FAS discussed the prospects of developing Buryatia electric power sector with the local business community

FAS Board’s decision to reduce by quarter the costs of low-voltage electric power for companies in Buryatia, particularly, for small business, became a milestone event in the local electric power sector.

According to Deputy Head of FAS Anatoly Golomolzin, “the decision is a result of systematic efforts to execute the task orders of the President and the Government of the Russian Federation, in cooperation between FAS and Buryatia authorities”. On 7 August 2017 Anatoly Golomolzin and Acting Head of the Republic of Buryatia Alexei Tsydenov had a meeting in Ulan-Ude with representatives of business and NGOs to discuss Buryatia electric power sector.

Participants highlighted a number of controversial issues concerning interaction between market players – grid and sales companies, the provider of last resort and end consumers.

As a system-wide approach to solving the problems, Anatoly Golomolzin proposed to implement the Regional Competition Development Standard, in conjunction with a set of measures designed to enhance efficiency of the electric power sector in Buryatia as well as some other areas of economic activity that are of strategic importance for sustainable regional development and high social significance.

The meeting outcome was reaching a decision to form a Working Group in the republic comprising representatives of the Government of Buryatia, FAS, Buryatia OFAS, regulated organizations and consumers. The Working Group will focus on developing market relations in the field of the electric power industry, solving the issue of non-payments, and improving tariff regulation efficiency.

“The task of the Federal Antimonopoly Service is to ensure the balance of interests between the companies in the electric power industry and consumers”, pointed out Anatoly Golomolzin. “Interaction between market participants and regulators, giving consumers an opportunity to be involved in decision-making, availability of information in the electric power industry will ultimately improve the industry and increase Buryatia competitiveness in general”.