IDGC and FGC IPS to be merged

IDGC Holding and the Federal Grid Company of Integrated Power System (FGC IPS) are supposed to merge into a single national network company, Igor Sechin, Acting Deputy Vice-premier says.

Business and corporate structure will be discussed, but at this stage in order to preserve the operation and energy security, the companies- (IDGC) jointly with FGS - will work within the current structures with access to a single national network company - he said.

I am not ready to discuss the time-frame, we must consider corporate procedures, corporate law first - he added.

FGS IPS, JSC was established in June 25, 2002, in accordance with a the electricity industry reforming program as a monopoly operator of the Integrated National Power System for saving and developing them. FGS transmission facilities located in 73 regions of Russia. The company operates 121,000 kilometers of transmission lines and about 800 substations with total transformer capacity of more than 305.5 thousand MW Class 35-1150 kV voltage.

JSC IDGC Holding unites inter-regional and regional Distribution Grid Companies (DGC/ IDGC), scientific research and design institutes, construction and marketing organization. 97 branches of DGC/ IDGC are located in 69 Russian Regions. The total length of transmission lines is more than 2.1 M kilometers.