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Building Complex
The state and the indicators of building industry are closely dependant on the amount of investments in the economy of the Republic.
Today, the building complex occupies one of the leading positions in the economic potential of the Republic. Solution of social, economic and technical problems depends, to a large extent, on positive changes in the building industry and on the investment policy.
There are over 450 enterprises and organizations in the Republic, working in the sphere of building and building materials.
In 2007, by means of all types of financing, there was built 131,400 square meters of housing in the Republic, which is 19.9% more than was built in 2006; this includes 57,100 square meters of individual houses. By the beginning of 2008, there was 23.3 square meters of housing per capita in the Republic.
The amount of investments into building from the federal and republican budget is growing every year. Thus, during last three years the limits of financing by means of Target Investment Program of the Republic of Karelia increased by 45% and reached 1.4 billion rubles in 2007. In the sphere of joint financing of objects of republican property from the federal budget the limits increased by 53% and reached 113 million rubles.
Besides, the Republic received financing from the federal budget for building and reconstruction of the objects of federal property.
With participation of the federal budget, in 2007 there was finished the reconstruction of the Arbitrazh Court of the Republic of Karelia and of Karelian Research Center of the Russian Academy of Sciences in Petrozavodsk; there was built the complex of research and learning buildings of Petrozavodsk State University, and a part of the “Kochkoma-Tiksha-Ledmozero” automobile road. Reconstruction of the White-Baltic Sea canal, Karelian local history museum and a number of other objects was going on. The amount of financing of such objects increased 2.5 times since 2005 and reached more than 1 billion rubles in 2007.
With the financing of target investment program of the Republic of Karelia, 18 objects were finished in 2007; among them:
- Addition to the therapeutic building of the Republican Hospital named after V.A. Baranov;
- Reconstruction of the building of “Chaika” restaurant in Kondopoga and converting it to a social and recreational youth center;
- Boiler facilities in villages of Yanishpole and Vyarsila;
- Indoor market in the city of Kondopoga, and other objects.
In order to create favorable conditions for developing of building industry and attracting investments into the economy of the Republic, territorial and strategic planning is being developed; as well as the system of allocation of land plots for industrial, public, or housing objects; mortgage loan system is being developed, and the industry of building materials.
The Chart of the territorial planning of the Republic of Karelia has been created; this chart defines urban development in the Republic up to 2025.
As part of this Chart, there was developed Business-Investment Map of the Republic of Karelia, which is an information tool for potential investors, telling them about existing opportunities and conditions for investing in the Republic, available raw material resources and labor resources, the state of infrastructure, and production facilities.
In 2007, as compared to 2006, there was a substantial increase in production of reinforced concrete constructions and products, as well as panels and other constructions for large panel house building.
The following companies produce reinforced concrete in the Republic:
“VEK” joint stock building company; “Kostomuksha building company”, “Trastsroy” joint stock company, “Technotec” joint stock company, “Pentobeton” joint stock company, “SANA” joint stock company. “KSK” joint stock company produces and sells products for large panel house building.
In 2007, “Karelstroymechanizatsiya” joint stock company put into operation the first part of the plant of reinforced concrete products – concrete mixing facility ELBA EBCD, of the German firm ELBA-WERK, as well as tested the second part of the plant – equipment for molding, made by the Finnish firm Elematic Oy.
The capacity of the plant will be over 35,000 cubic meters of concrete and more than 15,000 cubic meters of reinforced concrete products per year. The system of quality control at the new enterprise will correspond to the criteria of أخرز ISO 9001-2001 standard.
The following enterprises producing reinforced concrete constructions and panels for large panel house construction are increasing their capacity:
· Technical reconstruction of production of reinforced concrete constructions – “Traststroy” joint stock company, “Technotec” joint stock company, “OnegoStroyAvto” joint stock company;
· Reconstruction and modernization of the existing facilities, including installation of gas supply for the large panel house building plant “PSP-KSK” joint stock company in Petrozavodsk.
Besides, a substantial increase in production of ceramic bricks is taking place in the Republic starting with 2000. At present, two enterprises in the Republic produce building bricks – “Kondopoga” joint stock company, with capacity of 30 million bricks per year, and “BrigMash” joint stock company with capacity of 2 million bricks per year.
“Kondopoga” joint stock company started modernization of its facilities; when it is over the company will be able to produce 35 million bricks per year.
In 2007 there is an increase in production of wooden window and door sets, which is connected with appearance of consumers for this segment of the market, in spite of the active development of PVC products.
The following companies produce window and balcony sets from PVC: “Evroline” joint stock company, “Technotec” joint stock company, “Vek-Steklov” joint stock company.
In the first quarter of 2008 “Vek-Steklov” joint stock company put into operation an additional facility for the production windows, doors, balconies from metal plastic, with capacity of 4,500 products per month, which equals 9,000 square meters of glazing.
The production of door and window sets from wood is carried out by “PetroDOK” joint stock company, “Uhta Les” joint stock company (Kalevala district), “SANA” joint stock company. Also, window and door sets are produced in prison camp IK-1 in Segezha.
In February 2008, “Uyutniy Dom” joint stock company in Petrozavodsk put into operation its facility for the production of wooden houses, with capacity of 24,000 square meters per year.
In 2008, “Stroybeton” joint stock company put into operation its facility for the production of concrete mixes, with capacity of 50 cubic meters per hour.
Also in 2008, “Karelmineral” joint stock company put into operation its plant for producing mineral grit from shale and gabbro-diabase, which are used for producing modern roofing materials. The planned capacity of the plant is 80,000 tons of various types of grit per year. The amount of investments is 500 million rubles.
In 2008, “Izotek” joint stock company, together with the Swedish company Cederberg Invest AB, plans to put into operation a plant for production of “Ecovata” natural thermal insulator from pulp, with capacity of 100,000 cubic meters per year.
“BlokJet” joint stock company is the owner of production facility of the former KIMS plant in Kondopoga. The company plans to start production of thermal insulation panels from basalt and sandwich-panels with basalt filling. The time frame for the project is the end of 2011.
The planned amount of investments for 2008-2011 is expected to be 1,700 million rubles.
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