Russian deputy prime minister Dmitry Rogozin guarantees support for Perm engine builders

Perm/23.07.2012 On July 20 a delegation of leaders from the Military-Industrial committee of the Russian Government, headed by the committee chairman deputy prime minister Dmitry Rogozin and Perm region governor Viktor Basargin, visited the Perm Engine Company.

The guests visited the Perm Engine Company’s assembly workshop, and the Aviadvigatel testing stand, where tests are currently underway on the PD-14 demonstration engine, created as part of the ‘Engines for the MS-21 aircraft’ project.

Dmitry Rogozin’s attention was brought to the nodes and parts for the upcoming PD-14 engine — a full titanium blade for the low-pressure compressor, the flame tube on the combustion chamber, the nozzle assembly and second-level disk on the high-pressure turbines, the parts and units from composite materials, and other aspects, as well as the demonstrator engine technology.

In PMZ’s assembly workshop, the company’s managing director Aleksey Mikhalyov presented examples of the Perm Engine Company’s products — aviation turbo-ventilated gas turbine engines for civil aviation the D-30 and PS-90A, the engine for the strategic MiG-31 fighter jet, the D-30F6, the industrial gas turbines units of 2.5 and 25 mW capacity based on the D-30 and PS-90A gas generator engines. Guests had the chance to evaluate the complexity and precision of the technology used to produce gas turbine engines when looking at the exhibition of nodes and parts. At special stands various parts of the modern gas turbine engine were on display.

The key idea in the reports from leaders of PMZ and Aviadvigatel given at the meeting that Dmitry Rogozin held after getting to know the company’s production capacity, was that the potential accumulated by Perm engine builders over nearly 80 years is huge, and that that they haven’t lost their skills in developing and mass producing gas turbine engines. But the future can only be guaranteed by getting to grips with production of the fifth generation gas turbine engine, referring to the family of engines based on the unique gas generator whose development is being spearheaded by the Perm design bureau under the leadership of chief designer Aleksandr Inozemtsev.

To fulfil this massive task will require similarly large-scale retooling of the company, reorganizing production on a lean technology basis. For these goals, the Perm Engine Company within the implementation of its development program Strategy 2020 is planning to invest a total of 22 billion rubles, of which just one third will be financed out of federal budgetary funds.

The remainder will be earned by the Perm engine builders themselves, through filling contracts (including state military contracts) for delivery of PS-90A aviation engines, repair of D-30 and D-30F6 aviation engines and TV-2-117 helicopter engines, expanding the launch of industrial gas turbine units, and attracting additional investment by modernizing production. The products made by the Perm Engine Company are closely linked with state interests, including in the area of strengthening Russia’s military capabilities, and so state support measures could significantly increase the efficiency of implementing state programs for aviation development.

Attracting bank resources for technical retooling of the company will make the question of state subsidies on percentage rates particularly topical, as well as the issue of state underwriting on loans for the development of production.

Solving these and other issues at the federal level, raised by PMZ managing director Aleksey Mikhailyov and Aviadvigatel chief designer Aleksandr Inozemtsev at their meeting with Dmitry Rogozin, is fundamentally important for the Perm Engine Company as it prepares to launch production of the PD-14 engine. The deputy prime minister assured them that the problems raised by the Perm engine builders will be addressed in solutions at the top levels of government and by federal authorities.

Dmitry Rogozin, deputy Russian prime minister and chairman of the Military-industrial committee of the Russian government:

"On the matter of the Il-76MD-90A, we will do all we can to get a firm contract for the Perm Engine Company. The president of Russia has ordered this matter to be resolved by September of this year. I am sure that we can do this. The problem of subsidies for interest rate percentages and state underwriting — this faces all industrial enterprises. We understand that with such high rates, it is difficult to improve industry, which is why we are developing a number of programs. I think that this issue of interest rate subsidies and state underwriting can be resolved positively in your case.

The government has serious plans to rebuild large-scale aviation production in our country, independent production, without reliance on foreign suppliers. Under state development programs through to 2020, we are planning to build up to 250 military transport aircraft. They will need engines, and this is where the government is placing its hopes on the Perm engine building companies. And in civil aviation we are also counting on you. A country that covers so man time zones must have its own aviation. And the current predominance of Boeings and Airbusses should not be viewed as the norm, but as a deviation from the norm. But for that we must produce our own, modern technology, which will meet the needs of domestic airlines.

Perm Engine Company (PMZ) mass produces aviation engines for civil and military applications, as well as industrial gas turbine units for power stations and gas transportation.

PMZ is a part of the United Engine Corporation, a wholly-owned subsidiary of OBORONPROM specializing in engine-building assets.

OBORONPROM is a multi-faceted machine-building group of companies, founded in 2002. It is part of the Russian Technologies group of companies. Its primary activities are helicopter building (Russian Helicopters) and engine-building (UEC).