The Board of Directors of IDGC of Centre reviewed and approved the draft of the investment program for <nobr>2013-2018</nobr>

March 12, 2013 a meeting of the Board of Directors was held, at which a draft of the investment program of IDGC of Centre for the period of 2013-2018 was reviewed and approved. Adjustment of the Company’s investment program for 2013-2018 was performed taking into account the following factors:

• results of implementing the investment program of the Company for 2012;
• updating the requirements in the amount of capital investment for grid connection agreements;
• specification of costs of facilities following the results of completed design and survey work;
• minimization of the amount of construction in progress.

According to the adjusted investment program the capital expenditures for 2013 will amount to 14.75 billion rubles without VAT. At the end of 2012 the volume of capital investments was 15.85 billion rubles, the volume of commissioned capacity: power lines — 8 345 km, transformer capacity — 1 545 MVA.

Total amount of capital investment of the long-term investment program for the period of 2013-2018 is 118.1 billion rubles without VAT, the amount of financing — 139.6 billion rubles (including VAT). As a result of implementation of the program in 2013-2018 it planned to commission 7852 MVA of capacity and 34 631 km of cables and conductors.

While developing the long-term program scenarios for development of the electricity grid for the period up to 2030, requirements of the industry technical policy, as well as data of the socio-economic development of regions, were considered. The Company’s management kept to the following principles in the development and formation of the long-term investment program of IDGC of Centre:

• Ensuring the reliability of electricity supply to consumers;
• Optimizing electric grid topology with the growth dynamics of loads;
• Increased energy efficiency of production, reduction of energy losses in the grid, decreasing costs of the Company;
• Bringing parameters of electric grid facilities in compliance with industry regulatory requirements, compliance with international standards of technical development through implementation of new technologies, innovations, improving the structure of production, current technological, operational and supervisory platforms.