In connection with the expiration of the current tariff period for mainline rail services, KTZ submitted an application in July to the Committee for the Regulation of Natural Monopolies for approval of a new tariff. The tariff is scheduled to be implemented on January 1, 2026, according to the national company's press service.
KTZ is currently awaiting a decision following the application review.
"The main reason for the tariff change is the need to implement the investment program for the development of railway infrastructure, which includes the construction and modernization of the Moiynty-Kyzylzhar, Bakhty-Ayagoz, Altynkol-Zhetygen, and Beineu-Mangistau sections, the installation of automatic and semi-automatic blocking systems on lines with a total length of over 2,000 km, and major track repairs covering 11,000 km of track," the national company reported.
These measures are aimed at developing the mainline network and reducing its wear and tear. Their implementation is envisaged by state development programs, including the National Development Plan of the Republic of Kazakhstan until 2029, the Concept for the Development of Transport and Logistics Potential until 2030, and the Concept for the Development of Rail Transport until 2029.
"The current tariff level does not cover the actual costs of maintaining and upgrading the main railway network and does not provide a source of funds for the implementation of long-term infrastructure development projects," KTZ stated.
KTZ previously stated that the current grain transportation tariff is half the cost, which is why the company incurred a 44 billion tenge loss in this area last year. Therefore, with the approval of the State Commission for Economic Modernization, KTZ will increase its grain transportation tariff by 24% annually from 2024 to 2026.