The NERC To Prolong Mutual Debt Settlements In The Energy Sector.

National Electricity Regulation Commission (NERC) is initiating the postponement of the deadline of the first stage in energy debt problem solving. The first stage, mutual write offs of the debts between companies, was scheduled to finish in August 2006, however, the NERC has proposed prolong the period to the end of 2006. The Cabinet has signaled its readiness to approve the prolongation. The NERC is calling on enterprises in the fuel and energy complex to be more active in conducting mutual debt settlements. Concorde Capital: This information gives a dual impression: on the one hand, postponement means more time for the companies to solve their debt problems, but on the one hand, this means the companies are not ready to start actively solving their mutual debt problems. We expect the process to be prolonged even further.