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Advance Game - EastRussia |

Irkutsk
Ulan-Ude

Blagoveshchensk
Chita
Yakutsk

Birobidzhan
Vladivostok
Khabarovsk

Magadan
Yuzhno-Sakhalinsk

Anadyr
Petropavlovsk-
Kamchatsky
Moscow

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Please refer to the text in Russian as a source.

Leading Game

In the spring of this year, the Federal Law "On the Territories of Advanced Socio-Economic Development in the Russian Federation" came into force. For three years, TOP will be created only in the Far East. The development of the eastern borders is declared the national priority of the 21st century

Creative solutions allowed Asia to become the new center of the economy. This is not copying the European experience gained over the centuries, but creating more lucrative offers for investors. The same nontrivial steps are required for the rise of the Far East.

Leading Game
For many years, the Far East region seemed to businessmen simultaneously attractive and difficult for doing business. It was difficult to approach, and traditional mechanisms and solutions that showed their effectiveness in Central Russia did not work here. But the proximity of the Far East to the countries of the Asia-Pacific region with their rapidly developing markets created the prerequisites for a coup in the Russian economic consciousness. The turn to the East was not a whim, but a necessity.

Prioritized

One of the mechanisms for the development of the macro-region will be the creation of territories of advanced socio-economic development. The relevant Federal Law, initiated by the Ministry of the Russian Federation for the Development of the Far East, sets fundamentally new conditions for investing and running a business. By law, the first three years such territories can only be created in the Far East of the Russian Federation. Such a preference is made, firstly, on the basis of the priority of the development of the region, and secondly, because of the obvious proximity of the region to the markets of the Asia-Pacific region.
To date, the Ministry of Regional Development has selected and at the level of the Government of the Russian Federation has approved nine such territories of very different specialization and orientation. Among them - the TOP of universal production orientation (for example, Nadezhdinskaya in Vladivostok and TOR Khabarovsk) and highly specialized: agricultural TOR Mikhailovskaya (Primorye) and Belogorsk (Amur Region), focused on the extraction of minerals Beringovsky ( Chukotka). The head of Minsk region Alexander Galushka notes: "We do not limit the economic activity of potential investors in any way, we create the most favorable conditions for them."
Only "anchor" investors of the nine TORs intend to invest in their projects 259 billion rubles. These investments will create more than 16 thousand new jobs in the Far East. The budgetary costs for the creation of these TOPs are multiples less - just over 20 billion rubles. Part of the TOP is created with zero budget funding: thanks to the use of public-private partnership mechanisms, the creation of the TOP infrastructure can also be a profitable investment, and there are already such investors in the Far East.

Anchor investors in the territory of priority development are Russian companies. Their interest is natural. However, already today foreign companies are actively interested in the conditions of investing and doing business in TOR. Currently, the Ministry of Development has signed more than 20 investment memorandums with foreign companies. For example, all six major trading houses of Japan, despite the sanctions of this state against Russia, are ready to be investors in the PDA. On the territory of Khabarovsk, already three foreign companies are switching to the practical implementation of their projects: Japanese JGC (agribusiness) and Sojitz (airport development), as well as Singapore-China company Bitumina (construction of a bitumen plant). The Chinese business intends to build an oil refinery in the Priamurskaya Torus (Amur Oblast), and also to develop two compact building materials plants in the Tor Kangalasy (Yakutia) Tor.
What is the main advantage of the law on TOR? First of all, it takes into account the peculiarities of life in the region and the specific needs for its development.

The investor is always right

The main goal of the TOP is to organize economic sites with the most comfortable investment climate through deregulation and tax incentives for business.
New territories reduce the speed of approach to the site. In the "old" scheme, after participating in auctions, the company passes through a long procedure for processing documents, which - with all the rounds of the authorities, obtaining expert assessments - takes from one to three years. It is risky to start design work during this period, and in practice many promising undertakings are broken about the administrative barrier.

The resident of the new territories gets the opportunity to work in the “one window” mode due to the implementation of control and supervisory powers by specially created divisions of federal executive bodies. The site itself is created taking into account the requirements of the investor and the prospects for its development. Thus, the law provides:


• simplification of land acquisition procedures for the creation and expansion of PDA;
• establishment of preferential rental rates and preferential connection to engineering networks;
• distribution of the customs procedure of the free customs zone within the boundaries of the PDA;
• Reduction of the timing of the state environmental review;
• a significant reduction in the timing of fiscal audits and the conduct of unscheduled inspections only in consultation with the authorized government of the federal government.
An important role in the attractiveness of PDA is played by the cheapening of investment projects. Tax and other preferences allow investors to invest in promising new projects, even with a high degree of risk. This will increase the potential of the industrial complex, increase the share of localization of production in Russia, taking into account the development of the situation in the Russian and world economy.

The formation of TOP will give a multiplier effect - it will allow developing the Far Eastern territories in a complex manner. "Due to the creation of infrastructure facilities, the development of territories adjacent to the TOP will be ensured, and the formation of a market of services for residents of the TOP will give an impetus to the development of small and medium-sized businesses," Minister Alexander Galushka has repeatedly stressed. TOP will expand the consumer market, including in the energy sector, will launch completely different business projects.

What does RES have to do with it?

Why is the creation of TOPs so important for doing business in the field of renewable energy? First of all, because environmental production requires certain costs and constant development for the improvement of technology. The territories of advanced development become a kind of incubator of modern high-tech developments in the Far East and give an opportunity to embody the most daring projects in a test mode. This is especially true for renewable energy, where the rate is placed on new technologies. Natural opportunities of the Far East, multiplied by the economic benefits of new sites, will stimulate the development of this direction.

One of the main reasons for developing renewable energy is its environmental safety. And when the payback period is reached, such electricity becomes almost free. Another important direction is the possibility of localization in the TOP of processing and assembly enterprises producing equipment for RES and performing service maintenance. Today, the Far East, because of its unique natural potential, is becoming our leader in the implementation of renewable energy technologies. The nature of the macroregion with stormy rivers, sea tides, island territories is ideal for creating ecological production.

So, it is not by chance that Japanese companies show high interest in the implementation of projects for the construction of wind power complexes in the Kamchatka Territory. Here, the prospects for the production of electrical energy based on the use of energy from rivers and sea tides, geothermal energy, and wind energy are discussed. Similar projects can be realized within the framework of the created TOP "Kamchatka". In the opinion of expert groups and representatives of Minvostokrazvitiya, Kamchatka will make it possible to develop comprehensively the tourist-recreational and port-logistics directions. In turn, "clean" energy can become one of the business cards of the region and additionally contribute to attracting tourists.

At present, the creation of territories for advanced development on Sakhalin and the Kuril Islands is also being considered. Due to the geographical specifics and richness of natural resources, the production of renewable energy is seen as extremely promising in these Far Eastern territories and therefore becomes a priority task.