Annual Report 2015


Grid connection

The number of grid connection applications is the total of received and canceled applications. Therefore, the number and capacity of filed applications is greater than the number of executed contracts.

More than 90% of all contracts are contracts with applicants, with maximum load of 15 kW. Due to the changes in RF laws regulating the grid connection activities, the period of performance of major contracts, with grid connection capacity of more than 670 kW is as follow:

  • 1 year if no changes to the grid of the grid operator are needed;
  • 2 years, unless other terms (but not more than 4 years) are provided by the Investment Programme of the relevant grid operator, or by the parties’ agreement — which has an impact on the total amount of connected capacity.

Also, the implementation of major contracts for grid connection is affected by financial solvency of the applicants and macroeconomic environment as a whole.

Structure of applications (excluding electricity generation facilities)
2011 2012 2013 2014 2015
pcs. for total capacity, MW pcs. for total capacity, MW pcs. for total capacity, MW pcs. for total capacity, MW pcs. for total capacity, MW
Individuals 21,057 211.1 26,334 284.1 28,104 315.7 26,430 294.8 22,857 254.4
Legal entities 4,419 740.4 4,787 1,007.6 5,439 1,338.9 5,580 1,301.9 4,789 1,472.0
IDGC of the North-West 25,476 951.5 31,121 1,291.7 33,543 1,654.6 32,010 1,596.7 27,646 1,726.4
The number of grid connection applications
The number of grid connection applications
The number of executed grid connection contracts
The number of executed grid connection contracts

Total number of received grid connection applications in 2015 as compared to 2014 reduced by 14%. The number of executed contracts decreased by 13% during the reporting period. The total number of contracts performed in 2015 decreased by 5% as compared to 2014.

As from 2013, there has been a downward trend in the number of executed grid connection contracts due to a decrease in number of grid connection applications filed by the ’privileged’ applicants.

Also, as of year-end 2015, the ratio of performed contracts to executed contracts was 1.06. However, this figure was only 0.97 in the same period of the previous year. That is, in 2015, performance of contracts exceeded the execution thereof, indicating that the rate of accumulation of obligations have not grown.

The amount of contracts performed and the decline in the number of contracts in force (including outstanding contracts) as of year-end 2015 were due to:

  • Increase in the amount of grid connection contracts to be performed using own resources;
  • Performance of design and survey work for projects of construction, renovation and upgrade of distribution grids 0.4-10 kV using own resources;
  • Simplification of trade and procurement procedures;
  • And also Applicant relations through the use of a feedback scheme including to notify applicants of the grid company’s readiness to implement the grid connection, of the procedures initiated for termination of grid connection contracts where applicants are not interested in performance thereof.

During 2015, two-fold reduction in the volume of capital investments as compared to the same period in 2014 was achieved, with the same number of contracts performed. The achieved effect is due to the ongoing work on revision of the technical requirements under the contracts in force in order to optimise technical solutions, and to expand the practice of using own resources in the performance of grid connection contracts.

The number of performed grid connection contracts

excluding electricity generation facilities.

The number of performed grid connection contracts
The cost of grid connection of 1 kW, RUB thousand
  The cost of grid connection of 1 kW,RUB thousand