Russian Railways to revise new wood transportation tariffs

Moscow, January 25. Federal Tariff Service of Russia requested Russian Railways to return to previous tariff rate, as Arkhangelsk pulpmill service reported.

As the company said, since November 01, 2012, Russian Railways decided to unify tariff rate for wood delivery via carriages of model 13-198 (13.92 m in length). As a result, delivery rate grew by 15%, and it turned out that it was 13% more expensive than delivery via similar carriages of 15 m in length.

Arkhbum, an affiliate of Arkhangelsk pulpmill that deals in delivery of mill’s products and has own rolling stock, asked the Federal Tariff Service to revise the tariff growth made by Russian Railways. The service found that the railway monopolist raised tariffs illegally, as there were no grounds to do this; moreover, the company hasn’t made the clients aware of this decision.

Earlier Federal anti-monopoly service (FAS) has fined Russian Railways OJSC for 2.24 billion Rubles (€55.5 million) for “abuse of dominance”, as the service announced. Many companies and industry associations have complained about expensive services and poor quality of railroad transportation recently.

Russian Railways had to transport all cargoes at legally stipulated rates, irrespective of its own problems, and to attract available rolling stock in case of lack of carriages, FAS said in a press release back then.