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St. Petersburg to Auction Tram and Trolleybus Routes

St. Petersburg’s “Organizer of Transportation” has announced auctions for all existing tram and trolleybus routes, in addition to several new routes. The auctions, announced on June 18, aim to secure a carrier for approximately one year, starting July 16.

The technical assignment includes 50 current routes and two new ones, Nos. 51 and 52, named “Zhenechka” and “Katyusha,” which will operate in the city’s northern region. Another assignment encompasses four dozen tram routes, excluding the anticipated Route 15 along Moskovsky Prospekt when Park Pobedy metro station closes.

The city plans to establish new contracts with Gorelectrotrans under the “net” system, where the carrier retains revenue and receives fixed payments for its services, eliminating budget subsidies. This shift follows Passazhiravtotrans’s adoption of a similar scheme, though they avoided bidding by securing sole supplier status.

Unlike Passazhiravtotrans, Gorelectrotrans must participate in auctions, despite previous expectations of avoiding formal competition. The transport authorities acknowledge the unlikelihood of external entities entering the infrastructure currently managed by Gorelectrotrans.

The auction requirements suggest that only another major city’s “electotrans” could realistically compete in St. Petersburg’s tram system. Participants must possess vehicles matching St. Petersburg’s specifications, including active safety and driver assistance equipment.

Gorelectrotrans’s management has expressed less concern about competitors and more about the new contract’s terms, specifically regarding operating, repair, and employee salary costs.

The trolleybus transportation contract is estimated at 12.729 billion rubles for just over a year, calculated based on 304 rubles per kilometer for a standard trolleybus and 367 rubles for a two-section one. Hourly rates are 4007 rubles and 4889 rubles, respectively.

The tram contract is valued at 18.352 billion rubles. Rates are 466 rubles per kilometer for a large class and 546 rubles for an extra-large class. Hourly rates are 5927 rubles and 7326 rubles, respectively.

Calculations reveal that Gorelectrotrans relies heavily on budget subsidies, with 21.5 billion rubles out of 28.7 billion rubles in revenue coming from this source in 2024.

The estimated monthly salary for trolleybus drivers is 119,854 rubles, while tram drivers earn 109,959 rubles. Conductors, regardless of vehicle type, receive 73,079 rubles. Gorelectrotrans has been increasing conductor-free routes to minimize labor costs.

In contrast, Passazhiravtotrans agreed to a mega-contract of 328 billion for 10 years. GET will have to participate in a new auction as early as next year to test out some aspects related to operation during this year.