OREANDA-NEWS. December 31, 2009. KEGOC JSC participated in the meeting called “Goszakaz 2010” and aimed to increase local content in procurements of national companies-members of NWF “Samruk-Kazyna” JSC.

The actual volume of KEGOC’s procurement in 2009 exceeded 21 bln. tenge. Herewith the local content summed up to more than 3.5 bln. tenge or 65%. Domestic manufacturers and companies have supplied electric power (5.8 bln. tenge or 63%), equipment and materials (263 mln. tenge or 16 %), oil and lubricants (76%). Local content in execution of construction and erection works reached 68% (4.7 bln. tenge); in services delivery – 91% (2.5 bln. tenge). As part of business trips KEGOC signed 31 MOUs, which became the basis for 93 agreements to the total amount of 8.5 bln. tenge.

This year KEGOC signed 322 contracts with companies from Almaty to the total amount of more than 3.3 bln. tenge, 1.6 bln. tenge (49%) of which belong to local content. Middle and small business companies rendered services, works, and goods supply to the total amount of 2.4 bln. tenge, which is 76% of the overall volume:

• goods 1.051 bln. tenge;

• works 1.8 bln. tenge;

• services 430 mln. tenge.

KEGOC promotes maximum involvement of domestic manufacturers while implementation of large investment projects. For example, since 2006 within the frameworks of construction of lines of the second North-South transit about a dozen of new companies have been established creating one thousand new jobs. Those companies domesticated the production of new equipment oriented to fulfill the needs of the electric power industry.

KEGOC’s procurement volume in 2010 is planned to make 24 bln. tenge. According to the conducted analysis the potential volume of KEGOC’s procurement from domestic manufacturers and service providers shall make over 15 bln. tenge. For instance, local content for equipment and materials might reach 21% due to orders placement amongst local companies (traditional KEGOC’s vendors) to the total amount of 380 mln. tenge:

• OHTL towers and reinforced concrete products (Temirbeton LLP, ASPMK-519 LLP);

• Cables and conductors, equipment, transformers, storage batteries (Kazenergokabel JSC, KEMONT LLP, Ust-Kamenogorsk Capacitor Plant JSC, Kentau Transformer Plant JSC, Kaztsentrelectroprovod LLP, Tamyr LLP);

• Painting materials and rubber products (Sagan Colour LLP, IEC Group LLP);

• Apparel (Semspetssnab LLP, Handicapped Public Associations);

• Storage batteries (SP ERKA LLP);

• Firefighting equipment and instruments;

• Construction materials and furniture.

The main imported products, procured by KEGOC, include the goods which are not manufactured in Kazakhstan. This refers to: high voltage electric equipment with operation voltage 35-500 kV; spare parts; line hardware; OHTL insulators, and telecommunication equipment.