IDGC Holding and Ensto Enter into Business Partnership

12.08.2011

IDGC Holding and Ensto Enter into Business Partnership

On August 12, 2011, in Moscow, JSC IDGC Holding and Ensto Finland Oy (Ensto; Finland) entered into a cooperation agreement aimed at developing Russia’s electricity distribution grid sector and enhancing its reliability and energy efficiency through the integrated introduction of innovative solutions and research results. The document was signed by Nikolay Shvets, Director General of IDGC Holding, and Timo Luukkainen, President and CEO of Ensto.

The agreement provides for cooperation between the parties in engineering research (improving the quality of Ensto products and designing new electricity network equipment for IDGC Holding’s operating subsidiaries) and contains an option for a joint venture to be formed in Russia in the future to manufacture fittings for self-supported insulated wires.

As part of the cooperation, Ensto guarantees that a full range of its products will be supplied (with a reserve warehouse to be set up for Interregional and Regional Distribution Grid Companies), technical and maintenance support will be provided for the operation and installation of its products, and personnel of IDGC Holding’s companies will receive necessary training. Ensto representatives will also be able to participate in drawing up IDGC Holding’s technical standard documents related to the design and operation of electricity distribution grid facilities, including transmission lines.

For its part, IDGC Holding will invite Ensto representatives to attend technical conferences and meetings of the Scientific and Technical Council and take part in joint research and development.

“It is of particular importance to IDGC Holding’s companies that the equipment, specifically Ensto fittings, has proven efficient in the Russian severe climate,” Nikolay Shvets said. “Given the scale of IDGC Holding’s electric grid infrastructure and the scope of our existing programs to replace obsolete equipment and put new capacity into operation, the long-term cooperation between the companies is likely to benefit them both and contribute to the increased system reliability of Russia’s electricity distribution grid sector.”

“We appreciate the fact that one of the most reputable and advanced companies in its business area offered us cooperation,” Timo Luukkainen said. “I am sure that together with such a strong partner, we will be able to create energy-efficient and highly reliable solutions that will succeed beyond the expectations of the Russian market. It is particularly important that IDGC Holding’s advanced technology will help produce excellent results in building electricity distribution networks.”

МРСК СЕВЕРО-ЗАПАДА. МРСК. ФОТО.IDGC Holding, a company operating in the Russian electricity sector, comprises Interregional and Regional Distribution Grid Companies (IDGCs/RDGCs), research and development institutes, design and construction institutes, and construction and sales companies. 97 affiliates of IDGCs/RDGCs are located in 69 constituent entities of the Russian Federation. The operational area of IDGC Holding companies covers a network of ten voltage types, ranging from 0.4 kV to 220 kV. The total length of networks of IDGC Holding’s operating subsidiaries exceeds 2.1 million kilometers. IDGC Holding is one of the world’s largest electrical grid companies in terms of the length of electricity transmission lines and the number of customers. Electricity transmission in 2010 totaled 591 billion kWh. The IDGC Holding team comprises around 190 thousand highly qualified employees responsible for providing reliable and high quality electricity transmission and distribution services, including network connection services. More detailed company information can be found at http://www.holding-mrsk.ru/about/facts/spravka/.

Ensto Oy is an international cleantech company and family business specialising in the development, manufacture and marketing of electrical systems and accessories for electricity distribution. Founded in 1958. Ensto’s turnover in 2010 was €250 million. The company employs a total of about 1,600 people in 20 countries. Headquartered in Porvoo, Finland. Ensto is committed to sustainable development and strives for sustainable use of natural resources on a long-term basis. The goal is to be a leading company in the field of green energy efficiency of generation and distribution. Its products are manufactured in seven countries. They are environmentally-friendly, energy-efficient and their carbon footprint is small. The company’s business is divided into three units: 1) Ensto Utility Networks – reliable and loss free power distribution solutions for overhead and cable transmission lines in the core of green thinking, complying with not only local but also international standards. 2) Ensto Enclosures and Components – enclosing systems and industrial components for demanding environments. 3) Ensto Building Technology – unique expertise and solutions in the field of integrated building technology. Further company information is available at www.ensto.com and www.ensto.ru.