AO MOSENERGO plans to enter the free market at FOREM. Currently, the Company is undergoing procedures in order to receive access to this market.

The trial electricity market (5-15) at FOREM was launched on November 1, 2003. This trial market is only in the making. In the first ten days, market turnover exceeded 100 mn rubles or 158 mn kWt-h, which is around 1% of the total consumption in the European part of Russia. The introduction of market mechanisms led to lower wholesale prices. As a result, the price differential between the regulated and free segments is around 1.5 kopecks/kWt-h. RAO UES experts expect prices to decrease even further after the main bulk of sellers and buyers access 5-15 market.

AO MOSENERGO buys a great deal of electricity at FOREM. Hence, trades in 5-15 market will help the Company save considerable amounts of money. In addition, delivery time in free trading has been reduced to 1 hour compared to 1 month at FOREM. In these conditions AO MOSENERGO has the opportunity to purchase electricity almost immediately.

At present, AO MOSENERGO specialists draft agreements with potential partners at 5-15 market. They also check the technical preparations of the Company for electricity trading.