Main results and trends of budget policy (стр. 11 )

The main challenges facing the federal government in the sphere of auto route infrastructure are:

·  increasing traffic capacity and improving safety of auto routes;

·  attracting a greater portion of funding from off-budgetary sources and developing mechanisms for government-private partnerships, including concession agreements;

·  building new roads and maintaining existing roads in operational condition.

The federal government will spend over 249.0 *****bles on roads in 2008, and over 260 *****bles in 2009. Under the auspices of the federal targeted program “Modernization of Russia’s transportation system ()” 9,300 km of roadways will be built and 45,500 km repaired in .

The said target program also provides for subsidies to the subjects of the Russian Federation toward construction and maintenance of public roadways, including roadways at the edges of townships, municipal districts and metropolitan areas, and country roads connecting residential centers; these subsidies will amount to 47.2 *****bles in 2008 and 40.0 *****bles in 2009.

Moreover, the federal budget for sets aside 35.0 *****bles annually in subsidies to regional budgets toward construction and modernization of roadways.

By 2010 the number of communities without paved access roads will shrink by one thousand, compared with 2005; the number of roadways conforming to international standards will increase, while the number of overburdened roadways will decrease.

	Unit of measu­rement	2007	2008	2009	2010
Construction and modernization of federal roads	km	428	524	529	542
Construction and modernization of regional and inter-municipal roads	km	2,719	2,552	2,512	2,487
Length of federal roads conforming to standards	thous. km	17.8	17.9	18.3	18.7
Length of regional and inter-municipal roads conforming to standards	thous. km	135.4	132.8	129.7	125.9
The ratio of the length of federal roads conforming to transport and operational standards to the total length of the federal road network	%	37.5	38.1	39.2	39.2
A decrease in the number of road accidents per 1,000 vehicles caused by bad roads from the year 2002	%	3.2	3.7	4.2	4.2
The share of the length of federal roads conforming to transport and operational standards that are part of international transport routes	%	37.6	38.2	39.4	39.4

Airports

The federal government has set aside 21.3 *****bles in 2008 for airport infrastructure development and air transport support (a 150.3% increase from 2007). This program includes airfield infrastructure development and subsidies to unprofitable airports located in the Far Northern regions. As a result the airports will be modernized at a quicker pace, provided with new infrastructure; new Russian-made aircraft will be purchased to satisfy civil aviation requirement.

	Unit of measurement	2006	2007	2008	2009	2010
Subprogram Civil Aviation of FTP Modernization of Russia’s Transport System
Number of ground-based airport facilities commissioned	units	17	25	34	45	0
Number of lighting systems commissioned	units	14	22	26	30	0
FTP Social and Economic Development of the Kuril Islands (Sakhalin Oblast) in
Number of aircraft	units	1	2	2	2	2
Subprogram Introduction and Use of Satellite Navigation Systems in the Field of Transport
Number of ground-based functional supplements	units	10	8	8	8	8
Number of regional functional supplements	units	2	2	7	19	20
An increase in the availability of air services in the Far North and equivalent areas
Number of airports located in the Far North areas that receive state support	units	21	30	35	38	38

4.6 Energy Infrastructure

The federal targeted program “Development of Russia’s energy sector for , and through 2015” will receive 51.1 *****bles in 2008, which 2.8 times more than in 2007; in it will further receive 184.3 *****bles. The program is aimed at modernization of functioning nuclear power generators, completion of construction on high-availability nuclear power generators, construction of new nuclear power plants (specifically the federal government is beginning to realize the President’s enjoinder for the construction of 26 latest technology nuclear power generators by year 2020), creating the necessary conditions for innovative development of nuclear energy.

In the federal government will transfer 30 *****bles and 60 *****bles, respectively, into the budgets of core electric power companies (Federal network company of the Unified energy system, the Federal hydroenergy company, System operator – Main dispatch control, Unified energy system).

These funds will be directed toward improving the reliability of the Unified national electric grid, improving intersystem connections in energy-deficient regions, improving control and reliability of the UES, funding construction and operations costs of specific hydro-energy facilities, critical for improving system reliability and making up for regulating capacity shortages.

4.7 Agricultural Sector

In the federal government will set aside 33.4 *****bles in annual subsidies to the agricultural sector (compared with 27.6 *****bles in 2007). Subsidies on credit interest rates to agricultural producers will increase by a factor of 1.27 (table 4.7)

Table 4.7

Federal Budget Expenditures for Agricultural Development

	2007 (by law) *****bles	2008 (projected)	2009 (projected) *****bles	2010 (projected) *****bles
*****bles	growth from 2007, %
Federal Targeted Programs	4.4	5.2	19.4	40.7	54.7
including:
FTP Conservation and Rehabilitation of Soil Fertility, Agricultural Land and Agricultural Landscapes as Russian National Patrimony for the years	4.2	5.2	23.4	5.4	5.7
Measures in the Sphere of Agricultural Production	2.7	3.0	11.9	3.3	3.3
Regulation of Food Markets and State Seed Funds	1.4	0.1	-92.4	0.1	0.1
Providing Services in Agriculture and in Protection and Use of Animal World	7.0	8.7	23.8	9.5	10.4
Providing Services in Livestock Breeding	1.5	1.4	-9.1	1.0	1.0
Providing Services in Fisheries	2.0	2.4	5.2	2.5	2.8

The objective of federal spending on the agricultural sector is to create incentives for small private farming enterprises by means of access to credit resources:

Federal support of the agricultural sector also involves creating a more attractive living environment in rural areas, job placement and better living conditions, which will attract a greater number of young professionals to rural areas:

5. National Security

National defense and security, law enforcement, prevention and response to natural disasters and emergencies: these activities fall almost entirely under the jurisdiction of the federal government. Funding appropriated by the federal budget in this regards regularly makes up approximately 20% of total federal spending (not counting service fees for federal and municipal debt).