The postponement of the debates on the set of bills on reforms in the electrical power industry in the State Duma until autumn 2002 will have a negative effect on the capitalization of the company. RAO UES Executive Board Deputy Chairman Vyacheslav Sinyugin voiced this opinion after the announcement of the State Duma's decision to postpone the first reading of the bills on electrical power industry reforms until autumn 2002 today. According to him, this decision by the State Duma has caused concerns among shareholders in the company and the investment community, since it created uncertainty about the term and the legal basis of the process of reforming the electrical power industry.
At the same time Sinyugin pointed out that the founding of the Federal Network Company, a System Operator, wholesale generating companies and the first stage of reforms in regional power utilities would not be ceased.
Sinyugin expressed satisfaction with the position of the Russian government, "which made clear its firm intention to take every measure to guarantee the adoption of the bills on reforms in the electrical power industry by the Federal Assembly before the end of 2002."
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