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. Whether it is true or not, foreign "non-capitalist" companies have indeed begun to receive broad rights to economic activity. The policy of "red terror", food 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, about mass repressions, etc. What really happened? It is still not known. However, the year the concessions were introduced is the year when the country was destroyed to the ground. But first, a little theory.

What are concessions

"Concession" translated from Latin means "permission", "concession". This is the commissioning by the state of a foreign or domestic person of part of its natural resources, production facilities, factories, plants. As a rule, such a measure is taken in times of crisis, when the state itself is not able to establish production on its own. The introduction of concessions makes it possible to restore the destroyed state of the economy, gives jobs, and the flow of funds. A large role is assigned to foreign capital for the reason that investors are ready to pay in international currency, and domestic citizens simply do not have money.

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

1918 Concession Theses: Betrayal or Pragmatism

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

1. Concessions must be surrendered so that the influence of foreign states is minimal.
2. Foreign investors were required to adhere to internal Soviet laws.
3. Concessions can be purchased from the owners at any time.
4. The state must get a share in the management of enterprises without fail.

The fact that the authorities approached this issue with caution can be concluded from the project of the first such companies in the Urals. It was assumed that with the authorized capital of the enterprise at 500 million rubles, 200 will 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 enormous resources fell into the hands of the "predators". American and European bankers imposed conditions on the German so profitably for themselves that such proposals from Russia were simply not interesting. The capitalists needed to plunder countries, not develop them. Therefore, the theses of 1918 remained only on paper. Then the civil war began.

Deteriorating situation in the country

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

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

Apart from wars, the policy of War Communism proved to be a failure. The food appropriation system completely destroyed agriculture. It just didn't make sense for the farmers to grow their crops, since they knew that food squads would come and take everything. The peasants not only stopped giving away their products, but also began to rise up for armed struggle in Tambov, Kuban, Siberia, etc.

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

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

New economic policy

At the X Congress of the RCP (b), a course was adopted, which was called "new economic policy". This meant a temporary transition to market relations, the abolition of food appropriation in agriculture, its replacement with a tax in kind. Such measures significantly improved the situation of the peasants. Of course, there were excesses then. It is unclear how this could be done every year, because you cannot cut off a piece of meat from one cow every year without slaughtering.

The introduction of concessions was active (during 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 a reverse process of denationalization. Small and medium-sized enterprises returned to their former owners. Foreign investors could lease Soviet enterprises.

Active introduction of concessions: NEP

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

Lenin himself had no illusions about foreign capital. He talked about the folly of believing that the "socialist calf" will embrace the "capitalist wolf." However, in the conditions of total devastation and plundering of the country, it was impossible 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 would be impossible to implement the GOERLO plan throughout the country. We saw something similar in the 1990s. after

Revision of agreements

The introduction of concessions is a forced measure associated with civil war, revolutions, crises, etc. However, by the mid-1920s. there is a rethinking of this policy. There are several reasons:

• Conflict situations between foreign companies and local authorities. Western investors are used to full 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 "betrayal of the interests of the revolution." Of course, you can understand them. Many fought for the idea of ​​equality, brotherhood, overthrowing the bourgeoisie, etc. 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 retaliatory bill for the destruction and intervention. These contradictions resulted in sanctions. Companies were prohibited from entering the Soviet market. By the mid-20s. In the twentieth century, the number of applications for obtaining concessions has decreased significantly.
• By 1926-1927, supervisory 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 destiny foreign capital.

Sanctions: history repeats itself

An interesting fact, but 90 years later, the history of Western sanctions repeated itself. In the twenties, their introduction was associated with the refusal of the Soviet authorities to pay debts. tsarist Russia as well as pay compensation for nationalization. For this very reason, many states recognized the USSR as a country. After that, many companies, especially tech companies, were banned from doing business with us. New technologies stopped coming from abroad, and concessions began to gradually curtail their activities. However, the Soviet authorities found a way out of the situation: they began to hire professional specialists under individual agreements. 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.

End of foreign capital in the USSR

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

In December 1930, a decree was issued banning all concession agreements. Glavkontsesskom (GKK) was relegated to the position of a legal office that consulted with the remaining companies. By this time, the industrial goods of the USSR fell completely under the ban of Western sanctions. The only product that 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. It is in this situation that a collective farm-state farm system is created with large-scale collectivization.

Conclusion

So, the introduction of concessions (the year in the USSR is 1921) occurs as a forced measure. In 1930, the government formally canceled all previously concluded contracts, although some businesses 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 manufactured products. More than efficient use resources.

The essence of the concession agreement

Within the framework 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, it provides that the user will conduct activities related to the operation of material assets. In this case, the owner undertakes to transfer the rights to use and possess them for a period determined by the participants. The concession agreement in relation to the object of municipal property contains elements of different agreements. Accordingly, the rules of the Civil Code on contracts apply, the components of which are present in the document, unless otherwise proceeds from its content or is not established 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. Reconstruction 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 that contribute to improvement 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 assets accepted by the user. It is forbidden to change the purpose of the object. The user can generate income and release products during the operation of fixed assets. They are his property, unless otherwise specified in the contract. The risk of accidental damage or destruction of fixed assets shall be borne by the concessionaire, unless otherwise specified by the agreement. The contract may impose the obligation to insure material assets at their own expense.

OS composition

A concession agreement in relation to an object of municipal property may imply the transfer of material assets for use, which form a single whole with the fixed asset or will be used for a general purpose to conduct the activities specified by the parties to the transaction. In this case, the contract includes their composition and description, the 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 may be established for the user. They are determined by mutual agreement of the participants who draw up the concession agreement. Examples of such responsibilities: modernization of worn out equipment, replacement technological lines, another improvement in performance. acquired or created in the course of carrying out activities and which are not OS, become the property of the user, unless otherwise specified in the contract. Exclusive rights to the products of intellectual work, which were obtained by the concessionaire for their own funds during the implementation of the concession agreement, belong to the other party to the transaction. Subjects can also establish a different rule.

Costs

The costs of fulfilling contractual obligations are borne by the users of tangible assets. Concession agreements in Russia often include a clause suggesting that part of the costs of reconstruction / creation of fixed assets can be borne by the owner. In this case, the amount of costs must be indicated in the tender announcement or in the decision to sign the contract (if the tender is not being held), as well as directly in the contract itself.

registration

The rights transferred to the user to operate and own material assets provided by the owner are encumbrances. Accordingly, they must be registered in the manner prescribed by law. The procedure for the created object of the agreement is carried out simultaneously with the state registration of the grantor'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 values ​​are structures that are part of:

1. Roads and networks engineering communications transport infrastructure. The latter, among others, includes overpasses, checkpoints, parking lots, bridges, tunnels, and so on.
2. Railway transport facilities.
3. River and seaports, including their hydraulic structures, engineering and industrial infrastructures.
4. Pipeline transport facilities.
5. Airfields, buildings intended for landing, takeoff, parking, movement of aircraft.
6. Engineering facilities and airports.
7. Hydraulic structures.
8. Facilities for the production, distribution, transmission of heat and electricity.
9. Utility infrastructure systems.
10. Objects of education, culture, health care, sports, etc.
11. Metro and other public transport.
12. Objects intended for medical, tourist, treatment and prophylactic activities, recreation.

Additional features

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

Participants in the transaction

The legislation defines the following parties to the concession agreement:

1. Government or federal executive body, regional or local government structure. 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 Aforementioned entities are concessionaires (users).

The legislation allows for 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 the object of the agreement is put into operation. The user cannot transfer his rights under the transaction as collateral. The transfer of responsibilities and legal capabilities of the concessionaire-legal entity during its reorganization to another company is made if the emerging organization meets the requirements specified in the decision to conclude an agreement.

Validity

When determining the period during which the concession agreement in relation to 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 parties to 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 set both throughout the entire agreed period, and at separate time intervals. The amount of payment, its form, rules and terms of payment are determined by the parties to the transaction. The legislation provides for several options for repaying monetary obligations:

1. Fixed amount. It can be contributed at a time or periodically to the budgetary 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 of ownership rights to the property owned by the concessionaire to the concentrator.

The parties to 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 specified in federal law and agreement.
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 actors as for his own.
3. Use, free of charge, according to the rules specified in the contract, subject to the confidentiality conditions, the exclusive rights to the products of intellectual work obtained when fulfilling the terms of the agreement at their own expense, in order to conduct the activities agreed by the parties.

Obligations of the user

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

1. Carry out the reconstruction or creation of the OS within the terms established by the contract and start 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, do not suspend or stop it without the consent of the owner.
4. Ensure that during the execution of the contract consumers can receive services, products and works.
5. Provide buyers / customers with the benefits established in federal legislation, other regulations, in cases and according to the rules determined in the framework of the transaction.
6. Maintain the operating condition of the OS, perform current and overhaul at your own expense, bear other costs for the maintenance of material assets, unless otherwise specified in the contract.

The main points of the contract

As critical stage the deal is advocated by the preparation of a concession agreement. It involves the coordination of all key clauses of the agreement. The preparation of a concession agreement includes, inter alia, the determination of the amount and form of payment for the operation of fixed assets, the rules according to which it will be paid. In addition, the following clauses must be present in the contract:

Additionally

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

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

An important point

The legislation establishes a certain procedure for concluding a concession agreement. It is drawn up within the framework of the competition. The document is drawn up in a standard form, including the mandatory items listed above. Changes to the concession agreement are made by agreement of the participants. At the same time, the adjustment of points determined in accordance with the tender proposal is allowed only in exceptional cases established by law. The amendment 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. The end of the due date.
2. By agreement 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 ​​must be in such a state, which is stipulated in the contract. The return of property is carried out with the registration of a deed of transfer.

Termination of the contract by court decision

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 party. Other circumstances may also serve as grounds. Significant violations of the terms of the agreement include:

Guarantees

When conducting activities agreed by the parties to the agreement, the user has the right to protect his interests, in accordance with constitutional provisions, international treaties, federal law 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, 租借

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 significance- surrender by the state of enterprises or land plots for use by a "foreigner". Legal significance- an agreement on such delivery or a separate clause of an assignment agreement

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

The modern meaning of the word as an economic and legal concept:
Concession broadly- This 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 into operation of a foreign state, company or individual for a specified period natural resources, enterprises and other economic facilities owned by the state.
A concession is an enterprise working 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 facility to the state;
BTO (Build - Transfer - Operate)- "Construction - Transfer - Management". For the concessionaire - construction, transfer to the state (concessionaire) in ownership immediately after the completion of construction, then - transfer to operation of the concessionaire;
SBI (Build - Own - Operate)... For the concessionaire - construction, operation with 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 basis of the right of private ownership for a certain period, after which - the transfer of the object to the state ownership;
BBO (Buy - Build - Operate). For the concessionaire - a purchase on terms of restoration or expansion of an existing facility.

Derived concepts:
Concessionaire- the one who received the concession (physical or entity).
Concendent- the state granting the concession.
Concessionary- relating to the concessionaire, concessionaires.
Concession fee- established by the contract 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, assignment) - the form of an agreement on the transfer of the complex for use exceptional rights belonging to the copyright holder. Transfer to a concession is carried out on a reimbursable basis for a specified 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 the trade 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-sum) or periodic (royalty) payments, percent of the proceeds, markups 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 implies that grantor(the state) transfers to the concessionaire the right to exploit natural resources, infrastructure facilities, enterprises, equipment. In return, the grantor receives remuneration in the form of one-time (lump-sum) or periodic (royalties) 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 endowed with the right to conduct a certain business, the exclusive or monopoly rights to which belong to a public law entity, for example, parking activities, etc.

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

Story

Ransom

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) into ownership immediately after the completion of construction, after which it is transferred to the operation of the concessionaire;
• BOO (Build - Own - Operate)- "Build - Own - Manage". The concessionaire builds the facility and carries out subsequent operation, owning it on the basis of ownership, the validity of which is not limited;
• BOOT (Build - Own - Operate - Transfer)- "Construction - ownership - management - transfer" - the ownership and use of the constructed object on the basis of the right of private ownership is carried out within a certain period, after which the object becomes the property of the state;
• BBO (Buy - Build - Operate) -"Buy - Build - Manage" is a form of sale that involves the restoration or expansion of an existing facility. The state sells the property 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 that mean developing capitalism? Yes, this means developing capitalism, but this is not dangerous, for power remains in the hands of the workers and peasants, and the property of the landlords and capitalists is not restored. A concession is a kind of lease. The capitalist becomes the tenant of a part of state property, by agreement, for a certain period, but does not become the owner. The property remains with the state.

Before the 1922 Hague Conference, LB Krasin proposed to return to foreigners, former owners of enterprises, up to 90% of the 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, assignment, provision. Dictionary foreign words included in the Russian language. Chudinov AN, 1910. CONCESSION [lat. concessio permission, concession] econ. agreement between the state and a foreign ... ... Dictionary of foreign words of the Russian language

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

concession- and, w. concession f., ger. Konzession lat. concessio grant, permission. 1. outdated, dipl. Concession. And more than two will not sign a treatise. Also what should be given for the concession; I also don’t have tea, which pleased them. 1710. AK 2 330 ... ... Historical Dictionary of Russian Gallicisms

concession- A point of sale in a facility where the concessionaire / catering service provider or other trader sells or distributes food, beverages, or merchandise. Concession is any a store where soft drinks are sold (but ... ... Technical translator's guide

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