Экономические науки /13.Региональная экономика

Zheltonozhko T.A.

The Institute of Macroeconomic Research, Moscow

Recommendations of rebirth the Russian single-industry settlements

In Russia more than half of the urban settlements are the single-industry towns, and among the urban-type communities are the vast majority. Nowadays there are 332 urban-type communities and 467 towns. 24.5 million people live there. The majority part of the single-industry settlements is established by the enterprises of timber and woodworking industry (20%). And the other ones are mechanical engineering (17%), food industry (14%) and fuel industry (11%). The Russian economy is based on the economy of the single-industry towns.

It is expected that in the nearest 20 years 15-20 million people will migrate to the cities from the single-industry settlements because they are more economically stable. Will the cities take such a quantity of human resources often highly skilled specialists?

That’s why authorities attend rebirth and development of the single-industry settlements. While the situation of the Russian single-industry settlements remains negative, Ministry of Industry and trade of the Russian Federation and Ministry of Regional Development of the Russian Federation prepare a draft concept of the single-industry towns’ development and the relevant federal target program.

It is planned that there will be two selection criterions. There are two criteria by which the federal government classifies the urban settlements in the category of the single-industry towns:

-       The part of workers in the city-forming enterprise or group of related businesses a single technology chain shall be not less than 25% of the economically active population.

-       The volume of such an enterprise or group of enterprises should take at least 50% of products are produced.

To solve the problems the authorities were only three options.

The first idea is the elimination of the single-industry towns which are unviable and the resettlement of people.

The second idea is the conversion of the single-industry towns and the creation of new industries, i.e. actually make a diversified economy. To do this all the single-industry settlements urgently prepare investment plans for development.

The third idea is providing federal financial support of only 35 towns which are in the most difficult situation.

In our opinion, a very important point to identify possible ways of helping the towns to indicate underlying causes of their problems.

For example, the problem of AvtoVAZ was long before the world financial crisis, and concluded of the poor quality of products rather than in a limited lineup.

Problems of the Baikal pulp and paper plant were laid in its design and placement. The Lake Baikal referring to the category of world natural heritage and having a unique reserve of fresh water resources was used for the system of water supply and discharge of waste water. So the problems for which no adequate measures have been taken earlier were worsened by the crisis in these enterprises. Consequently the problems of these enterprises should be solved with the participation of the federal level.

The scale of government support of the modernization of such enterprises cannot be limited of backing credit rates. Depending on the enterprise’ size and its role of the existence of the single-industry settlements in order to solve their problems necessary to use different levels of government either the federal or the regional.

References:

1.     Draft Resolution of the Government of the Russian Federation "On additional measures to stimulate the implementation of regional programs address subjects of the Russian Federation on the territory which have the single-industry settlements".

2.     http://www.minregion.ru/

3.     http://www.minpromtorg.gov.ru/