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Unified Energy System

November 12, 2003

RAO UES delegation headed by Anatoly Chubais flies to Brussels on 13 November

Moscow. 12 November 2003. Tomorrow, 13 November, a delegation of RAO "UES of Russia" headed by the Chairman of the Management Board Anatoly Chubais will fly to Brussels to take part in the Conference "Electricity Market from Lisbon to Vladivostok?" organized by the Union of the Electricity Industry - EURELECTRIC, the European Union for the Co-ordination of Transmission of Electricity (UCTE*), and the CIS Electric Power Council (CIS EPC).

The Conference participants will discuss practical steps to implement the project "Integration of Energy Systems of the CIS, Baltics with the European Energy Pool". Other issues to be addressed at the Conference include development of electricity markets, environment protection and reliability of energy systems.

The implementation of the project to interconnect the UCTE and the electricity systems of the CIS and Baltic states started in March 2002, when representatives of the CIS EPC and EURELECTRIC met in Warsaw and signed a protocol to launch a joint feasibility study into energy systems interconnection. In 2002 2003, CIS EPC President Anatoly Chubais, EURELECTRIC President Hans Haider, and UCTE President Martin Fuchs held a series of meetings to outline the steps necessary to expand cooperation in the area.

EURELECTRIC and CIS EPC formed two ad-hoc groups to study the legislative frameworks and environmental policies, as well as the emergence of markets for electricity in the EU and CIS countries. The studies made by two joint EURELECTRIC-CIS/EPC ad-hoc groups over the past six months describe the regulatory situation with regard to markets and environment for the electricity industry in the EU and CIS regions. The next stage in the project implementation will be comparative analysis of legislation in the countries and determining the potential for harmonizing their laws in these areas.

In 2004, steps will be taken to prepare the technological aspects of the project implementation: tests will be held in the UES of Russia, the CIS' largest energy system in terms of aggregate capacity and network length, to assess the quality of primary and secondary frequency control in order to achieve a systemic effect from East-West synchronous interconnection.

* Parallel (synchronous) operation of the energy systems implies their synchronization in frequency in the alternating current networks, which makes it possible to effect electricity transfers via the cross-system or cross-border HV transmission lines.

Parallel or synchronous operation of energy systems enhances reliability of electric power facilities. This is best seen during the periods of autumn-winter peak loads and in emergencies.

To date, eleven out of the twelve national energy systems of the CIS countries have been synchronized. Besides, the CIS energy pool operates has a synchronous interconnection with the energy systems of Latvia, Lithuania, and Estonia.

* CIS Electric Power Council (CIS EPC) was established pursuant to the Agreement on coordination of interstate relations in the field of electric power industry of the Commonwealth of Independent States, which was signed by the heads of the Governments of the CIS countries on 14 February 1992.

The primary objective of CIS EPC is to coordinate the efforts to ensure stable and reliable energy supply to industries and households of the Member States as a result of enhanced efficiency of the interconnected electricity systems.

The CIS Electric Power Council consists of the CEOs of electricity companies representing the relevant Member States: Republic of Azerbaijan, Republic of Armenia, Republic of Belarus, Republic of Georgia, Republic of Kazakhstan, Republic of Moldova, Russian Federation, Republic of Tajikistan, Republic of Turkmenistan, Republic of Uzbekistan, and Ukraine. The Council President is Anatoly Chubais, Chairman of the Management Board of RAO "UES of Russia".





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