The document was signed during the workshop meeting organized by the Federal Antimonopoly Service (FAS) of Russia in Yalta on tariff regulation and attended by Vitaly Korolev, FAS Deputy Head, Dmitry Makhonin, Governor of the Perm Region, and Andrey Murov, First Deputy General Director – Executive Director of ROSSETI PJSC.

The scope of the agreement:

·       The grid company undertakes to develop the infrastructure and make investments and the region undertakes to establish and adjust long-term tariffs;

·       The guidelines for cooperation in establishing the procedure and regulation terms for 10 years, improving the electric power supply reliability and reducing electric power losses have been laid down;

·       The trends of priority investment projects in the Perm region and the roadmap for ROSSETI’s Digital Transformation 2030 program including implementation of smart metering systems in the region have been set out.

The savings achieved by the grid company in the course of the regulatory agreement will be maintained by Rosseti Ural and allocated for development of the electric grid infrastructure in the Perm region.

‘The regulatory agreement scheme works well in the gas supply industry, too. For the electric power industry, it’s a brand-new and transparent mechanism of the tariff policy. I believe that the key stakeholders to this agreement are the Perm region residents, as the regulatory agreement will allow to invest additional funds in development of the regional electric power infrastructure leading to more reliable electric power supply to the Kama region population,’ emphasizes Dmitry Makhonin.

‘The document we signed today is really strategically important for ROSSETI Group and the Perm region and is the first long-term tariff regulating agreement in the country. Rosseti Ural has become a groundbreaker in the field. It is highly important that this model lay the foundation for further cooperation between the power grid complex and regional authorities in all the regions of the Russian Federation. I’d like to say thank you to the Federal Antimonopoly Service and the Perm region government. I am sure that this step will profoundly improve the efficiency of the consolidated efforts,’ says Andrey Murov.

The concept of regulatory agreements and their execution are provided for by the Law on Electric Power Sector introduced by President of the Russian Federation Vladimir Putin in August 2019.