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May 14, 2014

World Bank assessed connection to grids when preparing its Doing Business 2015

The World Bank’s officers visited the customer service center of OJSC MOESK, a subsidiary of JSC Russian Grids, and assessed steps taken from July 2013 up to now to implement the Agency for Strategic Initiatives’ road map “Improving Access to Energy Infrastructure”.
Early in 2014, the pilot project “3 steps in 2 visits” was launched in the Moscow Region; business processes, contractor selection and contracting procedures were streamlined, and the time needed for the scope of work to be included in the investment programme was shortened. Such steps accelerated connection to grids for applicants with maximum power of up to 150 kW from 162 to 90 days. In particular, 10 days instead of 15 are now needed to file an application to a grid company, and the time to obtain a contract and specifications, and execute a contract also shortened. Moreover, the cost of the procedure decreased considerably from RUB 1,128,557 to RUB 281,669. Now, an application can be filed electronically without coming to the customer office. 5% of applicants have benefited from this e-service since June 15, 2013.

Construction operations, including the development of an external power supply project and issue of a construction permit, accelerated considerably and now take 76 days instead of 100. Time to inspect energy receiving devices and meters, start power supply and issue an electric installation inspection certificate now takes not 14 days, but 1 day only. Sometime, such duration is too short even for businesses: more than in 40% of cases customers fail to commission their facility by the time when the grid company starts working.

Execution of a power supply contract with a selling company also takes much less time now – 3 days instead of 21. Applicants now can find out what documents are needed in their “private room” on MOESK website.

The World Bank’s officers also had a closed meeting with customers connected to grids from July 2013 to May 2014, i.e. during the period covered by the Doing Business ranking.

For reference
The steps taken by JSC Russian Grids in 2013 to simplify connection procedures lifted Russia from 184th to 117th place in the Doing Business ranking. The company expects that it will shorten the connection period to 40 days and will be among the top 20 in the ranking by 2018.
In 2014, Russian Grids launched a single website for customers at ïîðòàë-òï.ðô. It will serve as a common information center on the matters related to connection to grids. The website can be used to have one’s company connected to grids in any region of the country.




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