OREANDA-NEWS. June 30, 2010. JSC FGC UES has finished the review of the Company’s Investment Program implementation in the first five months of the current year. The 2010-2012 Investment Program is being implemented strictly according to the volumes of works and the timetable set for it. In accordance with the schedule, 10 grid facilities have been commissioned in the period between January to May.

The total amount of investment in 2010 totals around RUR 171 bln, which includes RUR 140 bln for the new construction and refurbishment projects. RUR 45 bln were budgeted for these projects in the first 5 months of 2010.

The Procurement Program for selecting general contractors for projects managed by FGC UES has been completed in full during this period. All the tendering procedures were carried out in accordance with the criteria and procedures set in the purchasing documents and were deemed competitive. Overall, because of competition between contractors, FGC UES was able to lower its expenses for financing its Investment Program and main activities by RUR 11 bln in comparison with the original contract cost.

The 2010-2012 FGC UES Investment Program includes new construction, refurbishment and refurbishment of more than 1100 energy units. Construction and installation works are already being carried out on more than 50% of energy facilities. These include facilities required to discharge the generating capacity of nuclear, hydro and thermal power plants, assets providing energy supply to the consumers included in the “Economic and Social Development of the Russian Far East and Transbaikal until 2013” Federal Targeted (Special-Purposed) Program, the electrical grid facilities included in the Sochi Region Development Program, infrastructure assets, etc.

In order to fully and timely implement the Investment Program in 2011 and 2012, FGC UES is actively preparing for construction and refurbishment of energy facilities. In total, the Company must begin construction and refurbishment works on 172 energy units. Currently project specs have been approved for 152 units (89%). Competitive purchasing procedures for initial designing works have been completed on 103 units (61%). Having project cost estimates will allow contractors to begin construction in time and to complete the planned works according to the set schedule.