Transport and communication minister calls for railroad sector demonopolization and restructuring
12.02.01 00:00
/IRBIS, Feb 12, 01/ - The Great Silk Road World News Agency informs that
at today's session of the Parliament, Kazakhstan Transport and
Communications Minister Mr. Karim Masimov said the railway sector needs
to be de-monopolized and restructured. According to the official, reforms
should frame the competitive core of this sector, with establishment of
several transport companies and separation of service and maintenance
divisions of Kazakhstan Temir Zholy. Besides, the minister considers it is
necessary to stop cross financing of several branches of the sector (meaning
that transport services to passengers bring no profit and are backed up at the
expense of proceeds from cargo transport) as well as privileges to individual
consignors. Regarding the state participation in the sector, Mr. Masimov
believes it is necessary to divide functions of the ministry and Kazakhstan
Temir Zholy more clearly.
The Ministry intends to set up both monopoly and competitive business in the
sector in the course of restructuring of railway transport services. The
monopoly will cover maintenance and use of the railway infrastructure, while
the competitive business will cover transportation.