About company

Market share

OAO IDGC of Urals renders services to customers across the Perm, Sverdlovsk and Chelyabinsk regions. The Company is a natural monopoly with state-regulated electricity transmission and connection tariffs. The service area is also abundant in small municipal and private grid operators that transmit electricity mainly through low-voltage networks.

the GRR-based market share of our branches differs.

In the Perm region the GRR-based market share of Permenergo gained 1.1% to reach 87.3%. By the year-end 13 firms with RUB 151 million GRR have lost their RGO status.
In the Sverdlovsk region the GRR-based market share of Sverdlovenergo totaled 66.4%. Our affiliate - Yekaterinburg Electric Grid Company (AO EESK, for short) - contributed additional 10%, driving Sverdlovenergo’s market share to 77.4%.
By the end of 2017 Chelyabenergo’s GRR-based market share lost 2%, as the “last-mile” scheme was terminated in the Chelyabinsk region since 01.07.2017 resulting in transition of customers (PAO MMK, PAO RZhD, OOO KEMMA, PAO Chelyabinsk Metallurgic Plant) to direct payments to PAO FSK UES.

The electricity sector of the regions served by the Company evolves in line with the relevant regional energy complex development schemes (or ECDS), generated in compliance with the Government Decree[2], factoring in development blueprints of all sector players and regional load gain forecasts.

The ECDS of the Perm region is being prepared by the Perm Ministry of Construction, Housing and Utilities Interagency Board, liable for perspective development of the energy sector in the Perm region, several Permenergo representatives sitting on the Board. The ECDS of the Sverdlovsk region is being generated by the Sverdlovsk Ministry of Energy, Housing and Utilities Expert Group. The expert group contains several representatives from the Company’s HQ and Sverdlovenergo branch. The ECDS of the Chelyabinsk region is being produced by the Chelyabinsk Ministry of Tariffs and Energy, a draft of the ECDS to be examined and approved by the coordination board, comprising several representatives from our Chelyabenergo branch.

In 2017 the energy sector development scheme and blueprint of the Perm region for 2018-2022[3], 2018-2022 energy sector development scheme and blueprint of the Sverdlovsk region[4] and energy sector development scheme and blueprint of the Chelyabinsk region for 2018-2022[5] were generated and approved.

In addition, to optimize Company’s grid development plan in 2017 we have contracted OAO NTS UES to revise the Integrated 35+kV Network Development Program for 2017-2021. Since revision of the program used data obtained from FY2016 winter check measurement and January-February 2017 forecast balance of OAO SO UES, materials were filed with the authorities of the regions serviced by the Company and used in generation of the energy complex development schemes and programs for the next period.

In May 2017 revision of the Integrated 35+kV Network Development Program for 2016-2020 was initiated, factoring in 2018-2022 period. In December 2017 materials were filed with the authorities of the regions serviced by the Company to be used in generation of the energy complex development schemes and programs for the next period.

The Company’s grid development strategy comprises the following aspects:

  1. Connection of new consumers to the Company’s networks with a view to foster sustainable development of the Urals economy and boost electricity transmission.
  2. Construction of grid facilities with a view to eliminate electrical shortage zones and secure reliable and non-stop system operation.
  3. Build-up of united grid area, i.e. consolidation of grid assets to secure reliable supply of consumers and promote efficient development of the energy systems across the service regions.

Evolution of the Company’s production assets shall assist in implementing federal programs, All-Russia projects, regional programs and territorial development plans.

To enhance efficiency of the Innovative Development Program planning and implementation the following key directions of innovative development were set:

  1. In terms of technical innovations:
    • Cutting-edge technologies and solutions: activities related to application of new materials, isolation, equipment used in Company’s core processes (current limiters, controlled devices, new-type wires with improved electrical conductivity and durability, new-type isolators, power electronics, etc.);
    • Digitization of management and technological processes – transition from analog to digital philosophy for managing relay protection and emergency automation, automated technological process control system, metering and telecommunications (digital measuring transformers, digital network equipment, shift to digital substations, etc.); digitization of production asset management; implementation of digital systems for monitoring technological processes in networks and at substations;
    • Enhancement of grids flexibility: development of system properties to improve stability against disturbances in networks and automatic restoration of normal operating conditions (adaptive relay protection and emergency automation, control system, logic automation, digital on-line network model).
  2. In terms of organizational and marketing innovations:
    • Designing new and systemic re-engineering of existing business processes through the lens of complex efficiency: management of production assets, management systems, front-end services, management of system life cycle, lean production practices;
    • HR management innovations: implementation of HR management technologies, relevant to this day;
    • Shaping innovative environment around the Company: building relations between OAO IDGC of Urals and innovative firms, scientific and educational institutions dealing with scientific and technological matters (partnership in technological platforms, implementation of cooperation agreements with anchor higher education institutions).

Directions of the Company’s Grid Digitization Innovative Development Program outline the following activities:

  • Digital Technologies and Shift to Digital Substations: project “Implementation of IEC 61850 technical solutions related to digital data exchange in relay protection and automation systems at OAO IDGC of Urals’ pilot substations”;
  • Shift to Digital PDZ active-adaptive networks: project “All-round automation and telemetry of 10-0.4-kV distribution networks”.
Full report or any of its chapters can be downloaded as pdf files on this page.
1About company
1.1Mission and strategic goals
1.2Market share
1.3Management systems
1.4Key 2017 events
2Board of directors’ progress report
2.1Letter to stockholders
2.2Production capital formation
2.2.1Network exploitation
2.2.2Electricity transmission
2.2.3Technological connection
2.2.4Development of telecommunications and IT systems
2.2.7Efficacy enhancement
2.3Financial capital formation
2.3.1Description of tariff policy
2.3.2Analysis of revenues and expenses
2.3.3Analysis of receivables and payables
2.3.4Credit ratings and bonds
3Corporate governance
3.1Corporate governance practices
3.2Corporate governance system
3.2.1General meeting of stockholders
3.2.2Board of Directors
3.2.3Board of directors’ committees
3.2.4General director and executive board
3.2.5Remuneration and compensation policy
3.3Oversight system
3.3.1Board of internal auditors
3.3.2Independent auditor
3.3.3Internal control
3.3.4Security and anti-corruption
3.3.5Risk management
3.4Investor and stockholder relations
3.4.1Shareholder capital structure
3.4.2 Shareholder rights
3.4.3The company and stock market
3.4.4Communications with market participants
3.4.6Allocation of profit
3.4.7Contact information
4.1Human resources management
4.2Customer support
4.3Supplier relationship management
4.4Public and goverment relations
4.5Company’s transactions
4.6Subsidiaries and financial investments
4.7Environment protection
5.1Prepared under Russian accounting standards
5.2Prepared under international financial reporting standards
5.3Corporate governance code compliance report
5.5Abbreviations and acronyms