Alexander Lokshin,

Chairman of the Board of Directors, Rosenergoatom Concern JSC, First Deputy CEO for Operations Management, Rosatom State Corporation

Локшин Локшин

Today, Rosenergoatom Concern JSC is not just an operator company — it is a power engineering division of Rosatom State Corporation, which is active in penetrating the global market and developing new lines of business in Russia and abroad.

Dear colleagues,

Russia's energy policy envisages further intensive development of the nuclear power indus­try. It is one of the fastest growing industries in the national economy. The facilities being constructed by Rosatom State Corporation represent the highest level of complexity. And we successfully meet this challenge today. This is proven not only by the nuclear power units built in Russia recently and being placed into operation at the moment, but the number of orders we have received from abroad.

Taking into consideration the Russian Federation Government pursued policy of keeping down electricity tariffs and the uneven economic environment conditioned by sanctions and foreign currency exchange rate volatility, it becomes most relevant and important to work for enhancement of the Concern's operations efficiency and competitiveness, by means of Rosatom Production System introduction, inter alia.

Competition in the wholesale market is getting stronger. We feel the pressure exerted by the conventional power industry. Due to a drop in the natural gas price (and consequently ecreased electricity price in the spot market), the difference in production prime costs between nuclear power plants and combined heat and power plants is not that big any more. If we don't increase efficiency of operations, don't take active efforts in the evolving market, then we may be taken over by competitors. The market situation makes us cut expenditures, work in a more efficient way in order for nuclear power to be competitive.

2015 was a year of great achievements and at the same time uneven results for the Concern. We hit another record in power generation, started commercial operation of the power unit No. 3 at the Rostov NPP. Meanwhile, we are behind schedule for commissioning of the power unit No. 4 at the Beloyarsk NPP and the power unit No. 6 at the Novovoronezh NPP.

Today, Rosenergoatom Concern JSC is not just an operator company — it is a power engineering division of Rosatom State Corporation, which is active in penetrating the global market and developing new lines of business in Russia and abroad. One of the nuclear power industry activity priorities is enhancement of competitiveness, to be "a step ahead": we need to open new businesses, offer new services to future customers. In particular, the Concern has broad powers in the sectors of operation and repair, power plant construction engineering, and support of the whole life cycle of NPPs.

We face the objective of developing power unit decommissioning services, distribution activities, infrastructure solutions.

Retaining current positions in traditional markets requires constant improvement of processes and technologies in all sectors of the nuclear power industry, and development of new business lines. Therefore, the Concern defined the tasks and objectives corresponding to the goals of Rosatom State Corporation set forth in 2016–2018 business plan and strategy for the period up to 2030.

Among the key thrusts aimed at achievement of the set goals are increasing competitiveness of new and operational power units of the Concern's NPPs and developing new business lines, by means of foreign operations enhancement, inter alia. We are planning to increase the scale of operations in traditional markets by commissioning of new power units according to the road map and enhancing the existing NPPs operation efficiency whil unconditionally maintaining failsafe and secure operation of NPP power units.

As for new prospects, the Concern is planning to develop new businesses and, together with specialized structural units of Rosatom State Corporation, it has recently developed and is implementing product strategies related to distribution activities, NPP services abroad, etc. I hope that despite all hardships Rosenergoatom Concern JSC will successfully continue to perform a demanding task of ensuring energy security of Russia.