Security services (Russian market)

2023

The volume of the Russian security services market grew by 6.1% and exceeded 120 billion rubles

on the results of 2023, the volume of the Russian market for security services exceeded 120 billion rubles. Growth in relation to 2022 was recorded at around 6.1%. This is stated in a study by NeoAnalytics, the results of which were published on July 22, 2024.

In the structure of the security services market of the Russian Federation, the largest share is the protection of facilities - approximately 32.8%. This is followed by the escort of goods and the protection of life and health - 23.4% each. Another 20.3% falls on ensuring order at public events. A feature of the industry is that, in addition to private security companies, private and departmental security provide services. These structures are state-owned enterprises, but, in fact, provide private services. These participants account for more than 50% of the market.

In 2023, over 100 million security services were provided in Russia: annually this figure increases by 3-6%. The growth is associated, among other things, with a difficult criminal situation. In 2023, 727.1 thousand crimes were registered in the Russian Federation, including 194.7 thousand thefts.

It is also said that the cost of security services in Russia is growing. One of the reasons for this trend is the entry into force of the Decree of the Government of the Russian Federation of August 2, 2019 No. 1006 "On approval of requirements for anti-terrorist protection of facilities"..., which regulates the mandatory professional protection of educational institutions. The security company, as BusinesStat notes, in case of victory in the competition, gets the opportunity to provide services, but the bulk of the contract price is spent on paying salaries to employees. At the same time, the company itself receives a minimum income, which, coupled with inflation, forces it to constantly increase prices for security services^[1]

Reduction in purchases of security services in Russian schools by 19% to 16 thousand public procurement

In 2023, Russian educational institutions placed approximately 16 thousand public procurement for protection services with a total value of 62.8 billion rubles. For comparison, in 2022, the total volume of such contracts was estimated at 77.5 billion rubles. Thus, purchases on an annualized basis decreased by about 19%. The corresponding figures are given in the study of the Tenderplan search and analytical system for managing tenders, the results of which were published on February 13, 2024.

According to the Vedomosti newspaper, we are talking about public procurement without taking into account commercial tenders used by non-state institutions. In addition, state purchases of security devices - metal frames, metal detectors and other specialized devices - are not taken into consideration.

𝓲

Pexels

The study says that in the first quarter of 2023, public procurement of security services in Russian schools amounted to 9.5 billion rubles, in the second - 11.4 billion rubles, in the third - 8.9 billion rubles. The peak fell on the last quarter of the year, when the costs amounted to 33 billion rubles. The leaders in the placement of tenders in the last quarter of 2023 were the Moscow region - 5 billion rubles, St. Petersburg - 4.3 billion rubles, Moscow - 1.7 billion rubles, Voronezh and Rostov regions - 1.1 billion rubles.

Basically, educational institutions request services for the protection of facilities, as well as for ensuring access control. The monthly cost of round-the-clock security services in the capital's educational institution averages 75 thousand rubles per guard. In some regions, there may be problems with the financing of relevant services.

School security is now funded on a residual basis. In some regions, there is no money for this or the cost of security services is set such that private security companies, if a contract is concluded, will not even be able to pay salaries to employees, "said Sergei Silivonchik, vice president of the School Without Danger Association of Security Enterprises.[2]

Adopted a law on the right of private security company employees to shoot down drones at fuel and energy complex facilities

On December 12, 2023, the State Duma of the Russian Federation in the third (final) reading adopted a law allowing the private protection of fuel and energy complex (fuel and energy complex) facilities to shoot down drones. The document clarifies the concept of a security zone for such facilities, which will also include airspace above them.

In order to ensure the safety of fuel and energy complex facilities, which are assigned a hazard category, employees and persons at these facilities give employees of private security organizations the right to suppress the functioning of unmanned aerial, underwater and surface vessels and vehicles, unmanned vehicles and other automated unmanned systems.

Protection of fuel and energy complex facilities will receive the right to shoot down drones

According to the law, it will be possible to suppress the movement of drones, including by suppressing or converting remote control signals for drones, affecting their control panels, and damaging or destroying drones.

Earlier, the head of the working group on special military operation, secretary of the General Council of United Russia, Andrei Turchak, noted that only law enforcement officers, departmental guards and private security companies that guard objects with high requirements for anti-terrorist security have the right to shoot down drones. At the same time, fuel and energy complex objects have been attacked more than once since the beginning of the RWT.

TASS cites data from an explanatory note to the bill, according to which more than 45 drone attacks on fuel and energy facilities were recorded in the first half of 2023.

With the beginning of the SVO, the fuel and energy complex facilities have repeatedly become the object of sabotage. Most often, attacks are carried out by drones. In the first half of the year alone, there were about fifty such incidents. At the same time, private security, which ensures the safety of the vast majority of oil storage facilities, substations and other facilities, still has no legal right to counteract such equipment, - said Andrei Turchak.[3]

2022: Market growth by 6.3% to RUR 120 billion

In 2022, about 103 million security services were provided in Russia, which is 5.1% more than a year earlier. The market did not just grow - its growth rate almost doubled (in 2021, growth was at 3.2%). This is evidenced by data from the research company NeoAnalytics, which were released at the end of July 2023.

In the structure of the security services market, the largest share in 2022 was the protection of facilities (32.8%), cargo support and the protection of life and health occupy 23.4% each, and the share of ensuring order at public events is about 20.3% of the market. The volume of the Russian market for security services in monetary terms in 2022 reached 120.6 billion rubles, rising by 6.3% on an annualized basis.

It also follows from the report that by the end of 2022, about 17 thousand private security organizations were registered in the Russian Federation, in which more than 655 thousand guards work, which protect more than 1.4 million objects.

According to analysts, a feature of the security services market is that along with private security companies, such enterprises as private and departmental security are present on the market. These companies are state-owned enterprises, but, in fact, provide private services. These market participants account for more than 50% of the market.

Researchers emphasize that security services are in demand in Russia. In general, the increased demand is explained by a number of reasons, including the difficult criminal situation. In 2022, 761.1 thousand crimes were committed in Russia and decreased by 4.7% over the year. According to the results of last year, theft of 90.7% occupies the largest share in the structure of crimes, robbery is in second place (3.8%), intentional harm to health is in third place (2.3%).^[4]

Notes