The Russian government has approved a series of targeted measures aimed at helping the coal industry overcome a near-crisis situation. The assistance will be provided selectively, with a focus on supporting enterprises that demonstrate viability.
Decisions on targeted funding — not only for coal companies, but for others as well — will be made by a special subcommission comprising representatives from the Ministry of Economic Development, the Central Bank, the Federal Tax Service, the Financial Monitoring Service (Rosfinmonitoring), and other key agencies.
The subcommission will be chaired by Finance Minister Anton Siluanov, who stated:
“The commission has already begun its work and will actively continue, prioritizing an assessment of companies within the coal sector.”
One of the measures already approved is a 12.8% transportation compensation for coal shipments heading toward the northwestern and southern regions. This support is intended to “provide preferential treatment for logistical costs,” Siluanov said.
Pavel Ivankin, President of the National Research Center for Transport and Infrastructure, welcomed the government’s decision, calling it both “strategic and correct.” According to Ivankin:
“This approach will help identify both hopeless and efficient enterprises.”
He explained that coal companies will receive a 12.8% discount on railway tariffs under the flexible tariff regulation mechanism:
“It’s a targeted support measure, involving signed agreements and fixed volumes and routes. A transparent process, with access determined by the Ministry of Energy and the subcommission.”
Ivankin also highlighted the potential for an even more substantial form of support:
“Under the proposed selection mechanism, starting in 2026, coal companies could be eligible for a zero-tariff scheme. In this scenario, the company would pay nothing to Russian Railways, and the government would compensate the carrier directly.”
He noted that this model has already proven effective in the agricultural sector, where it has been actively used for several years and successfully coordinated among all stakeholders in the transport chain.
Speaking on broader subsidy practices, Ivankin pointed out that many coal companies currently receive various forms of sectoral support — but without necessarily improving production efficiency. He emphasized that:
“A targeted approach with built-in filters allows for more efficient use of the state’s limited financial resources.”
While acknowledging that the company selection mechanism might appear overly bureaucratic — involving ministry oversight and a multi-agency subcommission — Ivankin concluded that this is ultimately “a strict selection model designed to preserve the coal industry.”
