ARKHANGELSK, May 12. /TASS/. The option to subsidize shipments along the Northern Sea Route (NSR) should be offered for the coming five or seven years to build up the route's traffic, the Arkhangelsk Region's Governor Alexander Tsybulsky said at a conference in Arkhangelsk on bio resources and fishing in the Arctic.

"What we should be doing now, and this issue has been discussed already, is that it is necessary to support shipments along the Northern Sea Route, at least at the initial stage of the transport route's development. <…> In our opinion, this incentive should be available for all kinds of vessels working along the Northern Sea Route. <…> At the initial stage, if we launch this unique and very important to us transport route, the cargo traffic will reimburse those expenses, and thus at some point it will naturally become efficient and profitable. Thus, I believe, for this initial stage (5-7 years) we need to approve subsidies in order to increase the traffic," the governor said.

The official continued by commenting on the successful experience to support all voyages of the nuclear-powered Sevmorput container ship. According to him, subsidies should be available for all vessels and at all ports along NSR.

"Right now, the departure, if we speak about the Arctic's northern and western parts, is only from the Murmansk port. Of course, the incentive should be effective at all ports and for all vessels along the entire Northern Sea Route," he added.

Arkhangelsk port's development

The Arkhangelsk Region's governor told the conference that in 2022, the growth of cargo handled at the Arkhangelsk transport hub made 20% year-on-year. Noteworthy, due to the coastal shipments, he stressed. The plan to develop the Arkhangelsk transport hub is due to be formalized by the end of coming summer.

The Arkhangelsk port's biggest problem is the depth. The port is unable to serve vessels with displacement of more than 35,000 tons. Certain exceptions may be possible for vessels with displacement of up to 50,000 tons. However, the governor said, every experience of the kind grows into a special mission. "Thus, our task is to serve vessels with displacement of 50-70 thousand tons. If they sail freely to our waters, then we will have very different opportunities to develop the infrastructures and the Arkhangelsk transport hub as a reference point for the Northern Sea Route development, the governor told reporters. This development could be possible in case of a new deep-water port in Arkhangelsk.

Ship repair plans

The governor stressed the development of ship repair services is a key direction of the local economy. All repair services in the region have been contracted to the middle of 2025. In the coming 2 - 3 years, he said, the demand for ship repair services would grow by 2.5 - 3 times. This means the region needs additional repair facilities, since before the anti-Russian sanctions many vessels were serviced at European ports.

"Presently, ship repair facilities in Arkhangelsk service about 100 vessels a year. Thus, we need to build up this capacity to 250 - 300," the governor said adding the growing demand boosts investment activities of ship repair enterprises. "We have put together plans to build up, upgrade the facilities, for example, Krasnaya Kuznitsa. As far as I can remember, the plan is to build a new 5,000-dock, which will also offer additional ship repairing options," he said.

About conference

Arkhangelsk hosted a conference on bio resources and fishing in the Arctic on May 11 - 12. The conference is on the list of events under Russia's chairing role at the Arctic Council in 2021 - 2023. The events' operator is the Roscongress Foundation.