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Federalism and Local Politics in Russia

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Bus<strong>in</strong>ess elites <strong>in</strong> regional politics 195A wide variety of bus<strong>in</strong>essmen-governors of various status <strong>and</strong> orig<strong>in</strong> haveappeared <strong>in</strong> <strong>Russia</strong>. Among large <strong>in</strong>dustrialists, the so-called ‘oligarchs’, theonly example is Abramovich <strong>in</strong> Chukotka, which is an exception rather thana rule. Moreover, Abramovich’s career as governor is close to the end as hetries to get Put<strong>in</strong>’s approval <strong>and</strong> resign. The majority of bus<strong>in</strong>essmen-governorsare representatives of medium-sized bus<strong>in</strong>esses, both from the capital<strong>and</strong> from the regions. For them the position of governor approximates withtheir status <strong>in</strong> the <strong>Russia</strong>n elite. Former CEOs of large companies areanother type of governor. F<strong>in</strong>ally, chief executives of large state-ownedcompanies form a separate category. The appearance of such managers is aconsequence of the strengthen<strong>in</strong>g <strong>in</strong> the early 2000s of the political <strong>in</strong>fluenceof state-owned companies, which have direct access to the head of state.Changes <strong>in</strong> regional elitesThe election/appo<strong>in</strong>tment of bus<strong>in</strong>essmen to governorships usually leads to acirculation <strong>and</strong> rejuvenation of the regional elites. Thus, for example, whenIlyumzh<strong>in</strong>ov, Khlopon<strong>in</strong>, Abramovich, Dar'k<strong>in</strong>, Kuznetsov <strong>and</strong> Tishan<strong>in</strong>came to power, they were barely 40 years of age (Ilyumzh<strong>in</strong>ov just turned31). At that time only Ipatov was over 50, but he represented a differenttype – an experienced manager who had made his career dur<strong>in</strong>g the communistera. Just over half the bus<strong>in</strong>essmen-governors were age 40–50 by thetime they came to power, which for <strong>Russia</strong>n regional leaders is considered tobe young. Such a renewal of the regional elite often stimulates radicalchanges <strong>in</strong> the political life of the region.A detailed analysis of how governors have come to power shows that their<strong>in</strong>itial level of electoral support was rather low. Of the fifteen governors <strong>in</strong>our study, n<strong>in</strong>e were elected <strong>and</strong> six were appo<strong>in</strong>ted by the president. Theonly case when a bus<strong>in</strong>essman received an absolute endorsement by theelectorate was Abramovich who won 90.6 per cent of the votes. Abramovich,however, was considered to be the only serious c<strong>and</strong>idate <strong>in</strong> that election.The former Governor, Nazarov, a representative of the local elite, withdrewfrom the race <strong>and</strong> gave his support to Abramovich.In other regions electoral competition was much fiercer. Only Ilyumzh<strong>in</strong>ov<strong>and</strong> Zolotarev managed to secure 50 per cent of the vote <strong>in</strong> the first round.They were compet<strong>in</strong>g <strong>in</strong> poor <strong>and</strong> disadvantaged regions where the formerelites had lost <strong>in</strong>fluence <strong>and</strong> popularity. In Evenkiya the former governorBokovikov, follow<strong>in</strong>g the ‘Chukotka model’, did not st<strong>and</strong> for office <strong>and</strong>supported Zolotarev. However, there appeared competition of a differenttype – between oil companies, because his competitor Vasilyev (fromKrasnoyarsk, i.e. an outsider for Evenkia) was supported by the oil companySlavneft (Zolotarev secured 51.1 per cent of the vote, whereas Vasilyev got35.3 per cent). Ilyumzh<strong>in</strong>ov came to power amidst a sharp conflict betweenwarr<strong>in</strong>g nomenklatura clans <strong>in</strong> Kalmykia, which led to a disruption of the1991 presidential elections (neither of the two ma<strong>in</strong> c<strong>and</strong>idates won over 50

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