Russia’s premier calls for exporting electricity at fair prices

YAKUTSK, March 14 (Itar-Tass) - Electricity generated at new power plants in East Siberia should be exported at fair prices, Prime Minister Mikhail Fradkov, who is making a working trip to the East-Siberian region of Yakutia-Saha told reporters Wednesday.

He indicated that exports of electric power from the South-Yakutian cascade of hydropower plants to China “should be examined.”

“This depends on tariffs for electricity – but not cheap tariffs, though,” Fradkov said. “It wouldn't be a good idea to create excessive generating capacity and then to sell electricity abroad at low costs.”

“The strategy of the development of the Far East over the coming years proves that demand for electricity here will continue growing, and that's why it's important to develop the energy sector in Yakutia,” Fradkov went on saying. “In the first place, this concerns /energy resource/ deposits and transport infrastructure.”

“A possibility of exporting energy can be looked at only after we take due account of our own needs and only then should we consider any exports,” Fradkov said, adding that export prices “must be fair” in any circumstances.

Making project documentation for the South-Yakutian cascade of hydropower plants is the company GidroOGT, a subsidiary of the Russian electric power monopoly RAO UES.

The project envisions construction of up to seven plants with a combined generating capacity of 9,000 MW on Yakutia-Saha's rivers.

The first plant is to be commissioned by 2015 and the last one, by 2030.

Experts say consumption of electricity in the region itself may stand at around 30 billion KWH by 2030.

// March 14, 2007.

Resource: ITAR-TASS.