Russia & CIS Observer, January 2013

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Russia & CIS Observer 1 (36) january 2013 Russia & CIS Observer www.ato.ru/rco

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Latest information on Russia's and CIS air transport, aerospace industry, defense and space business.

Transcript of Russia & CIS Observer, January 2013

Page 1: Russia & CIS Observer, January 2013

Russia&CIS Observer! 1 (36) january 2013

Russia&CIS Observerwww.ato.ru/rco

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RUSSIA/CIS OBSERVER ! 1 (36) JANUARY 2013 1

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•DEFENSE

Another successful year for Russian

defense exports ....................................2

Radars for India and other

customers ............................................6

Helicopters for New Delhi ..................8

New orders for Su-30MKI fighters ....10

Russia develops new airborne

weapons ............................................10

Hopes for heavy lift ............................11

•AEROSPACE INDUSTRY

The Russian government supports the

national aircraft industry ....................12

The SSJ 100 regional airliner expands its

operating envelope ............................14

Russia builds competence on

helicopter engines ..............................16

•AIR TRANSPORT

Sustained growth ..............................18

Vnukovo boosts capacity ....................19

Volga-Dnepr Group set to expand

its MRO capability ............................20

•SPACE BUSINESS

The Russian space industry becomes

more pragmatic ..................................22

Russia eyes more joint space projects

with India ..........................................24

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RUSSIA/CIS OBSERVER ! 1 (36) JANUARY 20132

DEFENSE

Another successful yearAircraft and airborne weapons continued to dominate Russian arms exports in 2012

Konstantin Makienko

Despite the loss of theLibyan and Iranian mar-kets and the suspensionof military supplies to

war-town Syria, Russian official reportsclaim a continuing nominal growth inarms deliveries and contracts.According to the Federal Service forMilitary-Technical Cooperation,Russia exported $15.2 billion’s worth ofarmament last year and landed newcontracts for a total sum of $15 billion.To put these figures in perspective, 2011deliveries amounted to $13.2 billionand the total value of arms export con-tracts concluded during that year is es-timated to have stood at $8-8.5 billion.As in previous years, most of the 2012deliveries and (presumably) newlysigned contracts were related to mili-tary aircraft, associated equipment andweaponry.

DeliveriesAviation equipment accounted for 37%of all Russian arms exports in 2012.India appears to have remained Russia’slargest customer for such assets since2005. Irkut Corporation has yet to re-

lease its performance results for 2012but we may safely assume that it deliv-ered at least 30 to 35 assembled air-frames and knock-down kits of theSukhoi Su-30MKI fighter jet variety tothe Indian Air Force and to the licensemanufacturer HAL. Algeria received itssecond and final batch of eight Su-30MKI (A) fighters under the 2010contract for 16 of the type; the first eightairframes had been delivered in 2011.

Sukhoi last year completed Su-30MK2 deliveries under the 2010 con-tracts with Vietnam and Uganda. Thefirst four of Vietnam’s 12 fighters hadbeen delivered in 2011, the same yearthat Uganda received the first four of itssix aircraft on order.

In total, Sukhoi delivered 10 Su-30MK2 airplanes last year and Irkutpresumably made at least 38 deliveriesof Su-30MKI/MKI (A) fighters andknock-down kits. Combined deliveriesof Su-30 family fighters thus amountedto at least 48 airframes.

MiG-29 deliveries continued as well.Six MiG-29B/SE fighters were shippedto Myanmar, completing the 2009 con-tract worth !410 million for 10 MiG-29B, six MiG-29SE, and four MiG-29UB aircraft. Myanmar had received

its first 14 airframes back in 2011. In aseparate development, RSK MiG be-gan deliveries to India under the 2010contract worth $1.5 billion for 29 MiG-29K carrier-borne fighters. The con-tract is an addendum to the original2004 accord under which Russia un-dertook to develop the MiG-29K mod-ification and supply 16 such fighters forthe Indian aircraft carrier INSVikramaditya. Three to four of the typewere reportedly delivered in 2012.

Work continued to upgrade IndianAir Force MiG-29s to MiG-29UPGstandard under the $964 million con-tract signed in 2008. Work was com-pleted on three of the 63 airframes linedup for upgradation. The rest of thebatch will be upgraded at HAL facilitiesin India.

Despite reports by some media, it istoo early to assume that deliveries of the12 MiG-29M/M2 fighters to Syria un-der the 2007 contract have been sus-pended. The first six aircraft are notscheduled for delivery until the secondhalf of 2013. The situation in Syria mayhave stabilized by then, making it pos-sible for RSK MiG to either go aheadwith the contract or put it on hold in-definitely.

India continues to be the largestimporter of Russian arms

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MARKET SUPPLEMENT

Izhevsk Electromechanical PlantKUPOL, JSC, being part of the ALMAZ-ANTEY Air Defense Concern, unveils itsnew surface-to-air missile system Tor-M2KM, which differs from the widelyknown SAM systems Tor-M2K and Tor-M2E in a modular design of the combatand support vehicles.

SRSAM system Tor-M2KM with itsmodular combat and support vehicles isdesigned for air defence of vital public fa-cilities. It is very reliable and effectiveagainst high maneuvering targets, guidedand gliding areal bombs, anti-radar andcruise missiles, UAVs, aircraft and heli-copters within the SRASAM engagementarea day and night under adverse weath-er and countermeasures environment.

Independent combat module (ICM) ofthe SRSAM system is an autonomousmissile launcher which incorporates radarand optical facilities, special equipment,surface-to-air missiles, primary and back-up power supply sources and crew. Ashelter with unified mount adapters hasbeen specially designed for the ICM, al-lowing its arrangement on truck, semi-trailer, trailer or other platforms of appro-priate load-carrying capacity.

ICMs mounted on various platformscan significantly expand applicationrange and scope of missions carried outby the SRSAM system, besides modulardesign results in substantial reduction ofoperational costs.

Being deployed on various platformsSRSAM system Tor-M2KM is capable ofaccomplishing AD missions of LandForces, Air Forces and Navy, protectingvital strategic military and civilian facili-ties against air attack.

Due to modular design, the ICM canbe slingloaded beneath a helicopter MI-26T or its analogs.

Helicopter-transported ICM can be de-ployed in very hard-to-reach places, forexample, in mountains and roofs of build-ings.

Tor-M2KM is the first system to fullymeet air defence needs of the big cities(megalopolises).

The system is fitted with up-to-datecomputers and radars, making it possibleto destroy four aerial targets simultane-ously.

Combat operation of the SRSAM sys-tem Tor-M2KM is fully automated, opera-tor only needs to select a target to hit fromthe list given by computer and then pressStart button. Surface-to-air missile is guid-ed to the selected target automatically,and SAM warhead blows up in a targetimpact point. The missile carries irregularshape fragmentations made of specialtungsten-nickel-iron alloy, providing highnon-ricocheting penetrating efficiency offragmentations. Radio fuse adaptation tothe air target type along with special mis-sile munitions make the system very ef-fective against all types of targets.

Independent combat module providestransportation, storage and launch offour surface-to-air missiles.Transporter/loader module can bemounted on the automobile chassis sim-ilar to the ICM chassis.

ICM is fitted with power supply sourceensuring its autonomous operation inany weather conditions irrespective ofthe platform the ICM is placed on. TheICM has also a backup power source al-lowing ICM (if deployed without platform)to operate from commercial network orany mobile power plant generating volt-age of 220V 50Hz and power of not lessthan 80 kW.

Maintenance tools and spare parts forthe SRSAM system are placed in the uni-fied shelters which can be mounted onany trucks, semi-trailers and trailers.

The maximum weight of the loadedICM does not exceed 15 tons.

The combat crew is 2 men.SRSAM system Tor-M2KM can suc-

cessfully accomplish AD missions bothindependently and as part of various ADunits, and be integrated with Russianand foreign AD systems.

Over 50 years IzhevskElectromechanical Plant KUPOL, JSChas been manufacturing high quality sur-face-to-air missile systems. High tech-nologies, skilled personnel and manyyears’ experience in production andmodernization of the military equipmentmake the company successful in the for-eign and domestic markets.

Through creation of air defense missilesystems for today’s and tomorrow’s armyKUPOL company upholds its reputationas a Russian high-grade weapon manu-facturer.

SRSAM system Tor-M2KMWITH ITS MODULAR COMBAT AND SUPPORT VEHICLES

Air Defense Concern ALMAZ-ANTEY, JSC41 Vereyskaya str., 121471, MoscowTel.: (495) 276-29-65, fax: (495) 276-29-69E-mail: [email protected]

Izhevsk Electromechanical Plant KUPOL, JSC3 Pesochnaya str., 426033, IzhevskTel.: (3412) 90-3211; fax: (3412) 72-6819E-mail: [email protected]

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DEFENSE

Another important event was the re-sumption of military aviation exports toChina. The contract for seven IlyushinIl-76MD military transports currentlyoperated by the Russian Air Force mayappear to be fairly modest but it doesindicate a new phase in Russian-Chinese arms trade.

Open-source data suggests that about$1.4 billion’s worth of rotary-wing de-liveries were made last year. India wasthe leading recipient; under a $1.3 bil-lion contract signed in 2008, it is to get80 Mil Mi-17V-5 transport helicopters.A total of 42 airframes were delivered in2011 and 2012; the rest are expected tofollow in 2013. Other major deliveriesof Mi-17 family aircraft in various ver-sions were made to Azerbaijan (pre-sumably 16 units), Afghanistan (12),China (eight), Egypt (at least six),Indonesia (six), Mexico (three), andSouth Sudan (two). Twelve Mi-35Mgunships went to Azerbaijan and anoth-er six to Brazil. Myanmar took deliveryof four Mi-35P rotorcraft previouslyoperated by the Russian military.

China was the major recipient of aeroengines last year after placing massiveorders in 2011 and 2012 for 150 AL-31F, 123 AL-31FN, and 184 D-30KP-2 powerplants. Thanks to these con-tracts China returned to the fold of ma-jor Russian armament importers andmay have made it to the top five cus-tomers with up to $1 billion’s worth de-liveries a year, after India, Vietnam,Algeria, and Venezuela.

New contractsAlthough Russia continued to suffer abad streak of failures in Indian AirForce tenders last year, India topped thelist of new contracts for Russian militaryaviation equipment. Indeed,Washington’s 2012 win in the IAFheavy transport helicopter tender cameon top of Boeing’s 2011 success with itsbid to supply 22 strike helicopters tothat country. Nevertheless, winning acontest does not automatically meanlanding an actual contract; none ofIndia’s recent major tenders, includingthose for the MMRCA medium multi-role combat aircraft, for the combat andheavy-lift transport helicopters, and forthe air tankers, has yet eventuated in theaward of a contract to the winning bid-der. The parliamentary election to beheld in India in the second half of 2013may well result in a change of govern-ment. This does not seem to be the besttime for signing major contracts, whichmight be hijacked by politicians fortheir own ends and eventually get re-vised or cancelled.

Russia for its part has been signingnew contracts with India under on-go-ing arms export programs that are de-void of political risks and technologyhiccoughs. During Putin’s visit to NewDelhi in December last year the coun-tries inked the long-awaited deal for thedelivery of 42 Su-30MKI knock-downkits to India. The press looked at previ-ous similar contracts in estimating thedeal’s value at $1.6 billion. However,

seeing as armament prices grow inces-santly, we may assume that the actualsum is greater than that.

In a separate development, under anadditional agreement to the 2008 con-tract, India will get 71 Mi-17V-5 heli-copters for $1.3 billion; 59 rotorcraftwill be delivered to the IAF and the re-maining 12 to the country’s paramili-tary forces. A framework agreementsigned in October 2012 envisages deliv-eries of 920 AL-31FP engines for IAFSu-30MKI fighters through 2030. Theengines will come in batches; the valueof each batch will be calculated accord-ing to a formula agreed by the parties,but the overall price tag of the contractis estimated at $5 billion in 2012 prices.

Under another contract signed dur-ing Putin’s visit to India, 216 BrahMosmissiles will be supplied for the IAF’supgraded Su-30MKIs to the tune of$1.2 billion. Russian missile designhouse NPO Mashinostroyenia will re-ceive half this sum.

Last year’s contract to deliver 36 MilMi-28NE gunships to Iraq for $2 bil-lion produced quite a stir in the pressbut the Iraqi government subsequentlyvoided the deal, citing an overstatedprice and suspected corruption. Thestatus of this contract is currently un-known but negotiations are understoodto be continuing. Among other majorcustomers for Russian rotary-wing air-craft were China (52 Mi-171E helicop-ters for $624 million), Afghanistan (10aircraft, to be purchased with Pentagonmoney), Sri Lanka (14 Mi-171Sh heli-copters), Nigeria (about 10 Mi-17/171s), Ghana (six Mi-17s) andArgentina (three examples of the Mi-171E modification).

China continued to shop for Russianpowerplants by ordering 140 AL-31Fengines from Salyut for $700 millionand 184 D-30KP-2 engines from NPOSaturn for $500 million.

Overall, 2012 proved a fairly success-ful year for Russian manufacturers offixed- and rotary-winged aircraft, aeroengines and airborne weaponry, both interms of deliveries and newly signedcontracts.

China is again increasingdefense imports from

Russia through purchasesof helicopters and

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RUSSIA/CIS OBSERVER ! 1 (36) JANUARY 20136

DEFENSE

Radars for Indiaand other customers

— What programs for India isPhazotron-NIIR currently working on?

— There are two major on-going pro-grams for Indian customers. One ofthem is to design and deliver MiG-29K/KUB carrier-borne fighters fittedwith the FGM-129 variant of ourZhuk-ME radar. These aircraft per-formed successfully in trial landings onINS Vikramaditya last summer, but sofar the Indian Navy is operating themfrom airfields in the state of Goa. Aspart of after-sales support for our radarswe pay great attention to any criticismsand requests made by the Indian cus-tomer.

Deliveries of an additional batch ofthese fighters have begun to India; fouraircraft have been handed over so far.

The next two airframes will be used tocoach Indian pilots in arrested landingsat the NITKA land-based carrier train-er in Yeysk, Russia.

Our other program is to upgradeIndian Air Force MiG-29 fighters withthe Zhuk-ME radar. A total of 55 sin-gle-seat and eight twin-seat aircraft ofthis type will be upgraded this way. Inthe course of the program we work tomeet a number of additional require-ments set by the project team. Theseinclude preferences related to identifi-cation of target classes and types, to theradar library, etc.

Under the terms of the contract,four single-seat and two twin-seatfighters have undergone tests at theRussian Air Force base in Akhtubinskunder the supervision of the projectteam. Based on the results of the tests,a preliminary decision was made topermit series production of the up-graded aircraft. A final production de-cision is expected to follow by the endof this year.

Two single-seaters and one twin-seater from the test batch, allequipped with the new Zhuk-MEradar, have already been delivered toIndia and will be formally handedover in late January. These aircraftwere test-flown in Russia by an Indianpilot, who had to test about 50 differ-ent radar operating modes in thecourse of a single sortie. There weresome criticisms of the radar but wehave fixed these issues by now.

The other two single-seaters and onetwin-seater from the trial batch remainin Russia to be brought up to India’sadditional requirements. They should

be delivered to the customer in March2013. Six upgrade kits including ourradars and other systems were sent toIndia last December to be installed onIAF fighters at the Nasik repair facility.

Also last year Phazotron-NIIR of-fered India to sign an agreement tojointly develop an active electronically-scanned array (AESA) radar. We held apresentation of AESA radars and ourIndian counterparts got interested inthe possibility of using such a solutionon their future MCA military transportaircraft.

— Will your proposed solution bebased on the Zhuk-AE radar?

— The Zhuk-AE AESA radar, whichwe proposed as part of Russia’s bid inthe Indian MMRCA tender in 2010, isa production item. This means therewould be no critical issues that couldaffect series production. We are cur-rently designing an all-new 3D AESAradar but we need another 1.5 to twoyears before we can launch its seriesproduction. The problem is not creat-ing the 3D transmit/receive modules[TRM], which we already have. At themoment we are focusing our efforts onmaking all components located behindthe array, i.e. the power sources, thesteering devices, and so on, as thin andcompact as the array itself.

Phazotron-NIIR is working to designa 3D AESA radar for a future un-manned aerial vehicle. Kamov, on theother hand, would like to install a simi-lar radar on its Ka-52 helicopter.

— How expensive will the new radarbe to buy and operate?

— Designers of 3D AESA radarsaim to bring the price down to a level

India is perhaps the largest export customer of Russia’s leading radar design housePhazotron-NIIR. General Designer Yuri Guskov told Russia & CIS Observer aboutthe corporation’s on-going Indian contracts and new development programs.

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RUSSIA/CIS OBSERVER ! 1 (36) JANUARY 2013 7

DEFENSE

comparable to that of a radar with atraditional mechanically-scanned ar-ray. So far AESA radars remain about30% more expensive; our goal is tofurther narrow this gap to 8-10%. Thebulk of the price is the cost of mono-lithic integrated circuits which areused in the TRMs. If purchasedabroad they hike the price of a singleTRM to between $800 and $1,000. Weare planning to launch domestic pro-duction of such circuits, thus reducingthe TRM price to about $400 to $500apiece.

I am also getting better at convincingpeople that an AESA is cheaper to op-erate than a mechanically-scanned ar-ray because it is thrice as reliable. Yourequire fewer spare parts so your air-craft grow more mobile because you nolonger need to move large SPTA stockswhen relocating from one air base toanother. The service life of the TRMs iscomparable to that of the airframe. Ourgoal is to bring the reliability of all radarcomponents up to the same high level.

— What are you plans for the Zhuk-AE radar?

— We continue to improve the Zhuk-AE; Phazotron-NIIR is partially fi-nancing the manufacture of a full-scalearray but we would also like to receivesome funding from customers to com-plete this work.

Indian specialists liked the Zhuk-AEradar installed on the Russian MiG-35fighter proposed for the MMRCA ten-der. I am bringing to Aero India severalpresentations for the Indian militaryand defense companies. It says in thesepresentations that the Zhuk-AE will betotally interchangeable with the me-chanically-scanned Zhuk-ME model.In Bangalore I am planning to suggestto IAF representatives that we upgradethe last two of their MiG-29 fighterswith our AESA radar, to demonstratethat the airframe would not require anyalterations at all.

— Would the Russian Air Force like toget this radar?

— Our military would like to havetwo fighter types, including the AESA-equipped MiG-35 medium fighter. Butthe industry keeps insisting that this

type should be deliv-ered with the Zhuk-M radar.

What the industry wants is fast or-ders, so if we are talking about the2013 [state defense] order for exam-ple then of course these aircraftshould have the tried-and-testedZhuk-M radar installed. Neverthelesswe must still continue to improveEASA technology, build two Zhuk-A-equipped fighters and send them fortrials. After the testing is completed

in late 2014 we could launch produc-tion of AESA-equipped fighters. Thiswould be the most rational solution,but a final decision has not beenmade yet.

— What other programs is Phazotron-NIIR pursuing at the moment?

— We are working on several helicop-ter programs, including on the Ka-52gunship which is currently fitted withthe mechanically-scanned Arbalet mil-limetre-wave radar. More than 30 suchhelicopters have been delivered to theRussian Air Force to date. In the futurethe Ka-52 could also be used as a ship-based reconnaissance asset, so we arenow considering additionally fitting itwith a 3 cm-waveband AESA radar,which has a greater range than its cur-rent radar. The helicopter could use thecentimetre radar during operations at

sea and switchto the millimeter radar during sup-

port missions over land.You are certainly aware that tests of

the upgraded Kamov Ka-27M helicop-ter with our Kopye-A radar are pro-gressing successfully. The official trialsshould be completed in May.

Our other development is theArbalet-D missile approach warningradar. It was initially intended for theMil Mi-26 helicopter, then it was in-stalled on the Ka-52, and now theRussian Navy is testing a pyramidal

multi-array installation based on thisradar. The Arbalet-D takes just one totwo seconds to provide comprehensivesituational awareness for a surface shipcomplete with target designation,mainly for artillery systems.

We also have orders from anti-air-craft systems developers who need airdefense radars. There are a greatnumber of orders for radar solutionsto protect armoured convoys againstaerial assaults. Previously my greatestconcern was the absence of a dedicat-ed production plant for our develop-ments. This is no longer an issue:Ryazan State Instrument-makingPlant has been identified as the pri-mary production facility for our de-signs. My greatest concern now iswhether we will be able to carry outall our current orders.

“AESA radar is cheaper to operate thana mechanically-steered array because it isthrice as reliable”

Zhuk-ME radar

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DEFENSE

Helicopters for New DelhiRussian rotary-wing products enjoy steady demand in India

Maxim Pyadushkin

With its current fleet ofabout 300 Russian-builtmilitary and civilianhelicopters set to grow

in number and variety in years to come,India is and will remain one of the mostlucrative rotary-wing export marketsfor Moscow.

Most of the Russian-made helicop-ters operated in India represent the MilMi-8/17 family, which remains in highdemand on the subcontinent. LastDecember the Indian military andparamilitary agencies ordered an addi-tional 71 examples of the Mi-17V-5version for $1.3 billion, with deliveriesthrough 2015.

The previous such contract, worth$1.34 billion and signed in 2008, was

for 80 Mi-17V-5s. The Indian AirForce received the first 12 aircraft fromthat batch in February last year; thecontract is expected to be completed in2013. Konstantin Makienko, deputydirector of Russia’s Centre for Analysisof Strategies and Technologies, notesthat apart from the new Mi-8/17 salesto India the Russian manufacturers

could be contracted to upgrade previ-ously delivered helicopters of this fam-ily.

India has historically remained a ma-jor importer of Russian armament, soMoscow’s interest in selling militaryrotorcraft to that country is only logi-cal. Russian helicopter manufacturershave run in several Indian DefenceMinistry tenders, offering the most ad-vanced products optimally matched tothe customer’s requirements.

The Kamov Ka-226T model, pow-ered by two Turbomeca Arrius 2G1 tur-boshafts and fitted with an upgradedavionics suite, has been proposed forthe Indian tender to procure 197 lighthelicopters. Prototypes of this aircraftsuccessfully completed a series of com-parative ground and flight trials in Indiain 2010. The Russian Helicopters hold-

ing company expects the tender resultsto be announced shortly. The Ka-226Tis pitted against the Eurocopter AS550Fennec model. To make its bid moreattractive Russian Helicopters has an-nounced its readiness to move manu-facture of certain Ka-226T structuresto India. The relevant agreement wassigned in New Delhi last December be-

tween the Russian company and ElcomSystems, part of the Indian investmentfirm SUN Group. The partners intendto set up a facility which would initiallyproduce key airframe components,moving gradually on to final assemblyof helicopters, their ground and flighttesting.

Apart from Ka-226T work, a RussianHelicopters source says, the joint ven-ture should grow into a productioncentre for promoting Russian hi-techrotorcraft products on the Indian mar-ket. It will be tasked with implementingoffset programs related to Russian hel-icopter bids in various Indian tenders.Russian Helicopters and ElcomSystems also agreed to jointly found arotary-wing academy for pilots andground personnel in India.

In an earlier tender for 15 heavytransport helicopters, Russia proposedto India a modernized Mil Mi-26T2heavy-lifter with a new glass cockpit,digital autopilot, and Navstar/Glonass-enabled navigation system.The upgraded helicopter has the crewheadcount reduced from five to twoand supports international IFR flights.With an MTOW of 56 tons, the Mi-26T2 can transport up to 20 tons offreight and has a range of 800 km.Representatives of the customer wereleft satisfied with the results of the fa-miliarization flights.

Russian Helicopters continues tomarket civilian rotary-wing equipmentto India. The Indian DirectorateGeneral of Civil Aviation in 2011granted permission to operate KamovKa-32A11VS all-weather coaxial-rotorhelicopters in that country. Also thatyear, Russian Helicopters and VectraGroup of India set up the joint ventureIntegrated Helicopter Services PrivateLtd. to run a local service center forRussian-built civilian helicopters.

Russian Helicopters is offering to set upa Kamov Ka-226T assembly line in India

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RUSSIA/CIS OBSERVER ! 1 (36) JANUARY 201310

DEFENSE

New orders for Su-30MKI fightersLast year was very suc-

cessful for one ofRussia’s major defense best-sellers, the Sukhoi Su-30MKI two-seat fighter.Irkut Corp., a subsidiary ofUnited Aircraft Corpora -tion, managed to secure neworders for these aircraft atthe end of 2012, boosting thetotal backlog to almost 400units.

On December 19, Irkutsigned a deal with theRussian Defense Ministryfor the delivery of 30 SukhoiSu-30SM fighters through2016. This is the second suchcontract with the Russianmilitary for this type; theprevious order, for the samenumber of Su-30SMs withdeliveries through 2015, was

placed in March 2012. Thefirst two fighters from thatbatch were handed over tothe Russian Air Force in lateNovember last year. Another10 airframes are expected tobe delivered in 2013.

The Su-30SM is a variantof Irkut�s Su-30MKI fighter,customized to meet the

Russian Air Force require-ments. It has new radar,communications and IFFequipment, new ejectionseats, and can also use newtypes of air-launched muni-tions, the Air Force says.According to the military,the two-seat Su-30SM willalso be used to train the pi-

lots of future highly maneu-verable single-seat fighters.

The Su-30MKI baselinewas developed in the 1990sunder the requirements of theIndian Air Force. Since 1997India has ordered 230 of thetype, including 180 airframesto be locally assembled atHindustan Aero nautics Ltd.The Indian order backlogfurther grew in December2012 with a contract worth$1.6 billion for the delivery ofa further 42 assembly kits. Atpresent the Indian Air Forceoperates about 170 Su-30MKIs. In addition, Algeriahas ordered 44 airframes inthe Su-30MKA version,while Malaysia received 18fighters in the Su-30MKMmodification.

Russia develops new airborne weaponsRussian missile design

house Tactical MissilesCorporation (TMC) hassuccessfully developed sever-al new products. CEO BorisObnosov was quoted by themedia as saying in January2013 that TMC had com-pleted the testing of the Kh-31PD, RVV-MD, RVV-SD,and RVV-BD missiles.

The Kh-31PD is the latestmodification of the AS-17Krypton missile family pow-ered by a combinedrocket/ramjet motor. It isequipped with a passiveradar seeker and can hitradar stations at a maximumrange of up to 250 km.Obnosov also mentionedthat the Kh-31AD anti-shipvariant is nearing the end oftrials too. Both missiles can

be delivered by such hi-techplatforms as the Sukhoi Su-30MK, Su-35, and MikoyanMiG-29/35 fighters.

The short-range air-to-airRVV-MD is a further devel-opment of the R-73 heat-seeking design (NATO re-porting name AA-11Archer), while the medium-range radio-guided RVV-SDis believed to be an improved

version of the RVV-AE (AA-12 Adder). Both missileswere unveiled in 2009 andare believed to be intendedfor Su-35 fighters.

The RVV-BD, first pre-sented in 2011, is based onthe in-service R-33 (AA-9Amos) design and has a re-ported range of 200 km. TheRVV-BD has an active radarseeker supplied by the Agat

Moscow Research Instituteand is designed to be carriedby the modernized MiG-31BM supersonic intercep-tor as well as by the Russo-Indian FGFA aircraft.

The Russian Air Force inDecember 2012 reportedlyadded to its inventory anoth-er TMC-designed missile,the Kh-38 air-to-surfacemodular design with up to 40km range. The Kh-38 can betipped with various seekersincluding satnav capability.It is expected to be carried byvarious Russian combat air-craft including the SukhoiT-50 fifth-generation fight-er. T-50 weaponry payloadtrials will begin after moreprototypes of the aircraftjoin the testing program,Obnosov notes.

The first Su-30SM fighters were delivered tothe Russian Air Force in November 2012

RVV-BD missile

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Hopes for heavy liftCommercial operators remain the only supporters of the proposalto resume An-124 production

Maxim Pyadushkin

The plans to resume produc-tion of the giant AntonovAn-124 Ruslan transport air-craft in Russia may never be

implemented. The Russian Air Force,which was previously viewed as the po-tential launch customer, has not yet madeup its mind, while commercial operatorsare looking for alternative options to setup an assembly line for the heavy-lifter.

Some Russian media in January 2013cited Alexey Isaikin, head of the largestAn-124 commercial operator Volga-Dnepr Group, as saying his companywas considering the possibility oflaunching Ruslan assembly outsideRussia. The airline would like the newlybuilt An-124s to have Western avionicsand engines. Isaikin mentioned Leipzigas a possible location. Volga-DneprGroup’s subsidiary Volga-DneprTechnics opened an 8,500-square-meterMRO hangar at Leipzig/Halle Airportthis January to provide maintenanceservices on heavy transport aircraft suchas the An-124-100, the Ilyushin Il-76TD and the Boeing 747. According toIsaikin, the facility was built due to thelack of progress in the airline’s protract-ed negotiations with Russia’s UnitedAircraft Corporation (UAC) over a pos-sible resumption of An-124 productionat the Aviastar-SP plant in Ulyanovsk.

Aviastar-SP assembled its last twoAn-124s in 2004, delivering them toVolga-Dnepr Group and to theUlyanovsk-based freight operatorPolet. Since that time Volga-DneprGroup has been the prime driving forcebehind the plans to restore Ruslan as-sembly in Ulyanovsk. The companyannounced in 2011 that it was ready tocontract UAC for 20 such newly-built

aircraft, with an option for 20 more,with deliveries through 2030.

A UAC source has told Russia & CISObserver that reviving the An-124 pro-duction program requires governmentsupport and also a launch order fromthe Russian military in order to coverthe costs of the development work andproduction launch. “Financing is themain problem,” she noted. “UAC’s pri-mary goal now is to start turning a prof-it, meaning we cannot afford to operateat a loss.” Representatives of Ukraine’sAntonov company, the original designerof the An-124, declined to comment onthe Volga-Dnepr Group proposal.

The new Russian re-armament pro-gram through 2020, which was adoptedin 2011, reportedly envisages the pur-chase of 25 newly built Ruslans for theAir Force and a potential subsequent or-der for another 15 after 2020. Howeveraccording to industry sources, theDefense Ministry has not yet commis-sioned an associated development effort,meaning that the provisional deliverytimeframe is likely to slip beyond 2020.

UAC says Aviastar-SP nowadaysmerely repairs the in-service fleet ofRussian Air Force Ruslans; the plant is

busy setting up production of anotherupgraded transport, the 210-ton MTOWIlyushin Il-76MD-90A, which has beenordered by the Russian Air Force.

The An-124 was originally designed tocarry ICBM launchers. It is powered byfour Ivchenko D-18T turbofans and hasan MTOW of 392 tons with a 120-tonpayload capacity. The Ruslan first flew inDecember 1982; the An-124-100 com-mercial variant was certified in 1992.

Volga-Dnepr Airlines currently oper-ates 10 Ruslans to transport oversizefreights around the world. Polet has fourof the type, while Ukraine’s AntonovAirlines has seven. Volga-Dnepr andAntonov make their airframes availablefor NATO strategic airlift operations un-der the SALIS program. In December2012 the contract with NATO was pro-longed until the end of 2014.

Even if the hopes to restore Ruslanproduction fail, Volga-Dnepr will stillbe able to operate its current fleet forquite a long period of time. The air-line’s oldest aircraft of the type werebuilt in the early 1990s. Several yearsago the An-124’s service life was offi-cially extended to 50,000 flight hours,10,000 cycles, or 45 years.

Once an An-124 production plant, Aviastar-SPmerely repairs the Russian Air Force Ruslansthese days

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From the governmentwith loveThe Russian government is looking for better ways to support the country’s air-craft industry and air transport sector

Maxim Pyadushkin

The Russian aircraft-makingindustry is still struggling tofind a new identity. Fornearly two decades now it

has been rolling out a handful of air-frames per year. The country’s aircraftmanufacturers, merged under the um-brella of United Aircraft Corporation(UAC), saw a modest growth in outputlast year as series production started ofnew models developed in the post-Soviet era. Meanwhile, the Russiangovernment wants to see the nationalaircraft manufacturers among the glob-al leaders and is prepared to continuesupporting the industry.

The year 2012 appeared to be fairlysuccessful for UAC. Although the cor-poration has not yet posted its operat-ing and financial results for the year,UAC CEO Mikhail Pogosyan forecastin December that the 2012 revenue

would have reached 180 billion rubles(about $5.8 billion), or 12.5% up on2011, when it amounted to 161.7 bil-lion rubles (the net loss for 2011 stoodat almost 12 billion rubles).

UAC delivered 102 military and civil-ian aircraft in 2011. According toPogosyan, last year’s deliveries to theRussian military amounted to 35 air-craft, outnumbering military aviationexports for the first time in the corpo-ration’s history. The Russian Air Forcereceived 10 Sukhoi Su-32 bombers, sixsingle-seat Su-35 multirole fighters, itsfirst two Su-30SM twin-seaters, and 15Yakovlev Yak-130 advanced jet trainers.

According to unofficial estimates,UAC assembled 18 commercial airlin-ers last year, including 12 examples ofthe new Sukhoi Superjet 100 regionaljet and three copies of the smallerRussian-Ukrainian An-148 passengeraircraft. UAC also assembled one eachof the Tupolev Tu-214 narrowbody and

the Iluyshin Il-96 widebody, as well asthe first prototype of the re-enginedIlyushin Il-76MD-90A freighter.Production grew by 50% compared tothe 2011 results, although UAC is stillfar behind the output levels of theSoviet aircraft industry, which wouldroll out hundreds of airframes annually.

Last year’s commercial deliveries to-taled 15 airframes, including some as-sembled back in 2011. Russia’s largestcarrier Aeroflot received six SSJ 100swhile Yakutia Airlines and Indonesia’sSky Aviation each received one aircraftof this type. Three An-148-100Es werehanded over to Siberia-based carrierAngara; one An-148-100EA versionwent to the government air serviceRossiya. The latter also took delivery oftwo Tupolev Tu-204-300 and one Tu-214 airliners assembled in 2011.

Pogosyan expects UAC’s revenue toreach 200 billion rubles in 2013 thanksto ramped-up deliveries to the Russianmilitary, which is in the middle of amassive re-armament program. Thecorporation also plans to boost civiliandeliveries with a consolidated order forcommercial airliners from a number ofRussian government agencies, some ofwhich are already among UAC’s civil-ian customers. Rossiya, for example,remains the only recipient of Tu-204/214 family aircraft and of Il-96widebodies, while the Russian Ministryfor Emergency Relief is to get two An-148s in 2013.

According to Pogosyan, the consoli-dated government order will comprisemore than 100 civilian aircraft of vari-ous types and is expected to be finalizedby the end of 2013. UAC is currently in

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RUSSIAN AIRCRAFT INDUSTRY REVENUE AND GOVERNMENT SUBSIDIES

Source: Russian Ministry of Industry and Trade

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discussions with the government cus-tomers over the technical requirementsfor these aircraft, he says.

From direct subsidies totechnology supportThe massive government order isviewed as a measure to support the na-tional aircraft industry, replacing directsubsidies from the federal budget thatwere practiced in previous years. TheRussian government is keen to contin-ue backing the country’s aircraft man-ufacturing industry, but it is understoodthat this support will become lessstraightforward now that Russia joinedthe World Trade Organization last sum-mer.

In late 2012 the government ap-proved the program to develop the na-tional aircraft industry through 2025. Inprevious years budget funding would beallocated directly to aircraft manufac-turers for specific programs. The vol-ume of these subsidies had been steadi-ly growing since the mid-2000s to reach69 billion rubles in 2011. Now the gov-ernment wants to refrain from direct fi-nancial support and switch instead tohelping manufacturers develop com-petitive products through financingtechnology research and technical re-tooling and assisting the industry’s salesefforts. According to Minister ofIndustry and Trade Denis Manturov,the budget of the government programamounts to 1,706 billion rubles; 71% ofthis sum will be allocated from the fed-eral budget, while the remaining por-tion is to be provided by the manufac-turers. Budget funding will peak in2016-18 and is expected to be graduallysubstituted afterwards with extra-bud-getary investments.

Commenting on the commercial as-pect of the program, Manturov men-tioned that the government will supportseveral new aviation development ef-forts including the Irkut MC-21 nar-rowbody airliner and the associatedAviadvigatel PD-14 turbofan engine, aswell as prospective high-speed and lighthelicopter designs and research into fu-ture all-electric aircraft. Manturov alsomentioned the Sukhoi T-50 fifth-gen-

eration fighter and the Russian-IndianMTA medium transport aircraft as thepriority military programs of the future.

The government believes the ap-proved program will help increase rev-enues of the Russian aircraft industry3.5 times from the current 579 billionrubles and improve labor productivityin the sector 9.4 times compared to thecurrent levels by the year 2025. Thecountry’s manufacturers are expectedto preserve their current 12% share onthe global defense market, while theirshare of the world market for commer-cial aircraft should grow from 1.1% in2011 to 3.6% by 2025.

Focus on population mobilityThe air transport sector, which hasbeen growing steadily since the early2000s, also remains a focus of govern-ment support. In December last yearthe Cabinet approved a program to de-velop Russia’s transport system through2020. Transport Minister MaksimSokolov says the primary objective ofthe program, which covers all means oftransportation, is to increase mobilityof the population from the current7,000 to 10,000 kilometers per personper year by 2020.

As for air transport, the governmentplans to improve the ground infrastruc-ture by putting into operation 96 newlybuilt and repaired airstrips, i.e. a run-way for almost every third of the coun-try’s 315 airports. The program alsocalls for creating international and do-mestic airport hubs across the country,

while the introduction of a new air traf-fic management system should help in-crease the number of flights by 80%.

The program pays special attentionto the development of regional airtransport in certain areas of Russia.According to the ministry’s estimates,only 4.5 million passengers out of thecountry’s 143 million population trav-elled on regional and local flights in2011, which translates to just threeflights per 100 people. The governmentwants to increase this ratio to sevenflights per 100 population by 2020 bysubsidizing regional air services. An ad-ditional 5 billion rubles (about $160million) will be allocated for this pur-pose annually, and the number of sub-sidized flights is bound to grow.Subsidies from the federal budget willcover 35% of the air fare on about 100routes in the Far Eastern, Siberian,Northwest and Urals federal districts.Fares on about 50 local routes in theVolga Federal District will be subsi-dized by 25% from both the federal andregional budgets. The government firststarted subsidizing regional flights in2009. While subsidized fares were pre-viously only available to young peopleaged under 23 years and pensioners, thenew program will lift the age limitation.

The Transport Ministry expectsthese measures, combined with con-tinuing subsides for leasing of regionalaircraft and the creation of state-owned regional air carriers in Siberia,to increase the volume of regional airtraffic by 15%.

Russian government agencies are buyingincreasingly more commercial aircraft from UAC

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Pushing the boundariesThe Sukhoi Superjet 100 regional airliner further expands its operating envelope

Maxim Pyadushkin

The Sukhoi Superjet 100 ex-panded its geographic pres-ence in 2012 as new cus-tomers emerged for

Russia’s new regional jet. The manu-facturer, Sukhoi Civil AircraftCompany (SCAC), plans to ramp upproduction this year and to begin deliv-eries to Southeast Asia.

SSJ 100 commercial operation beganin 2011. Russia’s largest carrierAeroflot currently operates 10 of thetype, including the six airframes deliv-ered in 2012. Another Russian airline,Yakutia, took delivery of its first SSJ100 at the end of last year. The otheraircraft on order should be deliveredshortly. The two Yakutia SSJ 100s comein the 93-passenger, twin-class cabinlayout (eight seats in business class and85 seats in economy). Yakutia is thefirst customer to have received a pro-duction SSJ 100 with individual pas-senger air vents.

The first Yakutia SSJ 100 revenueflight, with 49 passengers on board,was performed from Yakutsk to

Khabarovsk on January 23, 2013. Inthe future the carrier will use theseaircraft on routes between Khaba -rovsk, Magadan, and Petropavlovsk-Kamchatsky in Russia’s Far East.Given favourable operating perform-ance, Yakutia will firm up its optionfor two more SSJ 100s.

The airline’s CEO Pavel Udod saysthat, owing to the region’s harsh win-ters (temperatures in Yakutsk can dropbelow -60 degrees Celsius), perform-ance of Yakutia�s SSJ 100s may differfrom that of the Aeroflot fleet, which isoperated in the milder central regionsof Russia.

In order to expand the aircraft’scold-weather operating envelope, aseries of additional certification testswere held last spring at Tiksi, one ofthe main diversion airports forYakutia. An SSJ 100 prototype per-formed 11 flights, including a 4,300-km non-stop flight from Ramenskoyeairfield outside Moscow to Tiksi.Eight performance check flights fol-lowed, and also the flight back viaKrasnoyarsk. The flights were aimedat verifying the operation of the INS,

GPS and Glonass systems in northernlatitudes (up to 78 degrees) and out-side temperatures down to -54 degreesCelsius. All components of the avion-ics suite performed nominally. InDecember 2012 the CIS-wideInterstate Aviation Committee issueda relevant supplemental type certifi-cate for the SSJ 100.

Breaking into the foreignmarketsYakutia became the third SSJ 100 op-erator after Aeroflot and Armenia’sArmavia Airlines. In late December2012 SCAC announced the formalhandover of the first airframe to anoth-er new customer, the Indonesian carrierSky Aviation. The aircraft will shortlyarrive in Indonesia. Sky Aviation has 12on order under the contract signed inJune 2011.

It is noteworthy that Sky Aviation’splans to purchase the Russian typewere unaffected by the May 9, 2012crash of an SSJ 100 prototype, whichcollided with a nearly vertical cliffface 50 km off Jakarta during ademonstration flight.

The SSJ 100’s cold-weather operating envelopewas expanded ahead of the first delivery to Yakutia

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In December 2012 the Indonesianaviation authority officially namedhuman factor and the absence of de-tailed terrain charts on board as thetwo primary causes of the crash.Tatang Kurniadi, head of theIndonesian National TransportationSafety Committee (NTSC), said in anofficial statement that the crew hadignored repeated TAWS alerts andhad even switched the system off, be-lieving the warnings to be down to adatabase error. The aircraft had beenfully serviceable immediately prior tothe collision. According to theNTSC, the tragedy could have beenavoided had the crew reacted to theTAWS warnings. Despite the crashthe Indonesian aviation authority inNovember 2012 officially validatedthe SSJ 100 type certificate, permit-ting operation of the aircraft in thatcountry.

In late 2012 the SSJ 100 was validat-ed in Laos, whose carrier Lao Centralhas three such aircraft on order and anoption for six more. The aircraft will bedelivered in the 93-seat, two-class cab-in configuration. The first Lao CentralSSJ 100 has already been painted in thecarrier’s corporate colors. SCAC saysit will be delivered in the first quarterof 2013. Lao Central plans to use itsRussian-made airliners on domesticand international routes, including to

Bangkok, Hanoi, Ho Chi Minh, andSingapore.

Also this year SCAC should start SSJ100 deliveries to the Mexican carrierInterjet. Final completion of these air-frames is being done at the Venice,Italy-based Russian-Italian joint ven-ture SuperJet International (SJI). Thefirst “green” SSJ 100 for Interjet wasflown to Venice for customization workin October 2012, where it will be fittedwith a Pininfarina passenger cabin andpainted in the Interjet livery. SJI isplanning to receive an additionalEASA-STC type certificate for thisvariant. The first Interjet SSJ 100 willbe delivered to the customer in March2013; the airline’s second aircraft onorder is currently undergoing flighttests. Interjet has ordered 20 Superjetsand has an option for another 10. Allthe aircraft will be delivered in the 93-seat configuration.

Training capabilitiesThe Interjet SSJ 100 pilots will betrained at the SJI center in Venice,which has recently received a full-flightsimulator jointly developed for the typeby Thales Training & Simulation andSCAC. It emulates normal, complex,and emergency scenarios for all flightphases and can be used to train pilotsfor all-weather, day and night opera-tions. The SSJ 100 FFS is based on the

latest-generation Reality 7 simulationtechnology. It has a cost-effective elec-tro-hydraulic motion system and anadvanced visualisation system withLCOS projectors.

Similar simulators are operated bythe Aeroflot flight school and by the aircrew training center for SSJ 100 cus-tomers in Zhukovsky outside Moscow.

Interjet in January 2013 launched aSaM146 powerplant maintenance train-ing program for its technical personnelunder the maintenance contract signedin November 2012 with PowerJet, a jointventure between Russia’s NPO Saturnand Snecma Moteurs. The trainingclasses in Montereau, France, coverpowerplant line maintenance and boro-scopic inspections.

As the global SSJ 100 fleet is growing,further expansion of training capacitieswill be required. Another full-flightsimulator for the type has recently beeninaugurated in Ulyanovsk. Unlike theSJI and Aeroflot simulators, this onewas developed by the Russian specialistTsNTU Dinamika under a contractawarded by the Federal Air TransportAgency in August 2011. Following cer-tification the simulator will be handedover to the Ulyanovsk civil aviationacademy, where it was assembled.

SCAC getsnew PresidentOn January 28, the SCAC boardappointed Andrey Kalinovsky, for-mer First Vice-President forProduction and Director of theSCAC Komsomolsk-on-Amur fa-cility, to serve as new President. Hetook his new position as ofFebruary 1. Before coming toSCAC Kalinovsky was CEO of an-other Sukhoi subsidiary, theNovosibirsk-based NAPO facility.

According to SCAC, the changesin the company’s management re-flect the new stage of the SSJ 100program, which will now focus onincreasing the output rate and im-proving the aircraft’s quality.

The first SSJ 100 will be delivered to LaoCentral in the first quarter of 2013

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Growing own competenceMaxim Pyadushkin

Russian aero engine design-ers have reached an im-portant milestone inlaunching domestic pro-

duction of helicopter powerplants,which have been enjoying steadilygrowing demand over the past severalyears. St Petersburg-based Klimovplant, a subsidiary of United EngineCorporation (UEC), commenced testsin December 2012 on the first VK-2500turboshaft engine assembled from all-Russian components. Klimov, whichoriginally designed the VK-2500,would previously assemble these en-gines from parts supplied by theUkrainian manufacturer Motor Sich,currently the largest helicopter enginehouse in the former Soviet Union. The2,400-hp VK-2500 powers the new MilMi-28 and Ka-52 gunships and is alsoinstalled on the latest modifications ofthe globally popular Mil Mi-8/17transport helicopter family.

In 2008 the Russian government de-cided to organize full-cycle helicopterengine production in St Petersburg.Klimov�s plan is to assemble 50 VK-2500s from Russian components in

2013 and to ramp up annual produc-tion of these engines to 500 units bythe year 2015. State-controlledVnesheconombank in 2011 grantedKlimov a 4.95-billion-ruble loan(equivalent to $165 million) for thesepurposes. “Organizing VK-2500 seriesproduction as part of the national im-ports substitution program con-tributes to the Russian helicopter in-dustry’s independence from foreignsuppliers of engines and engine com-ponents,” says UEC general directorVladislav Masalov.

In order to implement the plan,UEC since May 2011 has been build-ing a new 50,000-square-meter pro-duction facility on a 12-hectare landplot in the settlement of Shuvalovooutside St Petersburg. Known as StPetersburg Motors, the facility willcost 3 billion rubles to build. Another1.5 billion rubles will be spent on pro-duction equipment whose installationbegan in the summer of 2012. Totalinvestment in St Petersburg Motorswill amount to 6.2 billion rubles. Themanufacturing facility began opera-tion in December 2012. Klimov plansto completely move to the new pro-duction site at the end of 2013.

Apart from the assembly of TV3-117and VK-2500 helicopter engines StPetersburg Motors will be developingand manufacturing new powerplant de-signs, says UEC. Advanced engineeringcapability and new approaches to pro-duction processes are expected toshorten development cycles to betweenthree and four years, reduce manufac-turing development times to two years,and increase per-capita labor produc-tivity nearly fourfold to 5.7 millionrubles a year.

Klimov is working to design the new3,500-hp TV7-117V helicopter engine,to be initially used on the Mil Mi-38medium helicopter. The first flying pro-totypes of this powerplant will be as-sembled shortly. A TV7-117V-poweredMi-382 prototype was first demonstrat-ed in 2011, the beginning of its flighttrials is set for 2013.

UEC says the Russian helicopters to bebuilt under the state defense orders willbe fitted with the engines assembled byKlimov in Russia. The RussianHelicopters holding company is not go-ing to stop using Ukrainian powerplantscompletely but will only be installingthem on commercial helicopters. In thefall of 2011 Russian Helicopters contract-ed Motor Sich to deliver about 1,300 newrotorcraft engines in the next five years.

Motor Sich is pursuing its own pro-gram to modernize the popular TV3-117 powerplant for the Mi-8/17 family.The company is offering the TV3-117VMA-SBM4E modification as a re-engining alternative to the underpow-ered TV2-117 engines installed on Mi-8T helicopters. A re-engined Mi-8MSB prototype has been in testingsince 2011. Last year saw the comple-tion of the hot-and-high trials phase inTajikistan. As was reported earlier, theMi-8SB has reached a service ceiling of6,300 m, compared to the standardservice ceiling of 4,500 m for the TV2-117-powered Mi-8T version.

The first all-Russian VK-2500 turboshaft onthe test bench at Klimov’s new facility

UEC

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MARKET SUPPLEMENT

Russian researchers continue topush forward a proposed medium-haul,widebody aircraft design which hasbeen under development since 2010 inthe framework of an expanding jointprogram involving a number of Russianand international research and consul-tancy organizations, including theCentral Aerohydrodyna mics Institute,the International Air TransportAssociation, the MATs Inter-SectorAnalytical Cente), Infomost Consulting,and SH&E/ACF.

Widely known as Frigate Ecojet, theproject was launched in the form of aself-funded initiative by the private di-versified aviation group Rosavia con -sortium, whose activities include the de-velopment of civil aircraft in Russia.Over the last 15 years the Ros avia -consortium team of aircraft engineershas been behind several developmentprograms, including the cargo versionof the Tupolev Tu-204 jetliner (severalTu-204C examples have been success-fully operated by TNT in Europe) andalso the Tu-204-300, a shrink version ofthe same baseline.

Frigate Ecojet is based on a funda-mentally new, innovative aerodynamicand structural design. Work on the air-craft is being undertaken in conjunctionwith the Russian center for aviation sci-ence at the Central AerohydrodynamicsInstitute. It stands to become a majorplatform for advanced design technolo-gy and innovation in the Russian avia-tion industry. The main objective of theprogram is the development of theFrigate Ecojet next-generation wide-

body short- and medium-haul aircraftthat would be competitive on the inter-national civil aviation market throughthe application of conceptually newaerodynamic and structural design.

A study of the overall trends in air-craft development and the most ad-vanced Western aircraft design revealsthat the conventional aircraft body de-sign has reached the maximum level ofaerodynamic refinement, and that fu-ture perfection of design stands to ben-efit most from exploiting the applicationof new aerodynamic schemes. Thecompletely new design approach of theIS-1 aircraft represents an engineeringbreakthrough potentially satisfying theneeds of next-generation aerodynamicsand serving as a prototype for futuredevelopment in this area.

The result of the conceptual designphase demonstrated the feasibility of anew widebody aircraft for short- andmedium-haul routes with low technicalrisks. The aircraft demonstrates a highlevel of safety and comfort, as well as ahigh degree of competitiveness.

Concurrent with the aircraft develop-ment process using an integral aerody-namic scheme, engineers have ob-tained a wealth of experience and takenout more than 50 patents.

Frigate Ecojet is expected to enterseries production in 2019-2020. Its op-erational performance is expected toexceed that of the most advanced civilaircraft of 2010 by 15-20%. The maincharacteristic of the twin-engine aircraftis an elliptical fuselage which would ac-commodate 300-350 passengers in a

three-class, triple-aisle configuration.Contemporary studies of the global airtransport market have revealed a seg-ment with a flight range of 3,000 to4,000 km in which the operation ofwidebody aircraft is very effective. Over56% of all global flights of widebodylong-haul aircraft is actually for lessthan 3,000 km. In some regions of theworld this percentage is much higher.

Analysis of the Russian air transporta-tion system provides firm data substan-tiating a flight range bracket between500 and 3,500 km as the core for a po-tential target market segment. Con -sequently, a key market requirement forthe range vs. maximum payload criterioncould be set at 3,500 km. Another keymarket requirement is a single-class ca-pacity of 295 to 300 seats.

Analysis of airline route networkshas demonstrated that the Ecojet’s302-seat version operating at ranges ofup to 3,500 km will exceed the econom-ic efficiency parameters of all same-class aircraft currently in operation onthese routes by 25%. During flights with352 passengers to a range of 2,500 km,the economic efficiency gain wouldreach 30%.

Currently the Frigate Ecojet team isgathering an impressive consortium ofinternational consultants includingErnst &Young, ICF SH&E and InfomostConsulting, as well as Russia’s MATsto study scenarios of future develop-ment of the project - either as a stand-alone effort or a part of certain national,e.g. UAC’s potential wide body pro-gram, or international venture.

Russian Researchers Expect a Leapin Short-haul Efficiency

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AIR TRANSPORT

Maxim Pyadushkin

Russia’s air transport sectorcontinued to grow for thethird consecutive yearthroughout 2012 following

a slight decline in 2009. The upwardtrend has been accompanied by incipi-ent liberalization of internationalroutes and by the government-backeddrive to consolidate the industry.

According to preliminary statisticsreleased by the Federal Air TransportAgency, Russian airlines set anotherpost-Soviet record in 2012 by carrying74 million passengers. This is 15.5% upon the 64.1 million passengers carriedin 2011 and 30% more than the 57 mil-lion transported in 2010. Passengertraffic jumped 17.4% from a year earlierto 195.7 billion passenger-kilometers,and the average seat load factor rose by1.1% to reach 78.3%.

Cargo traffic, on the other hand, in-creased only marginally in 2012. Russianairlines carried 988,000 tons of freightand mail, up 0.7% on 2011. Freight traf-fic grew by 2.5% to 5.1 billion ton-kilo-meters. The average revenue load factorwas 65.5% against 64.8% in 2011.

The statistics for 2012 indicates thatinternational air traffic was growingmuch faster than domestic air traffic de-

spite the latter sector having already beenfully liberalized. The current growth ininternational passenger numbers can beexplained, among other factors, by theincreased airline activity on scheduledroutes to destinations in CIS countriesand farther abroad. While in previousyears the main bulk of international traf-fic was generated thanks to flights into orout of Moscow, last year saw a growingnumber of international operations, bothscheduled and chartered, originating orending elsewhere in Russia. This nascenttrend gives many medium-size carriersan opportunity to increase the share oftheir international flights.

By contrast, the domestic route net-work remains heavily centralized. Morethan 74% of all domestic passengers in2011 travelled to or from Moscow, re-flecting the political and economic sig-nificance of Russia’s capital to the restof the country. This situation is unlikelyto change significantly any time soon,even though some airlines are attempt-ing to develop domestic route networksto connect individual regions.

The Russian air transport sector con-tinues to be dominated by a handful ofmajor players. The largest airline, gov-ernment-controlled Aeroflot, carried17.7 million passengers in 2012, or al-most 24% of the overall number. The

top five carriers, which also includeTransaero, UTair Aviation, S7 Airlinesand Rossiya, currently account formore than 62% of the country’s pas-senger traffic, with UTair demonstrat-ing the fastest growth rate among them.

The rampant growth of the top fewairlines is accommodated by the philos-ophy of the Russian aviation authori-ties, which view slashing the number ofcarriers as an answer to flight safetyconcerns. In 2011 alone the aviationregulatory bodies revoked 37 air opera-tor’s certificates, while not a single newairline has been set up in Russia overthe past two years.

The government also supports thecontinuing market consolidation ef-forts aimed at creating an umbrellaholding company under the aegis ofAeroflot that would unite several small-er carriers in which the governmentholds stakes. The entity in the makinghas already gained control overVladivostok Air, Donavia, Rossiya,OrenAir, and Satair.

The other major airlines are also seek-ing ways to increase their market sharethrough mergers with smaller players,albeit without the government supportenjoyed by Aerfolot. UTair Group, forone, includes the feeder carriers Utair-Express, Vostok, and Turukhan, as wellas the Kiev-based subsidiary UTair-Ukraine. In October last year UTair ac-quired a stake in the Krasnoyarsk-basedairline Katekavia as part of its strategicplan to open a hub in Krasnoyarsk forregional flights across central and east-ern Siberia. S7 Airlines for its part has asister airline, Globus, within the frame-work of S7 Group.

Key performance indicators for Russian civil aviation in 2010-12

Source: Russian Federal Air Transport Agency

Indicators 2010 2011 2012 2012 vs. 2010 2012 vs. 2011

Passenger traffic, mln passenger-km 147,118.5 166,759.9 195,775.4 133.0 117.4

Freight traffic, mln ton-km 4,715.3 4,950.0 5,076.3 107.7 102.5

Passengers carried, thousand 56,950.7 64,121.6 74,032.6 130.0 115.5

Freight and mail carried, thousand ton 926.4 981.5 987.8 106.6 100.7

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Page 21: Russia & CIS Observer, January 2013

Maxim Pyadushkin

Vnukovo, the smallest ofMoscow’s three major air-ports, considerably expand-ed its passenger capacity with

the opening of a new terminal inDecember 2012. Construction ofTerminal A had begun in 2006 as part ofa large-scale program to modernizeVnukovo. At a cost of 44 billion rubles(around $1.4 billion), the program wasfinanced by the Moscow city administra-tion, which is the airport’s largest share-holder, as well as by private investors.

Terminal A became partially opera-tional in July 2010; on December 18,2012, its capacity was expanded by anadditional 96,000 square meters to reachthe planned 270,000 square meters. Thenumber of check-in counters grew from104 to 154. The new five-level terminalnow has a total of 52 boarding gates, 31of them equipped with boarding bridges.There are two double-bridge gates toservice Boeing 747 widebodies and onetriple-bridge gate for Airbus A380s.

The completion of the new terminalindicates Vnukovo’s aspiration to com-pete with the other two major Moscowairports, Domodedovo and Shere -metyevo, which currently surpass it inthe number of passengers served.Domodedovo, Russia’s largest airport,handled 28.2 million passengers in2012 while Sheremetyevo served 26.2million. Vnukovo handled slightly over10 million passengers last year, comingfourth in the country’s airport rankingbehind its two Moscow rivals and StPetersburg’s Pulkovo (11.2 million).

Together with the existing two small-er terminals (" and D), the newlyopened terminal at Vnukovo brings theairport’s annual capacity to 30 millionpassengers. According to chairman ofthe Vnukovo board Vitaly Vantsev, theairport expects to serve 15-17 millionpassengers in 2013. Vantsev says UTair

Aviation flights currently account formore than 60% of all passenger trafficat Vnukovo, but that the airport has alsoattracted the interest of such major car-riers as Russia’s Transaero Airlines,Lufthansa, and Turkish Airlines.

UTair head Andrey Martirosov saysthe carrier will avail of Vnukovo’s in-creased passenger capacity in order toexpand its route network from Moscow.Transaero, Russia’s second largest carri-er, first came to Vnukovo in March 2012.It also operates from Domodedovo andShere metyevo. CEO Olga Pleshakovasays Transaero will move its Boeing 747flights to New York and Miami, whichare currently performed fromDomodedovo, to Vnukovo’s Terminal A.In January 2013, Transaero launchedBoeing 777 flights between the newVnukovo terminal and Paris Orly, theroute previously operated by the airline’ssingle-aisle Boeing 737s. In March 2013Transaero is planning to introduce newflights to some European and CIS desti-nations from Terminal A, Pleshakovasays. UTair and Transaero have recentlysigned an interline agreement to sharetransit passengers in the new terminal.

Lufthansa started to move its flightsfrom Domodedovo to Vnukovo in

March 2012. As of early November lastyear, the airline had carried 200,000passengers between Vnukovo andFrankfurt, Dusseldorf, Hamburg, andBerlin. The German carrier is turningVnukovo into a base for its StarAlliance partners like Turkish Airlines,which came to that airport in March2012. Star Alliance has no other op-tions to choose from since the othertwo major Moscow airports are alreadytaken by the rival alliances. SkyTeam isrepresented in Sheremetyevo, thehome airport of Aeroflot, whileoneworld carriers are concentrated inDomodedovo, where the alliance’sRussian member S7 Airlines operatesfrom. Sky Alliance has no Russianpartner so far, but UTair is consideredto be a possible candidate.

In the meantime, Vnukovo is intenton continuing its modernization efforts.One of the airport’s two crossing run-ways will become fully operational againin March 2013 after repair work. As partof the plan to consolidate its airport as-sets, the Russian government aims tocreate a single managing company bymid-2013 that would operate bothVnukovo and another government-owned airport, Sheremetyevo.

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Vnukovo boosts capacity

The new terminal at Vnukovo willbring the airport’s annual capacityto 30 million passengers

Page 22: Russia & CIS Observer, January 2013

Alexei Sinitsky

While foreign players areactively entering theRussian commercialMRO market, individ-

ual Russian providers are exploringbusiness opportunities abroad.Russian MRO provider Volga-DneprTechnics (VDT), part of Volga-DneprGroup, has inaugurated a mainte-nance hangar facility atLeipzig/Halle airport. The hangarbecame operational on 16 Januarywith its first job on an Antonov An-124 transport aircraft. Volga-DneprPresident Alexey Isaikin says hiscompany’s plan is to turn Leipzig,which is already the second-largestfreight airport in Germany, into #global cargo hub. VDT leases the newhangar from the airport; it will use thefacility to provide MRO services bothto its parent company and to third-party operators.

VTD holds an EASA Part 145 cer-tificate to perform maintenance onBoeing 747-200, 747-300, 747-400,and 747-8 aircraft; the plan is to ex-tend the certificate this year to coverthe Boeing 737CL and 737NG nar-rowbodies and the Airbus A320 fami-ly. VTD expects to start offeringmaintenance up to C-check onBoeing 747s by late 2013; next year itshould be capable of offering C-checks on Boeing 737 and AirbusA320 airliners.

The 8,500-square-meter hangar atLeipzig measures 94 by 90 meters andhas a 30-meter-high ceiling. It canprovide maintenance on An-124Ruslans, Boeing 747-8s and, in the fu-ture, on Airbus A380s. The hangar ac-commodates a single An-124-100, Il-76TD, or Boeing 747 aircraft, or up to

four Boeing 737 or Airbus A320 nar-rowbodies simultaneously. Abuttingthe hangar space are workshops andoffices. Up to five An-124s or Boeing747s can park simultaneously onapron outside the facility.

The hangar belongs toLeipzig/Halle airport, which invested!17.7 million in its construction. Thefacility is being exclusively leased for30 years to Volga-Dnepr TechnicsGmbH, Volga-Dnepr Group’s repre-sentative in Europe. Unofficialsources put the lease contract price atabout !45 million.

VDT says up to 55-60% of all work-load for the hangar is expected tocome from the Volga-Dnepr Groupcarriers AirBridgeCargo, Air CargoGermany, Atran, and Volga-DneprAirlines. Any unoccupied space couldbe offered to carriers based in or oper-ating into Halle, as well as to Russianairlines, which are facing shortages ofdomestic MRO capacity.

Middle East opportunitiesIn about two months VDT is expectedto open an own maintenance hangar inSharjah, UAE, the MRO destination ofchoice for Volga-Dnepr Group’s An-124 and Il-76 freighters. Constructionof the facility started in October 2012.It will be operated by VDT’s local sub-sidiary Volga-Dnepr Gulf.

Volga-Dnepr Gulf was established inSharjah in 1996. Its core activities in-clude maintenance and repair services,supplying components and consum-ables, as well as sales of aeronauticalproducts and POL (petroleum, oils andlubricants) applicable to a wide rangeof aircraft. Volga Dnepr Gulf initiallyprovided maintenance on Russian-made freighters such as the An-74, theAn-124, and the Ilyushin Il-76, but isnow planning to start servicing foreignaircraft types as well.

“Over the past two or three years theshare of our work on Russian aircrafthas been shrinking due to the ongoingdecommissioning of aging fleets andthe fact that no new freighters are beingbuilt [in Russia],” says Volga DneprGulf CEO Viktor Sherin. On October4, 2012, the company was certified bythe UAE authorities to provide linemaintenance on the Boeing 747 family(up to the 747-400 model), the Boeing737 family (up to the 737-500 model),and the entire Airbus A320 family.Sherin says the number of these typesoperated in the Middle East region isconstantly growing, and that the twoexisting UAE-based MRO facilities,Emirates Engineering in Dubai andADAT in Abu Dhabi, can no longerfully meet the regional demand formaintenance services. “The niche forservicing Boeing 747 cargo variants inthe region is unoccupied at the mo-ment,” he notes, adding that 747-400s

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Volga-Dnepr set to expandits MRO capability

Volga-Dnepr President Alexey Isaikinplans to turn Leipzig into ! globalcargo hub

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and 747-8s are the mainstay atAirBridgeCargo, Volga-Dnepr Group’sregular cargo carrier.

The construction project in Sharjahwas launched because of the EASA Part145 and local regulations, which man-date that A-, C-, and D-checks be car-ried out in a hangar, explains Sherin.The 20,000-square-meter hangar willbe able to accommodate six narrow-bodies or two Boeing 747s simultane-ously, and will become the center for afuture multirole MRO facility. It willinclude repair workshops for wheels,brakes, and batteries and will also offerstructural repair services.

According to Sherin, in February orMarch 2013 his company plans to startoffering A-checks on Boeing 747s and737s, as well as on the A320 family. C-check capability is to be achieved by theend of next year. Russian types will notbe forgotten either: “If deliveries ofRussian-Ukrainian [Antonov] freigh -ters to the region resume we intend tobecome the center for their warrantyand post-warranty maintenance.”

The Sharjah hangar will mainlyservice aircraft of third-party cus-tomers. “Only 5% of all work will bedone in the interest of the Volga-

Dnepr Group carriers,” says Sherin.He explains that the UAE is a histori-cal transit point for flights betweenEurope and Australia, Southeast Asia,and Africa, so many airlines welcomean opportunity to stop there for theirA-checks. In September last yearVolga-Dnepr Gulf preformed this typeof maintenance on Kalitta Air Boeing

747s under the airline’s certificate.The US-based cargo carrier has alsosigned an on-call contract with theRussian company, as has anotherBoeing 747 operator, Air Atlanta. Linemaintenance services are also provid-ed for Vision Air of Pakistan.

Volga-Dnepr Gulf plans to performabout 40 A-checks in 2013 and to at-tract about 30 new customers withinthe next 1.5 years. Sherin says:“Everybody is looking forward to theopening of that hangar.” During the

first year of its operation the company’sworkload is expected to grow by 35-40%; the goal is to eventually reach thelevel of 400,000 to 450,000 man-hoursa year, twice the current figure.

As part of the Volga-Dnepr Technicsdevelopment plan, by the end of thisyear the Sharjah-based company in-tends to open new line maintenance

stations in Dubai and Fujairah. In thespring of 2013 VDT will add a new sta-tion in Amsterdam to its existing twoEuropean facilities in Leipzig andFrankfurt. The possibility of opening afacility in Changzhou, China, is cur-rently being discussed, says Sherin.

Isaikin says Volga-Dnepr Group isinterested in building similar mainte-nance hangars in Moscow andUlyanovsk, but that such a project ismuch more difficult to implement inRussia than abroad.

Volga-Dnepr Gulf plans to perform about40 A-checks in 2013 and to attract about30 new customers within the next 1.5 years.

VD

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The 20,000-square-meter hangar in Sharjah willbecome the center for a future multirole MRO facility

Page 24: Russia & CIS Observer, January 2013

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Russian space industry growsmore pragmaticIgor Afanasyev, Dmitry Vorontsov

Last year was not marked byany breakthrough achieve-ments in Russian space ex-ploration. The country kept

its world-leading position in the num-ber of space launches. A total of 24launches were performed: four fromPlesetsk in Russia and the rest fromKazakhstan’s Baikonur. This list ex-cludes the three launches of Russian-Ukrainian Zenit-3SL rockets from theSea Launch international platform andthe two Soyuz-2ST launches from theEASA Kourou spaceport. Russian-

made launch vehicles orbited a total of33 spacecraft last year, including nineunder foreign commercial contracts.

Russia’s major 2012 achievementsincluded the launch of two same-typenew-generation Earth remote sensingsatellites, the Russian Canopus-V andthe Belarusian BelKA. It is the firsttime the Russian space industry hasmanaged to build advanced small-sizedspacecraft on a non-pressurized plat-form, carrying an electro-opticalground-imaging system with a spatialresolution of about 2 m. Orbited to-gether with these two satellites was thefirst Zond-PP spacecraft under the

MKA-FKI program to createmicrosatellites for fundamentalspace research. These threecraft may not set a new worldstandard for reduced size andmass, but for Russia they signifya certain technological mile-stone.

Last year brought a numberof new developments in themilitary space sector. Amongnewly orbited military assetswere an Oko-2 early missile at-tack warning satellite, aKobalt-M imaging reconnais-sance spacecraft (designatedKosmos-2480), as well as aStrela-3 low-orbit comsat(designated Kosmos-2481)and a Meridian high-orbitcommunications satellite.Preparations were completedfor launching the secondPersona third-generation opti-cal reconnaissance satellite ca-pable of providing imagerywith a spatial resolution of 0.5to 3 m. This spacecraft, to beorbited in February 2013, willreplace the first Persona satel-

lite, whose electronic componentsfailed in February 2009. A closed ten-der was announced last year under theObzor-O program for the develop-ment of a fourth-generation recon-naissance satellite.

Four Soyuz TMA crew vehicles andfour Progress M resupply craft werelaunched in 2012 to support Russia’smanned space program. EnergiaRocket and Space Corporation last au-tumn completed the design of the PTKNP new-generation manned transportvehicle and proceeded to building afull-scale mock-up. Flight trials are setto begin in 2017.

In another major development, workintensified on the construction site forRussia’s new Vostochny spaceport.Construction was formally launched in2010 but did not pick up pace until lastyear’s decision to abandon the Rus-Mlaunch vehicle program and accommo-date Soyuz-2 and Angara launches atVostochny instead. Thousands of con-struction personnel are currently en-gaged at Vostochny; the Soyuz launchsite is already partially completed andwork has begun to build the technicalarea and associated infrastructure. Ifthe current pace of construction is keptup, the first Vostochny space launchmay take place on schedule in 2015.

However there were also bitter dis-appointments. The crippled PhobosGrunt mission met its inglorious endin January 2012, burning on re-entryafter attempts had been abandoned tosend the interplanetary probe on itscourse to Mars from the initial Earthorbit.

Due to malfunctions in the Briz-Morbit insertion third stage, three navi-gation satellites ended up in the wrongorbit in two separate incidents.Telkom-3 and Express-MD2, both

In 2012 Russia retained its world-leadingposition in the number of space launches

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launched on August 6, were aban-doned as unserviceable, while Yamal-402, built by Thales Alenia Space(TAS) and launched on December 8,eventually reached its intended orbitby using on-board fuel stores. Thismaneuver reduced the spacecraft’s ac-tive life in orbit from 15 to 11 years.Yamal-402 was put into operation onJanuary 8, 2013.

In fact, these two mishaps representa significant improvement on Russia’ssix failed launches the year before. Onereason for this was the overall reductionin the number of Russian space launch-es last year from 32 in 2011.

Other disappointing developments of2012 included a delay to the long-awaited launch of a Resurs-P Earth re-mote-sensing satellite. Initially, due totechnical defects, the spacecraft wassent back to the Samara-based TsSKBProgress production facility. This wasfollowed by the expiration of Russia’sagreement with Kazakhstan on non-standard rocket stage drop zones down-range of Baikonur (in order to insertthe Resurs-P in its sun-synchronousorbit the launch vehicle must fly northafter lift-off).

Both 2011 and 2012 could be de-scribed as the years of lessons learned.The recent string of failures forced thegovernment and industry to investigatethe problems besetting the space pro-gram. One consequence of this was asense check on the country’s existinginterplanetary ambitions. The Phobos-Grunt flop forced Russia to give up ona number of prestigious projects whoseimplementation would require signifi-cant human and financial resources.Viktor Khartov, head of the Phobos-Grunt developer NPO Lavochkin, re-marked that, before venturing uponmajor undertakings, it would be wise togain experience through smaller-scalespace projects. These could include theLuna-Glob and Luna-Resurs lunarprobes, expected to be launched in2015-17. It is only after the successfulaccomplishment of these two missionsthat future flights to Mars and otherplanets could be discussed in earnest.In parallel, Russia will continue coop-

eration on international space projectswith NASA and EASA; an agreementhas been reached on Russian participa-tion in the BepiColombo mission toMercury, and in the ExoMars Martianmission.

The quality of strategic planning im-proved last year. Prime Minister DmitryMedvedev chaired four consultationson the state of the Russian space indus-try, discussing ways to achieve highstandards of equipment manufactureand to reform the sector in general. Avariety of scenarios were discussed,from setting up a state space corpora-tion to forming a number of majorholding companies. A final decision onthe possible structure of the space sec-tor is due to be taken in spring 2013.The current plan is to have five to sevenholding companies, which would sub-sequently be turned into three or fourdiversified corporations. There couldalso be a separate instrument-buildingcorporation to supply systems and as-semblies for space vehicles.

The top priorities of Russia’s spaceprogram are outlined in the draft strat-egy through 2030 and beyond, whichwas adopted in 2011. A more detailedrundown can be found in the govern-ment program of space exploration for2013-2020, approved by the Cabinet inDecember 2012.

The new program brings togetherthe existing targeted and federal pro-grams related to space exploration.According to it, Russia should pre-serve guaranteed access to space in or-der to secure its research, socioeco-nomic, defense and security interests,while unconditionally fulfilling all in-ternational obligations.

The government intends to financethe implementation of the program tothe tune of 2.1 trillion rubles ($70 bil-lion). Return on this investment is ex-pected to come in the form of Russiagetting a modern space industry withtwice the current labour productivity.The country’s satellite constellationshould be expanded to 95 spacecraft by2015 and to 113 spacecraft by 2020.The number of satellite communica-tions channels should grow 2.5 timesby 2015, reaching three times the cur-rent value by 2020. Also by 2015,Russian communications satellitesshould have the capability to transmitdata in the millimeter wavelength bandand in the optical band by the year2020. The constellation of Earth re-mote-sensing satellites is to grow four-fold by 2015; the time intervals be-tween observations should decreasefrom the current five or six days to oneor two days (depending on the region)by 2015, and by the year 2020 theyshould not exceed eight hours.Another objective is to improve thequalitative parameters of the Glonasssatellite navigation system.

The euphoria that followed the firstspace-related successes of several yearsago, and the frustration from the bitterfailures of 2010 and 2011, appear to begiving way to a more sober, pragmaticapproach towards strategic planning.The Soviet spaceflight era is well andtruly over, it is now for Russia to main-tain its own presence in space.

The long-awaited launch of aResurs-P satellite was delayed dueto technical defects

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Russia eyes more joint spaceprojects with IndiaIgor Afanasyev, Dmitry Vorontsov

Russia and India share a longhistory of cooperation inspace. India’s first satellitewas orbited by a Soviet

Kosmos-3 rocket from the Kapustin Yarsite on April 19, 1975. The first Indian totravel to space, Rakesh Sharma, flew withthe Soviet Soyuz T-11 expedition in1984. In the mid-1990s and the early2000s, Russia supplied 12 KRB cryogenicthird stages for the Indian GSLV rockets.The two countries continue to be strate-gic partners in space exploration, as con-firmed by Russian President VladimirPutin�s recent visit to India.

In the course of the one-day visit onDecember 24, 2012, Putin held talks withIndian Prime Minister ManmohanSingh and signed $5 billion’s worth ofpacts in a variety of fields. Although de-fense contracts account for the major partof this sum, the newly signed space-relat-ed agreements are of no less significance.

The most important of these is cer-tainly the agreement to jointly operate

the Russian Glonass satellite naviga-tion system. Among other things, thedeal secures India’s independence fromthe US GPS system by enabling it tooperate Glonass for civilian and mili-tary purposes. An earlier accord, signedin late 2011, granted the Indian mili-tary access to high-precision Glonasssignals for the purpose of dramaticallyincreasing the accuracy of its ballisticmissiles (to within half a meter of thetarget, according to some sources).

Russian Deputy Prime MinisterDmitry Rogozin announced last year

that India had been invited to join theGlonass development program on aparity basis. New Delhi accepted theoffer; in November last year IndianForeign Secretary Ranjan Mathaihailed it as “an important componentof Russian-Indian space cooperation”.

In the course of Putin�s visit anagreement was reached on buildingGlonass signal correction stations inIndia to enhance the system’s preci-sion. Russia’s satnav provider NISGlonass, for its part, inked a deal withBharat Sanchar Nigam Ltd. and

Mahanagar Telephone Nigam Ltd. tojointly offer Glonass/GPS-based navi-gation services in India, using theRussian company’s solutions and theIndian partners� existing infrastructure.The partners are currently discussingthe implementation of pilot projects inthis area.

NIS Glonass in late 2012 registereda subsidiary firm in Mumbai with aview of setting up a software develop-ment office and a hardware productionshop that would serve the Indian mar-ket. The company runs a showroom for

potential customers and partners inMumbai.

The prospects of the earlier an-nounced bilateral interplanetary proj-ects are less certain. The Chandrayaan-2 lunar exploration mission, originallyscheduled for launch in 2014, suffered adelay due to the failure of Russia’sPhobos-Grunt probe, which incorpo-rated the same technology as the pro-posed Chanrdayaan-2 lander.“Chandrayaan-2, which is a joint pro-gram with the Russian Federal SpaceAgency, has been delayed due to somemajor reversals suffered by Russia intheir launch vehicles, including theirmission to Mars, last year,” ParivakkamSubramaniam Veeraraghavan, directorof Vikram Sarabkhai Space Centre, toldthe press on December 7, 2012. “TheRussians have decided that they willgive a lander, which is the most complexof the Chandrayaan-2 elements, onlyafter flying the same at least once.” Inlight of this circumstance, India’s ISROspace research organization switched itsexploration priorities from the Moon toMars. India’s first Martian mission isexpected to be launched in October orNovember 2013.

Despite this development, Putin se-cured an agreement during his recentvisit under which Russia and India willcontinue joint lunar exploration efforts.A mission is being tentatively plannedfor 2017 to launch an Indian rover anda Russian lander towards the Moonatop a Russian Soyuz-2 rocket. Thelander and rover could spend up to oneyear studying the regolith and physicalprocesses near the Moon’s south pole.

India intends to invest about $3 bil-lion in space exploration over the nextfive years. This hefty budget provides agood impetus for further cooperationbetween the two countries.

During Putin’s visit to New Delhi inDecember an agreement was reachedon building Glonass signal correctionstations in India

In 2017 an Indian rover is to be launchedtowards the Moon atop a Russian Soyuz-2

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