Moscow - St.Petersburg motorway PPP, Russian Federation

The 43-km section of the Moscow - St. Petersburg motorway near Moscow has triggered massive opposition in Russia and abroad. The section is slated to pass through Khimki Forest Park, a protected natural area with rich wildlife and of great importance to local people living in this polluted and densely populated region.


Logging has started in the Khimki forest.

In October 2010 at a meeting with the European Commission it was confirmed that the EIB and EBRD have both stopped preparing for participation in the project. While the EBRD has declared not to finance the motorway section, the EIB has only put their involvement on hold.

However Bankwatch remains vigilant to any change in the circumstances and continues supporting the Movement to Defend Khimki Forest that is still facing threats by Russian authorities.

Find background information on the project below.

For images from the forest and protests, visit the movement's website.

 


 

The 43-km section of the Moscow - St Petersburg motorway near Moscow is expected to cost a massive EUR 1.5 billion. The motorway is to be a toll road constructed through a public-private partnership, in spite of the problems experienced with such models elsewhere, and a contract with a consortium including French construction company Vinci was signed on 27 July 2009.

The road has attracted lively opposition, as just outside Moscow, it is planned to pass through Khimki Forest Park, a protected natural area with rich wildlife including relic oak groves. It is a natural habitat for elks, boars and other wild animals, and is of great importance to local people living in this polluted and densely populated region. Among those opposing the planned variant of the road are the local Movement to Defend the Khimki Forest, the Moscow Duma, state ecological monitoring body Rosprirodnadzor, the Moscow State Department for Conservation and Natural Resources, most Russian political parties (except the ruling one), Greenpeace Russia and more than 15,000 citizens who have signed a petition to preserve Khimki Forest.

Most local people found out about the project by accident in 2007 when preliminary survey work was carried out in Khimki Forest. It sparked public outrage and mass protests, which have been met with aggressive responses. Activists have been arrested and meetings and tent camps systematically attacked. In November 2008 one of the activists, local journalist Mikhail Beketov, was brutally beaten. As a result, he became seriously disabled and is still undergoing hospital treatment.

The Movement to Defend Khimki Forest is appealing to the international financial institutions not to finance the project unless the route is changed to avoid Khimki Forest. They point out that a straighter route variant exists, alongside an existing railway line, which would most likely cost less.

 


 

In an interview he gave Bankwatch on the occasion of the EU-Russia civil society forum in Prague (March 28, 2011), Jaroslav Nikitenko from the Movement to defend Khimki forest describes the harassment and intimidation Muscovite activists have faced in their campaign to protect the Khimki forest:

 


 

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Publications

Bankwatch Mail

May 10, 2013

The new EBRD country strategy for Russia that will apply for 2013-2015 attracted input and comments from several human rights and environmental watchdogs, among them Human Rights Watch, WWF, Greenpeace and Bankwatch. As part of the consultation on the new strategy, NGOs expressed concerns about the current political and social situation in Russia as well as the dangers of natural resource development. The comments were incorporated into the strategy document but it remains unclear if NGOs were able to influence actual decision-making.

Advocacy letter

June 20, 2011

Bankwatch and the Movement to Defend Khimki Forest wrote to the Global Compact on 28th March 2011 regarding Vinci's non-compliance with its Global Compact Commitments in relation to the first section of the Moscow – St. Petersburg motorway project. Our letter subsequently formed the basis of an enquiry to Vinci by the Business and Human Rights and Human Resource Centre, to which Vinci responded on 26th April 2011. Having carefully reviewed Vinci's response, we still believe that the company is not in compliance with its Global Compact commitments.

Study

April 30, 2011

An opaque web of offshore companies and oligarchs behind the controversial EUR 1.5 billion first section of the Moscow–St. Petersburg motorway public-private partnership provides new grounds for the Russian government to re-examine the controversial project, according to this new research by CEE Bankwatch Network and the Movement to Defend Khimki Forest.

Advocacy letter

March 28, 2011

The letter to representatives of the UN Global Compact gives details on the failure to respect commitments under the Global Compact initiative by the construction company Vinci in connection with the Moscow St. Petersburg motorway project (near Khimki).

Advocacy letter

February 23, 2011

A coalition of major Russian NGOs is urging President Barrosso to make sure that EU financing institutions halt their participation in toll motorway projects in Russia until there are serious improvements in the human rights and public participation situation associated with these projects.

Policy comments

February 1, 2011

The examination was initiated by a coalition of environmental NGOs and carried out by 18 experts in the field of environmental protection, environmental law, forestry, urban planning and transport development. It was handed over to Russian president Medvedev on February 1, 2011.

Advocacy letter

December 17, 2010

While the EBRD has repeatedly expressed its concerns about the project development process for this project, it has so far refrained from making any final decisions on whether to finance the road or not. We believe the time has now come for the bank to clearly and publicly withdraw from the project.

Advocacy letter

December 17, 2010

While the EIB has repeatedly assured of its efforts to improve the project's planning and public consultation process, recent developments show that these efforts have not been successful. We believe the time has now come for the bank to clearly and publicly withdraw from the project.

Policy comments

September 30, 2010

The European Commission (EC) has recently invited inputs to its consultation on an initiative on concessions that aims to improve the rules for concession contracts in the EU. PPP advocates insist on their cost-effectiveness, timely completion rates and the sharing of financial risk - yet so far the evidence for these claims is decidedly mixed. In our comments we call for a thorough and independent assessment of the performance of PPPs so far and their financial and social impact.