Russian Railways will invest over RUB 15 billion (EUR 180 million) in 2016 for modernising its suburban rolling stock fleet, aiming to significantly improve transport service quality and passenger comfort. The company plans to purchase 82 coaches produced by Demikhovsky Engineering Plant (DMZ, part of JSC Transmashholding) and 150 Desiro Rus railcars (Lastochka) manufactured by Ural Locomotives. The total value of investments in transport engineering products and components will reach RUB 186 billion this year (+20% compared to 2015).
Russian Railways subsidiary Federal Passenger Company (FPC) will also direct 85% of its investments towards modernising its passenger rolling stock fleet. In 2016, the company plans to double its purchases of domestically manufactured railcars to 186 units, including double-deck coaches. The value is planned acquisitions is estimated at RUB 10 billion.
According to Oleg Beloziorov, President of Russian Railways, given the current economic conditions, one of the most effective mechanisms impacting the pricing of the products purchased is the implementation of the import substitution program.
As a result, the contracts for the supply of rolling stock will include specific targets for reaching the levels of production localisation. For example, the level of production localization for Desiro Rus railcars has reached 60% in 2015. In the future, the objective is to bring this level to 80% by 2018.