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Russia needs new oil and gas shipping fleet -Putin

Tue May 13, 2008 7:54pm IST
 
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By Denis Dyomkin

ST PETERSBURG, Russia, May 13 (Reuters) - Prime Minister Vladimir Putin urged his government on Tuesday to give Russia a modern fleet of ships for its flourishing energy sector and named his close ally to manage the multi-billion-dollar project.

"The principal direction is the creation of a complete line of ships and equipment to extract and transport oil and gas from offshore deposits," Putin told a meeting of top officials in his home town of St Petersburg.

"This includes drilling platforms, ice-class gas carriers and icebreakers," he added.

Putin quit as president last week after presiding over eight years of economic growth to head the government of his successor and ally Dmitry Medvedev. However, he is expected to maintain much of his real powers, including a grip on economic policy.

The St Petersburg meeting, called to discuss the revival of national shipbuilding, became the first major event attended by top ministers of Putin's new cabinet formed on Monday.

"In the past 10 years only 6 percent of ships ordered by Russian owners have been built at national docks," Putin told the meeting.

Shipbuilding is a sector where Russia is seen as competitive, and is viewed by the Kremlin as a potential engine for economic diversification.

As president, Putin launched a federal programme worth 136 billion roubles ($5.71 billion) aimed at reviving the sector, which has been steadily declining since the fall of the Soviet Union. The programme is managed by a newly created state corporation.  Continued...

Russian Finance Minister Alexey Kudrin poses with his G20 colleagues and central bank leaders during the family photo at the G20 Finance Ministers meeting at a hotel in St. Andrews, Scotland. REUTERS/POOL New
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