This year the total number of debt defaulters in the Sergiev Posad district of the Moscow region has been cut by more than half. In 1999, 43 customers were identified as debt defaulters while last year this figure fell to 24. The major reason for this change was MOSENERGO's active cooperation with district authorities and debtor companies. To resolve the issue of debt repayment and make new ongoing payments MOSENERGO signed agreements with many customers to pay in installments.

However, the issue of receipt of proper payment for power from MOSENERGO customers remains outstanding. From 1995 until the start of this year Sergiev Posad district customers owed MOSENERGO 440 million rubles. Municipal enterprises and collective farms owed the bulk of the debt. For example, at the beginning of the year SRI Khimmash owed the Power Company more than 121 million rubles. N.Surkova, head of the Northern section of MOSENERGO's affiliate Energosbyt, said that on average each collective farm of the Sergiev Posad district owes MOSENERGO five million rubles. Signed agreements notwithstanding, many of these customers simply do not pay their bills. Last year while MOSENERGO signed 18 agreements of this type only four were honored.

"Despite problems with receiving payments for power, we can see that our customers have started to realize that they need to pay for power in the same way as they pay for any other commodity. Now our debtors try not to wait until their cases are brought to arbitrary courts or have limitations imposed on receiving power," said N.Rozhin, head of Mytishi section of MOSENERGO's affiliate Energosbyt.