On June 9 the Board of Directors of Rosseti, chaired by Alexander Novak, RF Minister of Energy, adopted several strategic decisions scoping the activity of the group of companies. 

For instance, the BoD decided to invest the dividends received in 2016 from affiliated and dependent companies of Rosseti PJSC in affiliate companies to support their financial stability and help implement pivotal state projects related to enhancement of reliably and development of electrical grid of the country.

The meeting approved Plans of development of “Yantarenergo” JSC, “Kubanenergo” PJSC, “IDGC of the North Caucasus” PJSC, “Chechenenergo” JSC, “IDGC of Siberia” PJSC, “IDGC of  the South” PJSC and “IDGC of the North-West” PJSC. It was also decided to render financial assistance to these companies, including by carrying out phased additional capitalization of affiliated companies.

In particular, it is planned to invest in “Kubanenergo” up to 5.3 billion rubles, “Yantarenergo” – up to 10.8 billion rubles, “IDGC of the North Caucasus” – up to 3 billion rubles, “Chechenenergo” – up to 1.3 billion rubles, “IDGC of the South” – up to 3 billion rubles, “IDGC of Siberia” PJSC – up to 2.6 billion rubles, “IDGC of the North-West” – up to 654 million rubles.

The BoD also gave instructions on implementation of the plan of interaction with federal and local government, elaboration and preparation of changes to laws and regulations, settlement of accounts receivable, assignment of responsibilities among managers of companies for implementation of events of the Development Plan.

Implementation of these plans shall help solve a range of high-priority problems related to provision of reliable power supply and development of regions, precisely:

- ensuring overall reliability of the power grid in Kaliningrad region and safe operation of generating facilities in island control mode;

- implementation of the investment project of federal importance in Pskov region. The project shall provide reliable power supply in case power girds of Lithuania, Latvia and Estonia cease synchronous operation mode with Russia and violations in synchronous grid operation of the CIS and Baltic countries occur. Under the national project “Development and introduction of automated protection and control of electric substation of new generation” a new facility will be constructed in Vologda region;

- implementation of programme of activities to ensure uninterrupted power supply to venues of the Universiade 2019 in Krasnoyarsk and to ensure reliable operation of the electric grid facilities of IDGC of Siberia PJSC in Krasnoyarsk during the Universiade

- construction of facilities of social importance on the territory of the Chechen Republic and the Republic of North Ossetia – Alania and elimination of power shortage in order to ensure connection pf customers to grids and provide uninterrupted and safe power supply;

-  implementation of programmes that are aimed to reduce power losses in the networks, which will allow reduction of losses to the standard level by 2018 in the area of responsibility of IDGC of the North Caucasus PJSC.

For the past few months Rosseti, the Government and RF Ministry of Energy have been working out Plans of Development of affiliated companies and looking for the best solutions. Later these Plans were discussed and approved by the relevant committees under the Board of Directors.

The participants of the meeting noted that these Plans of Development are meant to lead the affiliated companies of Rosseti PJSC to financial stability, enhance profit performances, reduce the debt as well as fulfill obligations on grid connection, ensure reliability and development of the power grid of the territorial subjects of the Russian Federation included in this project.

Oleg Budargin thanked the Ministry, members of the BoD and Alexander Novak personally for their support of ideas proposed by the Management Board of Rosseti PJSC and for the team-work.  According to him, Rosseti will make everything possible for its affiliated companies to reach the planned indicators and will make sure that the shareholders are satisfied with the financial results.