Article 13. Requirements for participants in the production and transmission of electric energy The Law on Electric Power Industry

Home / RLA / Article 13. Requirements for participants in the production and transmission of electric energy The Law on Electric Power Industry

1. Regional electric grid companies shall ensure compliance with the daily schedules of production and consumption of electric energy by all subjects of the wholesale and retail electric energy market connected to their network, and compliance with balances of electric energy flows agreed with the system operator between the networks of regional electric grid companies and the national electric grid.

1-1. Regional electric grid companies, to the electric grids of which facilities for the use of renewable energy sources are directly connected, are required to accept in full the electric energy produced and supplied by energy-producing organizations using renewable energy sources.

2. In case of termination of the energy supply through no fault of the consumer, the energy supply organization – the guaranteeing supplier of electric energy provides energy supply to consumers on the basis of public contracts.

3. Energy supply organizations purchase electric energy for the purpose of supplying energy to their consumers from a single buyer of electric energy and (or) from net consumers.

Energy supply organizations, as a matter of priority, purchase electric energy from hydroelectric power plants with a total installed capacity of no more than 10 megawatts located in their service area, commissioned before July 1, 2023 and which, as of July 1, 2023, did not have long-term contracts for the purchase and sale of electric energy concluded with a single buyer in accordance with the legislation of the Republic of Kazakhstan in the field of support for the use of renewable sources of energy, at the marginal tariff for electric energy established in accordance with Article 12-1 of this Law.

At the same time, the purchase of electric energy from these hydroelectric power plants is allowed at the level of installed capacity as of July 1, 2023.

3-1. Energy producing organizations are obliged to sell the entire volume of electric energy supplied to the grid to a single buyer of electric energy and (or) consumers who are part of the same group of persons with them, or to the administrator of a hybrid group who is part of the same hybrid group with them, in accordance with this Law.

Energy-producing organizations that sell electric energy to consumers who are part of the same group of persons with them, and to the administrator of a hybrid group who is part of the same hybrid group with them, are required to sell electric energy outside the group of persons and the hybrid group only to a single buyer of electric energy. In this case, a consumer is a legal entity that purchases electrical energy for its own needs without further sale.

At the same time, the amount of electric energy not declared for sale by an energy-producing organization in accordance with paragraphs one and two of this paragraph is not subject to sale by submitting an application for participation in balancing for an increase.

An energy-producing organization using renewable energy sources, with at least twenty-five percent of the voting shares (stakes in the authorized capital) of which are directly or indirectly owned by the National Welfare Fund, has the right to sell electric energy in the cases specified in paragraph 2-2 of Article 10 of this Law, as well as in the cases specified in paragraph 16 of this Article..

3-2. Energy producing organizations are prohibited from:

1) sale (sale) of electric energy to subjects of the retail electric energy market, as well as subjects of the wholesale electric energy market, with the exception of a single buyer of electric energy and (or) consumers who are part of the same group of persons with him, or the administrator of a hybrid group who is part of the same hybrid group with him;

1-1) realization (sale) of electric energy in the absence of an automated commercial accounting system for electric energy, which ensures the transfer of hourly accounting data according to agreed protocols to the central database of the automated commercial accounting system for electric energy of the system operator;

1-2) sale (sale) of electric energy to digital miners, except for the cases specified in subitems 2) and 4) of Article 9-4 of this Law;

2) acquisition (purchase) of electric energy from another energy-producing organization, unless otherwise provided for in paragraph 16 of this Article;

3-1) sale (sale) of electric energy to energy supply, energy transmission organizations and consumers who are subjects of the wholesale electric energy market that do not have contracts with a single buyer for the provision of services to ensure the readiness of electric power to carry the load;

3-2) unjustified refusal or evasion from concluding an agreement with individual buyers of electric energy on the wholesale market who have an agreement with a single buyer for the provision of services to ensure the readiness of electric power to carry the load, if there is free electric power available for supply to the grid from their own generating units, information about which is posted by the energy producing organization on its Internet resource in in accordance with paragraph 13 of this article, based on the results of centralized trading in electric energy, as well as unjustified reduction in the volume of electric energy production, including hourly, or cessation of production of electric energy for which there is demand and orders from consumers.

At the same time, refusal or evasion from concluding a contract, as well as reduction or termination of electric energy production, are considered justified in one of the following cases, if:

The energy producing organization does not have the technical capability of producing and distributing electric energy confirmed by the system operator at the time of the consumer's request.;

the energy producing organization provides power regulation services to the system operator for the amount of the agreed volume (range of regulation);

The energy producing organization maintains the required amount of reserve electric capacity to provide electric energy to consumers included in the Register of the relevant group of persons, in the amount of no more than ten percent of the available capacity.;

The buyer of electric energy in the wholesale market does not confirm his solvency at the time of application.;

4) acquisition (purchase) of electric energy for the purpose of energy supply, except for the following cases::

emergency capacity depletion in the amount determined based on the daily schedule of electric energy production;

purchases from the settlement and financial center for the support of renewable energy sources of electric energy produced by facilities for the use of renewable energy sources, facilities for energy waste disposal.

3-3. Energy supply organizations are prohibited from:

1) sale (sale) of electric energy to digital miners, another energy supply organization, as well as its acquisition (purchase) from another energy supply organization, with the exception of energy supply organizations that sell volumes of electric energy purchased from outside the Republic of Kazakhstan;

2) sale (sale) of electric energy to consumers who are subjects of the wholesale electric energy market and are on the list of consumers of the power market formed by the system operator.

The list of consumers of the capacity market is posted on the Internet resource of the system operator and is updated by the system operator upon changes in the composition of consumers of the capacity market.

Prohibition provided for in subparagraph 2) the first part of this paragraph does not apply to the following cases of sale of electric energy to consumers who are subjects of the wholesale electric energy market:

consumers included in the Register of the relevant group of persons;

in total, no more than 1 megawatt of average daily (base) capacity for supply to separate structural units of the consumer;

for a period of no more than forty-five calendar days from the date of inclusion of the consumer in the list of consumers of the capacity market.

for volumes of electric energy purchased from outside the Republic of Kazakhstan.

3-4. For legal relations in the wholesale market of electric energy and capacity related to the purchase of electric energy and capacity, balancing electricity and negative imbalances, services for the use of the national electric grid, services for the transmission of electric energy, including through the national electric grid, technical dispatching services, services for balancing the production and consumption of electric energy, services of the operator of the centralized trading market, services for ensuring the availability of electric power, The legislation of the Republic of Kazakhstan on public procurement does not apply.

3-5. excluded by the Law of the Republic of Kazakhstan dated 04/19/2023 No. 223-VII (effective from 07/01/2023). IZPI's note! Paragraph 3-6 is provided for in the wording of the Law of the Republic of Kazakhstan dated 07/08/2024 No. 121-VIII (effective from 01.01.2025).

3-6. The purchase of electric power regulation services, including from outside the Republic of Kazakhstan, is carried out in accordance with concluded agreements at a contractual price by the system operator, energy transmission, energy supply organizations and consumers who are subjects of the wholesale electric energy market, from energy-producing organizations, as well as from non-resident organizations whose main activities include provision of this service.

The electric power regulation service is used to compensate for deviations of the actual electric load from the declared one, provided that the zero balance of the exchanged electric energy is observed and is not a service to maintain the availability of electric power.

The price of the electric power regulation service is set in accordance with the concluded bilateral agreements.

IZPI's note! Article 13 is provided to be supplemented by paragraph 3-7 in accordance with the Law of the Republic of Kazakhstan dated 07/08/2024 No. 121-VIII (effective from 01.01.2025).

3-8. Hybrid Group Administrator:

1) carries out the acquisition (purchase) of electric energy from energy-producing organizations belonging to the corresponding hybrid group;

2) implements the sale of electric energy to consumers of the hybrid group;

3) participates in the balancing electric energy market and the electric capacity market in accordance with the procedure established by the legislation of the Republic of Kazakhstan in the field of electric power industry;

4) is the provider of the balance of the hybrid group;

5) bears financial obligations in the wholesale market of electric energy and capacity for energy-producing organizations and consumers of the hybrid group belonging to the hybrid group to a single buyer of electric energy, a system operator, a settlement center of the balancing market;

6) provides unified management of the modes of production and consumption of electric energy of energy-producing organizations and consumers belonging to the same hybrid group.

3-9. The administrator of a hybrid group has the right to sell (sell) electric energy to a single buyer of electric energy in accordance with the procedure established by this Law, provided that the energy producing organization belonging to the hybrid group has an approved marginal tariff.

3-10. The consumer of the hybrid group has the right to purchase electric energy from a single buyer in accordance with the procedure established by this Law.

3-11. The hybrid group administrator is prohibited from:

1) realization (sale) of electric energy to subjects of the retail market of electric energy;

2) realization (sale) of electric energy in the absence of an automated commercial accounting system for electric energy, which ensures the transfer of hourly accounting data according to agreed protocols to the central database of the automated commercial accounting system for electric energy of the system operator.

4. Energy producing organizations ensure the maintenance of capacity reserves, volume, structure and placement in accordance with the procedure established by the rules for the organization and functioning of the market for system and auxiliary services, the rules for the organization and functioning of the electric power market.

5. The participants in the relations of production, transmission and consumption of electric energy bear mutual obligations for the financial settlement in the balancing electricity market between the contractual and actual values of production and consumption of electric energy based on calculations of the volumes of balancing electricity provided by the system operator based on the results of the physical settlement of power imbalances.

6. Energy transmission organizations, subjects of the wholesale electric energy market, regardless of the form of ownership, are required to participate in the balancing electric energy market on the basis of contracts concluded with the system operator for the provision of services for balancing the production and consumption of electric energy and the purchase and sale of balancing electricity.

6-1. Energy transmission organizations and subjects of the wholesale electric energy market are required to participate in the balancing electric energy market operating in a simulation mode on the basis of contracts concluded with the system operator for the provision of system services for balancing the production and consumption of electric energy.

6-2. Consumers who are subjects of the wholesale electric energy market are required to have automated commercial electric energy metering systems and telecommunications systems that ensure their unification with systems installed by the system operator and, if necessary, by the regional electric grid company.

6-3. In order to carry out technological connection to electric grids, energy transmission organizations are required to conclude contracts for technological connection of electric installations with an installed capacity of up to 200 kW of business entities to the electric grids of energy transmission organizations. The contract is considered concluded after payment of the cost (list of costs) for technological connection to the electric networks of the energy transmission organization.

7. Energy producing organizations – hydroelectric power plants are required to sell electric energy generated during the period of environmental releases of water to a single buyer of electric energy in accordance with the procedure determined by the authorized body.

7-1. The service for the transmission of electric energy through the national electric grid is paid on the basis of a contract concluded with the system operator.:

1) a single buyer of electric energy when exporting electric energy in accordance with this Law;

2) wholesale market entities importing electric energy, with the exception of a single buyer of electric energy, in accordance with this Law;

3) conditional consumers, consumers of the hybrid group, when they purchase electric energy for their constituent facilities, both from their constituent generation facilities and from a single buyer of electric energy (including when distributing the share of electric energy from renewable energy sources in accordance with subparagraph 7) of paragraph 5 of the article 19-1 of this Law) and the settlement center of the balancing market;

4) subjects of the wholesale electric energy market when they purchase electric energy under bilateral agreements from energy-producing organizations using renewable energy sources;

5) authorized organizations of other states when carrying out interstate transmission of electric energy through the national electric grid.

7-2. The service for using the national electric grid is paid for on the basis of a contract concluded with the system operator by energy transmission organizations, energy supply organizations, consumers, including recipients of the investment tariff, and digital miners who are subjects of the wholesale electric energy market, when they purchase electric energy from a single buyer of electric energy and carry out transactions for the purchase and sale of balancing electric energy and negative imbalances with the settlement center of the balancing electric energy market, including through balance providers in accordance with this Law.

The service for using the national electric grid is not provided to the subjects of the wholesale electric energy market specified in paragraph 7-1 of Article 13 of this Law, with the exception of other subjects of the wholesale electric energy market specified in subparagraph 4) of paragraph 7-1 of Article 13 of this Law, when they purchase electric energy from a single buyer of electric energy and carry out purchase and sale operations balancing electric energy and negative imbalances with the settlement center of the balancing electric energy market.

8. The first managers, technical managers (chief engineer), heads of the safety and labor protection service (department) of energy-producing and energy-transmitting organizations, and the system operator are appointed after passing a qualification test of knowledge of the rules of technical operation and safety regulations in accordance with the procedure established by the authorized body.

Personnel carrying out the operation, repair, adjustment and installation of power equipment of electric power plants of the unified electric power system of the Republic of Kazakhstan, electric networks, electrical installations of consumers, as well as experts are required to undergo a knowledge check and have appropriate access to the activities of operation, repair, adjustment and installation, as well as inspection of power equipment and electrical installations of consumers.

9. The sale of electric energy outside the Republic of Kazakhstan is carried out at a price not lower than the cost of production of exported electric energy exclusively in the case of a surplus of electric energy in the unified electric power system of the Republic of Kazakhstan or its parts, confirmed by the system operator in accordance with the rules for determining the deficit and surplus of electric energy in the unified electric power system of the Republic of Kazakhstan, approved by the authorized body, with the exception of export supplies and commodity exchange for the purpose of providing irrigation water to irrigated lands in certain regions of the country.

10. The purchase of electric energy produced outside the Republic of Kazakhstan is carried out exclusively in the event of a shortage of electric energy in the unified electric power system of the Republic of Kazakhstan or its parts, confirmed by the system operator in accordance with the rules for determining the deficit and surplus of electric energy in the unified electric power system of the Republic of Kazakhstan, approved by the authorized body.

11. The requirements of paragraphs 9 and 10 of this article do not apply to the following cases::

1) purchase and sale of electric energy by a system operator to ensure contractual amounts of electric energy flows for emergency mutual assistance with the energy systems of neighboring countries and participation in the balancing market of electric energy;

2) ensuring the reception (supply) of electric energy within the framework of the common electric power market of the Eurasian Economic Union and with the energy systems of neighboring states in compliance with intergovernmental (interstate, interdepartmental) agreements (protocols).

12. Energy transmission organizations post monthly information on the capacity of their own power transmission lines and substations on their Internet resources.

13. Energy-producing organizations post information on their Internet resources for every day about the contracted, planned for sale at centralized auctions and available for distribution to the grid of electric power from their own generating plants.

14. Technical specifications for connection to electric grids for digital miners are issued by energy transmission organizations exclusively from transformer substations with a voltage of 35 kilovolts and higher with an authorized capacity of at least one megawatt in accordance with the legislation of the Republic of Kazakhstan on the electric power industry.

The requirements of this paragraph do not apply:

1) for digital miners using electricity generated by generating plants that are not connected to the unified electric power system of the Republic of Kazakhstan;

2) for digital miners who have connected to the electric networks of an energy transmission organization before April 1, 2023, upon presentation of electronic copies of the technical specifications for connection to electric networks with the corresponding type of activity (data centers, production and industrial buildings) and confirmation of the fulfillment of the issued technical specifications from the energy transmission or energy producing organization that issued them.

15. An energy transmission organization is prohibited from obstructing and restricting the consumer in choosing an energy supply organization.

16. An energy-producing organization, the voting shares (participation shares in the authorized capital) of which are directly or indirectly owned by the National Welfare Fund, has the right to purchase electric energy from another energy-producing organization using renewable energy sources, at least twenty-five percent of the voting shares (participation shares in the authorized capital) of which are directly or indirectly owned by the National Welfare Fund, on the basis of contracts for the purchase and sale of electric energy in accordance with the procedure determined by the authorized body.

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

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