Infrastructure Development and Digital Technologies: How Moscow is Implementing its Tariff Strategy

Translation. Region: Russian Federal

Source: Moscow Government – Moscow Government –

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Digitalization is becoming an integral tool for ensuring transparent, high-quality, and reasonable tariff regulation. This was stated by Maria Bagreeva, Deputy Mayor of Moscow and Head of the Department of Economic Policy and City Development, at the 10th All-Russian Tariff Conference held in Sochi. The event was organized by the Federal Antimonopoly Service of Russia.

"We are refining all our information systems and their visual representation in the 'Digital Twin of Moscow'—a 3D model of the capital that allows us to plan urban development across all areas. From a tariff regulation perspective, it contains complete and reliable information on utility supply systems, generation facilities, and networks, including data on their performance and depreciation levels. This allows us to efficiently plan investment programs and development activities, understand where problems exist, and address them accordingly," said Maria Bagreeva.

Tariff regulation is a matter of people's quality of life, business stability and profitability, trust in the government, and confidence in the future. An important area of digitalization is the digitization of regulated organizations' investment program activities. Maintaining digital passports of investment activities will allow for monitoring not only the plans but also the stages of implementation of such organizations' investment programs. The next step in this model will be to increase the share of the investment component in tariffs—that is, the portion of funds allocated for the construction of new supply networks, reconstruction, and modernization of existing ones—to 26 percent by 2030, the Deputy Mayor noted.

Tariff application submissions are also being digitized, significantly simplifying the entire process for both regulated organizations and the regulator. Six areas of tariff regulation have been digitized to date, with 85 percent of tariff applications now submitted digitally, and plans are underway to increase this share to 100 percent in the near future. In addition to tariff applications, related processes, such as grid connections, water loss standard calculations, and information disclosure by housing and utilities organizations, are also being digitized.

Moscow's new digital tools include a calculator that forecasts changes to residents' payments and the fulfillment of the index cap for individual tariffs. Next year, a single payment document index is planned for integration into the calculator. Based on real data, this will allow for monitoring the growth of residents' payments for housing and utilities and promptly adjusting tariff policy.

Moscow has consolidated all digital tariff regulation tools into the Tariff information and analytical system (IAS). The system is integrated with the databases of the Federal Tax Service of Russia and the Federal Antimonopoly Service of Russia, Rosreestr, and the Treasury of Russia, as well as the Federal State Information System "Tariff" of the Federal Antimonopoly Service.

The capital is actively sharing its experience in digitally transforming tariff regulation with other regions. Thus, in addition to Moscow, Sevastopol, the Luhansk People's Republic, and the Rostov and Oryol regions are already connected to the IAS "Tariff" system. Additional participants are planned for the future.

"It's important for us to ensure timely development and high-quality maintenance of infrastructure, to ensure residents understand they're paying reasonable fees, and to ensure regulated organizations are able to cover not only their operating costs but also their investment costs. The digital tools we've developed will help us address these challenges further," concluded Maria Bagreeva.

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