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Business Development Agency, SeverskAs a result of collaboration between CNCP, the Siberian Chemical Kombinat (SCK), and the Administration of the Closed City of Seversk, agreement was reached in 2003 on carrying out research into the need for a Business Development Agency (BDA) and preparing a business plan covering the organisation of such a Agency in the City. On the basis of this work, a plan for the project was endorsed in 2004. The total cost was to be over £320,000 of which some £280,000 would be covered by grant aid from CNCP. The principle aim of the project was to create conditions which would help employees of the nuclear industrial complex, which was facing rationalisation in Seversk, to benefit from new opportunities for alternative forms of employment. Taking account of the aims and tasks of the CNCP Programme, which were also those of Rosatom, it was clear from the beginning that the work of commercializing technology and organizing businesses would take place outside the Kombinat on the territory of the Seversk municipality. It is important to underline that the CNCP experts, the leaders of the City Administration, and SCK, already understood how important it was to create an infrastructure for the development of small and medium sized business. At that point, no city centre for support for entrepreneurship in the productive sector of the economy existed in Seversk and the concept of the BDA was at that point new for Seversk. It is only recently that Federal Law FL-129 on support for small and medium sized business was issued. In 2003, the participants in the Partnership were ahead of their time and were pioneers in this field. Nevertheless, the work of the Agency faced many difficulties both externally and internally during its early years. Adapting to the need to operate within the rules of the open market, but within a Closed City, was difficult. Well founded business ideas and projects, which could provide sustainable jobs, were lacking, investors ready to provide the co-financing demanded as a condition for receiving grants were hard to find. It was necessary to accelerate the further training of the staff and to review the system of incentives and to establish a whole algorithm for attracting companies with commercial potential to the City. In 2007, the Development Strategy for BDA Seversk to the year 2010 was prepared. This introduced performance criteria for the work of the Agency. After the completion of the CNCP project for the creation of the BDA in 2007, a proposal was submitted for a continuation of funding for the activities of the Agency in the framework of the British-Russian Partnership. As from July 2007, a new agreement was signed for a period of 3.5 years, according to which almost £500,000 will be committed (of which £300,000 will be provided by CNCP), for the strategic development of the BDA and the creation of jobs for former employees of SCK. The BDA won a competition to obtain the status of managing company for the City innovation-oriented business-incubator. Tenants have been selected for the incubator, most of whom are entrepreneurs who are in receipt of support from CNCP. The BDA is involved in the development of the first municipal technopark – with around 1000 square metres of space – which is being set up with the participation of the Administration of Seversk. The BDA is oriented towards high technology and competitive projects in sectors such as information technology, power engineering and energy saving, wood processing, and construction materials. In this way, sector-based clusters are developing, which alongside SCK must in time become the basis for the development of the economy of Seversk. Major problems which BDA is addressing at the moment are land allocation and development of new businesses in the protected zone around SCK. Another problem is the lack of managers to run innovatory companies. BDA is today searching for top managers from Tomsk to work in Seversk. In the summer of 2008 the last nuclear reactor in Seversk ceased to operate. SCK underwent a process of corporatisation, setting the task of reducing production costs, which inevitably leads to a reduction in staffing. The work of the Agency reduces risks and increases the confidence of the people of Seversk in their future. This sums up the mission of the BDA. Alexander Krupin, | |
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