Investment Program

 

The Investment Program of the Company for 2006 – 2010 with a prospect until 2015 was approved by TGC-1 shareholders as part of implementation of the Company Strategy for the period until 2015 and includes a number of large-scale projects of new construction, ку-equipment and reconstruction of power generating facilities in all the regions of JSC "TGC-1" operation.

 

The Company plans to spend about 150 billion rubles on implementation of its investment program, which will be raised from both own and borrowed funds. Moreover, in 2007 JSC "TGC-1" issued additional shares to fund the top priority projects.

 

By 2015 the Company’s newly commissioned electric capacity (not including Joint Implementation projects) will make 4 882 MW, with the increase by  3 606 MW; the heat capacity will make 4 680 GCal/h, with the increase by 2 040 GCal/h.

        

The Investment Programme of TGC-1 also includes a large-scale renovation of the heating grids in Saint-Petersburg. In 2007 the Heating Grid enterprise has renovated about 50 km of heat pipelines, which is a considerable increase as compared to the total length of heat pipelines renovated over 2005 (14.8 km) and 2006 (32.4 km). TGC-1 invested a total of more than 3,682 million rubles into the repair works, renovation, and new construction of heating grids and heating system facilities in Saint-Petersburg in 2007.

The target values of the Investment Program are as follows:

 

• covering the existing and probable heat and power demand of the region;
• timely upgrading of the retiring power and heat capacities of the Company;
• providing for the reliability of the power generation and supply processes at the Company’s facilities;
• raising the operation efficiency of the Company’s generating capacities;
• increasing the demand-backed export potential.

 

 Top priority projects of the Investment Program

	Year of commissioning	Electric capacity to be commissioned	Electric capacity increase	Heat capacity to be commissioned	Heat capacity increase
Vasileostrovskaya chpp-7	2008 - 2009	50	50	100	100
Central CHPP	2009 – 2010	280	206.5	635	147
Yuzhnaya CHPP-22	2009	450	450	350	350
Pravoberezhnaya CHPP-5 (second power unit)	2010	450	386	680	48
Pervomayskaya CHPP-14	2009-2010	360	130	270
Severnaya CHPP-21	2011	450	450	350	350
Vuoksinskiye HEPPs Cascade	2008- 2012	240	76,3	-	-