The Management Committee endorsed a Gazprom Strategy for the Power Generation Sector and resolved to submit it for the approval of the Gazprom Board of Directors.

Gazprom’s strategic business development goals in the power generation sector are to increase the Company’s capitalization due to profitability increase, regulative tariff risk diversification as well as the fuel balance optimization in the country and obtaining synergy effect in the gas and power generation sectors.

At present Gazprom’s special-purpose power generation assets are determined due to RAO UES of Russia restructuring as well as market trends.

The Management Committee also approved Recommendations for the long-term business development strategy on European power generation markets and perspective evaluation of Gazprom’s participation in European energy assets.

Reference:

Pursuant to the Gazprom Strategy, it is necessary to have a number of functioning energy companies (two of which are already established) aimed at structuring Gazprom’s energy business. Energy supply at the subsidiary level as well as external power supply projects set up will be centralized in Mezhregionenergysbyt. Gazpromenergo (the only electricity grid company) will be entrusted to regulate issues relevant to energy reliability increase and security of Gazprom’s subsidiaries. During the first stage it is reasonable to provide energy asset management directly via Gazprom. Therefore it is planned to set up a power generating subsidiary.