Under the deal, Siemens will install a SCADA/EMS supervisory power control and data acquisition system, designed for real-time control over power supplies, at the offices of System Operator Central Control Directorate (SO-CDA). The system is set to be operational in 2008.
"A real-time decision-making mechanism needs powerful data-processing capabilities," SO-CDA chairman Boris Ayuyev said. "The system will allow us to make such decisions."
He said the system would contribute to the integration of Russian and European electricity networks, and the company planned to complete assessment of the unification in 2007.
The deal was financed through a loan from the European Bank for Reconstruction and Development (EBRD).
Established in 2002 as part of power industry reforms, SO-CDA carries out supervisory control of UES' power supplies.