OREANDA-NEWS. On December 20, 2007 Vladimir Yakunin, president of Russian Railways, announced during a Company meeting that Russian Railways will be investing over 400 billion roubles in renovation and production in 2008, reported the press-centre of Russian Railways.

Yakunin noted that the Company has increased its investment in 2007 by more than 1,5 times to over 259 billion roubles and to 288 billion roubles including leasing.

The priority investment projects this year were the development of infrastructure on the main export routes connecting the Kuzbass with Russia’ seaports and high-speed train services between Moscow and Saint Petersburg and between Moscow and Nizhniy Novgorod.

Regular services began, in particular, on second tracks on the sections of the most important route linking the Urals with the Black Sea ports, and also on Northern Railways on the key section of the Transport Corridor between the Kuzbass and the Northwest.

"The Company considerably increased the renovation and upgrading of its rolling stock and bought 326 locomotives, nearly 18% more last year and many more than the 100 locomotives we were buying just 3 years ago. Our purchases of freight cars almost doubled to 16,500. However, Russia’s expanding economy require not only much more renovation of our production assets, but also an accelerated development of the rail network and new, efficient rolling stock. We will solve these tasks as we implement the Strategy to Develop Rail Transport, beginning next year," said Vladimir Yakunin.

The head of the Company also reminded those present that the renovation and the development of production capacity at Russian Railways for the following three-year period will require an investment of approximately 1,3 trillion roubles - almost twice as much as the previous three-year periods.

In 2008, the Company’s investment will increase to 405 billion roubles, over 1,5 times more than this year. Due to be completed are major investment projects to develop transport corridors to handle the expected increases in transportation demand up to 2010 between the Kuzbass and the Far-Eastern transport hub, the Kuzbass and the Sea of Azov- Black Sea transport hub and the Kuzbass and the Northwest.

A number of new projects will also start, including the general reconstruction of the section between Trubnaya and Aksarayskaya and high-speed suburban services between Moscow, Pushkin and Bolshevo.

Vladimir Yakunin also said that next year, the Company plans to modernise and purchase about 790 locomotives, more than 17,000 freight cars, 1,370 passenger coaches and over 1,000 motorised rolling stock units.

"These measures are extremely important and will ensure we can meet the growing demand for our transport services. We have to increase freight traffic next year alone by 4,3%, and by 15,5% during the next three-year period," said Yakunin.