Article 12-1. The procedure for determining the marginal tariffs for electric energy, the marginal tariff for balancing electricity, the marginal tariff for negative imbalances, and the marginal tariffs for electric Capacity Maintenance services of the Electric Power Industry Act
1. Excluded by the Law of the Republic of Kazakhstan dated 04.07.2012 No. 25-V (effective from 01.01.2019).
2. An energy-producing organization sells electric energy no higher than the maximum tariff for electric energy multiplied by the corresponding hourly rates determined in accordance with the procedure determined by the authorized body.
The marginal tariff for electric energy is approved by groups of energy-producing organizations that sell electric energy every seven years, broken down by year, and adjusted if necessary.
To determine the marginal tariff for electric energy for the first seven years of its operation, the maximum costs for the production of electric energy that have developed in the corresponding group of energy-producing organizations that sell electric energy during the year preceding the year of the introduction of the marginal tariff for electric energy are used.
The marginal tariff for balancing electricity is defined as the highest marginal tariff for electric energy in the unified electric power system of the Republic of Kazakhstan, taking into account hourly rates determined in accordance with the procedure established by the authorized body, increased by a balancing surcharge determined according to the methodology approved by the authorized body.
The marginal tariff for negative imbalances, which is the maximum price allowed for subjects of the balancing electricity market to purchase negative imbalances from the balancing market settlement center, is defined as the lowest marginal tariff for electric energy in the unified electric power system of the Republic of Kazakhstan.
The maximum tariff for electric energy is adjusted no more than once a year on the basis of an application from an energy-producing organization to an authorized body, submitted using the information system of the authorized body, in connection with changes in the price of coal, gas, sulfur-containing raw materials, petroleum products used as fuel for the production of electric energy, and water used for technological needs in the process of electric energy production, and (or) tariffs (prices) for coal transportation subject to state regulation, natural gas, sulfur-containing raw materials, and petroleum products.
In the event that the energy producing organization has suffered losses related to the above-mentioned costs, the authorized body takes into account the costs incurred when adjusting the marginal tariffs for electric energy for a period of no more than six months.
The marginal tariff for electric energy for newly commissioned energy-producing organizations is determined on the basis of projected costs for the production of electric energy for the coming year and is approved for the duration of the marginal tariffs for electric energy approved for existing energy-producing organizations.
Documents confirming the need to approve or adjust the maximum tariff level for electric energy are provided by energy-producing organizations through the information system of the authorized body.
Based on the results of the report specified in subparagraph 4) of paragraph 3 of Article 12 of this Law, the authorized body reviews the level of the marginal tariff for electric energy for a newly commissioned energy-producing organization.
When determining the marginal tariff for electric energy, the costs associated with the purchase of electric energy from an energy-producing organization using renewable energy sources, at least twenty-five percent of the voting shares (shares in the authorized capital) of which are directly or indirectly owned by the National Welfare Fund, are not taken into account.
2-1. The energy producing organization independently sets the tariff for the service for maintaining the availability of electric power, but not higher than the maximum tariff for the service for maintaining the availability of electric power.
The maximum tariff for the service for maintaining the availability of electric power is approved by the authorized body for a period of seven years, broken down by year and adjusted, if necessary, in order to ensure the investment attractiveness of the industry.
To determine the marginal tariff for the service of maintaining the availability of electric power for the first seven years of its operation, the total amount of investments (with the exception of investments due to depreciation charges) invested by energy-producing organizations in 2015 under agreements with the authorized body is used.
RCPI's note! Paragraphs 1-5 of paragraph 3 were valid until 01.01.2016 in accordance with the Law of the Republic of Kazakhstan dated 04.07.2012 No. 25-V.
3. In order to sell electric energy at prices not exceeding the maximum tariff, the energy producing organization shall conclude an agreement with the authorized body in accordance with the established procedure.
The agreement provides for investment obligations of the energy producing organization for the implementation of measures aimed at the creation of new assets, expansion, renovation, support, reconstruction and technical re-equipment of existing assets.
The agreement defines a list of activities related to the production of electric energy, indicating the physical volumes and amounts of investments for each event.
When concluding an agreement, the conclusion of an independent energy expertise is taken into account to confirm the technical condition of the equipment.
Amendments and (or) additions to the agreement with a reduction in the total amount of investments are not allowed, except in cases of a reduction in the selling price of electric energy within the framework of the marginal tariff and the volume of electric energy production.
RCPI's note! The paragraph was valid until 01.01.2017 in accordance with the Law of the Republic of Kazakhstan dated 04.07.2012 No. 25-V.
The authorized body monitors the execution of agreements by energy-producing organizations, the costs of production and sale of electric energy, and the volume of production and sale of electric energy.
RCPI's note! The paragraph was valid until 01.01.2016 in accordance with the Law of the Republic of Kazakhstan dated 04.07.2012 No. 25-V.
The energy producing organization independently determines its investment obligations in accordance with the planned depreciation charges and the level of net income from the sale of electric energy at prices not exceeding the marginal tariff.
RCPI's note! Paragraph 3-1 was valid until 01.01.2016 in accordance with the Law of the Republic of Kazakhstan dated 04.07.2012 No. 25-V.
3-1. The energy producing organization submits to the authorized body a draft agreement by October 1 of the year preceding the year for which the agreement is concluded.
Based on the results of the review, the authorized body, within forty calendar days calculated from the date of receipt by the authorized body of the draft agreement, sends the energy producing organization a copy of the signed agreement or a reasoned decision to refuse to conclude the agreement.
Unjustified refusal or evasion from concluding an agreement by the parties is not allowed.
If the authorized body fails to provide a response within the time limits established by this Law, the agreement is considered concluded.
In case of failure to reach agreement on the terms of the draft agreement within thirty calendar days from the date of receipt by the energy producing organization of a reasoned decision of the authorized body to refuse to conclude the agreement, the disagreements that arose during the conclusion of the agreement are subject to settlement in accordance with the civil legislation of the Republic of Kazakhstan.
During the dispute settlement period, the energy producing organization sells electric energy at a price not exceeding the cost of generating electric energy, excluding depreciation and profit costs.
4. Excluded by the Law of the Republic of Kazakhstan dated 04.07.2012 No. 25-V (effective from 01.01.2019).
5. Excluded by the Law of the Republic of Kazakhstan dated 04.07.2012 No. 25-V (effective from 01.01.2019).
6. Excluded by the Law of the Republic of Kazakhstan dated 04.07.2012 No. 25-V (effective from 01.01.2019).
The Law of the Republic of Kazakhstan dated July 9, 2004 No. 588.
This Law regulates public relations arising in the process of production, transmission and consumption of electric energy.
President
Republic of Kazakhstan
© 2012. RSE na PHB "Institute of Legislation and Legal Information of the Republic of Kazakhstan" of the Ministry of Justice of the Republic of Kazakhstan
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