The Committee for the Regulation of Natural Monopolies of the Ministry of National Economy of the Republic of Kazakhstan (KREM) held a public hearing to consider the application of KTZ to change the approved tariffs and tariff estimates before their expiration for the services of the main railway network (MRN) for 2025, the APK News agency reports.
As reported by the Association of Kazakhstan Freight Rail Carriers, in particular, it is envisaged to increase tariffs for MRN services by an average of 48%. At the same time, for the transportation of bulk cargo (coal, grain, ore), the increase will be 66%, for empty run of wagons - 95%.
It is noteworthy that the carriers learned these figures not from the KTZ presentation or during the meeting, but from the Monopoly Database.
"KTZ justifies the unplanned tariff increase by the need for additional funds to implement the adjusted investment program (including the expansion of the infrastructure of the transport and logistics complex, including the construction of railway lines bypassing the Almaty station and "Darbaza - Maktaaral")," the Association noted.
At the same time, according to its information, over the past 4 years, the average growth of the regulated tariff was 92%, that is, almost a two-fold increase.
"Unfortunately, yesterday's discussion of the new tariff increase took place, as usual, in an atmosphere of obvious and undisguised loyalty of the state body to the monopolist. Moreover, detailed information on the consequences of the initiated growth in the context of tariff differentiation was not disclosed. According to the deputy chairman of KREM, the tariff increase will be "smeared" across all cargo. However, how this will be done is unclear ... "- the carriers noted.
We consider such a "negligent" attitude towards participants in the railway transportation market outrageous, the Association also stated.
"On the one hand, the issue of the advisability of eliminating/reducing the existing differentiation by types of cargo has been repeatedly raised. On the other hand, it is critically important for consumers of services and businesses to understand for what kind of cargo and to what level the cost of transportation will increase. At this rate, what kind of economic development can we talk about if even the authorized state body does not consider it necessary to disclose the monopolist's information about the future growth of tariffs. The question arises, what is the point of public hearings then? Continuing to work according to the principle of "Potemkin villages" we risk losing all existing potential and competitive advantages," the carriers are outraged.