Investment policy of Volga TGC
Investment policy of Volga TGC is based on the principles of economical efficiency and cost effectiveness. For the purpose of investment policy elaboration the annual and long-term (5 years) investment programs are being developed, that specify the major trends for development of companies within Volga TGC. Long-term investment programs are being elaborated for the following 5-year period on the basis of Volga TGC development priorities and the results of previous year.
Investment program forms a part of the business planning and budgeting system of Volga TGC. Investment programs impact on the Company’s economics is taken into consideration in the process of such programs elaboration. The investment activity budget and investment projects budget are distinguished within the general budget of Volga TGC.
Investment program of Volga TGC for 2007 - 2011
OJSC Volga TGC (TGC-7) has developed the program of technical upgrade, reconstruction and construction for 2007-2011.
The program is aimed at the following tasks solution:
- securing of reliability and operability of existing equipment;
- increase of power generating efficiency of Volga TGC production enterprises;
- securing of new loads hook-up technical feasibility;
- xpansion of power sales markets.
The priority medium-term investment projects are as follows:
- construction of 9.5 km heat conducting path No 4 from Togliatti TPP to meet the growing demand for thermal energy of Avtozavodsky district of Togliatti;
- construction of heat conducting path No 8 from Saratov TPP-5 with Saratov boiler-houses consumers’ thermal loads transfer to centralized sources to provide heat energy to new residential districts of Saratov;
- construction of 4 km heat conducting path No 3 from Engels TPP-3 to provide heat energy to new residential districts of Engels.
- Technical upgrade of Novokuibushevsk TPP-1 with 201MW gas-turbine unit installation;
- Samara GRES power plant technical upgrade with 32 MW supercharge boiler cycle gas-turbine unit installation;
- Construction of combined-cycle turbine unit CCGT-TPP-200 at Syzran TPP.
- Equipment upgrade aimed at reliable consumers’ power supply;
- Introduction of energy-efficient technologies, multilevel automated systems for electricity and heat fiscal metering, management of the company’s economic activity;
- Implementation of investment projects associated with new consumers hook-up.
- Technical upgrade of the following turbines with high pressure cylinders replacement:
- Ò-100-130 st.¹7 Togliatti TPP;
- PÒ-60-130 /13 st.¹1 of Samara TPP for type PÒ-80;
- Replacement of turbogenerator set of station ¹1 for type Ò-12-2,9 with high-pressure cylinder replacement at Samara GRES power plant;
- Replacement of boiler of station ¹ 3 at Saratov GRES with startup in 2008.
- measures, related to equipment upgrade for the purpose of reliable power supply of the customers;
- introduction of energy-saving technologies, multi-level automated systems of electricity and heat fiscal metering, company operational management;
- implementation of investment programs associated with new consumers hook-up.
- Technical upgrade of the following turbines with high pressure cylinders replacement:
- Ò-100-130 st.¹4 of VAZ TPP, st.¹7 of Togliatti TPP;
- Replacement of turbine unit of st.¹1 for PÒ-12-2,9 type with high pressure cylinder replacement at Samara GRES power plant;
- Replacement of power boiler of st.¹ 3 at Saratov GRES power plant with SOP in 2008.
NkTPP-1 reconstruction project provides for installation of three gas-turbine units of 67 MW unit power, that are superposed plants of the existing heating system in terms of thermodynamics. The project implementation is scheduled for 2007-2011 with commissioning in 2011.
Project of Samara GRES power plant retrofitting with 32 MW supercharge boiler cycle gas-turbine unit installation provides for installation of two ÍÊ-16 ÑÒ type gas turbines with waste heat recovery boilers. The project implementation will allow to equalize the static balance of power flows from the system to Samara districts of insufficient power supply as well as to improve the station’s performance indicators.
Volga TGC long-term five-years investment program will be in large part financed by Volga TGC additional shares issue (IPO).
Cost of Volga TGC and Orenburg
TGC investment program by years (mln. rubles)
| Project | 2007 | 2008 | 2009 | 2010 | 2011 | TOTAL |
|---|---|---|---|---|---|---|
| Total for the company | 3 544 | 9 353 | 8 051 | 8 575 | 6 403 | 35 926 |
| Incl. Volga TGC | 15,2 | 5 385,1 | 4 366,5 | 3 633,4 | 1 015,1 | 14 415,3 |
| Technical upgrade of Samara GRES power plant. | ||||||
| Replacement of turbogenerating set ¹1 for PÒ-12-2,9 type. | 12,3 | 126,4 | 118,3 | - | - | 257,0 |
| Retrofitting with 32 MW supercharge boiler cycle gas-turbine unit installation | 0,9 | - | 382,4 | 414,0 | 263,2 | 1 060,5 |
| Syzran TPP | ||||||
| Construction of CCGT-TPP -200 | 1,0 | 3 103,1 | 2 152,0 | 1 368,5 | - | 6 624,6 |
| Novokuibushevsk TPP-1 | ||||||
| Retrofitting with 200 MW supercharge boiler cycle gas-turbine unit installation | 1,0 | 2 155,6 | 1 713,8 | 1 850,9 | 751,9 | 6 473,2 |
| Incl. Orenburg TGC | 185,5 | 130,0 | 131,5 | 225,9 | - | 672,9 |
| Mednogorsk TPP | ||||||
| GTU with waste heat recovery boiler installation, st. ¹1 | 5,9 | - | - | - | - | 5,9 |
| Sakmarskaya TPP | ||||||
| Modernization of turbine PT-60-130/13 for PT-65-130/13 st. ¹1 | 8,0 | - | 131,5 | 225,9 | - | 365,4 |
| Modernization of turbine Ò-55/60-130 íà Ò-60/65-130 st. ¹4 | 171,6 | 130,0 | - | - | 301,6 | |
| incl. Investments w/o commissioning | 3 343 | 3 383 | 3 553 | 4 761 | 5 388 | 20 838 |
Major investment objects of Volga TGC
| Station | Project Startup | year | Capacity, MW | Capacity gain, MW |
|---|---|---|---|---|
| Samara GRES | Replacement of ÒÀ st. ¹1 for type Ò-12-2,9 | 2009 | 12 | 8 |
| Samara GRES retrofitting with 32 MW supercharge boiler cycle gas-turbine unit installation | 2011 | 32 | 32 | |
| Novokuibushevsk TPP-1 | NkTPP-1 retrofitting with 200 MW supercharge boiler cycle gas-turbine unit installation | 2010 2010 2011 |
201 | 201 |
| Syzran TPP | Construction of CCGT-TPP -200 | 2010 | 200 | 200 |
| Total for the company | 445 | 441 | ||
Major investment objects of Orenburg TGC
| Station | Project Startup | year | Capacity, MW | Capacity gain, MW |
|---|---|---|---|---|
| Mednogorsk TPP | GTU with waste heat recovery boiler installation, st. ¹1 | 2007 | 10 | 10 |
| Sakmarskaya TPP | Modernization of turbine PT-60-130/13 for PT-65-130/13 st. ¹1 | 2010 | 65 | 5 |
| Modernization of turbine Ò-55/60-130 íà Ò-60/65-130 st. ¹4 | 2009 | 60 | 5 | |
| Total for the company | 135 | 20 | ||
Investment program of Volga TGC for 2007
Equity funds of Volga TGC – depreciation and profit that is 100% equity funds - form the investment source in 2007. In the near future investment programs are planned to be financed with attraction of Volga TGC additional shares issue.
In 2007 technical upgrading and reconstruction will take place in the following priority areas:
Following investment projects related to obsolete equipment upgrade are planned to be implemented:
Volga TGC Draft Investment Program for 2008
Sources of investment in 2008: depreciation, profit, gains from additional shares issue, borrowed funds.
In 2008 technical upgrade and reconstruction aimed at the following priority tasks will be carried out:
Investment projects, associated with old equipment technical upgrade include: