EuroSibEnergo to be transformed from a holding company into an operating company
EuroSibEnergo, Russia’s largest independent power company, has announced the start of its transformation from a holding company into an operating company The relevant resolution has been adopted by the Board of Directors.
Currently, OJSC EuroSibEnergo owns controlling stakes in power, engineering and distribution companies. Its largest assets in the energy industry include about 90% of shares of JSC Krasnoyarsk HPP and a 50.2% shareholding in OJSC Irkutskenergo, which are managed via the Boards of Directors.
The target model of an operating company involves creating a single corporate center and divisions specializing in various types of operations. Management of operations of the Krasnoyarskaya, Irkutskaya, Bratskaya and Ust-Ilimskaya HPPs, operations in the wholesale electricity market, procurement, IT, investments and R&D will be concentrated in the corporate center. The company's divisions will include heat generation and distribution, engineering and distributed generation.
Establishment of an operating company will enable OJSC EuroSibEnergo to reduce costs through centralization of key management functions and to improve reliability by operating the Angara-Yenisei HPPs from a single center and introducing a single technical policy.
As part of its transformation into an operating company, at the first stage OJSC EuroSibEnergo plans to lease the property of the Krasnoyarskaya HPP in order to independently generate electricity and sell it in the wholesale market; the company is undergoing the procedures required for registration as an electricity market participant.
OJSC EuroSibEnergo will also be re-registered in the Krasnoyarsk Territory (currently it is registered in Moscow), which will result in an increase in tax payments to the budget of the region.
"Our goal is to make EuroSibEnergo the most reliable and efficient company in the Russian electricity industry and to create an efficient source of power supply to promote the economic development of Eastern Siberia," commented Vyacheslav Solomin, CEO of OJSC EuroSibEnergo.
EuroSibEnergo (www.eurosib.ru ) is Russia’s largest private power company owned by En+ Group. EuroSibEnergo operates 18 power plants with a total installed capacity of 19.5 GW, including major HPPs forming part of the Angara-Yenisei HPP Cascade (the Krasnoyarskaya, Bratskaya, Ust-Ilimskaya and Irkutskaya HPPs) with a total capacity of over 15 GW; it also owns coal deposits with total reserves of about 1.2 billion tons, as well as distribution and engineering companies.
May 29, 2015