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Prospects of the development of international freight and passenger railway transportation between Russia and Finland SEMINAR The development of railways between Luumäki and Imatrankoski (Imatra) Head of October Railway Oleg Valinskiy March 23, 2015
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Prospects of the development of international freight and passenger railway transportationbetween Russia and Finland

SEMINAR The development of railways between Luumäki and Imatrankoski (Imatra)

Head of October Railway Oleg ValinskiyMarch 23, 2015

CARGO TRAFFIC THROUGH THE BORDER CROSSINGS OFOCTOBER RAILWAY IN 2014

EXPORT (12 months 2014) IMPORT (12 months 2014)

ГРУЗЫ В КОНТЕЙНЕРАХ

21%OIL AND OIL

TIMBER CARGO30% OIL AND OIL

PRODUCTS

БУМАГА 35%

21%OIL AND OIL PRODUCTS

11%

IRON ORE AND MANGANESE

9%

CHEMICALS AND MINERAL

FERTILIZERS8%

CARS6%

BUILDINGGOODS

2%

IRON ORE AND MANGANESE

32%

PRODUCTS 18%

CHEMICALS AND SODA

9%

CHEMICAL AND MINERAL

FERTILIZERS9%

GOODS IN

1Prospects of the development of international freight and passenger railway transportation

between Russia and Finland

GRAIN2%

REFRACTORIES2%

OTHERS3%

GOODS IN CONTAINERS

2%

COAL0,4%

OTHER FOODSTUFF

0,3%

FERROUS METALS

0,2%

CARGO TRAFFIC THROUGH THE BORDER CROSSINGS OFOCTOBER RAILWAY IN 2014

RUSSIA FINLAND FINLAND RUSSIA

5000

60005185,1

5475,7

2778,5

4284,1

ТЫ

СЯ

Ч

ТО

НН

600

700 665,4

524,6

0

1000

2000

3000

4000

Бусловская Светогорск Вяртсиля Кивиярви

2805,1 923,43551,2

2778,5

885,5

ТЫ

СЯ

Ч

ТО

НН

2013

+6%

-1%-4% +21%

0

100

200

300

400

500

Бусловская Вяртсиля Кивиярви

79,333,140,8 16,5

ТЫ

СЯ

Ч

ТО

НН

2013

-50%-21%-49%

22

2014

+8

%

2013

2014

- 25%

Prospects of the development of international freight and passenger railway transportation

between Russia and Finland

1200 1013,99

CARGO TRAFFIC THROUGH THE BORDER CROSSINGS OFOCTOBER RAILWAY (2 months 2015)

RUSSIA FINLAND FINLAND RUSSIA

8078,96

0

200

400

600

800

1000

Бусловская Светогорск Вяртсиля Кивиярви

1013,99

425,18

171,92

736,90

972,27

388,01

118,30

438,97

ТЫ

СЯ

Ч

ТО

НН

-3%-4%

-9%-4%

0

10

20

30

40

50

60

70

Бусловская Вяртсиля Кивиярви

10,153,74

54,87

4,270,00

ТЫ

СЯ

Ч Т

ОН

Н

-

100%-31%

-58%

Бусловская Светогорск Вяртсиля Кивиярви

2014

2015

-

18%

-

18%

3

2014

2015

-

35%

-

35%

Prospects of the development of international freight and passenger railway transportation

between Russia and Finland

Name of the integrated investment project –

«Organization of high-speed passenger train traffic on route between ST. PETERSBURG – BUSLOVSKAYA of October Railway»

О ХОДЕ СТРОИТЕЛЬСТВА НОВОЙ ЛИНИИ САНКТ-ПЕТЕРБУРГ – ЛОСЕВО – КАМЕННОГОРСК – ВЫБОРГ

ABOUT IMPLEMENTATION OF THE PROJECT“ST. PETERSBURG – LOSEVO – KAMENNOGORSK –VYBORG” OCTOBER RAILWAY

Name of the investment project comprised in the integrated investment project –

«Construction of a new route LOSEVO – KAMENNOGORSK in orderto move the freight traffic route towards the Gulf of Finland ports, to RUCHYI – PETÄJÄRVI – KAMENNOGORSK – VYBORG»

Goals of the integrated investment project –� Organization of high-speed passenger traffic on the route � Organization of high-speed passenger traffic on the route

ST.PETERSBURG - BUSLOVSKAYA at speed of up to 200 km/h;

� construction of a new route LOSEVO – KAMENNOGORSK in order to move the freight traffic route towards the Gulf of Finland ports,

to RUCHYI –PETÄJÄRVI – KAMENNOGORSK – VYBORG

4Prospects of the development of international freight and passenger railway transportation

between Russia and Finland

MAIN CHARACTERISTICS OF THE INTEGRATED INVESTMENT PROJECT

The VYBORG-KAMENNOGORSK-LOSEVO railway line belongs to the «highly loaded» category and is intended for handling freight trains to the Finnish Gulf intended for handling freight trains to the Finnish Gulf ports bypassing the main Vyborg route.

The construction and development of the existing approaches to the new line serve to move freight traffic off the high-speed St. Petersburg - Vyborg line.

The total length of the area under construction is 84 km, of which 65 km is a new double-track railway extending across PRIOZERSK and VYBORG districts of Leningrad oblast, and 19 km is a second main track on the oblast, and 19 km is a second main track on the SOSNOVO-LOSEVO section. A crossing will be built in VYBORG for separation from the main route.

5Prospects of the development of international freight and passenger railway transportation

between Russia and Finland

PROJECT IMPLEMENTATION

The implementation stages provided by the project :

I stage – Organization of high-speed traffic on

(2006-2010) St. Petersburg - Buslovskaya area

II stage –

(2010-2016) Freight traffic relocation

The Losevo-Kamennogorsk line will be ableto handle about 40 million tons of cargo a year.

The total scope of the freight traffic will be:�12 pairs of trains in the direction of the

port of Primorsk�15 pairs towards the Vysotsk-Lukoil

After completion of the line, it is intended to launch suburbanservice there: �15 pairs towards the Vysotsk-Lukoil

distribution - transshipment center� 7 pairs to the port of Vysotsk,� 9 pairs to the Buslovskaya border crossing,� 7 pairs to the Svetogorsk border crossing� 4 pairs to Hiitola Station

service there:By 2020 г. when the KAMENNOGORSK-SVETOGORSK line willbe electrified, it is intended to launch:• 5 electric trains between SVETOGORSK-KAMENNOGORSK-

LOSEVO-ST. PETERSBURG• 5 pairs between VYBORG-KAMENNOGORSK-LOSEVO-ST.

PETERSBURGIn total it will be 10 electric train pairs operating on the new line.

6Prospects of the development of international freight and passenger railway transportation

between Russia and Finland

RECONSTRUCTION OF THE ST. PETERSBURG –LOSEVO – KAMENNOGORSK – VYBORG SECTION

Buslovskaya

Vainikkala

Petaarvi

VYBORG

After the completion of the

construction of the St. Petersburg-

Losevo-Kamennogorsk-Vyborg railway

section:

• the maximum permissible train length

KAMENNOGORSK

Vozrozhdeniye

LOSEVO-1

Tammisuo

Petaarvi

Popovo

Yermilovo

• the maximum permissible train length

value will be 71 conditional cars;

• train axle load: 23 tons;

• train weight: up to 6500 tons.Sosnovo

Ruchyi

Finland Station

Ladoga Station

- at the expense of RZD JSC

Construction and reconstruction of railway facilities:

- at the expense of Investment Fund of Russian

Federation

Prospects of the development of international freight and passenger railway transportation

between Russia and Finland 7

FINANCIAL INVESTMENT OF INTEGRATED PROJECT

PLAN

Realized

в 2006-2014 гг.

Limit

2015 годаUsed in total/

% (01.03.2015)

fact % plan on the 01.03.2015 %

Comprehensive investment project "Organization of high-speed passenger trainsComprehensive investment project "Organization of high-speed passenger trainson the line St. Petersburg - Buslovskaya October Railway (mln. rubles.):

1. JSC “RZD” 59860,16 58299,96 97 762,7 0,058 1 58300,018 97

High speed traffic 27 669,7 27 669,7 100 - - - 27669,7 100

Removal of freight traffic

(reconstruction of Vyborg-

Kamenogorsk, Pine-Losevo-1)

30 283 30169,83 99 - - - 30169,83 99

Construction of a new park

station Kamennogorsk1907,46 460,432 24 762,7 0,058 1 460,49 24

2. ROSZHELDOR 23539,9 15490,0 66 0 0 0 15490,0 66

8

Construction of a new line Losevo-

Kamenogorsk22168,69 15170,0 68 0 0 0 15170,0 68

Construction viaduct 29, 66, 75 km of

St. Petersburg - Buslovskaya and

pedestrian tunnel

1371,18 320,0 23 0 0 0 320,0 23

3. TOTAL

by complex project:83400,06 73789,96 88 762,7 0,058 1 73790,018 88

Prospects of the development of international freight and passenger railway transportation

between Russia and Finland

Каменногорск

Возрождение

Таммисуо

RECONSTRUCTION SOSNOVO-LOSEV-1, VYBORG-KAMENOGORSK

ХиитолаКаменногорск-2

Сосново

Лосево - 1Выборг

Таммисуо

Санкт - Петербург

Ручьи

Infrastructure without changing

object RoszheldorWork carried out in 2011Work carried out in 2012

Work carried out in 2013

Work was carried out on 2014Work planned for the 2015-2016

9Prospects of the development of international freight and passenger railway transportation

between Russia and Finland

PERFORMANCE OF WORK OF SOSNOVO-LOSEVO-1, KAMENNOGORSK-VYBORGDURING THE ENTIRE CONSTRUCTION PERIOD

name of workproject volumes

Performing volumes Plan

2015performance

01.03.15%

performance

the overall percentage of completion of the

project value%

COMMENTS

2010-2014гг.

Земляное полотно, тыс.м.куб. 3859,68 3918,1 8,5 0 100 С учетом мест просадок

ИССО выполнено 100ИССО 72 72 выполнено - - 100

ВСП:

Укладка РШР, км 127,8 127,6 0,2 0 - 99

Укладка плетей, км 114,7 107,7 6,93 0,8 12 92

Балластировка пути, тыс.м.куб 392,3 382,5 9,8 0 - 97

Укладка СП, компл. 123 118 6 0 - 96 1 СП переукладка №7

Контактная сеть, км 180,75 158,42 22,4 0 - 88

Устройства АБТЦ (кабель), км

118 101,5 16,50

- 100

Электрическая централизация

6 6 выполнено - - 100

10

централизация6 6 выполнено - - 100

Строительство зданий постов ЭЦ, модулей

10 10 выполнено - - 100

Реконструкция переездов 12 7 5 В работе - 67

Строительство платформ 28 21 7 В работе - 100

Завершаются работы по благоустройству,

проводятся рабочие комиссии

Строительство станций 1 1 выполнено - - 100

Prospects of the development of international freight and passenger railway transportation

between Russia and Finland

RECONSTRUCTION OF THE AREA BY INVESTMENT OF JSC "RUSSIAN RAILWAYS" - STATION LOSEVO 1

11Prospects of the development of international freight and passenger railway transportation

between Russia and Finland

RECONSTRUCTION OF THE AREA BY INVESTMENT OF JSC "RUSSIAN RAILWAYS" - STATION KAMENNOGORSK

12Prospects of the development of international freight and passenger railway transportation

between Russia and Finland

RECONSTRUCTION OF THE AREA BY INVESTMENT OF JSC "RUSSIAN RAILWAYS" - STATION VOZROZHDENIE

13Prospects of the development of international freight and passenger railway transportation

between Russia and Finland

RECONSTRUCTION OF THE AREA BY INVESTMENT OF JSC "RUSSIAN RAILWAYS" - STATION TAMMISUO

14Prospects of the development of international freight and passenger railway transportation

between Russia and Finland

Каменногорск

Возрождение

Таммисуо

Object by FAJT

crossing

viaductКаменногорск 2

ст. Озерское

ст. Дружное

9 км27 км

42 км

54 км

43 км

EXECUTION OF WORKS ON LINE LOSEV-KAMENOGORSK (ROSZHELDOR)

Выборг

Сосново

Лосево - 1

92 км

5 км15 км

9 км27 км25 км

Санкт - Петербург

Ручьи

15Prospects of the development of international freight and passenger railway transportation

between Russia and Finland

MAIN AMOUNT OF DONE WORK(FEDERAL RAILWAY TRANSPORT AGENCY OF RUSSIA

Наименование работ Проектные

объемыВыполнение объемов на

01.03.2015

Процент выполненияот проекта

Землянное полотно, тыс.м.куб 7484 7373 99%

трубы 153 141 92%

ИССО

трубы 153 141 92%ж.д. мосты 5 В работе 5 97%

ж.д. путепроводы 5 В работе 595%

автопутепроводы 9В работе 8,

ПК911+80 – сдан 04.08.2014

ВСП, км 135 132 98%

Стрелочные переводы, комплект 34 33 97%

16

Стрелочные переводы, комплект 34 33 97%

Контактная сеть (опоры контактной сети, шт.)

2637 2599 99%

Устройства АБТЦ, км 617 502 81%

Строительство тяговых подстанций 3 В работе 75%

Строительство станций 2 В работе 80%

Prospects of the development of international freight and passenger railway transportation

between Russia and Finland

FEDERAL AREA -BRIDGE OVER THE RIVER VUOKSA IN LOSEVO

17Prospects of the development of international freight and passenger railway transportation

between Russia and Finland

FEDERAL AREA -BRIDGE OVER THE RIVER VUOKSA IN LOSEVO

18Prospects of the development of international freight and passenger railway transportation

between Russia and Finland

FEDERAL AREA -BRIDGE OVER THE RIVER IN TOWNSHIP ROMASHKI

19Prospects of the development of international freight and passenger railway transportation

between Russia and Finland

FEDERAL AREA -BRIDGE OVER THE RIVER SLAVYANKA

20Prospects of the development of international freight and passenger railway transportation

between Russia and Finland

FEDERAL AREA -BRIDGE OVER THE RIVER STREL’

21Prospects of the development of international freight and passenger railway transportation

between Russia and Finland

FEDERAL AREA -PLATFORMS OF STATION OZERSKOE

22Prospects of the development of international freight and passenger railway transportation

between Russia and Finland

FEDERAL AREA -STATION DRUZHNOE

23Prospects of the development of international freight and passenger railway transportation

between Russia and Finland

ЦЕЛЕВЫЕ ЗАДАЧИ КОМПЛЕКСНОГО ИНВЕСТИЦИОННОГО ПРОЕКТА НА 2015 и 2016 гг.� Completion of the electrification of the Vyborg-Kamennogorsk area and

Kamennogorsk station� Continued construction of a new yard in way of Kamennogorsk Station

The following must be constructed in the new yard of Kamennogorsk station in 2015-2016 :� 5 5 receiving and departure tracks at least 1050 m long, tracks in the locomotive storage� 5 5 receiving and departure tracks at least 1050 m long, tracks in the locomotive storage

yard (No. 20, 21, and 22 at least 150 m long), siding line ends No. 14 and 23, catenarysystem area duty station tracks, substation track junctions (total track length 15.8 km, 54sets of track switches)

� compressor station for brake charging and testing units,� 2 warming centers� standard fire station� service platforms� fire water supply pump station

The required investmentlimits by year are :

� 2015 – 762,712 mln.rubles� 2016 – 894,927 mln.rubles

� fire water supply pump station� water treatment plant building and sewage water pump station� transformer substation� electric interlocking station building� catenary system area duty station building� the yard's station tracks must be electrified

24Prospects of the development of international freight and passenger railway transportation

between Russia and Finland

Оценка эффективности реализации проекта

In December 2010, it was finished I PROJECT STAGE, it was introduced high-speed traffic on the route ST. PETERSBURG - BUSLOVSKAYA with train “ALLEGRO”.The total length of the ST. PETERBSURG – BUSLOVSKAYA area being 157 km, the traffic speed started to be up to 200 km/h (from PARGOLOVO to BUSLOVSKAYA).

Before 2005 when the project started, speed of passenger trains on the route St. Petersburg - Buslovskaya(State border) was up 140 km/h, the travel time between St. Petersburg - Helsinki was 5 h 20 min

PERFORMANCE EVALUATION OF PROJECT

to 200 km/h (from PARGOLOVO to BUSLOVSKAYA).By Russian territory to State border travel time of the train is 1h 30min.Travel time from ST. PETERSBURG to HELSINKI (length 410 km, 157 km by Russian territory) is 3h 36min.

ST. PETERSBURG – LOSEVO – KAMENNOGORSK – VYBORGINDICATORS BEFORE RECONSTRUCTION AFTER RECONSTRUCTION

• THE LENGTH OF:

RUCHII – KUZNECHNOE

KAMENNOGORSK – VYBORG

45

46 71KAMENNOGORSK – VYBORG

HITOLA – KAMENOGORSK

LOAD PER AXLE OF TRAIN

TRAIN WEIGHT (EVEN/ODD):

RUCHII – KUZNECHNOE

KAMENNOGORSK – VYBORG

HITOLA – KAMENOGORSK

46

45

23

1800/3500

3000/3000

3000/3000

71

23

6500

25Prospects of the development of international freight and passenger railway transportation

between Russia and Finland

DEVELOPMENT OF THE INTERNATIONAL RAILWAY BORDER

CROSSING SVETOGORSK

SVETOGORSK

Border station

Train pairs per day

(handled across the border)

TRAFFIC VIA SVETOGORSKIN 2012 AND FOLOWING YEARS

VYBORG

1

2

Border station (handled across the border)

2012 2020 2025

SVETOGORSK 3 5 5

PERSPECTIVE CARGO FLOW VIA SVETOGORSK INTERNATIONAL RAILWAY BORDER CROSSING

1Border station Export (millions of

tons/year)

2020 2025

SVETOGORSK 3.8 4.3

26Prospects of the development of international freight and passenger railway transportation

between Russia and Finland

ST. PETERSBURG

DEVELOPMENT OF THE INTERNATIONAL BORDER CROSSING SVETOGORSK

In Finland is currently implementing the project

GENERAL PLAN OF RAILWAY ROUTE

IMATRA – IMATRANKOSKI – STATE BORDER

As a part of the general plan envisages the construction of a second main track

1

As a part of the general plan envisages the construction of a second main track

from Pelkola to the state border

In 2014, several meetings took place where were discussed technical and

technological synchronization of border railway infrastructure

Meetings were attended by representatives of the OCTOBER RAILWAY, the North-

West Territorial Administration ROSGRANITSA, as well as representatives from 1

FINNISH TRANSPORT AGENCY, «VR TRACK» and «VR TRANSPOINT»

October Railway have provided

all necessary information to Finnish colleagues

27Prospects of the development of international freight and passenger railway transportation

between Russia and Finland

IMPROVING OF CUSTOMS ADMINISTRATION

ADVANTAGES:2011

EMPTY CARRIGES

LOADED CARRIGES

ELECTRONIC DOCUMENT MANAGEMENT

2011

2011

2013

2014

2014

Making easier the customs procedures at border crossing points

Reducing the time of the initial-end operations

2011

2011

2014

2014

28Prospects of the development of international freight and passenger railway transportation

between Russia and Finland

MARKET ANALYSIS OF TRANSPORT SERVICES IN THE INTERNATIONAL PASSENGER TRAFFICJSC "RUSSIAN RAILWAYS"

432 271

350 101 345 625

442 900494 921

598 650

517 627

400 000

500 000

600 000

700 000

All trains between Russia and Finland

-13,5%

345 625

0

100 000

200 000

300 000

2 008 2009 2010 2011 2012 2013 2014

60000

70000

68598

51412

Passenger traffic (2 months 2015)

In rail transportation the volume of

passenger traffic between Russia

and Finland is 75,6%

In rail transportation the volume of

passenger traffic between Russia

and Finland is 75,6%0

10000

20000

30000

40000

50000

60000

АллегроЛев Толстой

14067

11088

2014

2015

- 46%- 46%- 8%- 8%

29Prospects of the development of international freight and passenger railway transportation

between Russia and Finland

PREREQUISITES OF SERVICE DEVELOPMENT

ХельсинкиКюменлаак

Южное

Саво

5%

Северная

Карелия

4%

Северная

Остроботн

ия

3%

Северное

Саво

3%

Центральна

я

Финляндия

2%

DISTRIBUTION OF RUSSIANS ARRIVING TO FINLAND BY ITS REGION

DISTRIBUTION OF RUSSIANS' OVERNIGHT STOPS IN FINLAND BY ITS REGION

Хельсинки

36%

Южная

Карелия

23%

Другие

10%

Лапландия

8%

Кюменлаак

со

6%

30Prospects of the development of international freight and passenger railway transportation

between Russia and Finland

NEW ROUTE BETWEEN IMATRA AND SVETOGORSK

Organization of international passenger trafficST. PETERSBURG – SVETOGORSK - IMATRA

SVETOGORSK

3 №Route / station of state control of

passengers and baggage

Approximate time

in the way

1 ST. PETERSBURG - VYBORG 3h - 40min

IMATRA

VYBORG

1

22 VYBORG - SVETOGORSK 3h - 40min

3 SVETOGORSK 4h -10min

Train will go on weekends, the number of passengers daily average of 700 people

Signing the agreement of international passenger trafficthrough Svetogorsk between Russian government andFinnish

11 Finnish

Issue of byelaw of Russian government about state control on the way (as on he train "Allegro")

Change of status of SVETOGORSK

1

2

3

31Prospects of the development of international freight and passenger railway transportation

between Russia and Finland

ST. PETERSBURG

DEMAND FOR THE ST. PETERSBURG - IMATRA ROUTE

RELEVANCE OF THE PRESENCE OF RAIL CONNECTION BETWEEN ST. PETERSBURG - IMATRA

Yes, the service is needed – 91%No, I don't care about this route – 9%

Expected frequency of train journeys

Preferred week days for this train

13%

2%

78%

0% 20% 40% 60% 80% 100%

ежедневно

рабочие дни

выходные

33%

30%

31%

3%

2%

1%

0% 5% 10% 15% 20% 25% 30% 35%

более 1 раза в месяц

один раз в месяц

один раз в 2-3 месяца

один раз в 5-6 месяцев

один раз в год

реже одного раза в год

More than once a month

Once a month

Once in 2-3 months

Once in 5-6 months

6%

1%

случайным образом

другое

1%реже одного раза в год

32Prospects of the development of international freight and passenger railway transportation

between Russia and Finland

The demand for the train service on the St. Petersburg - Imatra route will be 21,674 passengers a month on the average

PASSENGER TRAFFIC ON THE ROUTE ST. PETERSBURG – HELSINKI «ALLEGRO»

LAHTI10%

KOUVOLA8%

VAINIKKALA7%

The average percentage of passengers leaving the train ALLEGRO

ST.PETERSBURG - HELSINKI

About 12 passengers leaving “ALLEGRO”

on Vainikkala

Passengers leaving “ALLEGRO” (2013)

HELSINKIPASILA

HELSINKI68%

PASILA1%

TIKKURILA6%

HELSINKI – ST. PETERSBURG

LAHTI5%

KOUVOLA6%

VAINIKKALA7%

The average percentage of passengers leaving the train ALLEGRO

About 14 passengers leaving “ALLEGRO”

on Kouvola

Boarding of passengers “ALLEGRO”

PASILATIKKURILALAHTIKOUVOLAVAINIKKALA

HELSINKI80%

PASILA0%

TIKKURILA2%

5%

33Prospects of the development of international freight and passenger railway transportation

between Russia and Finland

HELSINKIPASILATIKKURILALAHTIKOUVOLAVAINIKKALA

«ALLEGRO»«ST. PETERSBURG -

IMATRA»

STRATEGIC DEVELOPMENT OF ST. PETERSBURG –IMATRA SERVICE BASED ON COMPETITION WITH AUTOMOBILE TRANSPORT

«ST. PETERSBURG -IMATRA»

34Prospects of the development of international freight and passenger railway transportation

between Russia and Finland

THANK YOU FOR YOUR ATTENTION!THANK YOU FOR YOUR ATTENTION!

35Prospects of the development of international freight and passenger railway transportation

between Russia and Finland


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