Diversification: “Defence” in the Civil Service

In 2016, the Russian President Vladimir Putin set a goal for the defence industry to bring the share of civilian products to 50% of the total domestic defence industry production by 2030. This has come to be known as "diversification" in the defence sector.

Follow New Defence Order. Strategy on Google News.

Rostec has announced that it plans on achieving this goal in 2025, the corporation said in a statement. Under the Rostec State Corporation fall the majority of enterprises of the Russian defence industry, and according to its statement, Already today Rostec’s civilian production exceeds 30% of revenues.

Recently, at a meeting of the Military-Industrial Commission, two particular projects where presented as examples of Rostec's work towards diversification. The first project is the Moscow Intelligent Transport System - The Basis of Smart City, the second is "Bright City" in Nizhny Tagil.

 “Under [... the five-year service contract  between Rostec Holding “Schwabe” and Moscow Data Center ], we service more than 10 thousand units of equipment and 40 thousand traffic lights. Software solutions developed by Rostec enterprises provide for the collection, consolidation and display of objective information about the work of services and objects of the transport complex of the city. This allows you to quickly respond to emergency situations and ensure the continuous operation of all systems, ”said Sergey Sakhnenko, the Industrial Director at Radioelectronics Cluster of Rostec.

The concept of the project "Bright City" is to regulate urban lighting, based on needs. Lighting is regulated by sensors, turning on and off as needed. The introduction of such a system can help reduce regional spending by 15%, and increase revenue by 10%. This project has already been introduced in some Russian cities.

In Nizhny Tagil alone, more than 20 thousand new energy-efficient lighting fixtures will be installed in the city during this time, more than 700 km of a distribution network of lighting will be built, and constant maintenance of the created outdoor lighting facilities will be provided. To date, as part of the fulfilment of obligations under the contract, more than 9 thousand poles have been installed, about 15 thousand lamps have been installed.

“At the production facilities of our enterprise, it is possible to produce annually about 50 thousand units of lighting products and thus fully satisfy the needs of not only Nizhny Tagil, but also other cities and regions of the country. As part of the diversification of production and based on our experience, the Shvabe holding is ready to implement Bright City projects in various regions of the country, ”said Anatoly Sludnykh, general director of Ural Optical and Mechanical Plant during the meeting.

Our partners