Common Managing Company to be Created for FGC and IDGC

Alexander Novak, the Minister of Energy Industry of the Russian Federation

After the meeting at the office of the President of the Russian Federation, which took place on October 15, Alexander Novak, the Minister of Energy Industry of the Russian Federation told the representatives of the mass media that there will be no merger of FGC and IDGC – instead, a common managing company will be created for them.

Creating a common managing company, according to Novak, will unite the technological policies of the two companies, will synchronize the investment programs, raise the efficiency of operational costs and general management, improve the situation with connection, raise the stability and quality of power services, which these enterprises provide for Russian consumers.

“President ordered to improve the system of power grid complex management and this decision was taken”, — said the head of the Energy Industry Ministry of the Russian Federation. He emphasized that till the end of 2012 it is necessary to improve the system of the tariff regulation and to eliminate the system of cross-subsidization, which means to make them closer to the international standards and make them more open.

“The detailed grid schedule of the managing company will be prepared in the nearest two weeks, and then the specified suggestions will ne presented to President Putin”, — Novak says.

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