FEDF to Invest over RUB 500 mln to Develop Sakhalin’s Transportation and Logistics Infrastructure

Far East and Arctic Region Development Fund (FEDF, affiliated with VEB.RF Group) will invest up to RUB 519 mln to develop Sakhalin’s transportation and logistics infrastructure, in particular, to renew the railway rolling stock.

The project has been approved at the meeting of the Presidium of the Government Commission for Implementation of Investment Projects in the Russian Far East chaired by Yury Trutnev, Deputy Prime Minister — Plenipotentiary Envoy of the President of the Russian Federation to the Far Eastern Federal District. Total investment in the project will exceed RUB 1 bln.

The island will receive three state-of-the-art hi-tech rail buses (RA-3) for regional transit railway services to replace cost-inefficient locomotive-traction cars. This is the second phase of the program that provides for renewing the rolling stock in Sakhalin and is implemented in partnership with VEB-Leasing JSC. The new rail buses will replace locomotive traction cars on the following routes: Yuzhno-Sakhalinsk–Tikhaya, Tikhaya–Poronaysk, and Poronaysk–Pobedino.

The southern part of the island is already successfully operating 3 rail buses procured with the Fund’s support back in 2019. These rail buses serve three routes: Kholmsk–Tomari, Yuzhno-Sakhalinsk–Tomari, and Yuzhno-Sakhalinsk–Korsakov. Once the new transport facilities are commissioned, Sakhalin’s regional transit rolling stock will be fully renewed.

Modernization of the car fleet will make it possible to improve the quality of regional transit services, replace cost-inefficient locomotive-traction regional transit cars in the northern part of the island, and ensure a four-fold reduction in the repair and maintenance costs of the rolling stock. At that, the tariffs for the population will stay at the same level.