Fayzullin: an additional 2.2 trillion rubles are needed to modernize the housing and communal services infrastructure

The Ministry of Construction of Russia has requested an additional 2.2 trillion rubles. for the modernization of the housing and communal services infrastructure. This was stated by the Minister of Construction and Housing and Communal Services of the Russian Federation Irek Fayzullin.

“Today, 2.3 trillion rubles. we have already secured funding, if we look at all the actions that we carry out in a complex. [Еще] 2.2 trillion rubles is a task that needs to be worked out,” the minister said (quote by Interfax). At the same time, Fayzullin noted that this amount was calculated without taking into account work in new regions.

In March 2021, Deputy Prime Minister Marat Khusnullin, during a meeting of the Cabinet of Ministers with Russian President Vladimir Putin, proposed using funds from the National Wealth Fund (NWF) to modernize public infrastructure. Then the Deputy Prime Minister said that the return of funds is planned to be provided by optimizing the costs of maintaining utility networks, as well as reducing accidents and increasing energy efficiency. Khusnullin then also noted that this will have an impact on tariffs for the population – their prices may decrease.

In early 2022, Russian Prime Minister Mikhail Mishustin signed the order, according to which, within four years, 150 billion rubles will be allocated from the National Welfare Fund for the modernization of housing and communal services. In 2022, it was planned to allocate 20 billion rubles.

In the autumn of the same year, Mishustin approved a strategy for the development of the construction industry and housing and communal services until 2030. According to the document, the government outlined in its strategy the development of preferential mortgage programs, the digitalization of construction processes, the reduction of administrative procedures, and the renewal of communal infrastructure.