Gazprom and Siemens developing cooperation on production of electrical equipment in Russia

RELEASE

Denis Fyodorov, Director General of Gazprom Energoholding, and Alexander Liberov, Chief Financial Officer of Siemens, today signed at the St. Petersburg International Economic Forum 2018 an Agreement of Strategic Cooperation.

The document was signed in the presence of Alexey Miller, Chairman of the Gazprom Management Committee.

The Agreement defines the main directions and principles of cooperation in the field of technological upgrading of Gazprom Energoholding's generating facilities with the use of innovative electrical equipment made by Siemens. Specifically, one of the priority areas of joint work is the introduction of vacuum generator switches and high-tech components in the construction and upgrading of power units.

Siemens plans to organize the manufacture of that equipment in Russia and bring the local content of production processes to at least 50 per cent by 2020, with an option for a phased increase to 75 per cent by 2022.

Background

Siemens AG is a leading manufacturer of electronics and electric tools. The company entered the Russian market in 1853. Gazprom and Siemens promote cooperation in the following areas: automation, telemechanics, power generation, compressor station equipment, oil and gas field development technologies, energy saving, and environmental protection. Siemens AG is the only shareholder of Siemens LLC.

Gazprom Energoholding, a vertically integrated holding company (a wholly-owned subsidiary of Gazprom), manages the production companies of the Gazprom Group in the power generation sector (Mosenergo, TGC-1, OGK-2, and MOEK) under unified corporate standards. The Group generates about 1/6 of all electric power in Russia's Unified Energy System and is the largest producer of thermal power in the world. In particular, the Group supplies power and heat to Moscow, St. Petersburg, and a number of other economically developed regions of Russia.

 

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