Moscow, 2 February 2005. At its regular meeting held today, the Audit Committee under the Board of Directors of RAO "UES of Russia" approved the basic principles for the conduct of tenders to select auditors for RAO "UES of Russia" and auditors for the Company's subsidiaries and dependent companies for 2005. The Audit Committee recommended that the Board of Directors of RAO "UES of Russia" include the Committee representatives Seppo Remes and Sergey Skatershchikov in the Tender Commission to select Company auditors for 2005.

Besides, the Committee approved a list of tasks and priorities for its activities in H2 2005, including the following: development and approval of a series of recommendations designed to organize internal control of the fuel supply and consumption processes at RAO UES enterprises, as well as control over the introduction of procedures for disclosure of insider trading in securities of RAO "UES of Russia".

The Committee also considered the matters relating to the preparation of IFRS financial statements of RAO "UES of Russia" and recommended that the Company's Management Board take further steps to facilitate preparation of IFRS financials using their inner resources.