a timetable was introduced. The basis of the new transport product is the “Technology of Accumulating Wagonloads from St Petersburg stations by the Departure of a Through Weekly St Petersburg-Sortirovochny Moskovsky – Yekaterinburg – Inskaya Train.”

This scheme allows reserving wagon-places in the freight train formed at the St Petersburg-Sortirovochny Moskovsky and moving to Siberia on schedule. At the same time, loaded wagons are consolidated from the departure station of the St Petersburg hub and are carried in pick-up goods trains also travelling on schedule to St Petersburg-Sortirovochny Moskovsky.   

When developing the concept of the new product, its boundary parameters were set. They were defined on the basis of the operating parameters of road transport working on the same route. A comparison of the characteristics of railways and the road transport shows that a competitive delivery time is possible. For example, the delivery time in the direction to the West-Siberian Railway is quite competitive with that of road hauliers – four days (instead of the usual nine days). 

A benefit, especially valued by a customer, is a clear timetable for collection of the freight at stations of St Petersburg hub and delivering it to the final destination stations on time under the supervisory control of the Central Directorate for Traffic Control. 

According to the poll of customers, who already tried it, this service is now in demand. Due to this service, a number of customers have increased the share of rail transport in their consignments, especially taking into account another competitive advantage of the railway – the safety of cargo. 

The next step is to expand the client base and to use this technology on other routes. When planning sales and resources of logistics products, one can take into account, for example, the practice of Sweden, where the railway has long been selling wagon-places in trains, ensuring cargo delivery “just in time”.  ®

By Christina Maleryan, 

Artem Shepelyaev, 

Deputy Head for Marketing 

at Oktyabrsky Territorial 

Transport Service Centre 
    [~DETAIL_TEXT] => 
Management and Control



Green technologies put into operation on Russian railways have brought about significant improvements. In fact, it means a stimulation of a renewal of standards, rules, and regulations, and an adjustment of interaction between regulating and controlling state bodies in the environmental protection sector. Let’s talk about the Oktyabrskaya Railway as an example of what has been done in this area (an affiliate of RZD engaged in railway infrastructure operation in the northwest of Russia (except the Kaliningrad region), including routes linking St Petersburg and Moscow).

Let's begin with the first direction. An internal audit of labor protection and industrial safety was carried out on the Oktyabrskaya Railway. This project was managed with the assistance of consultants from DuPont Science and Technology LLC. Following the results of the project, an appropriate network standard was implemented by RZD. 

The next step was the introduction of behavioral safety audits – again under the guidance of consultants from DuPont Science and Technology. 

Risk assessment becomes the main mechanism for developing and making management decisions at the international, state, or regional level, as well as at some production capacities in Europe and international organizations in the safety and environmental sectors. According to this concept, risk management must be the basis of the response, monitoring and control systems, so that risks could be revised after approved corrective actions.

A system of environmental management is being implemented on the railway in the framework of the Environmental Strategy of RZD. It is done in accordance with the Russian legislation and the GOST R ISO-14001 international standard. Environmental monitoring and production environmental control are under way.   

One of the priorities for environmental protection activity is a constant reduction in negative impacts on the environment. This is achieved through the realization of RZD's investment programmes, one of which is the sectoral programme for the management of labour protection, industrial safety, and environmental control of RZD “Provision of Environmental Safety” and railway environment protection programmes.

In the framework of the investment program of RZD “Provision of Environmental Safety”, treatment facilities were built at stations of Sortavala, Olenegorsk; industrial environmental laboratories were equipped and got mobile machinery; equipment and technical facilities for the petrochemical spill response were purchased. Thanks to this, the railway has had no penalties from the regulatory authorities of the Russian Federation Ministry of Natural Resources for pollution of the environment in recent years. 

Therefore, the Oktyabrskaya Railway is very interested in close cooperation with the Directorate for Labour Protection, Industrial Safety, and Environmental Control of RZD, and takes into account the concerns of international consulting companies to continue to improve the labour protection management system. This helps not only to form a positive image of the railway, but also to improve its economic performance.

   

A Factor of Competitiveness



Investment in energy-saving and environmentally-friendly technologies is not just inner efficiency, but a creation of additional benefits in comparison with other transport modes.

Examples of logistics projects carried out in the Russian northwest show what effect green technologies can have.

According to estimations, even a 1% increase in the share of railways in the total transportation volume improves the situation on motorways – there will be fewer emissions from heavy trucks and fewer traffic jams. This is one of the aspects of a positive impact on the environment.

Another aspect is the optimization of fuel consumed by freight transportation. Firstly, in this case we talk about keeping non-renewable resources for future generations. Secondly, fuel costs make up a significant part of transport costs. If a heavy truck consumes 7,114 kg of fuel per one million kilometers, a locomotive needs 2,311 kg of fuel to transport the same amount of cargo. Alternative logistics chains could help save 15,500 tons of fuel, reduce carbon dioxide emissions and the burden on motorways.

Naturally, being an environment-friendly transport is not enough to attract and keep customers in a competitive market. One should offer customers products meeting their price and quality requirements.

Therefore, the Oktyabrskaya Railway offers special services for delivering a high-yielding cargo, so that cargo owners could choose green logistics.

Particularly, to increase the quality of services to customers with small shipments, the concept of selling a “wagon-place” in so called “cargo shuttles” on a timetable was introduced. The basis of the new transport product is the “Technology of Accumulating Wagonloads from St Petersburg stations by the Departure of a Through Weekly St Petersburg-Sortirovochny Moskovsky – Yekaterinburg – Inskaya Train.”

This scheme allows reserving wagon-places in the freight train formed at the St Petersburg-Sortirovochny Moskovsky and moving to Siberia on schedule. At the same time, loaded wagons are consolidated from the departure station of the St Petersburg hub and are carried in pick-up goods trains also travelling on schedule to St Petersburg-Sortirovochny Moskovsky.   

When developing the concept of the new product, its boundary parameters were set. They were defined on the basis of the operating parameters of road transport working on the same route. A comparison of the characteristics of railways and the road transport shows that a competitive delivery time is possible. For example, the delivery time in the direction to the West-Siberian Railway is quite competitive with that of road hauliers – four days (instead of the usual nine days). 

A benefit, especially valued by a customer, is a clear timetable for collection of the freight at stations of St Petersburg hub and delivering it to the final destination stations on time under the supervisory control of the Central Directorate for Traffic Control. 

According to the poll of customers, who already tried it, this service is now in demand. Due to this service, a number of customers have increased the share of rail transport in their consignments, especially taking into account another competitive advantage of the railway – the safety of cargo. 

The next step is to expand the client base and to use this technology on other routes. When planning sales and resources of logistics products, one can take into account, for example, the practice of Sweden, where the railway has long been selling wagon-places in trains, ensuring cargo delivery “just in time”.  ®

By Christina Maleryan, 

Artem Shepelyaev, 

Deputy Head for Marketing 

at Oktyabrsky Territorial 

Transport Service Centre 
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