The Unified Energy Systems of Russia (RAO-UES) in Central Asia and the Caucasus: Nets of Interdependence

Most Central Asian and Caucasus countries have, to some extent, transformed and privatized their electricity sectors using the World Bank's advice. In recent years, the Russian parastatal Unified Energy Systems of Russia (RAO-UES) has purchased much of the generation and transmission assets that were made available. This article examines the transformation of the post-Soviet electricity sector. The author explores how RAO-UES became the most important foreign investor, even in states that have problematic relations with Moscow, the advantages and disadvantages of RAO-UES participation for the successor states, and the energy security implications of the grid as it now exists for these southern states. [PUBLICATION ABSTRACT]