Business interests dominate PM Nečas’s Russian visit

Dmitry Medvedev, Petr Nečas, photo: CTK

Czech Prime Minister Petr Nečas is on a four-day working visit to Russia. On Monday, Mr Nečas met the head of the Russian government, Dmitry Medvedev for talks on economic cooperation including a Russian bid to expand one of the Czech Republic’s nuclear power plants. Later on Monday, the Czech prime minister is scheduled to meet with Russia’s president, Vladimir Putin, in Sochi.

Petr Nečas,  Dmitry Medvedev,  photo: CTK
Prime Minister Petr Nečas’s trip to Russia did not get off to a good start on Sunday. The windshield one one of two aircraft carrying the Czech delegation cracked half way to Moscow. The pilots first considered an emergency landing but instead flew at a lower altitude for the rest of the journey, arriving safely at the Russian capital.

Mr Nečas’ Russian visit is one of the longest and most business-friendly trips the Czech prime minister has made in years. Over the past few years, Russia has become the focus of many Czech industrial companies. Trade exchange between the two countries is rising; last year, it grew by some 6 percent.

Along with Mr Nečas came representatives of railway vehicles manufacturer Škoda Transportation, the building firm PSG International, machine tool producer TOS Varnsdorf, electric machines maker TES Vsetín, and dozens of others. They are expected to conclude contracts worth around 6.7 billion crowns. Russia has a great potential for future Czech investments, too, according to the Czech prime minister. But as Russian Prime Minister Dmitry Medvedev said ahead of Monday’s meeting, the business ties are rather disproportionate.

Temelín nuclear power plant,  photo: Filip Jandourek
“The business and trade exchange between our countries have been developing successfully, and last year amounted to around 10 billion US dollars. But there is certain disproportionateness: we have seen many more Czech investments in Russia than Russian investments in the Czech Republic.”

Russian investments in the Czech Republic might see a massive boost in the future as a Russian-led consortium is one of two bidders left in a Czech major tender for the completion of the Temelín nuclear power plant.

Temelín’s planned expansion was one of the issues discussed by Mr Nečas and Mr Medvedev. After their meeting, Russia’s prime minister said Czech firms could receive investments worth 156 billion crowns if the Russian bid eventually beats its competitor, the US-based firm Westinghouse.

The Czech and Russian prime ministers also talked about ways to ease the EU’s visa regime for Russian citizens. Mr Nečas told the Interfax news agency an agreement could be reached at an upcoming EU-Russia summit due to take place in Yekaterinburg in June.

Vladimir Putin,  photo: European Commission
Prime Minister Nečas also met with members of several Russian human rights NGOs who said they found themselves under increasing pressure from the Russian authorities, Radio Svoboda reported. Mr Nečas came under fire from the US-funded broadcaster when he reiterated that in his opinion, the jailed members of the band Pussy Riot were “no advocates of human rights and freedom”.

Later on Monday, Mr Nečas is set to fly to Sochi for talks with Russian President Vladimir Putin. During his visit, Mr Nečas is also set to visit St Petersburg and Yekaterinburg where he will launch Czech-Russian trade forums.