MUEC Moscow United Energy Company

Open Joint-Stock Company Moscow United Energy Company MUEC) was created to consolidate the energy assets of the city of Moscow and implement the energy policy of the Moscow Government, in particular, the Agreement on Cooperation in Reforming the Electric Power Complex of the City of Moscow between RAO UES of Russia, the Government of Moscow, OJSC Mosenergo and REK K of Moscow.

Performance indicators

2021: Revenue growth by 18.9% to 185.67 billion rubles

Moscow United Energy Company (MOEK), which performs the functions of a single heat supply organization in the Russian capital, earned 185.67 billion rubles of revenue in 2021 (according to IFRS), which is 18.9% more than a year earlier. Net profit during this time increased by 27.5% and reached 8.62 billion rubles against 11.35 billion rubles in profit in 2020, according to data released by MUEC in March 2022.

Revenue growth in the company was associated with an increase in the sale of thermal energy due to the lower average outdoor temperature and a longer heating season in the reporting period (the volume of useful heat supply to consumers in 2021 exceeded 2020 by 20%).

The revenue of the single heat supply organization of Moscow MUEC for the year increased by almost 19%

Speaking about net profit, the MUEC noted that a significant part of this indicator is due to technological connection services, at the same time, all cash receipts were directed to the implementation of measures to connect new consumers, and non-monetary transactions, in particular loss compensation agreements, which provide for the restoration by third-party organizations of the heating networks of PJSC "MUEC," which they liquidate during the implementation of large-scale urban development projects (construction of metro lines, transport junctions, road junctions, etc.).

In 2021, MUEC operating expenses amounted to 170.54 billion rubles, which is 21.8% higher than the costs a year ago. MUEC for 2021 is connected to the heat supply system of 458 new facilities in Moscow and New Moscow. The total connected heat load was 1095.6 Gcal/h, which is comparable to the heat consumption of three large districts of Moscow: Veshnyaki, Golyanovo and Izmailovo with a population of more than 390 thousand people.^[1]

2017: Profit of MUEC PJSC in 2017 under IFRS increased by 35.8%

• The Company's revenue for 2017 amounted to 144 billion 270 million rubles, showing an increase of 6.5% compared to the same indicator in 2016.
• Operating expenses in the reporting period increased by 6.5% to 136 billion 253 million rubles, which is mainly due to an increase in variable expenses from 85 billion 582 million rubles to 91 billion 96 million rubles by 6.4%.
• EBITDA grew by 6.3% in 2017 and amounted to 21 billion 979 million rubles.
• The profit of PJSC "MUEC" under IFRS for 2017 year amounted to 6 billion 759 million rubles, which is higher than the same indicator for 2016 year by 35.8%.

History

2019

The main task of the company is to provide Moscow with high-quality and reliable heating and hot water supply. The company's activities include the production, distribution and sale of thermal energy. More than 70% of the population of the capital, as well as hundreds of enterprises and organizations, use MUEC services daily. In total, the company serves over 45 thousand buildings. The company employs over 19.5 thousand employees who serve 9,446 central and individual heat centers, 70 district and quarterly heat plants and 10,766 kilometers of heating networks.

As of August 2019, PJSC "MUEC" is the operator of the longest thermal power system in the world: the company operates over 16,440,1 km of heating networks, including about 8,066,6 km of main and 8,373,5 km of breeding. The company also operates over 10 thousand heat points. PJSC "MUEC" operates 143 power sources with an installed thermal capacity of 4.82 thousand. Gcal/h.

2018: The Board of Directors of PJSC "MUEC" approved the investment program

The Board of Directors of MUEC PJSC approved the investment program of the Company for 2018 in terms of expenses not related to the connection of new consumers in the amount of 12.9 billion rubles and the main parameters of the investment program of MUEC PJSC for 2019-2020. The investment program of MUEC for the next three years, excluding the costs of connecting new consumers, is 34.4 billion rubles. Its main goal is to increase the reliability, safety and economic efficiency of heat supply to consumers in Moscow.

In particular, the program provides for the development and modernization of energy facilities, optimization of the existing heat supply system, and reduction of wear and tear of engineering networks. At the same time, projects will be implemented to increase the efficiency and reliability of the Moscow heat supply system using modern technologies. Comprehensive reconstructions of the Perovskaya, Maryinskaya and Biryulyovo-Borisovskaya pumping stations will be carried out.

Together with PJSC Mosenergo, a program will continue to switch loads of inefficient thermal energy sources to the CHP, within the framework of which by 2020 it is planned to carry out measures at 8 facilities.

The investment program of PJSC MUEC for 2018-2020 also includes large projects implemented jointly with the Moscow Government. In particular, in the area of ​ ​ construction of the Kozhukhovskaya metro line, the heating main will be removed from the development zone. In 2018-2020 "MUEC" will also carry out work to eliminate the so-called bypasses (pipelines in above-ground laying) with a total length of 10.7 kilometers, which will bring the appearance of the city in accordance with modern requirements.

Also, by a decision of the Board of Directors, the Technological Interconnections Program for 2018-2020. in the amount of 29.5 billion rubles. It is aimed at developing the city's heat supply system and providing heat supply to newly connected consumers. Among the projects included in the Program, including sports facilities initiated by the Moscow Government, residential complexes in the Pokrovskoye-Streshnevo area, in Zelenograd, on Dmitrovskoye Shosse, Leningradsky Prospekt and several others.