FAS Board approved an economically justified tariff level for long-distance trains for 2017 – 2018

The decision will not impact the fares for passengers

FAS Board analyzed economically justified level of tariffs for passenger railway transportation in long-distance cars with reserved seats and sitting cars in public use for 2017 and the estimated level for 2018. It is necessary to estimate subsidies that the government will pay to the companies involved in long-distance passenger railway transportation.

FAS Board set the following coefficients for 2017:

1) “Federal Passenger Company” JSC:

- For passengers travelling in cars with reserved seats – 1.074

- For passengers travelling in sitting cars – 1.193

2) “Sakhalin” Passenger Company” OJSC:

- For passengers travelling in cars with reserved seats – 1.189

- For passengers travelling in sitting cars – 3.141

3) “ZhDYa” AK” OJSC:

- For passengers travelling in cars with reserved seats – 4.412

- For passengers travelling in sitting cars – 6.934

Set the following coefficients for 2018 “Federal Passenger Company” JSC:

For passengers travelling in cars with reserved seats – 1.000 

- For passengers travelling in sitting cars – 1.000.

Coefficients for “Sakhalin” Passenger Company” OJSC and “ZhDYa” AK” OJSC will remain at 2017 level.

The regulator set strict conduct conditions for the largest Russian carrier – “Federal Passenger Company” JSC.

“The Board members decided to decrease subsidies for the “Federal Passenger Company” from 9.7 to 8 billion RUB, and tighten control over its operations”, said Deputy Head of FAS Alexander Red’ko. “The company will be obligated to register the costs route-by-route, optimize the coats based on the audit findings and long-term contracts, accelerate rolling stock modernization, expanding to this purpose its 2017 investment programme at least by 2 billion RUB. The “Federal Passenger Company” should undertake serious efforts in order to enhance the quality of services and work with consumer petitions, first of all, regarding the dynamic pricing system”.