Gazprom’s Regional Policy Commission has convened on a session chaired by Alexander Ryazanov, Commission’s Head and Deputy Chairman of Gazprom’s Management Committee.

The participants heard a report on the implementation of the Gazprom Program on gas infrastructure development and gas supply throughout the Russian Federation over 2005, underscoring that over RUR 7 bln had been committed for laying more than 2,200 km of gas distribution pipelines.

The session also addressed the issue of settling Russian consumers’ gas debt to Gazprom. Special attention was paid to the need of enhancing the gas payment discipline in the Saratov and Ulyanovsk regions, which have the biggest natural gas debt in the Volga Federal District.

The Commission approved measures aimed at clearing existing gas arrears by said regions. The measures primarily include establishing integrated gas distribution companies, developing and introducing scientifically substantiated gas consumption standards, and handing over to Gazprom a range of gas supply facilities built by the regional authorities as gas debt settlement.

Reference:

Gazprom’s programs on gas infrastructure development and gas supply throughout the Russian Federation are developed annually through the use of modern methodologies, with construction targets and priorities identified based on economic viability, return on investment and social significance of consumers.

Gazprom’s Program on gas supply to the RF constituents for 2005 to 2007 stipulates constructing over 12,000 km of new gas distribution pipelines and boosting existing capacities, with RUR 35 bln to be channeled for said purposes.

As of 1 January 2006, the Saratov Region’s debt to Gazprom for the natural gas supplied exceeded RUR 2 bln including RUR 1.1 bln owed by the residential sector. Over 2005 gas deliveries to the Saratov Region were paid up at 92.5 per cent.

As of 1 January 2006, the Ulyanovsk Region’s gas debt accounted for RUR 450 mln, with gas deliveries during 2005 paid up at 94.8 per cent.

Over 2005 gas payments by Russian regions averaged 98.4 per cent.