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"The CU railroad alliance to increase share of carriage from China to EU via the SES territory 10-folds," - Member of the EEC Board -Minister in charge of Energy and Infrastructure Daniyal Akhmetov

"The CU railroad alliance to increase share of carriage from China to EU via the SES territory 10-folds," - Member of the EEC Board -Minister in charge of Energy and Infrastructure Daniyal Akhmetov

5/22/2014

May 22, Member of the Board -Minister in charge of Energy and Infrastructure of the EEC Daniyal Akhmetov participated in the 9th International Conference for Transport-Transit Potential "Transeurasia-2014." The conference was held in Astana at the site of the 7th Astana Economic Forum. In his speech, Mr. Akhmetov spoke on the transport policy of the future Eurasian Economic Union (EEU). In particular, he pointed out that pursuing coordinated (agreed) transport policy would be the key element of EEU infrastructure development. One of its major priorities is to create a common market of transport services. The common market of transport services implies liberalization of access to the services market, working out single approaches to the development of competition and prevention of unfair competition, formation of a unified tariff policy, removal of non-physical barriers.

"The procedure, conditions and stages of liberalization will be determined by certain international treaties within the Union in view of sectoral specifics. For example, in motor transport development, by January 1, 2016, the Member-States are going to adopt a program of a step-by-step liberalization of coastal trade from 2016 to 2025," - explained Mr. Akhmetov. 

According to him, the significant growth of transport attractiveness of the future EEU's countries is facilitated by creation of a unified transport-logistics company (UTLC) by the railroads of Belarus, Kazakhstan and Russia. The share of transit carriages from China to the European Union via the territory of the Single Economic Space (SES) by railroad transport will increase over 10 times and be around 7 percent by 2020. In accordance with the Concept and business plan of creation of the UTLC, the income from the use of the infrastructure will be $1.6 billion by 2020, the cumulative contribution in the GDP of our countries - $11.1 billion, over 43 thousand jobs will be created, the total freight turnover will exceed 4 million containers.

Regarding the "Single Eurasian Sky" program, Mr. Akhmetov said that it would be created on a step-by-step basis taking into account the interests of all the countries of the Eurasian Economic Union. "We should look into the future, and we understand that no country should lock itself in one space. It's clear that today the Russian aviation has some competition advantages as compared to that of Belarus and Kazakhstan. That is why the program will provide for stages, competition environment and so on," - the EEC Minister emphasized. He reminded that formation of the "Single Eurasian Sky" envisages the creation of a single market of air services and the single air transportation zone. The project will facilitate transformation of the SES air space into a transit bridge between Europe and South East Asia and other continents, so much called for. After the Transeurasian-2014 conference, a press briefing on "Energy within EEU" was held with participation of Daniyal Akhmetov. Answering the journalists' questions, Mr. Akhmetov said that Belarus, Kazakhstan and Russia are planning to adopt a concept of a common electricity market by 2015, and the program thereof by 2016.

"The advanced momentum of the electricity sector is due to the fact that our three states possess large potential of electric energy and we have a common technical and technological basis. Back in the past, we used to work within a common energy system, which allows us to create a common electricity market without significant difficulties but in view of new realities. The common electricity market will be beneficial to all countries of the Eurasian Economic Union. For instance, significant volumes of the Russian gas, currently spent for production of electric power, will be released due to the cross-flow of electric energy from Kazakhstan to Russia," - Mr. Akhmetov pointed out. 

Regarding creation of a common hydrocarbon market, it is supposed to start functioning in 2025. "Creation of a common hydrocarbon market will become a crucial integration decision. This market will allow the EEU countries to better coordinate their actions and thereby increase their competitiveness in the global market, as well as obtain products with high added value," - emphasized the EEC Minister.