30.06.2021
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Results of the Board of Directors meeting on June 28, 2021

June 30, 2021, Moscow, Russia. PJSC RusHydro (ticker symbol: MOEX, LSE: HYDR; OTCQX: RSHYY) announces that the Company's Board of Directors held a meeting in absentia on June 28, 2021.


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The Board of Directors approved the report on interim results of execution of PJSC RusHydro’s business plan for the first quarter of 2021 including the report on execution of the investment program as well as comprehensive rehabilitation and modernization program.

PJSC RusHydro’s RAS revenue for the first quarter of 2021 increased by 4% as compared to the first quarter of 2020 and reached RUB 35.98 bn. Net profit came in at RUB 13.5 bn, while EBITDA amounted to RUB 23.67 bn – 17% above the average of the last five years.


Financing of PJSC RusHydro’s investment program amounted to RUB 3.1 bn, including RUB 2.7 bn for comprehensive rehabilitation and modernization program. In the first quarter of 2021, the Company did not commission new capacities.


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The Board of Directors approved gratuitous transfer of infrastructure facilities to the municipal authorities of the Amur region and Kabardino-Balkar republic. The assets have no relation the RusHydro’s operational activity and are classified in PJSC RusHydro’s register as none-core assets for gratuitous transfer.


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The Board of Directors reviewed possible consolidation of newly constructed thermal power generation facilities by DGK and considered it feasible.


The consolidation includes transfer of Blagoveshenskaya CHPP, Vostochnaya CHPP and CHPP in Sovetskaya Gavan with their heat networks to DGK, the largest generating company operating in the five regions of the Far East.


Upon completion, a single managing entity of thermal power assets will be formed resulting in additional savings in operating expenses as well as optimization of corporate structure by eliminating special purpose companies (holders on assets).


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The Board of Directors took into consideration the information on the status of execution of priority projects in the Far East.


The Group is carrying out construction of the first phase of 110 kV Pevek-Bilibino power lines. Power transmission line poles are currently being erected.


Construction of Ust-Srednekanskaya HPP in the Magadan region is under way. The facility’s installed capacity has been expanded to 369 MW following replacement of temporary runner #1 with permanent.


The Group is also engaged in the four projects under the governmental program on modernization of thermal power of the Russian Federation with guaranteed return on investment – construction of Khabarovskaya CHPP-4, Artemovskaya CHPP-2, second phase of Yakutskaya GRES-2 and modernization of Vladivostokskaya CHPP-2. The technical documentation and engineering studies for Khabarovskaya CHPP-4 have been approved by the Russian Federation’s State Expert Evaluation Department. The documentation for the second phase of Yakutskaya GRES-2 has been submitted to the authority already, while the documentation for construction of Artemovskaya CHPP-2 and modernization of Vladivostokskaya CHPP-2 will be submitted in the current year.


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The Board of Directors took into consideration information on PJSC RusHydro’s development of small hydropower plants. Under the DPM for renewables mechanism, the Company has commissioned 10 MW Verkhnebalkarskaya small HPP in Kabardino-Balkar Republic, 5.6 MW Ust-Dzhegutinskaya small HPP in Karachay-Cherkessia and 5.25 MW Barsuchkovskaya small HPP in the Stavropol region.


The Company is currently engaged in construction of Krasnogorskaya small HPP 1 and 2 (each 24.9 MW) in Karachay-Cherkessia and is engineering 10 MW Bashennaya small HPP in Chechen Republic and 19.1 Psygansy small HPP in Kabardino-Balkar republic. By the end of 2024, RusHydro will commission 78.9 MW of small hydro. The Company is carrying out activates aimed at efficiency improvement and long-term viability of small HPPs and considering potential projects within the scope of upcoming DPM for renewables auctions.


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The Board of Directors approved changes to the single provision on procurement for RusHydro Group’s needs.


The changes streamline participation in RusHydro’s procurement procedures for small and medium-size businesses and help expedite the planning process for selection of suppliers.


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The Board of Directors reviewed and approved the reports on the performance of the Committees to the Board of Directors for 2020-2021. In the reporting period six Committees held 59 meetings, including 10 in the form of joint attendance where 135 items were reviews.

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