3.2.

Contribution to the Sustainable Development of the Regions

Вклад в устойчивое развитие регионов

For RusHydro Group, it is vital not only to provide stable electricity supply to consumers, but also to contribute to social and economic development of the regions of operation. For this purpose, the Company builds partnerships with local communities.

In a number of cities, the RusHydro’s activities are system forming. The Company creates jobs, builds and finances social infrastructure facilities, landscapes cities, supports education, health, culture and sports.

When modernizing and building new hydropower facilities, the Company strives to ensure that projects are not only profitable, but also socially acceptable.

3.2.1. Social partnership in the regions

The key principle of the RusHydro’s social activity in the regions of its presence is to build strong relationships with all stakeholders, including regional authorities.

This principle is implemented through social and economic partnership in the regions. Relationships are built taking into account mutual interests, through sponsorships and charitable initiatives. Such relationships are based on agreements on social and economic cooperation, which are signed every year. The areas of partnership under these agreements are determined by the objectives of social development of the territory and the principles of corporate social responsibility of the Company.

322 jobs were created by RusHydro branches and subsidiaries in 2016, 256 of them are in the Far Eastern Federal District.

социальное партнерство в регионах

RusHydro participates in addressing issues related to the employment of local population, fiscal capacity, construction and financing of social infrastructure, improvement of towns, support of education and healthcare, development of culture and sports, care for veterans and disabled people, implementation of technical measures to reduce the impact on the environment, and provision of assistance to victims of natural disasters or other catastrophes. RusHydro is one of the significant taxpayers in the regions of its presence.

Taxes paid in 2016, million rubles.20

 Federal budgetRegional budgetLocal budgetTotal
PJSC RusHydro23,223.3720,119.67457.5743,800.61
RAO ES of the East24,903.793,472.04379.6128,755.43
RusHydro Group48,127.1623,591.71837.1872,566.04

In February 2016, RusHydro completed the construction of seven paramedic-obstetric stations (POS) in the villages and towns of the Republic of Khakassia, affected by the fires in April 2015.

In each of the areas of 100 m2 there are rooms for patient receptions, an examination room, a procedural room and vaccination rooms.

In July 2016, RusHydro began reconstruction of the road bridge going through the structures of the Nizhny Novgorod Hydroelectric Power Plant – a permanent ferry across the Volga with a total cargo traffic of up to 10,000 cars per day in both directions.

At the first stage, the most complicated site in terms of production technology was updated. It is planned that the bridge will have been completely reconstructed by December 2017.

DEVELOPMENT OF THE TERRITORIES NEAR SAYANO-SHUSHENSKAYA HPPС

After the accident at the Sayano-Shushenskaya HPP in 2009, the Company faced a number of important tasks: not only to restore the HPP in the shortest possible time and to improve its safety, but also to help local residents, including the victims’ families.
For seven years that have passed since the accident, the plant has been restored and modernized; the level of safety of hydraulic structures has been qualitatively raised.

One of the RusHydro’s key social projects is a complex development of the village of Cheryomushki in the Republic of Khakassia, for which the HPP is the key enterprise. The project is implemented in cooperation with regional authorities. During the years of its implementation, two kindergartens and two schools, a dormitory for students of the Sayano-Shushensky branch of the Siberian Federal University, a club for veterans, a youth centre and a Sunday school were repaired and equipped in the settlement, children’s playgrounds were installed in the courtyards of residential buildings.

A major overhaul of the sports and sports complex and the building of the polyclinic were completed, the reconstruction of the buildings of the village ambulance station branch and the day hospital were also completed. Moreover, the modern training-industrial and informative-innovative centre was built and equipped in Cheryomushki.

In 2017, it is planned to complete the improvement of the Yenisei River embankment and the construction of the Winter Sports Development Centre.

In total, RusHydro has invested more than 1.3 billion rubles in the development of the infrastructure of the village of Cheryomushki.

Besides, the programs to help the victims’ families and the complex development of Cheryomushki were continued in 2016. Monthly benefits to such families with children under the age of 18 were paid annually in the amount of the indexed salary of the deceased. Payments will continue until all the children of the deceased reach adulthood. Corporate scholarship payments to children receiving their first professional education continue. Altogether, for seven years, about 225 million rubles were invested in the program of social support for the families of the deceased.

3.2.2. Production facilities construction

Зеленчукская ГЭС-ГАЭС

ZELENCHUKSKAYA HPP-PSPP

In December 2016, Zelenchukskaya HPP-PSPP was launched in Karachaevo-Cherkessia. It was built using the building stock left after the construction of the Zelenchukskaya HPP. The new power plant is unique as it has two types of hydraulic units: the first and the second ones operate only in the generator mode, the new third and fourth ones are reversible, so they can operate in the generator and pump modes.

Zelenchukskaya HPP-PSPP will become the centre of operational regulation and balance adjustment of the energy system of the entire North Caucasus. Thanks to its commissioning, Karachaevo-Cherkessia will significantly increase the amount of electricity supplied to the Russian market, and the level of energy supply of the republic will increase to 45%. Tax revenues in the region’s budget will increase by 140 million rubles.

НУ Зарагижской ГЭС

ZARAGIZHSKAYA HPP

Zaragizhskaya HPP in Kabardino-Balkaria also launched in 2016 represents the third stage of the Lower-Cherek Cascade. Its feature is the absence of a dam (the pressure on hydro turbines is created due to a natural difference in the terrain with the help of a derivation channel). During the construction of the hydroelectric plant, valuable land was not flooded and no residents had to be resettled.

The commissioning of the Zaragizh plant allowed to bring the total annual output of the Cascade plants to 600 million kWh (~50% of the electricity consumed by the republic).

НИЖНЕ-БУРЕЙСКАЯ ГЭС

NIZHNE-BUREYSKAYA HPP

Nizhne-Bureyskaya HPP in the Amur Region is a 320 MW installed power plant that will be put into full operation in 2017. The plant will become a counter-regulator of the Bureyskaya HPP, smoothing the daily river level fluctuations generated by the operation of the hydroelectric power plant. This will remove the restrictions on the operational modes of the Bureyskaya HPP and will eliminate the winter flooding in a number of settlements located in the downstream.

The following additional socio-economic effects of the project for the Far East and Russia in general will take place:

  • reduction of current generation costs in the whole integrated power system (hereinafter – IPS) of the East;
  • possibility to shift the nearby villages from heating by expensive fuel and coal boilers to electric boiler houses with a reduction in the heat tariff for consumers;
  • creation of jobs for the released builders of the Bureyskaya HPP (2,000 people) and reduction in the outflow of population from the Far East;
  • loading of domestic producers and contractors;
  • increase in tax revenues to budgets of all levels;
  • growth in the purchasing power of the population of the Amur Region.
Загорская ГЭС

ZAGORSKAYA PSHPP-2

Zagorskaya PSHPP-2 investment project is intended to partially solve the problem of the manoeuvrable regulatory power deficit in the Central region of Russia, as well as prevent emergencies in Moscow and the Moscow region. The project was launched in 2006, but at present it is frozen. The final decision on completion will be made in 2017.

The construction of the new PSHPP resolves a number of social issues of the Bogorodskoye and Krasnozavodsk municipalities, where the construction is carried out. In 2016, the Company restored municipal engineering communications that are in the construction zone. An all-season approach is provided and a fresh water pipeline is laid in Grigorovo and Sementsevo villages of the Bogorodskoye municipal entity.

With the expansion of the lower basin, the transport infrastructure between Bogorodskoye village and Krasnozavodsk city will be reconstructed. In addition, PJSC RusHydro has committed itself to the construction and improvement of social and civil-purpose facilities – a community centre for 500 seats, a recreational area and a sports complex in Bogorodskoye village, recreation areas and a number of communal facilities in Krasnozavodsk.

УстьСреднеКанскаяГЭС

UST-SREDNEKANSKAYA HPP

According to the investment program, Ust-Srednekanskaya HPP on the Kolyma River in Magadan region with the capacity of 142.5 MW will be put into operation in 2018. The HPP’s startup complex is the source of generation for the Matrosov mine (Natalka gold deposit) and contributes to the economic growth of the region due to the mining sector development.

Гоцатлинская ГЭС Дагестан

GOTSATLINSKAYA HPP

The task of the construction of the Gotsatlinskaya HPP with an installed capacity of 100 MW is to supply electricity and power to consumers of the scarce IPS of the North Caucasus. This will be beneficial for the regulation of social and political situation and the improvement of social position of the Republic of Dagestan. The project was completed in the end of 2016.

Зарамагские ГЭС

ZARAMAGSKIY HPPS

The construction of Zaramagskaya HPP-1 with the capacity of 342 MW on the Ardon River is the largest investment project in the North Ossetia. The plant is also the largest HPP under construction in the North Caucasus region. After being put into operation, its tax revenues to the budgets of all levels will amount to 0.9 billion rubles annually, which will enable the HPP to become a budget-forming one for the region.

The uniqueness of Zaramagskaya HPP-1 consists, first of all, in a derivation tunnel of 14.5 km long, which has no analogues in Russia. Its width is 4.5 m, height 5 m, water will overcome the tunnel in 80 minutes. The building of the tunnel began in 1982, no more than 30% of its length was made during the Soviet period. In 2016, the construction of a vertical mine was completed and a new stage of construction was launched (concreting the bottom of the daily regulation pool). Also in the reporting year, contracts were signed for the supply of basic equipment. It is planned that the HPP will be put into operation in 2018.

3.2.3. Program for the construction of new thermal generation facilities in the Far East

The development of the Far East is one of the highest state’s priorities. That is why the Federal Target Program for the Development of the Region has been developed and the Ministry for the Development of the Far East was created.

RusHydro Group contributes to the development of the region. The Company’s most important investment project is the construction of four facilities on the territory of the Far East as part of implementation of the Presidential Decree «On the Further Development of the Open Joint-Stock Company Federal Hydro-Generating Company – RusHydro» No. 1564 of November 22, 2012:

Characteristics of the RusHydro’s projects in the Far East

ProjectPurposeWorks of 2016Amount of funding since the beginning of construction, mln rubles, VAT included
2nd stage of the Blagoveshchenskaya CCHPTo cover the deficit and to meet the future demand for heat energy, to improve reliability of power supply and to cover the uneven part of the East UES electric load schedulesConstruction is completed6,493.39
1st stage of the Sakhalinskaya SDPP-2To replace the out-of-operation Sakhalinskaya SDPP, to increase the efficiency of the Sakhalin energy systemThe frame of the main building has been constructed, a large-scale turn of the construction is being carried out, communication with the suppliers of the main equipment is in progress14,724.25
CHPP in Sovetskaya GavanTo replace the out-of-operation capacities of the Maynskaya HPP and to ensure the growing demand for electricity in the Port Special Economic Zone in Sovetskaya GavanThe construction of a thermal backbone network has began11,273.98
1st stage of the Yakutskaya SDPP-2To replace the out-of-operation capacities of the Yakutskaya SDPP, to ensure the consumption growth and improve energy supply reliabilityThe delivery and installation of the compressor station were carried out, hydraulic tests of waste heat boilers were also carried out. It is planned to be commissioned in 201721,230.53

The new facility construction projects are financed from the budget funds designated for the development of the energy industry in the Far East. For these purposes, in accordance with the Presidential Decree No 1564 of November 22, 2012, the government allocated 50 billion rubles to increase the capital of PJSC RusHydro.

The implementation of these projects is the first stage of the Long-Term Energy Development Program of the Far East, aimed at replacing the out-of-operation power generation capacities and developing the infrastructure of the decentralized energy supply sector.

The Program will help to achieve the following goals for the regions of the East IPS by 2025:

  • total increase in the gross regional product (GRP) of the Far Eastern Federal District (FEFD);
  • additional revenues from taxes, including income tax on energy companies of FEFD and tax revenues from related industries (mechanical engineering);
  • development of the construction sector: more houses can be connected to heating;
    increase in population employment through creation of new jobs in industries such as construction, operation of energy facilities, and mechanical engineering.