COMPANY GENERAL DATA

Open Joint Stock Company “Independent Power Distributing Company of Krasnodar Region” (OJSC “NESK”) was established upon the initiative of Krasnodar Region Administration in May 2003.

Nowadays OJSC “NESK” is one of major power supply organizations in Krasnodar Region.
Until December 2007 the key activities of the company included the purchase and sale of electric power, power transmission over distribution networks, as well as operation of power networks. In conformity with requirements of federal legislation the reorganization of the company was carried out at the end of 2007. Its subsidiary company OJSC “NESK-Electroseti” was withdrawn from the company structure and by now it occupies the second place among Krasnodar Region network companies in the volume of rendered services.

OJSC “NESK” was entered in Register of entities in the power wholesale market, where it buys electric power directly from a producer starting from 1 January 2007.

The company is a guaranteed supply company in the Krasnodar Region and supplies electric power under public energy supply contracts or electricity purchase-and-sale contracts that stipulate equal terms for all customers and transparent pricing policy.
Within seven years of its activity OJSC “NESK” proved itself to be a stable, modern and competitive company that ensures steady power supply to its customers in all cities and towns of the Krasnodar region, where 26 company branches operate successfully after their foundation within 2005 - 2007.

Power effective distribution amounted to 6 317.5 million kWh in 2010, exceeding the 2009 value by 374.9 million kWh.

OJSC “NESK” sales zone covers app. 900 000 customers, including 35 000 legal entities and app. 850 000 physical persons that amounts to one third of the electric power market.

Main Objectives of the Company

1. Increase volumes of electric power sales (increase of market sales)

2. Improve the quality of services to customers
    2.1. Provide different power payment options
    2.2 Speed up calculation activities
    2.3 Ensure mutually beneficial conditions in power supply contract
    2.4. Development of feedback with subscribers, including corporate site

3. Broadening of spectrum of provided additional services
    3.1 Payment for other housing and public utility services
    3.2 Additional services for support and execution of power supply contract.

4. Minimize internal costs of energy sale (decrease of sale markup on selling fare).

Activity Types

- purchase of electric power in an electric power wholesale market;
- power sale to entities and physical persons.

Products and Services

Power sale is carried out as follows:

- in conformity with contractual power consumption volumes within the capacity limits, permitted by technical conditions of connection;
- Power quality must comply with GOST 13109-97 at the power network boundary Shareholders
OJSC “Independent Power Distributing Company of Krasnodar Region”: Krasnodar Region Administration, local self-government bodies of Krasnodar Region, urban electric network companies of Krasnodar Region, Commercial Bank “National Business Development Bank”».


MANAGEMENT

- General Meeting of Shareholders;
- Board of Directors;
- Governing Board;
- General Director.