RUSSIAN President Vladimir Putin has proposed that ships registered under the Russian flag are given the exclusive right to transport oil and gas along the Northern Sea Route. This Arctic route from Southeast Asia to Europe cuts the transportation time in half compared to traditional routes through the Suez and Panama canals.
Mr Putin said his proposal is intended to raise Russia's shipping volume, bolster the position of the domestic shipping companies, and create additional opportunities for fleet renewal, reported RT News of Russia.
The Northern Sea Route stretches the entire length of Russia's Arctic and Far East regions.
"The corresponding bill is currently being considered in the State Duma. I expect that it will be adopted soon," Mr Putin was quoted as saying, adding there are proposals to extend the rule to other maritime areas of the country. "Let's analyse all these questions thoroughly and without haste," he said.
The amount of cargo transported via the Northern Sea Route last year reached a record 7.5 million tonnes. The Federal Agency for Maritime and River Transport estimates volumes could grow sixfold in the next three years. Ships will mainly transport liquefied natural gas (LNG), oil and coal.
