Moscow, 25 September 2006. Chairman of the Management Board of RAO "UES of Russia" Anatoly Chubais had a meeting with Fulvio Conti, Chief Executive Officer and General Manager of ENEL SPA.

The parties discussed the progress of the Russian electricity reform. Specifically, Mr. Chubais informed Mr. Conti about the final stage of the electricity reform, the forthcoming reorganization of RAO "UES of Russia", and the sector structure to be formed as a result of the ongoing reform. He also spoke about the expected timeframes for generation companies' IPOs and private placement mechanisms designed to attract investments needed for the sector development.

Among other issues discussed were the launch of a new model of the wholesale electricity market on 1 September 2006, the first results of its operation, and the prospects of stepwise liberalization of the electricity market in Russia.

Mr. Fulvio Conti said that ENEL was interested in acquiring, as a strategic investor, at least a blocking stake (25 percent plus one share) in heat generation companies.

RAO "UES of Russia" is interested in having ENEL as a strategic investor. RAO UES CEO emphasized that all sales of shares in generation companies will be carried out on a competitive basis in a most transparent manner.