Energy of integration

 Kirill Alekseyev

It is well-known fact that because of geographical location Kazakhstan has great potential to become transit country, this fact and possible economical outcomes are reflected in official governmental programs and several scientific researches. Mostly such programs and researches pay attention to a transportation aspect, however less attention of experts is paid to transit potential in electrical energy. Moreover, it has to be underlined that electro system of Kazakhstan is the only connecting point between electrical system of Russia and Central Asian countries.
- International cooperation, if talking about network company, it is a parallel work, from 2000 electrical systems of Kazakhstan, Russia and Central Asia are joint in parallel work. Before this, from 1996 Kazakhstan has been working in parallel with Russia and only Southern Kazakhstan with Central Asia. From now on, we and eleven members of CIS work in parallel, this way there was established technological bases for international trade of electrical energy – said Kanat Bozumbayev, president of JSC KEGOC.
KEGOC could be mentioned as working in name of government in realization of international cooperation in electrical energy field by Kazakhstan. This Company has been chosen to be a representative of Kazakhstan in Electrical Energy Council of CIS. As it is underlined by experts in frame of Council this Company has played an important part in development of several documents.
First of all, analytics underline Strategy of coordination and cooperation of member countries in sphere of electrical energy until 2020; Conception of establishing common electrical energy market of CIS member countries (by the way, which is already approved by Council of CIS countries’ Heads); and Agreement about establishing common electrical energy market, which was approved in Yalta. However, it has to be underlined that last document was not signed by all members of CIS, among our close neighbors it was not done so by Uzbekistan. Experts from Kazakhstan consider this position of neighboring country because of under reformed electrical system and absence of model of free market. This model is represented in Kazakhstan, Russia “and something is being done in Kyrgyz Republic” was underlined by our experts. Ukraine still does not have developed market of electrical energy, however the system in general, which was established at times of Soviet Union, is very strong and its liberalization is only question of time. In any case, six leading electrical energy countries of CIS have signed this treaty of reforming common electrical energy market.   
Institutionalization and establishment of normative base for expansion of international cooperation is not limited by these actions. There have been signed many treatments and agreements, for example, General principles of electrical energy transition by electricity network in CIS member countries; Conception of regulations frequency and cross-flow of electrical unification among CIS countries. All this formulates a basis for documents, which will synchronize working of national electrical systems in CIS countries in parallel regime. JSC KEGOC has actively participated in framing these documents: as it is underlined by Mr. Bozumbayev, “many of our remarks and offers have been taken into consideration… Traditionally most active in establishing this system are Russians, Kazakhstanies and Ukrainians”. Except everything stated above – a lot is being done by Council of energy policies within integration Committee of European and Asian Economic Cooperation in which specialists of the Company also took an active part in framing agreements.  
Another level, non-CIS, is a participation in working of committee in operational-technical coordination of CIS and Baltic countries (KOTK), and Russia is acting as their system operator. In 2005 KEGOC has joined the Agreement about cooperation in energy unification of Union in coordination of electrical energy transition in European countries.  
- Today we work over opportunity and documents of synchronizing our performances. Probably this will be a long process but at last it will give us an opportunity to integrate to European electrical energy system. There are many pluses in joining it, first of all – strict European standards, which we will have to follow, accordingly apply them on our market, and this will be very positively reflected on our consumers. Moreover, problems of transit will be solved much faster – commented by Mr. Bozumbayev.
If talking about Central Asian region, then by initiatives of KEGOC there was established Electrical Energy Coordination Council in Central Asia, participants of which are KEGOC as a representative of Kazakhstan, “Uzbek Energy” from Uzbekistan, JSC “National Electrical network of Kyrgyz Republic” from Kyrgyz Republic, “Barki Tojik” from Tajikistan. For present time Turkmenistan does not participant in this Council, the country has left parallel work with countries of Central Asia and present time is in cooperation with Iran. However, it is known that by request of Tajikistan, Ashgabat is willing to partially join regional electrical energy system. It has to be mentioned that it is not easy to do; there are many technical issues, which must be solved because equipment is set up differently. Many processes must be carefully considered before Turkmenistan will join in. In any case it will be a major plus since the larger the system more stable it is, more reserves it has, which is important for Kazakhstan until there will not be built own sources generating electricity, which are only planned to be built.  
Main goals of this Electrical Energy Coordination Council of Central Asia – is to coordinate strategy of regional electrical energy system development, pre-concerted offers on rational use of hydro-energy resources, defining working principles of regional electrical system. Before this, there were not such mechanisms in the region, but present time on the basis of this Council, countries of Central Asia could and actually do discuss questions of regional cooperation. “There are of course complex issues, there are some problems but with colleagues from neighbouring countries we have established well managed cooperation” – was noticed by one of the experts. In the frame of this Council there was established Coordinating and Dispatching Centre (CDC), and Electrical Energy Coordination Council is the only regional, Central Asian union that does not have representatives of large non-regional countries.  
As for electrical energy export from Kazakhstan, mainly it is done from Yekibastuz energy region, Hydro-Electro station 1 and 2 but not as much as before because domestic consumption is increasing. Import of electrical energy is done from two directions: in accordance with long term agreement from Russia to Aktyubinsk region (near 200 megawatt) and Western-Kazakhstan region (50-100 megawatt). However, there exists willingness to get out from Russian dependency, and this policy is being successfully realized. This is because of higher tariffs for electrical energy in Russia, which in Kazakhstan are much, lower. For example, price of 1 megawatt per hour on bus-bar in Kazakhstan is near 2 tenge, but what is being paid in Aktyubinsk region is already 3 cents. Moreover, we must not forget that Russian domestic consumption is also increasing and new generation does not follow the pace, and for stable supply of electrical energy in Aktyubinsk and Western-Kazakhstan regions they must be included into domestic, Kazakhstan electrical energy market. 
In summer, during green-house period, there is also import of electricity in south of Kazakhstan from Kyrgyz Republic, which is reflected in cooperation in hydro-energy sphere.
 Does opportunity of increasing energy transit through Kazakhstan territory already exist? Specialists underlined, that potential of KEGOC that is existing at present days is already exhausted.
- However, at summer time, when we have an import of electricity from Central Asian countries we could transit from South to North, Russia near 500 megawatt and as a service company, we are interested in it. Moreover that precedent of this, is additional business and of course additional revenue for us. Unfortunately during dry periods there is not excess of supply in Central Asian countries, but we are hoping that this dry period will end and we will be able to offer transit services – noticed by president of KEGOC.

Evgeny Mishuk, Chairman of the Executive Committee of Electric-power Council of the CIS:

“I’d like to remember the events that happened 10 years ago. I worked in Byelorussia at that time, and I met colleagues form Kazakhstan. We discussed dividing the power industry of Kazakhstan into 3 parts: generation, transmission and distribution. Neither we nor our research institute of power industry believed in success. However, now, after 10 years have passed, KEGOC is a strong modern company. I wish Kazakhstan to have the lights on, to have no natural disasters, and I wish KEGOC to continue the development at the current growth rate. I hope that my colleagues from other CIS countries aren’t offended, but I’d give KEGOC the first place.”
About acquaintance with Kazakhstan: “During 5 years of my study in Polytechnic Institute in Kiev I travelled to Uralskaya oblast (Western Kazakhstan oblast) to help build the transmission line 1004 kW. Often it was the first electrification for some villages. Today I’m exited to know about the object used by KEGOC, and compare the level of work and standard of living of the personnel. Comparing it to the situation 20 years ago is like comparing the heaven and the earth.”