Rosseti and regions of the North Caucasus: investment, consolidation and digital transformation of the region's energy

Rosseti and regions of the North Caucasus: investment, consolidation and digital transformation of the region's energy 07.06.2019

Today, agreements on social and economic cooperation for a period of 10 years between Rosseti North Caucasus and the Republics of Chechnya, Dagestan, Ingushetia, Kabardino-Balkaria and Karachay-Cherkessia were signed at the St. Petersburg International Economic Forum. These are the first documents in the history of the North Caucasus Federal district that will allow predicting development of energy in the regions for the next 10 years and solving the problems accumulated in industry.

The agreements were signed by Vitaly Ivanov, Head of Rosseti North Caucasus company, and the Heads of the Republics with the presence of Alexander Matovnikov, authorized representative of the President of the Russian Federation in the North Caucasus Federal district, and Pavel Livinskiy, Rosseti CEO.

As part of the implementation of the agreements, by 2024 Rosseti will invest in the implementation of large-scale projects aimed at improving the reliability of energy supply to consumers, reducing losses and introducing modern digital technologies. 

Special attention is paid to the joint efforts of the authorities and power engineers to improve the payment discipline of consumers and stabilize the financial and economic condition of the industry.

In addition, in order to increase the efficiency of the network complex development, reduce accidents and optimize costs, the parties agreed to consolidate the energy facilities of the regions on the basis of Rosseti. 

Experience of other regions indicates that the transition to a single management can significantly improve production performance, reduce both capital and operating costs, and introduce advanced technologies.

"Today is a very important day for the North Caucasus. Rosseti and the regions have done unprecedented work. As part of the Strategy for development of the fuel and energy complex of Russia, a comprehensive plan for development of the electric power industry in the region of our district has been prepared. Today, agreements have been signed that give a start to this work which finally allows us to solve the complex of difficulties that have developed in the power industry of the region. Let me thank Rosseti for their active work. I am sure that together we will put in order the network complex of the North Caucasus Federal district", Alexander Matovnikov said.

Pavel Livinskiy thanked the Heads of the regions: Ramzan Kadyrov, Vladimir Vasiliev, Yunus-Bek Evkurov, Kazbek Kokov and Rashid Temrezov for their joint work in order to solve strategic problems of energy development in the North Caucasus. 

"In the coming years, we will have to solve all the problems associated with reducing losses, staffing and special equipment, and materials – everything necessary to ensure reliable power supply to the inhabitants of the North Caucasus. There are problems, but we are consistently solving them: we conduct pan-Russian trainings of power engineers, expand the network of intelligent metering devices as part of the strategy of digital transformation of the network complex, design new energy facilities. And, of course, without support of regional leadership we will not be able to effectively implement these projects. Today we have signed agreements, which include particular actions and responsibilities of the parties. I stress that it will allow us to solve all problems and get out of the crisis without increasing the burden on the consumer . By 2023, the network complex of the North Caucasus will reach the same level of reliability and stability as in other regions of our country. We will succeed, because we are a team!"- Pavel Livinskiy stressed.

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