The procedure for the merger of energy companies is being completed

As part of the structural reforms in the energy industry of the Kyrgyz Republic, from March 23 to March 26, 2022, extraordinary shareholders meetings were held at Severelectro OJSC, NES Kyrgyzstan OJSC, Vostokelectro OJSC, Oshelectro OJSC, Jalalabatelectro OJSC ”, OJSC “Electric Stations” and OJSC “Bishkekteploset”.

As a result of the joint stock meetings, a decision was made to reorganize the indicated energy companies, as a result of which the distribution energy companies will be merged with NES Kyrgyzstan OJSC, Bishkekteploset OJSC will be merged with Electric Plants OJSC.

The reorganization of the energy sector management structure is being implemented within the framework of the relevant decisions of the Security Council of the Kyrgyz Republic, the Cabinet of Ministers of the Kyrgyz Republic and the Ministry of Energy of the Kyrgyz Republic.

Based on the results of the reforms, it is planned to optimize the costs of energy companies by reducing administrative costs, the economic effect of combining purchases, automating business processes, improving the process and transparency of electricity sales and reducing losses in electric networks through the reconstruction of the electric grid.

In addition, the optimized expenses are planned to be directed to the implementation of projects for the commissioning of new generating capacities, reconstruction and modernization of power equipment and strengthening the energy security of the Kyrgyz Republic.