DUSHANBE, October 16, Asia-Plus — The CIS Electric Power Council has considered establishing in three states a common electricity market at its 32nd session in Dushanbe.
The session that was held in the Tajik capital on October 12 brought together the heads of electricity agencies and national power companies from the CIS states as well as observers at the ECIS electric power council and representatives from the invited states and organizations.
Anatoly Chubais, CEO of electricity monopoly Russia’s Unified Energy System (RAO YeES), was reelected the council’s chairman for the next term.
Speaking to journalists after the session, Chubais noted that the session had considered 13 issues. He stressed that “synchronic unification of the energy systems of the CIS and the Baltic states with the energy systems of Tajikistan, Uzbekistan and Turkmenistan is of special significance.”
According to him, the session participants positively assessed the results of discussions on the issues considered at the session.
The session, in particular, considered draft agreement on the common electricity market concept and regulations on a procedure of elaboration, coordination and approval of common legal-technical documentation for providing parallel work of the energy systems of the CIS states.
According to Russia’s news agency RIA Novosti, in the first stage of the common electricity market concept, power supplies along transnational power transmission lines, including through power systems in third countries, will be established.
In the second stage, CIS member countries are to develop national competitive power markets, liberalize power exports and imports, and coordinate closely national transmission system and commercial operators.
A common electricity market will be built during the third stage, with common rules for all players on the market to be formulated.
The CIS concept fixes no timeframes for establishing the common electricity market.
The session also heard reports on a progress of rehabilitation of parallel work of the energy system of Armenia with union of the energy systems of the CIS states as well as discussed the possibility and conditions of closing of the electric ring Russia-Azerbaijan-Georgia-Russia.
Participants at the session also considered priorities and the main directions of cooperation, efficient use of water and energy resources within the CIS area, as well as arrangements for the winter of 2007-2008.
The session also summed up the results of work of the CIS states’ energy systems over the previous autumn-winter season.
Chubais noted that the next session of the CIS Electric Power Council will be held in Moscow in 2008.
The CIS Electric Energy Council was set up in 1992. Anatoly Chubais, CEO of electricity monopoly Unified Energy System of Russia, has been the council”s chairman since 2000.
In the meantime, RIA Novosti cited Chubais as announced on October 12 that RAO YeES will sell its stake in heavy machinery manufacturer Power Machines to a strategic domestic investor through a closed tender by late November.
“We had a strategy for Power Machines, which proposed the creation of a market for the company, the development of an investment program and an IPO – which has been accomplished – and finally the sale of the stake to a Russian strategic investor,” the head of electricity monopoly UES, Anatoly Chubais, told journalists in Dushanbe.
According to him, he was “categorically against increases in the stakes of [German engineering giant] Siemens or the government in Power Machines.”
Late in September the YeES decided to sell its stake in Power Machines.
Russian holding company Interros closed in late September a deal to sell a 30.4% stake in Power Machines to Cyprus-based Highstat Ltd., controlled by steel tycoon Alexei Mordashov after receiving permission from the Anti-Monopoly Service to buy up to 100% in Power Machines.
Earlier in September, the service prohibited Siemens, which holds 25% plus one share in Power Machines, from increasing its interest to a controlling stake.
Power Machines accounts for 37% of Russia”s turbines, turbo-generators, hydro-generators and electrical equipment market. The company provides engineering services, and produces, assembles, services and modernizes equipment for hydro, thermal, gas and nuclear power plants and the transportation industry. It has clients in 87 countries.
