Moscow, 23 October 2006.

Dear Mr. Lilius,

I was very pleased to learn about a successful acquisition by Fortum of 12.5% shares in St. Petersburg Generating Company and obtaining a blocking minority with TGC-1.

I consider this deal to be an important step forward for the Russian power sector reform. It proves attractiveness of the Russian power industry for foreign strategic investors and gives us confidence in the right direction of its development.

We are sure that Fortum has long-term and serious intentions to work in the Russian power market. I strongly believe that the industry will benefit from effective western technologies and management experience brought by your company to Russia. We are looking forward to Fortum's active participation in the further development of the Russian power sector.

I wish your Company further successful growth and development in Russia. Please be assured that RAO UES management and I personally are ready to provide all the necessary support to your future activities in the Russian power market.

Sincerely yours,
Anatoly Chubais