Tyumenenergo

Parameters of investment activities

Key figures of implementation of corrected JSC Tyumenenergo” s investment program for 2014, approved by the Russian Ministry of Energy“s Order No.669 of Sept. 30, 2014 are presented below:

Stream and Structure of investment financing

In 2014, JSC Tyumenenergo invested into fixed capital in the form of investments including expenditures for new construction, revamping and re-equipment of the acting facilities, purchases of equipment and other fixed expenditures.

Construction of new facilities of power supply network and fixed assets” renovation are directed at sustainable development of the three Russian territories: YanAO, KhMAO and Tyumen Oblast that are included in the Company“s territory.

In the table presented are the major directions of JSC Tyumenenergo investment activities for 2014:

All revamping and re-equipment work planned for 2014 and were fulfilled in full scope.

Implementation of 2014 Investment Program allows passing 2014–2015 winter peaks without failures.

The most important facilities of 2014 investment program, commissioned in 2014:

• Construction of distribution network of 0.4–10kV power grid for benefit consumers. The result of the construction of distribution network of 0.4–10kV power grid for benefit consumers for Tyumensky, Tobolsky, Ishimsky and Southern territorial industrial units commissioned are 99.720 km and 11.924 MVA.
• Revamping of Kintus Substation. New fixed assets commissioned — 305.99 mln RUB because of the project realization, power supply reliability has been increased for JSC Sibnefteprovod (Nefteyugansk Trunk Pipeline Directorate), a first category consumer. As a result, reliability of power supply of consumers in maintenance diagrams is increased, and JSC Tyumenenergo” s new image is being formed as a reliable business partner for electric power consumers, thus facilitating carrying on and developing business in the region.
• Vostochno-Surgutskaya 110 kV Substation Revamping of 35 kV open switchgear, KRUN-6 Package outdoor switchgear new fixed assets commissioned — 93.17 mln RUB The substation is situated on the territory of Nefteyugansk Region and is designed for power supply of oil-production facilities of OOO RN-Yuganskneftegaz, a first category consumer. Re-equipment was caused by obsolescence and physical deterioration of the equipment.
• Revamping of the Granichnaya 110 kV Substation. New fixed assets commissioned — 116.31 mln RUB. New capacity — 80 MVA.
• Revamp of Yendyrskaya 110/35/6kV Substation. New fixed assets commissioned — 75.58 mln RUB Realization of the investment project for connection generation from GTPP-48 of OOO Lukoil-Western Siberia will allow ensuring stable work of the station and power systems in standard and emergency modes of operation for the 110 kV network.
• Elegaz 110 kV 110kV Substation Revamp is in the volume necessary for parallel operation with the power system of gas turbine electric power plant in the area of DNS-3 Station of Eastern-Surgut Deposit. New fixed assets commissioned are 130.32 mln RUB. Revamp of the substation was done due to connection of 35 kV to the gas turbine electric power plant through 6/35 kV substation via two lines. The result is an increase in reliability of power supply of consumers in Surgutsky Region.
• Re-equipment of Relay Protection and Automatic Equipment at Vachinskaya Substation for work with the gas turbine electric power plant. New fixed assets commissioned are 84.77 mln RUB. The result is a 35kV network connection of 6/35kV (3*16MVA) step-up substation in the area of DNS-2 Station of the Vachinsky Oil Deposit and 36MW-capacity gas-turbine station of the Vachinsky Oil Deposit.
• Revamp of distribution network of 0.4–10 kV power grid for benefit consumers Activities in re-equipment of distribution networks of the 0.4–10 kV power grid resulted for benefit consumers of Tyumen, Tobolsk, Ishim and Southern territorial industrial units commissioned were 35.14 km and 7.36 MVA.
• Revamping of Metelyovo 110 kV Substation New fixed assets commissioned — 24.19 mln RUB. New capacity — 10 MVA.
• Revamping of the 10 kV Overhead Line in Kugaevo, Tobolsky Region, and Tyumen Oblast.
• New fixed assets commissioned are 80.67 mln RUB, 53.64 km. of wire was replaced, power balance increase — 3.044 km. The result of this project is considerable increase in reliability of power supply to consumers.

Graphic structure of capital investment financing of JSC Tyumenenergo in 2014 can be seen on the diagram:

Volume of capital investment financing in 2014 was 9,418.57 mln RUB (including 53.5% of the total amount for new construction, 46.5% — to revamping and re-equipment).

In 2014 JSC Tyumenenergo did not implemented any federal programs.

Results of implementation of investment program in 2014

Effect from lowering investment expenditures for 30% compared to level 2012 as per the Investment Program of 2014 was 638, 195 thousand RUB (without VAT).

Quantity of realised utility hook-up contracts and the volume of realised hook-up contracts (units) including benefit applicantsin 2014 made up 4576 contracts

The total connected capacity was 1,409 GW, including benefit applicants:

• Up to 15 kW: 4183 contracts were realised with total capacity — 0.049796 GW;
• From 15 kW up to 150 kW: 223 contracts were realised with total capacity — 0.013009 GW.

Level of Electric Power Losses

Dynamics of power losses in absolute and relative amount in 2010-2014:

JSC Tyumenenergo is implementing the developed Program of Energy Saving and Power Efficiency Increase (further — Program). As a result of implementation of Program activities, in JSC Tyumenenergo” s grid in 2014 the decrease of electric power losses was 52.1 mln kilowatt-hour for the total sum 108.7 mln RUB, including:

• as a result of administrative procedures losses decreased by 15.7 m. kilowatt-hour for the total sum 36.2 mln RUB;
• as a result of programs of prospective development of metering systems for retail power energy of JSC Tyumenenergo — losses decreased by 9.6 mln kilowatt-hour for the total sum 25.6 mln RUB;
• because of revamping and re-equipment programs — losses decreased by 26.8 mln kilowatt-hour for the total sum 44.6 mln RUB

Deterioration level of fixed assets

Deterioration level of fixed assets in 2013 was 57.87% after the investment program realization the deterioration became 59.51% in 2014. While assessing the results of 2013 and 2014 the Company performed revaluation of fixed assets, and the value of fixed assets was reduced totally for 7.5 bln. RUB, that influenced on depreciation increase for fixed assets.

Emergency rate

In 2014, the total number of process problems decreased when compared with 2013, up to 68 (945 problems in 2013 versus 877 in 2014). In 2014 emergency rate decreased by 8.89% in comparison with 2013.

Long-term Investment Program

Company“s Investment Program for 2015–2019 was approved by Russian Ministry of Energy‘s Order No. 820 of Nov. 5, 2014.

Investment Program for 2015–2019 was formed in accordance with Scenario Requirements for business plans formation for subsidiaries and affiliates of JSC Rosseti for 2015–2019. While developing the Investment Program for 2015–2019 maintained was the priority — reduction in equipment ageing. Creation of availability of hook-up of consumers” new capacities and increase of reliability and quality of power supply of current consumers remain as priorities.

The planned value of financing of investment program of JSC Tyumenenergo for 2015–2019 is 49, 660.17 mln RUB, with VAT.

For 2015–2019, the total volume of fixed investments of JSC Tyumenenergo is planned in the volume of 43, 561.08 mln RUB.

For 2015–2019, the total volume of fixed assets commissioning is planned in the volume of 46, 542.78 mln RUB.

For 2015–2019 the total volume of transformer capacities is planned in the volume of 1662.44 MVA, for 2015–2019 commissioning of power lines is planned in the volume of 1344.532 km.