The Gazprom's Power Generation Strategy Press Conference was held at the Company's headquarters today in the lead-up to the annual General Shareholders Meeting. The Press Conference featured Denis Fyodorov, Head of Gazprom Directorate and Director General of Gazprom Energoholding.

It was noted that 2015 had seen a drop in domestic demand for power and a reduction in heat supply due to warm weather. Gazprom Group's core generating companies (Mosenergo, MOEK, OGK-2, and TGC-1, including the Murmansk CHPP) produced a total of 145 billion kWh of electricity (a decrease of 4.7 per cent compared to 2014) and 111.9 million Gcal of heat (a drop of 6.9 per cent).

Nevertheless, the Group's efforts translated into good consolidated financial results. The overall revenue under the Russian Accounting Standards in 2015 stood at RUB 454.7 billion (close to the 2014 level), with EBITDA of RUB 63.5 billion (a 20 per cent increase from 2014) and the net profit of RUB 11.7 billion (a more than threefold increase). These improvements can be attributed to, among other things, the commissioning of new generating capacities and the reduction in the capacity utilization of inefficient power units.

In 2015, the Group brought into operation 1,390 MW of new generating capacities in Russia: two 420 MW combined cycle gas turbine units (at the Serov SDPP operated by OGK-2 and CHPP-20 operated by Mosenergo) and a 220 MW combined cycle gas turbine unit (at CHPP-12 operated by Mosenergo). In addition, the reconstruction of a steam turbine unit at the Ryazan SDPP operated by OGK-2 was completed, with its capacity increased from 270 to 330 MW.

Between 2007 and 2015, since its entry into the power industry, Gazprom Group commissioned over 7 GW of new capacities under capacity supply agreements. Overall, it is planned to put in operation some 9 GW of capacities.

In addition, the Press Conference touched upon the operation of Gazprom's power generating facilities across Russia's regions.