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Update on CIS common market

Update on CIS common market. REMAP 2 Kick off meeting Nov 8 -11, 2010. A little history. UES of the old Soviet Union operated as a unified system under single 3-tier dispatch authority (CDA, UDA, regionals) Consisted of a number of United Power Systems (UPS), one of them UPS of Central Asia

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Update on CIS common market

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  1. Update on CIS common market REMAP 2 Kick off meeting Nov 8 -11, 2010

  2. A little history • UES of the old Soviet Union operated as a unified system under single 3-tier dispatch authority (CDA, UDA, regionals) • Consisted of a number of United Power Systems (UPS), one of them UPS of Central Asia • After collapse of the Soviet Union entire UES became at risk of collapsing • To save the system from collapse the CIS Energy Council was created

  3. Evolution of UES • Number of old UPS and UDA transitioned to new independent UPS: • UPS South – Ukraine and Moldova • UPS Kazakhstan – Kazakhstan • UPS South Caucuses – Armenia, Azerbajan, Georgia - Pontoel • UPS Central Asia – South Kazakhstan, Kyrgyzstan, Tajikistan, Turkmenistan, Uzbekistan – ODC (CDC) “Energia”

  4. Transition to Common Market • The moving force for CIS EC activities – Russia • Activities intensified with Mr. A. Chubais becoming Chairman of CIS EC • At first they were focused on operational and reliability issues – parallel operation agreement, assistance under emergencies • By 2005 it came to the market

  5. Steps toward creation of common market • CIS EC market working group was formed • In 2005 concept of common market is formulated • In 2007 agreement on creation of common market • The ultimate goal – creation of a centralized spot market – “a dream”

  6. Latest development • With the “death” of RAO UES there was a period of relative inactivity • The moving force for common market development is currently Market Council • The active participants in the market working group activities are Russia, Belorussia, Kazakhstan and Kyrgyzstan • At this time working group is focused on development of agreement on “international power transmission” – an euphemism for power wheeling agreement. • That will be a very difficult undertaking because of current Russian market model is not well understood

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