Moscow. 9 November 2006. RAO UES Management Board took a decision that at least 60% of the energy companies' competitive procurement will be effected through e-commerce systems with effect from Q1 2007.

The reason for such decision was the success in use of the information and trading system, B2B-Energo, in procurement by RAO UES entities. This e-trading system has become an effective instrument used to shape and service the market of supplies for the electricity industry, based on the principles of non-discriminatory access and equal competitive opportunities for all its participants.

Over the past year, the overall trading volume in B2B-energo has risen twofold to over RUB50 billion. Since its launch, over 5,700 tenders and auctions have been announced on the e-trading floor, with more than 16,420 bids and offers submitted through the system. Currently, 350 public tenders and auctions are held in B2B-energo in an online mode. The e-trading system has 6,400 participants from 30 countries. Among them are enterprises of RAO UES Holding, manufacturers of power equipment, energy equipment installation and R&M companies, construction and installation entities, research and development institutions of the electric power sector, and foreign integrators which facilitate entry of international energy companies into the Russian market.

Trading in B2B-energo has helped increase the share of public tenders in RAO UES Holding to 77% in 2005 from 44% in 2004. Price of the products procured through e-auctions is reduced by an average of 8%.

B2B-energo supports electronic processing of any kinds of procurement provided by the RAO UES Procurement Standards. B2B-energo is fully equipped for effecting procurement and concluding contacts within the Holding Company's five-year Investment Programme.