Corporations in the Russian Arctic—From Dominance to Leadership

Arctic Fever: Political, Economic & Environmental Aspects. 2022. P. 137–153.

Krukov V. A., Nefedkin V. I.

The paternalistic model of Arctic resource development, established in Soviet times, partially modernized during the privatization campaign of the 1990s, and based on large industrial and transport systems, is increasingly at odds with the modern concept of sustainable development. These systems undoubtedly dominated the previous Arctic economic development model as they determined all socioeconomic tasks and ensured their fulfilment. Today, they will have to assume a new quality and lead the way in the socioeconomic development of the Russian Arctic. This implies a transition to a new institutional model based on their leading role in establishing forms and frameworks of participation and interaction for all key Arctic project players through equal dialogue and harmonization of the interests of the state, businesses, and local communities. The main reasons for the transition to new forms of corporate participation include the accumulated experience of project implementation, the possibility of attracting scientific and technical capabilities of other countries and regions, and active involvement in discussing and building the “agenda” for sustainable eco-economic development. The main problems and obstacles include the need to develop new skills and competencies for the eco-social management and implementation of projects, as well as to boost the readiness of personnel for equal dialogue and interaction with members of local communities. Active participation of corporations in creating and developing a new institutional environment at the federal, regional, and local levels will play an important role in the aforementioned process.

Keywords: local community, corporate responsibility, Arctic resources, Arctic development, Harmonization of interests, Leading companies