OREANDA-NEWS. May 31, 2007.  OJSC Novosibirskenergo presented its annual report to the authorities. The report focused on the 2006 performance results of the power supply company. The participants of the event included Victor Tolokonsky, Governor of the Novosibirsk region, Valentin Shatalov, Head of the Tariff Department of the Novosibirsk Region Administration, Sergey Semka, Head of the Industry and Construction Department of the Novosibirsk Region Administration, Victor Voronov, First Deputy Mayor of Novosibirsk, Vladimir Kalinin, Deputy Head of Energy, Housing and Utilities Department of the City Council, as well as top managers of the Novosibirskenergo Group of Companies.

In the report on the Company’s performance results, Andrey Lymarev, Technical Director of OAO Novosibirskenergo, noted that in 2006 the power supply company attained the lowest ever level of specific reference fuel consumption for power supply (292.9 g/kWh) and heat supply (140.8 kg/Gcal). These are the best indices registered in the history of the Novosibirsk power supply system. During 5 years, the said indices have reduced by over 10%, and at the moment they are Russia’s lowest for this type of equipment.

Oksana Rozhenkova, Chief Accountant of OAO Novosibirskenergo, summarized the Company’s financial results: in 2006 the power supply company realized the profit of 329 mln. rubles, which is 48 mln. rubles greater than that of the last year.

While presenting the results of Novosibirskenergo investment activities, Victor Dobrelya, Construction Director, reported that in 2006 the total amount of investments exceeded 1,734 mln. rubles. The power engineers completed reconstruction of the hydroelectric generating set No. 5 at the hydroelectric power station, as well as of the heating main in Promyshlennaya Street, and of the turbine No. 6 at TPP-4, and installed a new transformer at the Barabinsk TPP, etc. In 2007, the value of the investment programme will amount to nearly 3,500 mln. rubles. These funds will be allocated for further development and renovation of the power supply system. The investment priorities include construction of the Frunzenskaya substation and the interim booster station-10, and reconstruction of the Bibliotechnaya and Olovozavodskaya substations. Another investment object of 2007, the Teplovaya-2 substation, was commissioned on May 14.

Director General of OAO Sibirenergo Denis Vershinin noted that during 5 years the number of applications for connection to electrical and heat networks has grown 2.4-fold—from 3,500 in 2001 to 8,000 in 2006. Last year, the permits issued covered 270 MW of electric capacity and 390 Gcal of heat (for reference, the permits issued in 2005 provided for 163 MW and 215 Gcal). As compared to the respective indices of 2005, net electric power supplied to the consumers increased by 4.6% and amounted to 10,676,844 thous. kWh, whereas net heat supply increased by 15% to reach 13,142,001 Gcal.

Governor Victor Tolokonsky expressed his gratitude to the power engineers for fruitful cooperation and openness, and once again stated that development of power engineering in many ways determines the overall investment attractiveness of the Novosibirsk region, and, therefore, increasing generating capacities should become one of the most important lines of the power supply company development. “Generation increase opens up new opportunities for the region’s future development, and affects not a few of its indices,” noted Mr. Tolokonsky. According to the Governor, the power engineers should before long adjust the Company’s development plans so as to provide heat and electricity supply to all the prospective construction sites of the city and the region.

As Korney Gibert, Chairman of the Board of Directors of the power supply company, noted, Novosibirskenergo is searching for and considering most optimum alternatives for construction of another thermal power plant. At the moment, the most viable solution would be erection of TPP-6 in Novosibirsk, or construction of a new plant in Linyevo.

First Deputy Mayor Victor Voronov also highly appreciated purposeful and methodical effort of the power supply company, and wished further success and development to its personnel.

In the end, Alexander Pelipasov, Director General of OAO Novosibirskenergo, thanked the Governor, the Region Administration, and the City Council for their effective collaboration in 2006.