07 June 2004 10:47
RUSSIAN GOVT. EYES POSSIBLE IRKUTSKENERGO PRIVATIZATION
MOSCOW. June 7 (Interfax) - The Russian government is considering the possible sale of state stock in power company
Irkutskenergo, having discussed the issue on June 2, Deputy Economic Development and Trade Minister Andrei Sharonov has
told Interfax.
Sharonov said he thinks the government has no need to rush to sell. "The Irkutskenergo situation is fairly
complicated. There is a dispatch section with a large number of high-tension transmission lines that should go under the
management of FSK [Federal Grid Company]," he said.
The protocol for the June 2 meeting, which was chaired by Deputy Prime Minister Alexander Zhukov, says the Economy
and Energy Ministries have been given the job of readying proposals concerning the expediency of selling the
state's stake in Irkutskenergo, have worked further on a number of questions. In particular, they are to study the
possibility of a dispatch service deal being clinched between Irkutskenergo and System Operator - Central UES Dispatch
Department, as well as creating a regional dispatch department as a structural subdivision of the system operator in the
Irkutsk region.
The two ministries are also to look at Federal Grid Company and Irkutskenergo doing an agreement that would lay out
the rules for using the power company's trunk network and the conditions for using hydropower plant dams owned by
the state.
Sharonov said those used by Irkutskenergo are not property that is part of the company's founding capital.
"They are using them virtually for free now," he said.
Moving the dams into the company's property complex during the state stake's sale could seriously alter
Irkutskenergo's capital, he said. "If the dams do not become part of the property, rental payments will have
to be reconsidered that could appreciably change the company's economics," he said.
"My personal position is that privatization is not necessary at this point, it being a sore point in connection
with [power companies'] reorganization," Sharonov said.
Irkutskenergo is Russia's third-largest electricity producer and one of a few power companies not part of
Unified Energy System of Russia (UES). The state owns 40% of the company's stock, SUAL and Russian Aluminum close
to 50% (over 10% and 30%, respectively).
[Interfax] |
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