Situation:
CEZ operated the electricity distribution network and provided electricity to over 2 million customers in Western Bulgaria. The company operated in a highly regulated market and had limited opportunities for investment and network improvements, which were approved by the energy regulator.
It was important for CEZ to have good coordination of investment priorities with local authorities, as well as an understanding on their part that the company does not determine the resources it can allocate.
Goals:
- Explain the reasons that lead to limiting CEZ’s investments in Western Bulgaria
- Receiving support for CEZ’s price proposals to the regulator and the need to create better conditions for investments in the electricity distribution network
- Maintaining good partnership relations with local authorities and limiting possible attacks against the company
Strategy:
- Holding a series of meetings with the mayors in the 10 districts in Western Bulgaria – Sofia, Sofia-city, Pleven, Lovech, Kyustendil, Vidin, Vratsa, Montana, Pernik and Blagoevgrad
- Organizing the meetings with the help of the respective regional administrations to make the communication with the mayors much easier
- Preliminary collection of information on possible issues in the regions and presentation of options for improving the situation
- Explain how the investments of the electricity distribution companies are approved and attract support for the proposals for higher investments of CEZ front the responsible institutions.
Tactics:
- A series of 10 meetings with representatives of local authorities in the 10 administrative districts in Western Bulgaria
- Joint meetings with the mayors of the respective district
- Individual meetings with the regional governor and the mayor of the regional city
- Presentation of CEZ’s investment plans for the respective region, discussion of the needs and agreement on the priorities
- presentation of CEZ’s top managers
- discussion
- The signing of a declaration by the mayors in each district:
- support for the approval of higher investments for CEZ by the state regulator
Creating an opportunity for the quick direct contact of local authorities with CEZ managers:
- direct telephone line for the mayors with the top management of CEZ
- Media communication
- sending press releases to regional and national media before and after each meeting
- organizing a short briefing for the local media after each meeting
Results:
- Partnerships with mayors of 85 municipalities and administrations in 10 districts in Western Bulgaria were established
- Over 200 representatives of local authorities participated in the meetings with CEZ
- Local authorities supported the company and its request for higher investments in special declarations to the state regulator
- The meetings enabled CEZ managers to plan the company’s investments more efficiently so as to meet the needs of the municipalities in the best way.
- Over 240 publications in national and regional media
- Following the positive feedback received, the meetings with the mayors were established as a regular annual practice of CEZ.
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