By a decision of the Board of Directors of Kubanenergo of 20.07.2011 (Protocol №114/2011) a new organisational structure of the Kubanernergo executive apparatus was approved and implemented on 1 August 2011 in order to optimise the organisation and functional structure of the Company taking into account tariff and balance decision and the programme for managing expenditure aimed at achieving operational effectiveness in the long term for 2011-2015.

To carry out the state policy in the field of energy saving and improving energy efficiency and executing the tasks on consolidating electricity network assets in the executive apparatus of the Company a Department for Energy Saving and Improving Energy Efficiency and a Department for Consolidation of Electricity Assets were set up.

To improve the effectiveness of managing construction of Olympic facilities the organisational structure of the executive apparatus was refined with regard to a group to support construction of Olympic facilities: a design group was set up to realise projects — project management teams who have comprehensive authority and responsibility for organising and managing construction production for facilities attached to them, including all stages from developing proposals on siting of a facilities to bringing it into operation, including functions in managing the property of Olympic facility construction, engineering supervision of their construction and renovation, as well as legal and financial supervision and holding tenders for construction of these facilities.

In the accounting year the organisational structures of the management bodies of Kubanenergo branches have been typed and implemented since 1 August 2011. The transition to the new organisational structures made is possible to set up clear hierarchies of management, executive apparatus — branch, which facilitated a rise in the level of manageability, optimal defining of functions between levels of management, and eliminating duplication of function.

The organisational structure of the executive apparatus and management bodies at branches in Kubanenergo comply with the overall tasks and functions being carried out by the Company.