Concession - what is it in simple words. Concession

In 1920, concessions were introduced. completely destroyed private property in Russia. This led to a deep economic crisis in the country. The introduction of concessions was supposed to improve the situation. However, many historians and journalists think differently. They believe that it was intended to "clear the field" for foreign capital. Like it or not, but foreign "non-capitalist" companies really began to receive broad rights to economic activity. The policy of the "Red Terror", surplus appropriation, that is, the actual robbery of the population, is still hushed up in the West. However, after the liquidation of all foreign concessions, all foreign historians, politicians and public figures started talking about human rights, mass repressions, and so on. What happened in reality? Still not known. However, the year the concessions were introduced is the year the country was razed to the ground. But first, some theory.

What are concessions

"Concession" in Latin means "permission", "assignment". This is the commissioning by the state to a foreign or domestic person of part of its natural resources, production capacities, factories, plants. As a rule, such a measure is taken in times of crisis, when the state itself is unable to establish production on its own. The introduction of concessions allows you to restore the ruined state of the economy, provides jobs, and the flow of funds. A large role is given to foreign capital for the reason that investors are willing to pay in international currency, while domestic citizens simply do not have money.

In 1920, a decree of the Council of People's Commissars "On Concessions" was adopted. A year before the official proclamation of the NEP. Although the project was discussed back in 1918.

The 1918 Concession Theses: Treachery or Pragmatism

Some journalists and historians today talk about attracting foreign capital to Soviet Russia as a national betrayal, and the country itself will be called a colony of capital under the bright slogans of socialism and communism. However, one can analyze the articles of theses of 1918 to understand whether this was actually the case:

1. Concessions must be leased in such a way that the influence of foreign states is minimal.
2. Foreign investors were required to adhere to domestic Soviet laws.
3. At any time, concessions can be redeemed from the owners.
4. The state must necessarily receive a share in the management of enterprises.

The fact that the authorities carefully approached this issue can be concluded from the project of the first such companies in the Urals. It was assumed that with the company's statutory fund of 500 million rubles, 200 would be invested by the government, 200 by domestic investors, and only 100 by foreign investors. We agree that with such a division, the influence of foreign bankers on the sectors of the economy is minimal. However, the capitalists were not going to invest money under such conditions. Germany with its huge resources fell into the hands of the "predators". American and European bankers imposed conditions on the Germans so beneficially for themselves that such proposals from Russia were simply not interesting. Capitalists needed to plunder countries, not develop them. Therefore, the theses of 1918 remained only on paper. Then the civil war began.

Deterioration of the situation in the country

By 1921 the country was in the deepest crisis. First World War, intervention, civil war led to the consequences:

• ¼ of all national wealth was destroyed. The production of oil and coal was halved compared to 1913. This led to a fuel, industrial crisis.
• The rupture of all trade relations with As a result, our country tried to cope with the difficulties alone.
• Human losses are estimated at 25 million people. This number includes the potential loss of unborn children.

In addition to wars, the policy of war communism proved to be a failure. Prodrazverstka completely destroyed agriculture. It simply didn't make sense for farmers to grow crops, because they knew that food detachments would come and take everything. The peasants not only stopped giving away their food, but also began to rise up in armed struggle in Tambov, the Kuban, Siberia, and so on.

In 1921, the already catastrophic state of affairs in agriculture exacerbated by drought. Grain production also halved.

All this led to the introduction of what actually meant a reverse rollback to the hated capitalist system.

New economic policy

At the X Congress of the RCP (b) a course was adopted, which was called the "new economic policy". This meant a temporary transition to market relations, the abolition of the surplus in agriculture, replacing it with a tax in kind. Such measures significantly improved the situation of the peasants. Of course, there were excesses even then. For example, it was necessary to hand over 20 kilograms per cow every year in some regions. How could this be done every year? It is not clear. After all, it is impossible to cut off a piece of meat from one cow every year without slaughter. But these were already excesses on the ground. In general, the introduction of a food tax is a much more progressive measure than the bandit robbery of peasants by food detachments.

The introduction of concessions was actively taking place (in the period the term began to be applied only to foreign capital, since foreign investors refused to jointly manage enterprises, and there were no domestic investors. During the NEP period, the authorities began the reverse process of denationalization. Small and medium-sized enterprises returned to their former owners. Foreign investors could rent Soviet enterprises.

Active introduction of concessions: NEP

Since 1921, there has been an increase in businesses leased or purchased by foreign investors. In 1922 there were already 15 of them, in 1926 - 65. Such enterprises operated in the sectors of heavy industry, mining, mining, woodworking. In total, the total number has reached more than 350 enterprises for all time.

Lenin himself had no illusions about foreign capital. He talked about the stupidity of believing that the "socialist calf" would embrace the "capitalist wolf." However, it was impossible in the conditions of total devastation and plunder of the country to find ways to restore the economy.

Later, the introduction of concessions began for minerals. That is, the state began to give natural resources to foreign companies. Without this, as Lenin believed, it was impossible to implement the GOERLO plan throughout the country. We saw something similar in the 1990s. after

Review of agreements

The introduction of concessions is a forced measure related to civil war, revolutions, crises, etc. However, by the mid-1920s this policy is being rethought. There are several reasons:

• Conflict situations between foreign companies and local authorities. Western investors are accustomed to complete autonomy in their enterprises. Private property was not only recognized in the West, but also sacredly guarded. In our country, such enterprises were treated with hostility. Even among the highest party workers, there was constant talk of "betraying the interests of the revolution." Of course, they can be understood. Many fought for the idea of ​​equality, brotherhood, the overthrow of the bourgeoisie, and so on. Now it turns out that, having overthrown some capitalists, they invited others.
• Foreign owners were constantly trying to get new preferences and benefits.
• Many states began to recognize the new state of the USSR in the hope of receiving compensation for the nationalization of enterprises. The Soviet authorities issued a return bill for the destruction and intervention. These contradictions resulted in sanctions. Companies were forbidden to enter the Soviet market. By the mid-20s. In the 20th century, applications for concessions became many times less.
• By 1926-1927, the regulatory authorities began to receive balances of payments. It turned out that some foreign enterprises receive more than 400% of the annual return on capital. In the extractive industry, the average percentage was low, about 8%. However, in the processing industry it reached over 100%.

All these reasons influenced further fate foreign capital.

Sanctions: history repeats itself

An interesting fact, but 90 years later, the story of Western sanctions repeated itself. In the twenties, their introduction was associated with the refusal of the Soviet authorities to pay their debts. tsarist Russia and also pay compensation for nationalization. Many states recognized the USSR as a country for this very reason. After that, many companies, especially technology companies, were banned from doing business with us. New technologies stopped coming from abroad, and concessions began to gradually phase out their activities. However, the Soviet authorities found a way out of the situation: they began to hire professional specialists under individual contracts. This led to the immigration of scientists and industrialists to the USSR, who began to create new high-tech enterprises and equipment inside the country. The fate of the concessions was finally sealed.

The end of foreign capital in the USSR

In March 1930, the last agreement was concluded with the Leo Werke company for the production of dental products. In general, foreign companies already understood how soon everything would end, and gradually left the Soviet market.

In December 1930, a decree was issued banning all concession agreements. Glavkontsesskom (GKK) was reduced to the position of a legal office that consulted with the remaining companies. By this time, industrial goods of the USSR were finally banned by Western sanctions. The only product we were allowed to sell on international markets was bread. This is what led to the subsequent famine. Grain is the only product for which the USSR received currency for the necessary reforms. In this situation, a collective-farm-state-farm system with large-scale collectivization is being created.

Conclusion

So, the introduction of concessions (the year in the USSR - 1921) takes place as a forced measure. In 1930, the government officially canceled all previous contracts, although some enterprises were allowed to remain as an exception.

The application helps to increase the investment attractiveness of the domestic economy, the quality of services provided, work performed and products manufactured. More than effective use resources.

The essence of the concession agreement

As part of the transaction, one participant undertakes to reconstruct or create real estate, the ownership of which belongs or will belong to another entity. in relation to the object of municipal property provides that the user will conduct activities related to the exploitation of material assets. In this case, the owner undertakes to transfer the rights to use and own them for a period determined by the participants. The concession agreement in relation to the object of municipal property contains elements of various agreements. Accordingly, the rules of the Civil Code on contracts are applied, the components of which are present in the document, unless otherwise comes from its content or is not provided by law.

Reconstruction

The concessionaire under the concession agreement assumes obligations to carry out certain activities. They can be directed to the creation or reconstruction of real estate. For example, an agreement may include activities such as:

1. Reorganization based on the introduction of new technology.
2. Automation and mechanization of production.
3. Modernization and replacement of physically and morally worn-out equipment.
4. Changing the functional or technological properties of an object or its individual components.
5. Other activities to improve performance characteristics fixed assets.

Nuances

The object of the agreement, which is subject to reconstruction, at the time of the conclusion of the transaction must be owned and free from the rights of other persons. It is not allowed to pledge or alienate the material values ​​accepted by the user. It is forbidden to change the purpose of the object. The user can generate income and produce products during the operation of fixed assets. They are his property, unless otherwise specified in the contract. The risk of accidental damage or loss of fixed assets shall be borne by the concessionaire, unless otherwise specified by the agreement. The contract may impose an obligation to insure material assets at its own expense.

OS Composition

A concession agreement in respect of a municipal property may involve the transfer for use of material assets that form a single whole with the main asset or will be operated for a general purpose for conducting the activities agreed upon by the participants in the transaction. In this case, the contract includes their composition and description, term and purpose of use. The contract also prescribes the procedure for their return to the owner upon termination of the agreement. As part of the transaction, additional obligations for the user may be established. They are determined by mutual agreement of the participants who draw up the concession agreement. Examples of such responsibilities include upgrading worn-out equipment, replacing technological lines, another performance improvement. acquired or created in the process of carrying out activities and are not OS, become the property of the user, unless otherwise provided in the contract. Exclusive rights to products of intellectual labor, which are obtained by the concessionaire at his own expense in the course of the implementation of the concession agreement, belong to another participant in the transaction. Subjects may set a different rule.

Costs

The costs of fulfilling obligations under contracts are borne by users of material values. Concession agreements in Russia often include a clause suggesting that part of the costs for the reconstruction/creation of the fixed assets can be covered by the owner. The amount of costs should in this case be indicated in the announcement of the competition or in the decision to sign the contract (if the competition is not held), as well as directly in the contract itself.

registration

The rights transferred to the user to operate and own the material values ​​provided by the owner are an encumbrance. Accordingly, they must be registered in accordance with the procedure established by law. The procedure for the created object of the agreement is carried out simultaneously with the state registration of the concessor's ownership of this property.

Categories of wealth

The legislation provides a list of fixed assets, the transfer of which can be formalized as a concession agreement. Examples of material assets - structures that are part of:

1. Highways and networks engineering communications transport infrastructure. The latter, among the rest, include overpasses, checkpoints, parking lots, bridges, tunnels, and so on.
2. Railway transport facilities.
3. River and sea ports, including their hydraulic structures, engineering and industrial infrastructures.
4. Objects of pipeline transport.
5. Airfields, buildings intended for landing, takeoff, parking, movement of aircraft.
6. Engineering facilities and airports.
7. Hydraulic structures.
8. Objects for the production, distribution, transmission of heat and electricity.
9. Public infrastructure systems.
10. Objects of education, culture, healthcare, sports, etc.
11. Metropolitan and other public transport.
12. Objects intended for medical, tourism, medical and preventive activities, recreation.

Additional features

The object of the agreement and other property that is not in municipal / state ownership may be intended for general purpose operation, conducting agreed activities and ensuring a single production process. In this case, the owner of the OS has the right to sign a civil law contract with the user that determines the features of their provision. However, the owner must link the emergence of obligations and rights under it with relations under the concession agreement.

Participants of the transaction

The legislation defines the following parties to the concession agreement:

1. The government or executive federal authority, the structure of regional or local government. These institutions act as owners (grantors).
2. An individual entrepreneur, a foreign or domestic commercial company, or 2 or more legal entities acting in accordance with the specified entities are concessionaires (users).

Legislation allows the change of persons in the transaction. It is carried out by assignment or transfer of debt with the consent of the owner at the time of putting the object of the agreement into operation. The user cannot transfer his rights under the transaction as a pledge. The transfer of duties and legal capabilities of the concessionaire-legal entity during its reorganization to another company is carried out if the organization that has arisen meets the requirements specified in the decision to conclude an agreement.

Validity

When determining the period during which the concession agreement in respect of the object of municipal property will be in force, the following are taken into account:

1. The time required to create / reconstruct the OS.
2. The volume of investments for the implementation of the activities agreed by the participants in the transaction and the period of their payback.
3. Other obligations of the user under the contract.

Payment

The concession agreement in relation to the object of municipal property determines the amount that the user is obliged to transfer during the life of the material assets transferred to him. Payments can be established both throughout the agreed period, and individual time intervals. The amount of payment, its form, rules and terms of payment are determined by the participants in the transaction. The legislation provides for several options for repayment of monetary obligations:

1. Fixed amount. It can be paid at a time or periodically to the budget fund of the corresponding level.
2. The share of income or products received by the user in the implementation of the activities specified in the transaction.
3. Transfer to the concessor of ownership of property owned by the concessionaire.

Participants in the transaction can establish mixed forms of payment.

User rights

The concession agreement in relation to the object of municipal property establishes the following legal possibilities:

1. Dispose of material assets according to the rules defined in federal legislation and the contract.
2. Fulfill the terms of the concession agreement independently or with the involvement of third parties. In this case, the user will be responsible for the actions of third-party subjects as for his own.
3. To use, free of charge, according to the rules defined in the agreement, subject to confidentiality conditions, exclusive rights to intellectual labor products obtained under the terms of the agreement at their own expense, in order to conduct the activities agreed by the parties.

User Responsibilities

In the process of carrying out activities specified in the concession agreement, the concessionaire must:

1. Carry out the reconstruction or creation of the fixed assets within the terms established by the contract and begin its operation.
2. Use material assets for the purposes and according to the rules determined by the transaction.
3. Carry out the activities provided for in the agreement, not suspend or terminate it without the consent of the owner.
4. Ensure the possibility of obtaining services, products and works by consumers during the execution of the contract.
5. Provide buyers / customers with benefits established in federal law, other regulations, in cases and according to the rules defined in the framework of the transaction.
6. Maintain the OS in good condition, carry out current and major repairs at their own expense, bear other costs for the maintenance of material assets, unless otherwise specified in the contract.

The main points of the contract

As milestone The deal favors the preparation of a concession agreement. It involves the coordination of all key points of the contract. The preparation of the concession agreement includes, among other things, the determination of the amount and form of payment for the operation of fixed assets, the rules in accordance with which it will be paid. In addition, the agreement must contain the following clauses:

Additionally

The concession agreement in relation to the object of municipal property may also include clauses on:

1. Volumes of production while conducting the activities agreed within the framework of the transaction.
2. Rules for establishing and adjusting tariffs (prices) for work performed, products manufactured, services rendered, as well as cost surcharges when conducting specified activities.
3. The volume of investments in the reconstruction / creation of the object of the agreement.
4. Other items not prohibited by law.

Important point

The legislation establishes a certain procedure for concluding a concession agreement. It is issued as part of the competition. The document is drawn up according to a standard form that includes the mandatory items listed above. Amendments to the concession agreement are carried out with the consent of the participants. At the same time, the adjustment of the points determined in accordance with the competitive offer is allowed only in exceptional cases established by law. The change of the agreement can also be carried out by a court decision on the grounds specified in the Civil Code.

Termination of the contract

It takes place in the following cases:

1. End of the established period.
2. With the consent of the participants.
3. By the tribunal's decision.

After the termination of the agreement, the user is obliged to transfer the property to the owner, unless otherwise provided by the agreement or law. At the same time, material values ​​\u200b\u200bmust be in the condition specified in the contract. The return of property is carried out with the execution of a deed of transfer.

Termination of the contract by court order

Termination of the agreement is allowed at the request of one of the parties in the presence of violations of its clauses by the other participant. Other circumstances may also serve as grounds. Significant violations of the terms of the agreement include:

Guarantees

When conducting activities specified by the parties to the agreement, the user has the right to protect his interests in accordance with constitutional provisions, international treaties, federal legislation and other regulations. In particular, he can count on compensation for losses that have arisen as a result of illegal actions of state, local and regional authorities, as well as officials the specified structures. The responsibility of the perpetrators comes in accordance with the current legislation.

Concession

The word for the Russian language is borrowed. The borrowing language is German or French. Borrowing time - the end of the 18th century. The range of meanings is economic and legal. Economic importance- handing over by the state of enterprises or plots of land for use by a "foreigner". Legal significance- an agreement on such delivery or a separate clause of the assignment agreement

The roots of the word are related to the Latin word concessio permission, concession. A new nuance is revealed if we turn to deep sources: English concede, Latin concedere admit, accept, accept com- + cedere- earn income, harvest. If summed up - an agreement on joint receipt of income, that is, a mutually beneficial agreement.

The modern meaning of the word as an economic and legal concept:
Concession in the broadest sense is an agreement between the state and business, fixing the conditions for the use of state property by business.
Concession in the narrow sense- an agreement on the transfer to operation of a foreign state, company or individual for a certain period natural resources, enterprises and other economic facilities owned by the state.
A concession is an enterprise operating under a concession agreement.

Purpose of the concession- development or restoration of the national economy and the development of natural resources.

Types of concession agreements:
BOT (Build - Operate - Transfer). For the concessionaire - construction, operation and after a certain period - transfer of the object to the state;
BTO (Build - Transfer - Operate)- "Construction - transfer - management". For the concessionaire - construction, transfer to the state (grantor) in ownership immediately after the completion of construction, then - transfer to the operation of the concessionaire;
SBI (Build - Own - Operate). For the concessionaire - construction, operation with the right of ownership, the term of which is not limited;
BOOT (Build - Own - Operate - Transfer). For the concessionaire - the possession and use of the constructed object on the right of private ownership for a certain period, after which - the transfer of the object to the ownership of the state;
BBO (Buy - Build - Operate). For the concessionaire - purchase on the terms of restoration or expansion of the existing facility.

Derived concepts:
Concessionaire- the one who received the concession (physical or entity).
concessor- the state granting the concession.
Concessionary- relating to the concessionaire, concessionaires.
concession fee- established by the agreement and determined on the basis of the expected results of the concession.

Scale of use. It is actively used in 37 countries of the world. At various times, the USSR had railway facilities on concession terms in Afghanistan, Austria, Finland, Mongolia, and North Korea.

Concession

Concession(from lat. concessio - permission, concession) - a form of agreement on the transfer to the use of the complex exceptional rights belonging to the copyright holder. The transfer to the concession is carried out on a reimbursable basis for a certain period or without specifying a period. The object of the agreement may be the transfer of rights to exploit natural resources, enterprises, equipment and other rights, including the use of a company name and (or) commercial designation, protected commercial information, trademarks, service marks, etc.

Payment of remuneration can be carried out in the form of one-time (lump) or periodic (royalty) payments, interest on revenue, margins at the wholesale price of goods or in another form established by the contract.

Concession, concession agreement- a form of public-private partnership, involving the private sector in the effective management of state property or in the provision of services usually provided by the state, on mutually beneficial terms.

concept

The concession means concessor(state) transfers concessionaire the right to exploit natural resources, infrastructure, enterprises, equipment. In return, the concessor receives remuneration in the form of one-time (lump) or periodic (royalty) payments. Concession agreements are implemented on the basis of public property, including using budget funds. In the absence of involvement of a public property resource in the partnership, the private partner is vested with the right to conduct a certain business, the exclusive or monopoly rights to conduct which belong to a public legal entity, for example, parking activities, etc.

The objects of the concession agreement are primarily socially significant facilities that cannot be privatized, such as airfields, railways, housing and communal services and other infrastructure facilities, as well as public transport systems, healthcare facilities, education, culture and sports.

Story

buyout

Types of concession agreements

In international practice, the following types of concession agreements are distinguished:

• BOT (Build - Operate - Transfer)- "Construction - management - transfer". The concessionaire carries out construction and operation (mainly on the basis of ownership) for a specified period, after which the object is transferred to the state;
• BTO (Build - Transfer - Operate)- "Construction - transfer - management". The concessionaire builds an object, which is transferred to the state (grantor) as the property immediately after construction is completed, after which it is transferred to the operation of the concessionaire;
• BOO (Build - Own - Operate)- "Construction - ownership - management". The concessionaire builds an object and carries out subsequent operation, owning it on the basis of ownership, the term of which is not limited;
• BOOT (Build - Own - Operate - Transfer)- "Construction - ownership - management - transfer" - the possession and use of the constructed object on the right of private ownership is carried out for a certain period, after which the object becomes the property of the state;
• BBO (Buy - Build - Operate) -"Purchase - build - manage" - a form of sale that involves the restoration or expansion of an existing facility. The state sells the facility to the private sector, which makes the necessary improvements for effective management.

Concession agreements in Russia

Story

New Economic Policy (1920s)

Isn't it dangerous to invite capitalists, doesn't it mean developing capitalism? Yes, it means developing capitalism, but it is not dangerous, because power remains in the hands of the workers and peasants, and the property of the landowners and capitalists is not restored. A concession is a kind of lease agreement. The capitalist becomes a tenant of a part of state property, under an agreement, for a certain period, but does not become an owner. The property remains with the state.

Before the Hague Conference in 1922, L. B. Krasin proposed returning to foreigners, former owners of enterprises, up to 90% of nationalized property, but only in the form of long-term concessions. Many foreign concessionaires agreed, but the idea met with strong domestic opposition.

Legislative regulation

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See what "Concession" is in other dictionaries:

- (lat. concessio). Permission, consent, approval, concession, grant. Dictionary foreign words included in the Russian language. Chudinov A.N., 1910. CONCESSION [lat. concessio permission, concession] economy. an agreement between a state and a foreign ... ... Dictionary of foreign words of the Russian language

An agreement for the temporary commissioning to a foreign state, legal entity or individual (concessionaire) on certain terms agreed by the parties of enterprises, land plots, subsoil and other objects and values ​​in order to ... ... Financial vocabulary

concession- and, well. concession f., German. Konzession lat. concessio grant, permission. 1. obsolete, dipl. concession. And more than two treatises will not be signed. Also what should be given for the concession; I also don’t have tea, that this pleased them. 1710. AK 2 330… … Historical Dictionary of Gallicisms of the Russian Language

concession- An on-site outlet where a concessionaire/catering service provider or other merchant sells or distributes food, beverages or goods. A concession is any a store where soft drinks are sold (but… … Technical Translator's Handbook

CONCESSION, assignment, transfer, permission, transfer of rights, appropriation. Dictionary Dahl. IN AND. Dal. 1863 1866 ... Dahl's Explanatory Dictionary