OREANDA-NEWS. April 14, 2011. Federal Grid notes that Federal Tariff Service, Russian national regulator, (“FTS” or the “Regulator”) has adjusted the tariffs that the company is allowed to charge its customers over the period of 2011-2014. The tariffs are adjusted under the RAB methodology, which provides for the possible redistribution of tariffs and resulting gross revenues within the 5-year regulation period between 2010 and 2014.

The RAB Methodology Guidelines approved by FTS in June 2008 provides that the Regulator is entitled to redistribute gross revenues of regulated businesses between years within a single regulatory period.

According to the FTS decision, the tariff growth for the remaining 9 months of 2011 compared with 2010 will be 15.7 percent for the republics of North Caucasus and Stavropol Region, and 26.5 percent for all other regions of Russian Federation. The changed tariffs come into effect from April 1, 2011.

The Regulator has ruled that during the remaining 3 years of the regulatory period the tariffs will continue to grow steadily at a 26.4 % in 2012, 26.3 % in 2013 and 26.3 % in 2014 growth rates.