OREANDA-NEWS. On 23 December 2008 was announced, that the Management Board of the Federal Tariff Service of Russia made the decision on implementation of a new system of regulation (RAB) in Lipetskenergo, a branch of IDGC of Centre, JSC. In the Lipetsk Region it is planned to change from January, 2009, the tariff design system from the existing one to a more progressive one.

The necessity for such changes is caused by the existing rates of development of power consuming industries and the need of updating of the existing funds of the distribution grid system. Lipetskenergo made a great work to switch to RAB. In Lipetsk IDGC of Centre, JSC constructed and analysed a model of calculation of the new regulation method. An independent assessment of the company’s invested capital was performed. In October the heads of the region considered and approved a long-term investment programme for 2009-2011.

The method of return on the invested capital represents a system of establishment of the long-term tariff scheme on the basis of return on the invested capital. RAB will allow to involve additional capital in the network infrastructure, thus, stimulating efficiency of the investments and decrease in the operational costs. Finally, consumers will benefit from implementation in the Lipetsk Region of the method of return on the invested capital: the programme of building of new and expansions of operating grid facilities will be reconsidered towards ¬ increase; this, undoubtedly, will affect improvement of the quality of services in technological connection and ¬ electric power transmission¬. Transition to RAB system will allow to avoid deficiency of capacity.

"It is important to note that at transition to RAB the growth of our capital costs  will not influence essentially the cost of electric power for end users,  because the term of return of capital investments was established for thirty-five years",  said Deputy Director for Economy and Finance of Lipetskenergo, a branch of IDGC of Centre, JSC, Svetlana Kozodyorova. "Besides, at implementation of the new system of pricing, all control functions from regional and federal state regulation bodies stipulated by the Russian legislation have been preserved".

The initial base of the capital for Lipetskenergo, a branch of IDGC of Centre, JSC, was defined at the rate of 10,03bn RUR. The branch’s own gain is planned at the rate of RUR 3.47bn in 2009; RUR 4.1bn, in 2010 and RUR 4.8bn, in 2011.

Through to 2011 it is planned to invest in the distribution grid of the Lipetsk Region a total of RUR 6.71bn, including RUR 2.19bn, in 2009; RUR 2.029bn, in 2010 and RUR 2.486bn, in 2011.  By 2011 the level of investments in the tariff for electric power transfer in the Lipetsk Region will exceed 2.7 times the 2008 investments level.

In the nearest future Lipetsk regulatory authorities are going to sign orders on establishment of tariffs for electricity transmission with the use RAB (Regulatory asset base). The tariffs approved in these regions for 2008 for end users according to the legislation of the Russian Federation will not be reconsidered and remain at the former level.

Lipetsk, Tver and Belgorod Regions were the first regions to implement RAB methods within IDGC of Centre, JSC branches.