In the mid-nineties the Government of the Republic of Kazakhstan (which became independent in December 1991 after the implosion of the former Soviet Union (USSR)) decided to privatize ALMATYENERGO, the utility company in the (at that time) capital Almaty in view of attracting foreign investors and to secure the supply of electricity and heat to its citizens and in its oblasts (provinces) in the south-east of the country near the Chinese and Kirghize border.
After the privatization process, ALMATYENERGO was renamed “ALMATY POWER CONSOLIDATED” or “APK”.
Together with a team of Belgian Engineers and International Managers from the Belgian Utility Group TRACTEBEL ELECTRICITY & GAS INTERNATIONAL (part of the French SUEZ GROUP), one of the current PDG Managers has been able, with the support of very experienced local (Kazakh) staff members of ALMATYENERGO, to implement an important crash program allowing the utility to overcome the rough 1996-1997 winter period whilst supplying sufficient electricity and district heating to the utility customers in the former capital and in its oblasts.
Through a very strict metering, billing and collection process, the new management has been able to improve the cash collection rate from some 60 % at the beginning of its mission till some 90 % some three years later.
In between, the new management has been able to obtain in April 1997, after very tough negotiations with the Kazakh Antimonopoly Committee, increases in energy tariffs for electricity and for heat between 20 % and 40 % compared to the prevailing energy tariffs at the start of the mission.
