Mobility across the eastern border is increasing and a visa waiver is expected. Border-crossing points and the regions near the border need investments in traffic and logistics connections. Border traffic in Southeast Finland the heaviest it has ever been – and strong growth continues How to prepare for increasing freight traffic? How to prepare for an increase in passenger traffic due to travel and services? Traffic is increasing strongly – what about the border-crossing resources? The impact of Russia is more evident in Southeast Finland than in other parts of the country. If the economic situation and development in Russia remain more stable than those of the Euro zone, it will open up new opportunities for this region. However, the utilisation of Southeast Finland’s advantageous location requires the development of border-crossing points and traffic connections as well as the development of shopping travel, tourism and other business, business expertise and logistics. The increasing integration in the production structures of Southeast Finland and Northwest Russia is apparent, and this exerts an effect on cultural-social convergence as well. The visa waiver would play an important role. The cross-border transport of products, goods and people has already increased. Passenger travel is as busy as it has ever been, which also shows as duty-free sales records and an increasingg number of hotel stays.y Freightg traffic is on the same level as in 2006 and is still increasing. Border crossing point Lappeenranta Airport Port Saimaa Canal and sea routes New railway connection Parikkala Imatra Lappeenranta Imatra Svetogorsk Kouvola Nuijamaa Vainikkala Viipuri Hamina Saint Petersburg and envi- Vaalimaa rons with around 7 million Kotka inhabitants Saint Petersburg NovemberN b 2011 2011 Required measures to achieve good border traffic flow in Southeast Finland Southeast Finland Centre for Economic Development, Transport and the Environment; Regional Council of Kymenlaakso; Regional Council of South Karelia COOPERATION WITH RUSSIA TO SUPPORT DEVELOPMENT DEMAND FOR SERVICES CREATES JOBS, INCOME – AND TRAFFIC POTENTIAL FOR GROWTH – A BETTER BORDER – MINIMISED DISADVANTAGES All forms of traffic are on the rise All border-crossing points already have problems with capacity for both passenger and freight traffic. Freight traffic Stream of goods at the Port of HaminaKotka ◊ Border traffic is increasing strongly. in 2000–2010 and the forecast for 2011–2014 ◊ Traffic is increasing on the border traffic highways – The tonnes value of transit export through Finland in 2010 was around 25 000 000 EUR 17 billion – a 19 per cent increase from 2009. 20 000 000 15 000 000 10 000 000 Heavy vehicle traffic at border crossing points of Southeast Finland in 1992–2010 and 5 000 000 the forecast for 2011–2020 0 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 1400 Realisation Forecast 1200 Annual growth of 7 per cent 1000 Passenger traffic 800 ◊ Growth continues to be strong and will increase even Realisation in Annual growth of more with the possible visa waiver. An annual growth of 600 1992-2010 4 per cent 8 per cent will double passenger traffic by 2020 – and this 1000 vehicles/year 400 needs to be taken into account. 200 ◊ The Allegro train connection significantly increased 0 capacity. The new connection has notable potential for 1992 1994 1996 1998 2000 2002 2004 2006 2008 2010 2012 2014 2016 2018 2020 passenger traffic growth, which is already apparent. The forecast for 2011 is 290,000 passengers. ◊ Allegro is consuming capacity from railway freight traffic Passenger car traffic at border crossing points of between Saint Petersburg and Vyborg. Southeast Finland in 1992–2010 and the forecast for 2011–2014 ◊ Luumäki–Imatra single-track railway capacity is already fully used. The development of Russian rail traffic is creating a 6 significant need for more transport, enabling the opening of a 5 Annual growth of new connection to Russia via Imatra. 4 8 per cent 3 Realisation in 1992-2010 Annual growth of Rail traffic freight transportation in 2010 2 5 per cent 1 (1000 tonnes) Million vehicles / year Million vehicles 0 1992 1994 1996 1998 2000 2002 2004 2006 2008 2010 2012 2014 2016 2018 2020 ◊ The passenger levels to Vyborg via the Saimaa Canal were highest in 2001 (90,000) and lowest after visa-free travel ended (in 2003 at about 10,000 passengers). The new visa waiver has notably increased the passenger levels. ◊ Air travel between Lappeenranta and Europe is increasing: The number of passengers in 2010 was 61,000. The forecast for 2011 is 130,000. Most of the passengers come from Russia. Source: Finnish Railway Statistics, 2011 (The Finnish Transport Agency) Number of passengers in road traffic at border crossing points of Southeast Finland in 2000–2011 ◊ The stream of goods at the Port of HaminaKotka is growing Vaalimaa Nuijamaa Imatra strongly. In 2010, 15 million tonnes of goods travelled 3 000 000 through the port. The forecast is that this will increase to 24 2 500 000 million tonnes by 2014. 2 000 000 ◊ The freight traffic through Saimaa Canal was 1.6 million 1 500 000 tonnes in 2010, and the forecast for 2014 is 1.8 – -2.0 1 000 000 million tonnes, depending on the development measures. 500 000 0 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 Source: The Finnish Border Guard 31.5.2011 2 Required measures to achieve good border traffic flow in Southeast Finland Southeast Finland Centre for Economic Development, Transport and the Environment; Regional Council of Kymenlaakso; Regional Council of South Karelia Future views and trends ◊ In 2010, Russian tourists left EUR 680 million in Finland, of ◊ The rallied rouble is increasing private export, which has which EUR 306 million went to Southeast Finland. If Russian already been growing strongly. tourism to Finland doubles – which is already expected to ◊ Nuijamaa has become as busy a border-crossing point as occur during this decade – the turnover in Southeast Finland Vaalimaa for passenger travel, and growth is strong in Imatra will reach the billion-euro level. as well. ◊ The increasing services and stronger travel marketing ◊ The possible WTO membership of Russia will promote create a basis for the further development of shopping and integration and make business operations more varied. leisure travel. ◊ The number of border crossings is growing strongly, and ◊ The volume of duty-free sales in Finland in 2010 was EUR there are more and more days when as many as 40,000 182 million, with Southeast Finland’s share at 39 per cent. people cross the border in Southeast Finland. This meets ◊ The inflation is accelerating and there is an annual 9 per the extreme limits of border capacity. In 2010, there were cent rise in prices in Russia, real wages growing about 5 per 30 such days – and nearly 100 of them are expected in 2011. cent each year. WE NEED TO PREPARE FOR THE FUTURE BOTH IN THE SHORTER (2012 – 2015) AND LONGER (2016 – 2020) TERM In the next five years, the capacity of the border-crossing points and traffic routes must be built to a level which allows for border traffic to double. The needs of the border-crossing points and related officials 2012 – 2015 2016 – 2020 ◊ Separating passenger traffic from freight traffic at Vaalimaa ◊ Increasing the capacity at the border-crossing points of (traffic control EUR 9 million and construction EUR 7 million) Vaalimaa, Nuijamaa, and Imatra. ◊ The renewal of the Imatra border-crossing point (traffic ◊ Developing the infrastructure of the Parikkala border- control EUR 4 million, construction and equipment EUR 7 crossing point along with the international border-crossing million) point status. ◊ Traffic control at the Nuijamaa border-crossing point and a heavy traffic lane to Mustola (EUR 9 million) ◊ Vaalimaa lorry parking (EUR 21 million) There is a need to develop the infrastructure at border-crossing points, and the operations of authorities should also be made smoother. There is a need for new equipment (automatic passport control and other border inspection equipment), data system development (electronic customs clearance, telematics, queuing systems), development of authority cooperation on both sides of the border, and more personnel resources for inspections. In addition, the Imatra border-crossing point should receive an international status for railway traffic as well, and Parikkala should become an international road traffic border-crossing point. The traffic at the Parikkala crossing point will become more varied as the highway in Russia is improved. Traffic link requirements 2012 – 2015 2016 – 2020 ◊ E 18 Koskenkylä – Loviisa – Kotka (EUR 340 million), ◊ Luumäki – Imatra double-track construction and Imatra Hamina bypass (EUR 180 million) and Hamina – Vaalimaa track organisation near the border-crossing point (EUR 225 million) ◊ Other border and port traffic main road connections ◊ Highway 6 Taavetti – Lappeenranta (EUR 90 million) ◊ The development of Saimaa and canal traffic – line traffic, ◊ Simola – Vainikkala connection (EUR 7 million) for example ◊ Luumäki – Imatra double-track implementation decision ◊ Flight operations and required infrastructure and track plan ◊ Saimaa Canal replacement investment (EUR 10 million) Freightgpggq and passenger logistics requirements ◊ Improvement of road connections to the Port of service requirements of international air traffic and the HaminaKotka and the railway yard (Mussalo railway yard development of air freight operations. and highway 15 entry to Kotka). ◊ Improvement of connections between different forms ◊ Development of the Port of Mustola into a freight traffic of travel and different services, for example a direct bus hub. connection to services from the Allegro train. ◊ Development of the Port of Vuoksi to meet the needs of ◊ Extension of the Vainikkala passenger terminal and industry and export. combined terminals for car–train–freight traffic needs. ◊ Development of the Port of Tervasaari in Hamina for ◊ Development of cooperation between traffic in Saimaa passenger travel.