Wednesday 5 October 2011

Are the Kremlin’s power market reforms in danger?

Did you know we could be seeing the end to Russia’s power sector liberalisation? Russia’s state controlled energy giant Gazprom and Ranova a private-sector investment fund are planning to merge their interests in the nation’s six largest generating companies. Such a proposal would create a new company dominating 25% of Russia’s power sector. It would also increase state influence over the power sector, due to Gazprom being a partially privatised energy utility.

Who will this benefit?

The proposed company would certainly bring new benefits, in terms of economies of scale, improved access to new investment funds, resources and specialist expertise in many related fields from district heating to solar power. http://www.oxfordprospect.co.uk/Are-the-Kremlin's-power-market-reforms-in-danger.html

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