Non-Tariff Activities

Commentary-interview of the Deputy Director General for Technological Connections and Service Development A. M. Pyatigor

In 2016, the limits on provision of technological connection services at reduced price for the eligible consumers will be further reduced. In addition to its main activities, i.e. technological connections to the grids and transmission of electric power, the Company provides a broad spectrum of additional services: from maintenance of electric installations used by the consumers to renting of Company facilities. Currently, the highest level of demand is observed for such services as “Turnkey Technological Connection”, “Energy Assistance” — operation and maintenance of grid facilities used by the consumers; installation, replacement of metering instruments; “Grids outside Boarders”, including relocation of electric grid facilities from the construction territory, etc.

New package services are now available and can be ordered by the Company clients. For example, installation of automated measuring and information system for electric power fiscal metering (AIIS KUE) at the consumer sites (“Energy Effect” service), preparation of diagrams for consumer site based on individual power line supports and single-line diagrams (“Energy Order”), survey of consumers’ electrical installations in terms of their compliance with the technical and regulatory requirements (“Electric Diagnosis”), etc.

In 2015, the volume of revenues from additional services rose by 382 mln rubles, while the volume of net profit increased by 125 mln rubles compared with 2014. The key performance indicator defining the Company’s efficiency in terms of additional services in 2016 will be the net profit, which the Company plans to increase by 167.6 mln rubles against the same indicator in 2015.

One of the priorities in terms of additional services delivery in 2016 will center around construction, installation and maintenance of street lighting networks (“Bright Light” service).

In fact, today the Company is ready to provide the entire spectrum of services, which may be requested by the client in the course of connection, and operation of electrical grid equipment. This will generate an additional source of income for the Company, while the customers will be able to enjoy the high quality services with the guarantee from the big grid company.

Development of Additional Services

The web site of PJSC MOESK has a section dedicated to additional services where the consumer can find the news on additional services, up-to-date Price List and submit an application for an additional service online. In 2015, the Company adopted regulations on delivery of additional services with detailed description of all the processes and implemented an incentives scheme for the Company employees involved in provision of additional services to the companies and individual clients.

1. Turnkey Technological Connection:

In the framework of its policy of customer-oriented approach and simplification of technological connection procedure, PJSC MOESK launched and developed the service “Turnkey Electrical Connection”, which includes performance of work on the client side in compliance with the technical specification and using the resources of MOESK under a separate contract. This service is in high demand mostly by the individual clients.

2. Operation of Consumers’ Electric Grids (Energy Assistance):

«Energy Assistance”: operation and technical management and maintenance of the consumer’s electric grids, including electric grids in buildings, emergency repair of electrical equipment. Due to outsourcing of maintenance functions in connection with electric grids and installations to PJSC MOESK, the non-power companies can significantly reduce their expenses on electric equipment maintenance and technical personnel costs. This service will improve the efficiency and reliability of electric grid operation at the minimum cost for the client. Moreover, it will ensure safe operation of the company’s electrical installations in full compliance with the current safety rules.

3. Installation activities, including relocation of grids (Grids outside Borders):

“Grids outside Borders”: relocation of electrical grid facilities of PJSC MOESK from the client’s premises for the duration of the construction period. Advantages of electrical grids relocation by PJSC MOESK for the clients:

  • High level of design and installation work and strict compliance with all standards, codes and rules in connection with the electric grid relocation from the client’s premises;
  • Shorter time period required for work performance and high quality of service due to utilization of high-tech design methods and modern installation technologies;
  • Cost reduction.

4. Organization and Technical Services:

Consultations on technical matters, review and approval of grid routing design, construction site plans, locations of facilities, design and other documentation.

5. Outdoor Lighting (Bright Light).

“Bright Light”: design, construction, operation and repair of outdoor lighting grids through participation in construction of new outdoor lighting facilities (specifically, in New Moscow) and in RFPs on operation of outdoor lighting facilities, performance of work in the framework of the Program for Refurbishment of Communal Hallway and Street Lighting, execution of contracts on arrangement of outdoor lighting facilities at the existing power lines infrastructure of PJSC MOESK.

6. Rent:

Renting the following property of PJSC MOESK:

Land lots, administrative and service buildings, power lines, transportation means.

7. Equipment tests and diagnosis:

Tests on protection devices and electrical equipment; electrical measurements and diagnosis (identification of cable damage point and cabling tests, analysis of transformer oil, etc.).

8. Others:

Services of PJSC MOESK training center, non-conventional services, one-time, social/ household, and other services.

Revenue from Non-tariff Services: Results and Forecast, RUB mln

Category 2013 2014 2015 2015/ 2014 План 2016
Additional services (total), including: 519.2 920.6 1,303.5 41.6% 2,228.3
Operation of electric grids owned by consumers (Energy Assistance) 205.1 236.6 257.2 8.7% 278.2
Installation activities, including relocation of grids (Grids outside Boundaries) 123.7 275.4 494.2 79.4% 836.7
Organization and technical services 52.9 104.6 119.2 14.0% 128.0
Turnkey technological connection 0.0 115.7 199.2 72.2% 236.6
Outdoor lighting (Bright Light) 4.2 36.9 52.4 42.0% 220.0
Rent 72.7 101.4 114.8 13.2% 184.9
Equipment tests and diagnosis 15.3 17.9 18.8 5.0% 23.7
Others 45.3 32.1 47.7 48.6% 320.2

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