The main objective of this master thesis is Northern Sea Route and its potential economic feasibility in maritime transportation between Europe and Asia. Theoretical part of the study begins by definition of maritime container transportation and then it continues by description of discovery of the Northern Sea Route, its geographical and weather conditions. The empirical part is concentrating on the Russian legislation adjusting using of Northern Sea Route, infrastructure and ports in arctic waters and the services of Russian icebreaker fleet that operates in arctic waters. Last part of the thesis is the case study, where is calculated the price of transport of one TEU between Asia and Europe via Northern Sea Route and the costs of this transport are compared with the costs of transport via Suez canal.

I takt med att isens utbredning i Arktis minskar ökar potentialen för Nordostpassagen att bli ett alternativ till Suezkanalen. En inledande litteraturstudie identifierar möjliga effekter på miljön vid en kraftig ökning av kommersiell sjöfart längs Nordostpassagen. Resultatet av litteraturstudien diskuteras i intervjuer med tre personer verksamma inom biologi, filosofi och statsvetenskap för att undersöka hur globala förbättringar kan värderas mot lokala skadeverkningar. Litteraturstudien fann att de största miljöeffekterna i Arktis kommer från sjöfartens luftutsläpp, oljespill samt den stressande effekt fartyg har på djurlivet. Globalt sett kan ett ökat användande av Nordostpassagen ge en minskning av sjöfartens koldioxidutsläpp. De intervjuade har delade åsikter om huruvida koldioxidminskningen kan väga upp för de lokala effekterna i Arktis. Vidare önskade de intervjuade se tydlig reglering av eventuell sjöfart i området och att den vinst som genereras av rutten ska bidra till att minska de negativa miljöeffekterna. / As the ice coverage in the Arctic decreses the potential for the Northeast Passage as an alternative to the Suez Canal increases. An initial literature review identifies potential environmental effects of increased shipping along the Northeast Passage. The result of the review is discussed in three separate interviews with a philosopher, a biologist and a political scientists to study how global environmental improvements can be appraised when set against local damages. The literature review revealed air pollution, oil spillages and the stress vessels can cause wildlife to be the most important local factors. The study also found that an increased use of the Northeast Passage may lead to decreased levels of carbon dioxide emissions from shipping globally. The interviewees had different opinions on whether or not the reduction in carbon dioxide emissions outweighs the local environmental impact in the Arctic. Furthermore, the interviewees shared the opinion that shipping in the area needs to be regulated and that the profit made from using the passage should contribute to limiting the harmful environmental effects.

This qualitative study has evaluated the economic development progression in the Russian Arctic over the 2008-2020 time-period. Departing from the qualitatively formulated official objectives in the Russian Federation’s Policy for the Arctic to 2020 (signed in 2008), this investigation sought to trace the implementation process and analyse the extent in which they have been met. A geoeconomic theoretical framework was used to guide this study through a dual case-centric process tracing and policy evaluation methodology. The data in this investigation mainly originated from news sources, think tanks, Arctic-specific foundations, and official reports from the Arctic Council and the Nordic Council of Ministers. The investigation was not hypothesis driven but rather attempted to assess the extent to which Russia’s stated objectives corresponded with the economic reality in the Russian Arctic region. The investigation has focused on three separate but interrelated elements of the regional economic development, namely maritime activity, hydrocarbon resource development and demographic trajectory. The analysis found that economic activity in the Russian Arctic regions has increased over the time-period and the stated policy objectives are to be considered fulfilled.

The new fact that the environment is becoming the main factor of geopolitical transformations in the Arctic region has been triggered mainly by climate change. In the North, this recent aspect of geopolitics, in correlation with the environment, leads sometimes to tensions between countries, but also to a need for cooperation. The question brought by such conditions is, to which extent will this climate change provoke cooperation or conflicts between the Arctic states. The purpose of addressing the problem is to understand what kind of challenges would be facing the international relations between circumpolar countries and how the environment is playing a geopolitical role in them. The objective of the main research question is to assess the importance of climate change over the geopolitics of the Arctic through several spheres of geopolitics: environment and bio-diversity, economic activity of the region, sovereignty and territoriality, security of the circumpolar states, and international and diplomatic relations. The trans-border and transnational nature of environmental issues is another important factor, since nature does not respect human-made boundaries and an environmental concern, such as climate change and its aftermaths, cannot be exclusive to a state along the lines of its borders.