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Preliminary production results of IDGC of Centre’s operations in 2017

22.02.2018

IDGC of Centre summed up preliminary results of production activities in 2017. The company fulfilled a number of key activities in the specified period with exceeding planned targets.

The volume of joint operation productive supply of electricity to the grid amounted to 51.719 billion kWh (including the volume of electricity transmission services in the "pick up" area of functions of the supplier of last resort in the Tver region from 01.12.2016), which is 1.115 billion kWh above the parameters of the business plan. Revenues from electricity transmission services amounted to 87.866 billion rubles and also exceeded planned targets (by 3.319 billion rubles).

Operational results of reducing losses in electric grids were also summed up. Over the past year, their level, as a whole, for the Company, was 9.86%, which is 0.35% lower than the figures set in the business plan. Savings amounted to 209 million kWh, or 505 million rubles. Compared to 2016, losses in distribution grids of 6(10)-0.4 kV decreased by 0.92% (204 million kWh). The achievement of this result was facilitated by the Program of measures for reduction of electric energy losses implemented by IDGC of Centre, which includes a set of organizational and technical measures.

The total effect from the implementation of the energy saving and energy efficiency program amounted to 37.79 million kWh (with a plan of 33.23 million kWh). A large amount of savings – 21.5 million kWh – was obtained from the implementation of organizational measures, including switching off of transformers in low load conditions in substations with two or more transformers, switching off transformers with seasonal loads, and equalizing phase loads in distribution grids of 0.38 kV. Thanks to technical measures for replacement of wires for a larger cross-section on overloaded power lines and replacement of wire of overhead lines in residential buildings with self-supporting insulated wire, 13.9 million kWh were saved. In addition, the company reduced electric power consumption for household needs by 1.1 million kWh, including by replacing incandescent lamps with energy-saving LEDs.

Thanks to the implementation of a set of measures to recover debts, the company managed to reduce the total amount of receivables by 2.0 billion rubles. The debt of electricity suppliers of last resort was reduced by 1.2 billion rubles, and of energy sales companies – by 174 million rubles. The debt of territorial grid companies was decreased by 63 million rubles, and receivables from customers with "direct" contracts – by 516 million rubles. As of 1 January 2018, the total amount of receivables from counterparties to IDGC of Centre for electricity transmission services amounted to 20.3 billion rubles, including 14.1 billion rubles – overdue debts, including 12.5 billion rubles – overdue indebtedness of the suppliers of last resort.

Results of work on connection of customers to electric grids for 2017 were also summed up. During the reporting period, the company fulfilled 42.3 thousand grid connection contracts, the total connected capacity under the executed contracts was 865.8 MW. The annual plan for the receipt of funds for the provision of grid connection services was exceeded: 1.591 billion rubles were received with a plan of 1.271 billion rubles. This result was achieved due to the implementation by IDGC of Centre of system changes into the procedure for developing and issuing offers on grid connection contracts, which, in particular, allow choosing the optimal scheme for connecting power installations of applicants and assuming verification of cost calculations and correctness of contractual arrangements.

As part of the implementation of the investment program in 2017, the company commissioned 544 MVA of capacity, which exceeds the planned figure by 64 MVA, and 3,845 km of power lines, exceeding the plan by 374 km. The volume of financing of the program amounted to 14.2 billion rubles (including VAT) – 103% of the planned volume. More than 8 billion rubles were spent on technical re-equipment and reconstruction, 5.8 billion rubles – on construction of new and expansion of existing facilities.

As part of the implementation of the repair program, the company’s power engineers carried out a comprehensive repair of 162 substations of 35-110 kV. They repaired 4,494 transformer substations of 0.4/6-10 kV and 16.2 thousand km of 0.4-110 kV overhead and cable power lines, which is 112% and 103% of the plan with the cumulative total, respectively. They cleared a total of 11.7 thousand hectares of ROWs of overhead lines (103% of the planned figures, a cumulative total). A total of 2.1 billion rubles were allocated for the implementation of the repair program.

The implementation of the production programs of IDGC of Centre made it possible to ensure the quality and reliability of electricity supply to customers in 11 subjects of the Central Federal District, and to a large extent contributed to the smooth and stable operation of the company’s electric grid facilities in these regions throughout the year.

Other IR news can be found at: https://www.mrsk-1.ru/en/investors/presentations/ir_news/

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