Putin proposes financial incentive for regions to create their own road funds

Russian Prime Minister Vladimir Putin is proposing to transfer federal funds from the future increase in excise duties on petrol only to regions that create road funds. “The money that we shall receive for the federal budget from the increase in excise duties will only be given to regions that create regional funds. They will put in two roubles of their own and the corresponding money from the federal budget which they will receive in connection with the one rouble increase in excise duties,” Putin said on Tuesday at a United Russia party conference on its strategy for developing the Volga region. He noted that this is so far only his proposal, and that a final decision on this issue has not yet been made. (RIA Novosti, 14/09/2010)