Mines in the LPR, with their further unprofitability, can be privatized
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If the mines in the Luhansk People’s Republic continue to be unprofitable, then their privatization is possible, declared Acting head of the region Leonid Pasechnik in an interview with TASS.
“If the problem persists and state bodies fail to bring the mines to the level of profitability, then we will make a decision on privatization,” he said.
Pasechnik added that in such a scenario, the activities of the new owners will be controlled by the regional authorities in terms of observing security measures and the rights of employees.
Pasechnik also noted that he discussed the state of affairs at these enterprises with Russian President Vladimir Putin, during the conversation it was decided to analyze their activities together with representatives of federal bodies in order to identify factors that prevent state mines from achieving the same efficiency as private ones. After the analysis, measures will be worked out to improve the situation while maintaining enterprises in the ownership of the region.
On December 20, Putin met with Pasechnik, as well as with the acting head of the DPR, Denis Pushilin. At the meeting Pasechnik asked Putin to include the region “in some state programs for the supply of coal.” On the territory of the republic there is the only fuel, coal enterprise – the republican fuel company Vostokugol, the acting head of the region reported. According to him, problems arose, among other things, due to the fact that in 2022 58% of the miners went to the front, and the region sometimes does not have enough funds to pay salaries to workers.
The acting head of the LPR also asked the president to allocate subsidies in order to cover part of the miners’ salaries, which would make this work more attractive, as well as provide decent pay for the miners who return from the front.
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