Annual Report 2013

Strategic Goals

The key parameters of IDGC of Centre strategic development as a part of the Russian power distribution grid complex are laid down in the Energy Strategy-2030 approved by the Government of the Russian Federation in 2009, and in the PGC Strategy for the period until 2030, which was approved in April 2013 and covers the core activity of the power grid complex – i.e. transmission and distribution of electric power and the aspects of related activities, which are directly connected with such transmission and distribution (electrical energy generation and sale) in Russia.

The Company’s strategic priorities are based on the mission statement and take into account the features of internal and external environment, and we are able to achieve the goals set by making proper use of the Company’s opportunities and strengths.

Opportunities (external environment) Strengths (internal environment)
  • Increase of the timeframe and reduction of the cost of borrowing funds for the Company by engaging long-term borrowed reserves.
  • A unified policy with regard to the tariff setting.
  • State policy aimed at increasing economic efficiency (as far as energy conservation and energy efficiency are concerned).
  • An opportunity of expanding the market of (certain) additional electrical grid services, energy conservation services and billing services.
  • Upgrade of technologies and production equipment on the market.
  • Entering bond loans market.
  • Approval of the Development Strategy of the Russian Electrical Grid Complex
  • Company’s monopoly (dominant position) in the regions where the Company operates.
  • Company branches are the “joint operation keepers” in the regions.
  • Extensive experience in the area of the electrical grid complex regarding the automation of the Company’s core business processes.
  • Strong financial stability of the Company.
  • A high credit rating and positive credit history.
  • A centralized system of planning and managing of the Company’s cash flow.
  • Centralization of primary procurement for the needs of the Company.
  • A developed system of customer service centers.
  • A high rating of corporate governance.
  • Qualified technical engineering professionals
  • A new improved KPI system for evaluating the performance of the Company’s management.