History of the Conception and Development of Kuban Power System and PJSC Kubanenergo

XIX century

The beginning of the Kuban electric power system – construction of small substations in the region.


Soviet power established in Kuban, all industrial businesses nationalised.


Establishment of the Electric Department under the Kuban-Black Sea Council of National Economy to manage power facilities in the Kuban.

In total, there were 353 electricity stations operating in the Kuban, with a total capacity of 13.7 MW; 16,200 electric lamps and 621 electric motors were connected to the network. The Vodeltram association, which included urban and utility services for water supply, transport (trams) and electricity support of the Krasnodar city was founded. There were 45 km of transmission lines, and the electrical grids were rated for voltage of 2 kV.


North Caucasus Energy Department (Sevkavenergo) was set up to manage power facilities in the Kuban. In 1934, Sevkavenergo was divided into two independent departments – Azcherenergo (Rostov-on-Don) and Sevkavenergo (Pyatigorsk).


Separation from Azcherenergo of Krasnodarenergo District Energy Department, whose main areas of activity were production, distribution and sales of electricity and thermal energy, restoration and development of energy systems, monitoring energy use and overseeing operation of power plants of organisations in the Kuban. Electricity stations, substations, districts of electrical grids, power sales, a repair and engineering works, central warehouse, environmental survey bureau, and a production and research laboratory were under the jurisdiction of Krasnodarenergo as independent self-supporting organisations.

Late 1950s – early 1960s

Construction of 110 and 220 kV main transmission lines for connection with electric power systems in southern Russia and Transcaucasia, electrification of the railway system in the Krasnodar Territory, construction of electricity distribution grid facilities, electrification of rural centres of population.


Urban and rural electric grid organisations of the Kuban were transferred from the Regional Department for Public Utilities to Krasnodarenergo.

1972 – 1975

Assembly of the first two gas turbine installations in the USSR, each of 110 MW, in the Krasnodardskaya CHPP. The total capacity of the CHPP, block portion and the two gas turbines was 959 MW.

1970 - 1980

Significant increase in the volume of construction of new electricity transmission lines related to the explosive growth in electricity consumption. The total length of lines grew up to 90,000 km, and the number of 35-500 kV substations exceeded 700.


Krasnodarenergo was abolished and its assets were used to set up Krasnodar Production Association of Power Supply and Electrification (Krasnodarenergo).


During privatization, Krasnodarenergo was reformed into the joint stock company Krasnodarenergo. In addition to electric grid organisations it included as branches the Krasnodar CHPP, Energonadzor, repair and construction organisations, a training complex, a holiday hotel, and a Pioneer camp.

49% of shares in the Company were transferred as payment of equity capital to UES of Russia and the remaining 51% were acquired by members of the labour collective and others with the right to concessions in accordance with the State Programme for Privatisation.

2004 -2005

During restructuring of the electricity sector in Russia, Kubanenergo disengaged from service and non-core operations and dispatch functions by splitting them off into separate organisations: operating and dispatch management was transferred to SO UES; Krasnodarenergoremont, Krasnodarenergosetremont, the recreation centre hotel Energetik and the health complex Plamya were founded, and the non-profit non-governmental educational institution Kubanenergo training centre was set up.


As part of restructuring of the sector, the following were separated from Kubanenergo: Kuban Generation Company (generating capacity), Kuban Transmission Networks (network facilities), Kuban Power Sales Company (guaranteed electricity supplier, purchase of electricity on the wholesale market and its supply to end users).


From 1 July, Kubanenergo became a dependent company in IDGC Holding, which received a block of voting shares in the Company as succession to title according to the spin-off balance sheet as the result of structuring of RAO UES of Russia. In 2012, in connection with the acquisition by IDGC Holding of a block of additional shares in Kubanenergo, the Company became a subsidiary of IDGC Holding.

The main function of the Company within IDGC Holding is to take part in the development of the electricity sector in Russia with regard to the distribution grid complex.


Using JSC Russian Grids as a base, a single management company for the grid complex was formed, including transmission and power distribution networks, designed to ensure coordination of the actions of all network organizations in Russia in the field of tariffs, technical policy and investment planning, ensuring transparency of financial and economic activities, as well as in the field of anti-corruption policy. The share of JSC Russian Grids in the Company’s authorized capital increased in 2013 to 92.24%.


Reference to Company’s public status was included into its corporate name.