Industry News

RAO UES of Russia Strategy and Reform Committee decided to recommend to the Board of Directors to lift the moratorium on the RAO UES core assets sales at today’s meeting. As Devid Hern Chairman of the Committee told RBC. According to him, the moratorium lift is possible only if the funds raised from the core assets sales will be spend on RAO UES shares bye out.

RAO UES Strategy and Reform Committee recommended to approve the ratio for exchange of the regional generation companies’ preferred shares for TGCs ordinary shares at a level of 0,9158 for the companies where RAO preserves control, one of the committee participants told Reuter.

Tariff revenue of RAO UES of Russia (EESR) for 2006 is planned to be approximately 650 bln rubles against 600 bln rubles expected in this year. Head of the Economic Policy Department of RAO Igor Kozhukhovsky told Komsomolskaya Pravda at a “round table”.

Territorial Generating Company No 1 (TGC-1) which went into operation on 1 October, 2005, has lowered its net profit forecast for this year to 580 million roubles, according to the company's press release.

RAO UES of Russia will submit to the government the issue of establishing power prices from 2007 at a level not lower than actual inflation, Igor Kozhukhovskii, chief of the RAO UES Economic Policy Department, said on Friday while speaking at the round table discussion titled Large Business in Russia: the Engine of Positive Changes in the National Economy...

Ministry of economic development and trade of the Russian Federation expects the investments, promoted by the application of an investment guarantee mechanism, will amount to 12,6 billion rubles in 2008.

The Board of Directors of OJSC FGC UES recommended to the shareholders to increase the authorized stock of the company by placing of 160 billions additional ordinary shares with a face value of 0.5 rubles in the total amount of 80 billion rubles. As FGC UES communication informs.

At its meeting on 28 October, the RAO UES (EESR) Board of Directors plans to discuss a mechanism to allocate revenues from sale of fixed assets and RAO UES long-term investment and consider cancelling the moratorium on alienation of RAO assets.

RAO UES of Russia expects to discuss with China in detail the possibility of implementation of a project for power exports from Russia to that country in the course of a forthcoming visit of Russian Prime Minister Mikhail Fradkov to China, RAO UES of Russia leader Anatoly Chubais told journalists earlier today.

The main reason for expanding the practice of independent power projects is the inflexibility of the investment programme of RAO UES of Russia affecting the most important generation facilities in Russia. At the same time RAO has the holding company's investment programme that provides for construction and upgrade of plants at the level of regional power companies.