Funding sources

1. Internal funds
   Internal funds of Rosvodokanal’s subsidiaries are used to fund the work programme (routine repairs and overhaul), investment programmes with short payback periods (up to 1 year), to implement socially important projects and, to some extent, to implement long-term investment programmes.
2. Treasury funds
   
   1. Allocations from regional and municipal budgets.
      The funds used to implement socially important projects, with no payback possible for a number of reasons, as well as to reduce the tariff-related payments of consumers during the implementation of investment programmes.
   2. Allocations from the federal budget:
      1. Funds of the Housing 2002-2010 federal special-purpose programme under the following sub-programmes:
         • Modernization of public utility infrastructure;
         • Provision of land plots with municipal infrastructure for the purposes of housing development.
      2. Funds of federal targeted investment programme within the jurisdiction of the Federal Agency for Water Resources.
         The funds in question, which are allocated for river bank stabilization and preservation of bed-forming processes, can be used to ensure sustained operation of open water-intakes.
      3. Allocations from the Investment Fund of the Russian Federation.
         The Investment Fund of the Russian Federation was set up to provide government support for investment projects in the form of direct funding, provision of loan guarantees or contribution to the authorized capital.
   3. Extrabudgetary sources of funding

      1. Borrowings.
         Borrowings are used primarily to implement long-term investment programmes and, to some extent, to close cash gaps during the implementation of short-term investment and work programmes.

         1. The resources of Russian banks, specifically those of Alfa-Bank and Vneshtorgbank.
         2. The resources of international financial institutions, specifically those of the European Bank for Reconstruction and Development, World Bank.
      2. The resources of funds:
         1. The resources of energy-saving funds;
         2. The resources of environmental funds;
         3. The resources of insurance and pension funds
      3. Grants