Governor Sumin draws up anti-crisis proposals

26 March 2009 (10:55)

Governor of Chelyabinsk Region Petr Sumin attended a meeting of Ural Federal District’s constituency heads chaired by head of the Russian Federation Government Administration Sergey Sobyanin and made a number of proposals regarding the Government’s anti-crisis action plan for 2009.

The spokesperson for the Governor reports Sumin spoke about the inter-budgetary problems; for one, Chelyabinsk Region’s Federal Tax Service division’s profits had already dropped by 34% because of the smaller tax payments. Then, as the action plan provides for 300-billion-ruble subsidies to the regions, Governor suggested that the support mechanisms be made more specific. This means the regions with the most dramatic drop in profits would be subsidized in direct proportion to this drop.

Another proposal is aimed at bringing more stability on the labor market. The Governor called for making changes in the employment legislation adopted in 1991. Sergey Sobyanin promised to make sure the Government looks carefully into the proffered changes.

Next, Petr Sumin spoke on the problem of state-run corporations and monopolies that failed to pay their suppliers. He said some measures aimed at helping the companies get their money should be made a part of the anti-crisis plan.

What is more, Sumin reported that protectionist policy would help the country’s defense and coal industry survive; the policy could include making the power suppliers stick with the approved natural gas/coal ratio, for instance.

Finally, the country’s large infrastructure development projects like the one on the industrial development of the Urals’ north and Russia’s transport system modernization program needed extra support, the Governor said. Chelyabinsk Region would be able to employ nearly 10,000 builders if the state subsidized the construction of M-5 federal highway, he explained.

At the close of his report, the Governor remarked that the proposed Plan was an effective measure on the way out of a crisis.

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