The European Commission has chosen an international consortium led by KEMA Consulting to support the restructuring and liberalisation process for the future electricity market in Russia. The Russian electricity sector (RAO-UES of Russia) is the largest in the world. The Federal Wholesale Electricity and Power Market (FOREM) was established by RAO-UES of Russia to create competition in the electricity sector.
The project includes designing the power market structure and developing a legislative framework ; developing technical codes and rules, such as the grid and metering codes; developing pricing rules and tariffs; creating a corporate and organisational structure; and providing a comprehensive training programme. It is hoped that privatisation will attract the $70 million investment needed to rehabilitate and upgrade generation, transmission and distribution facilities to ensure a reliable supply of electricity in the country.