Government of the Russian Federation allowed a deferral of payments to companies implementing priority investment projects in the timber industry

As a government support measure, timber enterprises implementing priority investment projects in the forest sector are allowed to delay fulfillment of their investors’ obligations. As per Decree No. 492 dated March 28, 2022, the Government of the Russian Federation will extend by a year the term of fulfilling investors’ obligations on creating timber and timber processing infrastructure facilities or upgrading facilities scheduled for the period from March 1 to September 1, 2022.

Under the effective rules, if an investor fails to meet the quarter-by-quarter schedule of priority project implementation, this constitutes the grounds for excluding this priority project from the list and terminating the forest area lease contract prematurely.