Irkutsk
Ulan-Ude

Blagoveshchensk
Chita
Yakutsk

Birobidzhan
Vladivostok
Khabarovsk

Magadan
Yuzhno-Sakhalinsk

Anadyr
Petropavlovsk-
Kamchatsky
Moscow

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Single center of responsibility - KRDV

Since March 2021, the Corporation for the Development of the Far East and the Arctic has been a single development institution subordinate to the Ministry for the Development of the Russian Far East. Today it is a center of competence and responsibility for small, medium and large businesses - from attracting investments, improving government support measures to launching specific enterprises in the regions of the Far Eastern Federal District and the Arctic zone of the Russian Federation, promoting products for export.

The corporation is a "one window" for the Far East, northerners and those who want to move to the Far East and the Arctic. And from abroad, since the KRDV programs apply to compatriots living in other countries and participating in the resettlement program to the territory of the Russian Federation. Development of education, medicine, a comfortable urban environment, creating conditions for an ambitious career, preferential mortgages at 2% per annum, allocation of free land for building a house or launching your own business, as well as other socially significant initiatives aimed at improving people's living standards.

Single center of responsibility - KRDV
Photo: shutterstock.com

By status: from investor to resident

The working day at the Corporation for the Development of the Far East and the Arctic lasts 17 hours. From the moment when the morning comes in Kamchatka and Chukotka, until the evening in Moscow, just such a period of time passes. The structure of a single development institute has two main offices - in Moscow and Vladivostok, as well as 10 subsidiaries in the regions. After the completion of the reform, the Corporation employs about 500 employees of various competencies. 

- If earlier the subsidiaries of the Corporation were engaged only in supporting residents of preferential regimes, now they are in charge of the whole range of tasks of the KRDV. Including social programs. We actively interact on the ground with the regional and municipal authorities, the business community, experts in the social sphere, ordinary people, talk about the features of the preferential regimes, benefits for business, including tax benefits for residents of ASEZ and FPV, and social programs. We involve in the agenda of the advanced socio-economic development of the Far East and the Arctic, we act together, jointly develop new measures of state support and improve the existing ones. Positive and productive feedback from both the authorities and residents is a sign that they see the value for the development of their regions and improving the quality of life, - said Igor Nosov, General Director of the KRDV.

The interaction of a single institution with business begins even before the filing of an official application - after all, KRDV is engaged in attracting investments, working out all possible channels of interaction with current and potential investors. Holding large-scale events at the Corporation's site, including Open Days for investors for entire regions (for example, Sakhalin presented an experimental hydrogen cluster to Russian and foreign campaigns, and the Kamchatka Territory presented its tourism potential), a series of round tables with the main players in key sectors of the economy, daily consultations, calculations, search for optimal land plots, selection of a resource base - this is approximately the profile of work with large projects. Small and medium-sized investors have other requests: clarification of the specifics of legislation, law enforcement practice, a story about the successful experience of those who have already implemented projects as a resident.


The Minister of Tourism of the Kamchatka Territory, Vladimir Rusanov, within the framework of the "Investment Day of Kamchatka" at the Corporation for the Development of the Far East and the Arctic, presented the tourism potential of the region to foreign and Russian investors.
Photo: erdc.ru

When an investor submits an application for obtaining the status of a resident of one of four special preferential regimes - the advanced development territory (PDA), the free port of Vladivostok (FPV), the Arctic zone of the Russian Federation (AZRF), a special administrative region (SAR) - a new cycle begins. The task at this stage is to provide maximum assistance in the preparation of documents, to remove in advance all questions that may lead to a refusal to register. A well-prepared application is a quick result, and now the entrepreneur has a certificate of a resident of the preferential treatment and the right to receive all benefits and tax preferences.

From this moment, the next, longest and most practical stage of interaction begins. As the resident builds and develops his enterprise, the specialized employees of the KRDV in a one-stop-shop mode help with communication at the municipal and regional levels, assist in finding borrowed funds, partners, and advise on tax reporting regarding the application of benefits. The electronic account of the investor helps a lot - within the framework of a unified IT system, reports are submitted, requests are formed, there is the possibility of obtaining a number of public services, including a building permit. There are also more specific requests - for example, on the creation of a free customs zone regime based on the facility of a TOP or FPV resident. All requests are processed in the most simple and understandable form for residents.

 

Infrastructure guarantor

Today, more than 400 new enterprises with a total investment of more than 1,4 trillion rubles are successfully operating in the preferential regimes of the Far East. About 66 thousand jobs have been created. At the end of 2020, total investment in fixed assets in the Far Eastern Federal District exceeded 1,5 trillion rubles. Almost a third of them - 441 billion rubles - are accounted for by residents of preferential regimes.

Such indicators of the work of residents are impossible without a systemic, complex, but at the same time focused on the needs of specific projects of the activities of development institutions and all levels of government - federal, regional, municipal. As well as constantly improving support measures. Recall that after the conclusion of investment agreements with the Corporation for the Development of the Far East and the Arctic, residents are entitled to a zero rate on taxes on land, profits, property for up to 5 years, subsidizing 75% of social insurance contributions, the ability to attract foreign workers without quotas, an accelerated and simplified solution many administrative issues, preferential customs procedures.

In addition, residents of priority development territories can be allocated a land plot with the construction of all necessary infrastructure and connection to it. Until 2025, in order to provide the residents of the Far Eastern ASEZ with infrastructure, 294 measures will be taken for the construction of facilities, technical connection and in other areas. 133 of them have already been implemented, 155 are being implemented. In 2020, 11 infrastructure facilities were commissioned. These include heat supply facilities in the Sixth microdistrict in the Bolshoy Kamen ASEZ, industrial and administrative buildings, water supply and water disposal facilities at the Parus site in the Komsomolsk ASEZ, and power supply facilities in the Nadezhdinskaya ASEZ. Another 12 are more than 95% ready.


In 2019, the company "Rosseti FGC UES" put into operation the substation "Prompark" in the TOP "Nadezhdinskaya"
Photo: erdc.ru

The construction and operation of PDA infrastructure facilities is the direct competence of the KRDV.

- One of the key tasks is to provide the residents of the ASEZ who are creating new enterprises in the Far East with the necessary infrastructure. In 2020, measures to create infrastructure are covered by three key areas of advanced development, two of which are in the cities of presidential attention: Bolshoy Kamen and Komsomolsk-on-Amur, - said Igor Nosov, General Director of the KRDV, at a meeting of the board of the Ministry for the Development of the Russian Far East in May 2021 Russia.

 

Economic freedom and improved living standards

Since the moment when the competencies and specialists of the Agency for attracting human capital were transferred to a single development institution, the Corporation has opened a number of areas of activity in the social sphere. For investors in the Far East, the key function here is practical assistance in the search and training of personnel for enterprises. This front of work has been fully preserved, including regular analytics of the labor market, determination of the most in-demand professions, interaction with universities, initiation of training for specialists that resident enterprises need now or there is a forecast that a need will appear in a few years (advanced training), organization of assistance to employees when moving from one region to another, assistance in recruiting.

The "Far Eastern Hectare" program has also been transferred from the ARCHK functionality. Already in the status of a unified development institution, the Corporation has been implementing the adopted law on the extension of the program to the territory of the Arctic zone of the Russian Federation since August 1, 2021. The portal "nadalniyvostok.rf" has been modernized, applications are accepted from citizens for free use of land plots in the Murmansk region and Karelia, the Arkhangelsk region and the NAO, the Komi Republic and the Yamalo-Nenets Autonomous Okrug. The Krasnoyarsk Territory will be connected in the near future. According to the results of two weeks, Murmansk and Arkhangelsk regions became the leaders in terms of applications, in third place - the Yamalo-Nenets Autonomous Okrug. More than 2,6 thousand applications were submitted in total. If in the Far East over the five years of the program, the most popular types of activities that have been chosen by the holders of hectares are building their own house and farming, in the Arctic, applicants are at this stage interested in creating a business, including tourism. By the way, in the regions of the Far Eastern Federal District the program is also gaining momentum. More than 94,5 thousand people received land from the state. And those who have successfully mastered it have the right to register an additional hectare.

The centralization of competencies on the basis of a single development institution made it possible to give impetus to the spectrum of our own socially oriented projects in the field of improvement of the cities of the Far East and the Arctic, work with youth, promotion of tourism products, and support for cultural projects. Moreover, complex initiatives have emerged that cover the entire spectrum of advanced socio-economic development of regions. In August 2021, the first experience of holding a unique strategic session in the Arkhangelsk region took place. 130 Russian and foreign experts took part in the discussion of both economic and social initiatives. In nine tracks, experts were looking for solutions to the problems of the region in the development of Arctic medicine, education, culture, tourism, industry, port infrastructure, the formation of a comfortable urban environment, the creation of the cultural code of the region, and the improvement of the standard of living in Arkhangelsk. The results of the brainstorming session were submitted for examination by the specialized departments of the Corporation and the government of the Arkhangelsk region for subsequent conversion into a list of specific initiatives, proposals with responsible ones and deadlines. The practice was recognized as successful and it is planned to scale it up to other regions of the Russian Arctic and Far Eastern Federal District.

 

Work for results: faster and more efficiently

The process of transformations and the creation of a new unified institution for the development of the Far East was launched as part of the administrative reform of the Russian government from the end of 2020 and ended in March 2021. It was then that the Corporation for the Development of the Far East and the Arctic fully consolidated the functions of ARCHK and IPA.

According to the Deputy Prime Minister - Plenipotentiary of the President of Russia in the Far Eastern Federal District Yuri Trutnev, the united development institution as a result of the reform should become stronger, more efficient, all the necessary tasks should be solved faster and more efficiently.

As noted by the Minister of the Russian Federation for the Development of the Far East and the Arctic Alexei Chekunkov, the reorganization of development institutions will make it possible to use resources more efficiently, and the work of the KRDV as a whole will become more client-oriented.

- If until recently issues related to attracting investments, expanding exports, infrastructure, planning, accompanying residents and social issues were distributed among different structures, now everything is concentrated in a single center. And as you know, the fewer intermediaries, the fewer instances, the easier and faster any problem is solved, - the minister emphasizes.

The Unified Development Institute is a reliable partner for business, an operator for the state, and in this status is ready to make every effort to achieve goals for the advanced development of the Far East and the Arctic.

 

Help

In 2014–2015, special institutions for the development of the Far East were legislatively defined and created. This is the Corporation for the Development of the Far East, which has received the functions of the management company of the territories of advanced development (TOP) and the free port of Vladivostok (SPV); The Far East Agency for Attracting Investments and Export Support; and the Agency for the Development of Human Capital in the Far East. The narrow specialization of each of the development institutes made it possible to achieve the launch of all the declared mechanisms: the period of formation required precise tuning of each section of work. At the end of 2020, the transition to the next stage began - the creation of a single development institution for scaling best practices and increasing work efficiency. The functions and competences of ANO API and ANO ARCHK were transferred to the KRDV.

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