OAO RAO UES (OAO Unified Energy System of Russia; or ) was an

electric power Electric power is the rate of transfer of electrical energy within a electric circuit, circuit. Its SI unit is the watt, the general unit of power (physics), power, defined as one joule per second. Standard prefixes apply to watts as with oth ...

holding company A holding company is a company whose primary business is holding a controlling interest in the Security (finance), securities of other companies. A holding company usually does not produce goods or services itself. Its purpose is to own Share ...

Russia Russia, or the Russian Federation, is a country spanning Eastern Europe and North Asia. It is the list of countries and dependencies by area, largest country in the world, and extends across Time in Russia, eleven time zones, sharing Borders ...

. It controlled about 70% of Russia's installed electric capacity, 96% of its high-voltage grid and over 70% of its transmission lines. In addition to the Russian market, RAO UES exported electricity to

Scandinavia Scandinavia is a subregion#Europe, subregion of northern Europe, with strong historical, cultural, and linguistic ties between its constituent peoples. ''Scandinavia'' most commonly refers to Denmark, Norway, and Sweden. It can sometimes also ...

and to other members of the CIS. The last head of RAO UES was

Anatoly Chubais Anatoly Borisovich Chubais (; born 16 June 1955) is a Russian- Israeli politician and economist who was responsible for privatization in Russia as an influential member of Boris Yeltsin's administration in the early 1990s. During this period, ...

History

Unified Energy System of Russia was established by Presidential Decree #932, signed on August 15, 1992, as an electric energy holding company. Most of the state-owned electric energy assets, such as thermal and hydroelectric power plants, transmission lines, state-owned shares in power, research & engineering, and construction companies were transferred to RAO UES, with the exception of any assets related to nuclear energy. In total, RAO UES owned more than 70 of the energy companies and more than 40 of the

power plants A power station, also referred to as a power plant and sometimes generating station or generating plant, is an industrial facility for the generation of electric power. Power stations are generally connected to an electrical grid. Many power ...

with federal-level importance. It also owned the

transmission system operator File:Electricity grid simple- North America.svg, 380px, Simplified diagram of AC electricity grid from generation stations to consumers in North America rect 2 243 235 438 Power station rect 276 317 412 556 Transformer rect 412 121 781 400 Elect ...

, Federal Grid Company, (or, RAO FGC, the current successor of RAO UES and the operator of Russia's wide area transmission network) and the system operator of the Centralized Dispatching Administration (OAO SO-CDA). The first head of the company was Anatoly Dyakov, who held the positions of president and chairman of the director's council.РАО ЕЭС России. Некоторые сведения
On May 30, 1997, shareholders abolished the position of president and appointed a chairman of the board, Boris Brevnov, who was a personal friend of First Deputy Prime Minister of the Russian Federation,

Boris Nemtsov Boris Yefimovich Nemtsov; (9 October 195927 February 2015) was a Russian physicist, liberalism in Russia, liberal politician, and outspoken critic of Vladimir Putin. Early in his political career, he was involved in the introduction of reform ...

. On January 27, 1998, the director's council, headed by Anatoly Dyakov, removed Brevnov from his position. However, Brevnov did not recognize this action and removed Dyakov from his position instead. Eventually, former chief of the

Russian presidential administration The Presidential Executive Office, Russia ( PEO, Russia) or the Presidential Administration of the Russian Federation (; АП РФ, ''AP RF''), or PARF, is the executive office of the president of Russia created by a decree of Boris Yeltsin on ...

, was appointed chairman of the board; and the chief of the Russian presidential administration,

Alexander Voloshin Alexander Stalyevich Voloshin (; born 3 March 1956) is a Russian politician who briefly was chairman of the board of directors of RAO UES, the former Russian state power utility, which was liquidated as part of the country's comprehensive powe ...

, was appointed chairman of the director's council (25 June 1999). In the mid-2000s, RAO UES suffered several failures in trying to keep up with demand. These were due to the decade-long practice of

disinvestment Disinvestment refers to the use of a concerted economic boycott to pressure a government, industry, or company towards a change in policy, or in the case of governments, even regime change. The term was first used in the 1980s, most commonly in ...

. The most significant failures were the 2005 Moscow power blackouts.

Reorganization

The reorganization of RAO UES started in 2006. The first stage of the reorganization was completed on September 3, 2007, during which subsidiary generating companies, WGC-5 and TGC-5, were individually spun off from the parent RAO UES. During a second stage of reorganization, all remaining subsidiaries of RAO UES were spun off (by July 1, 2008). This reorganization was seen as a massive

privatization Privatization (rendered privatisation in British English) can mean several different things, most commonly referring to moving something from the public sector into the private sector. It is also sometimes used as a synonym for deregulation w ...

of the power industry, with the goal of attaining about US$79 billion in investments. Altogether, six wholesale generation companies (WGC), 14 territorial generation companies (TGC),

RusHydro RusHydro (previous name: Hydro-OGK, ) is a Russian hydroelectricity company. As of early 2012 it had a capacity of 34.9 gigawatts. In late 2009, it was the world's second-largest hydroelectric power producer and is the country's largest p ...

FGC UES SOE FGC UES () is a state-owned energy company based in Moscow, Russia. It is Russia's largest supplier of electrical power. The company is listet on Moscow and London stock exchanges with 80.13% of shares owned by Rosseti. History In 2001, t ...

(Federal Grid Company), SO-CDA (System Operator), IDC Holding, RAO ES of the East, and

Inter RAO UES Joint Stock Company Inter RAO UES (, short form: Inter RAO), traded as, is a diversified energy holding company headquartered in Moscow, Russia. Its business includes power and heat generation, electricity supply, international energy trading, e ...

continue to operate as independent entities. The remaining RAO UES ceased to exist after its merger into UES FGC, a Federal Grid Company.

Shareholders

The Russian Federation owned directly, or indirectly, over 50% of the shares in RAO UES. The rest of the

stock Stocks (also capital stock, or sometimes interchangeably, shares) consist of all the Share (finance), shares by which ownership of a corporation or company is divided. A single share of the stock means fractional ownership of the corporatio ...

was owned by minority

shareholders A shareholder (in the United States often referred to as stockholder) of corporate stock refers to an individual or legal entity (such as another corporation, a body politic, a trust or partnership) that is registered by the corporation as the ...

. Shares were also traded on the

MICEX The Moscow Interbank Currency Exchange () or MICEX () was a stock exchange that operated in Russia from 1992 to 2011. MICEX was the leading Russian stock exchange and one of the largest universal stock exchanges in Eastern Europe. It merged with ...

and

RTS RTS may refer to: Medicine * Rape trauma syndrome, the psychological trauma experienced by a rape victim * Revised Trauma Score, a system to evaluate injuries secondary to violent trauma * Rubinstein–Taybi syndrome, a condition characterized by ...

stock exchange A stock exchange, securities exchange, or bourse is an exchange where stockbrokers and traders can buy and sell securities, such as shares of stock, bonds and other financial instruments. Stock exchanges may also provide facilities for ...

References

External links

Unified Energy System - Russian language and English language
{{Authority control Companies based in Moscow Defunct electric power companies of Russia Energy companies established in 1992 Energy companies disestablished in 2008

History

Reorganization

Shareholders

See also

References

External links