During the second day of SPIEF-2019, Pavel Livinskiy, Rosseti CEO, and Alexander Brechalov, the head of the Udmurt Republic, in the context of the working meeting discussed the issues of consolidation of electric grid complex of the Udmurt Republic.
In 2018, in the course of the joint work of the Government of the Udmurt Republic and the Rosseti Group, an asset was consolidated - Izhevsk Electric Networks JSC (IES JSC), and today, on June 7, 2019, the Board of Directors of the Rosseti subsidiary structure, Rosseti Center and Volga Region, approved the transaction on the acquisition of the property of the municipal enterprise Votkinskaya Electric Networks (VGEK).
"The consolidation of power grid facilities of the Udmurt Republic affects the interests and addresses issues of all sides: region, company and end user. Last year, the sale of the entire property complex of JSC Izhevsk electric networks to Rosseti Center and the Volga region became the largest transaction in the market of regional privatization of the country, brought 3 billion rubles to the budget of Udmurtia and growth of tax revenues by 40%. For electric grid companies, the process brings an increase in operational efficiency and as a rule, a reduction in operating costs by 60 million rubles per year. For the end user – improving the reliability of power supply and quality of service through the development of interactive services", Alexander Brechalov, Head of the Udmurt Republic, stated.
"Cooperation with the Republic of Udmurtia in terms of consolidation is exemplary since with the signing of the agreement on acquisition of Votkinsk power grids we have collected on our balance sheet all 100% of network assets that were in state ownership. For the consumer, this means that firstly, duplicated costs for the maintenance and management of the network infrastructure are excluded from the tariff, and secondly, now one of the global leaders in reliability - Rosseti - is responsible for the quality and accident-free electricity supply," Pavel Livinskiy commented on the agreement signing.