A decrease in the volume of capital investments in 2009 was caused by a recession of the regional electric power consumption.

The investment program of the company for 2009 was approved by the decision of IDGC of North-West Board of Directors in the amount of 2 billion 260 million 530 thousand rubles.

This amount is distributed as follows:  more than 60% of total amount of capital expenditure (RUR 1.4 billion) are planned to be assigned for reconstruction and re-equipment this year; almost RUR 752 million are planned to be spent on new construction.

A decrease in the volume of capital expenditure in 2009 is caused by a recession of the regional electric power consumption.

In conformity with the investment program 2009, it is planned to put in operation the following capacities: electric power lines - 325.83 km; substations - 281.8 MVA; thus a gain of the capacity put in operation will be 164.05 km and 208.22 MVA accordingly.

Reconstruction of "Voznesenie - Terentievskaya" OL 110 kV  (Arkhangelsk region) is among the largest projects of this year. The new site of the 110 kV line on ferro-concrete supports of 27 km in length will complete works on replacement of wooden sites of Arkhangelsk-Kotlas 110 kV transit and will raise reliability of power supply of four areas of the region.

Another planned action is reconstruction of OL 110 kV L-128 "Substation 94 Kiryavalakhti - Substation 92 Lyaskelya" in the Republic of Kareliya. During realization of the project, a reconstruction of the site of the line will be carried out to increase reliability of a transit between JSC Lenenergo and Karelenergo, a branch of IDGC of North-West, as well as an increase in reliability of electric power supplies of an aggregate processing plant will be performed.

In Vologda city, works on reconstruction of "Centralnaya" 110/10/6 kV substation are carried out. The increase in transformer capacity of the substation and construction of new DU-10 kV will remove the restriction for technological connection of new consumers which exists at the moment and will enable development of Vologda infrastructure and housing construction.

Within the limits of the investment program, works on reconstruction of "Pskov" substation No.53 will be continued. Realization of this project is carried out to maintain reliable electric power supplies of Pskov by replacement of outdated and depreciated equipment of ODU -110 kV.

The main sources of the investment program 2009 are own means, in a greater part depreciation charges, and payments for technological connection according to the concluded contracts.