04 June 2004 19:21
Russia`s energy grid chief says small shareholders resist company liberalization
Moscow, 4 June: The liberalization of the Unified Energy System of Russia company [UES] is being resisted by minority
shareholders, company head Anatoliy Chubays said today during the final session of the "Corporate Governance and
Economic Growth in Russia" conference.
"I still insist that UES should be liberalized - broken up into seven wholesale generating companies which would
be auctioned off," he said. He complained that "small shareholders are doing all they can to hinder this
process". "It's much more profitable for them to hold a part of a huge monopoly than to own and actually
play a role in governing companies that are competing on the market," he added.
The fact that UES's shareholders include some of its own customers is a major problem, Chubays also said.
"For example, Russian Aluminium holds a minority stake and is one of the top consumers of UES's output,"
he explained. "Naturally, its interests by no means always coincide with those of an electricity
monopoly."
[ITAR-TASS news agency] |
RUSSIA IN FACTS
