"If they build a poor quality road, they must return the money," Alexander Zhukov told a government session.
"We have very expensive but very low quality roads," he continued. "We have to repair them every year, whereas roads in other countries last far longer."
According to the deputy premier, road-building companies overseas provide guarantees and repair the roads they build three to five years later.
Zhukov also said contractor companies had to give financial guarantees.
"Customers should start concluding at least three-year contracts, with clearly identified financial sources," the deputy prime minister said. He proposed that the government support the transport development plan under consideration and include an additional provision on the mechanisms for long-term contracts with contractors taking greater responsibility.
Zhukov continued that these measures would be a good example for other sectors to follow. He also said it would be instrumental for more effective partnership between the private and state sectors in the transport area.
Zhukov expressed the hope that the State Duma, the lower chamber of the Russian parliament, would finally adopt a bill on concessions and a bill on toll roads, which would help improve transport services.