05 April 2004 09:45
EXPERTS FOR ONE GENERATING COMPANY IN MOSENERGO REFORMATION
"Splitting Mosenergo into two generating companies during the
course of its reformation will not create real competition on the
MOSCOW. April 5 (Interfax) - Breaking Mosenergo into two generating companies will not help energy competition in the
Moscow region, independent experts surveyed by Interfax think.
capital and regional market, since two companies will quickly agree on joint pricing policy," president at the
Energy Policy Institute Vladimir Milov thinks.
"It's necessary to increase external electrical power flows from the Moscow [region] and other regions of
the country," he said. "Today only 10% of the electricity produced in Moscow goes to neighboring
regions."
"Shareholders that want to convert their Mosenergo stock into stock in the generating companies created are
talking about the need to split Mosenergo into two generating companies with the aim of creating competition," he
said. "I take a dim view" of this, he said.
Zenit Bank analyst Sergei Suverov holds a nearly identical view. "The plan for reforming Mosenergo contains a
provision on forming only one generating company at the capital's power company, this option needs to be left, and
the generating company will compete with wholesale generating companies and Rosenergoatom companies."
Mosenergo's grid needs to be developed, he added.
A spokesman for Unified Energy System of Russia (UES) told Interfax earlier that a governmental commission approved
in mid-January a plan for reorganizing Mosenergo by setting up a Moscow generating company, but ordered further study of
its market position relative to anti- monopoly principles.
The UES board of directors is most likely to vote not to split up Mosenergo. "The company is one," he said,
likening the system to Siamese twins sharing a single kidney and pointing out that one facility pumps heat while another
does not.
As reported earlier, Mosenergo will be divided by are of business during reorganization. Its four biggest power
plants will be transferred to wholesale generating companies and the 17 heat and power plants will remain part of
Mosenergo. The Moscow generating company would be the biggest in Russia. The UES board has approved the plan.
[Interfax] |
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