Article 15. The procedure for forming the tariff of the Law on Natural Monopolies

Home / RLA / Article 15. The procedure for forming the tariff of the Law on Natural Monopolies

1. The tariff should ensure reimbursement of the costs of providing a regulated service and making a profit aimed at the development and effective functioning of a natural monopoly entity and other purposes not prohibited by the legislation of the Republic of Kazakhstan.

2. The tariff is set for a period of five years or more, with the exception of cases provided for by this Law.

2-1. In case of conclusion by a natural monopoly entity in accordance with paragraph 2-2 of Article 10 of the Law of the Republic of Kazakhstan "On Electric Power Industry" of an agreement for the purchase and sale of electric energy with an 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, the authorized body When setting tariffs, it takes into account the costs of the natural monopoly entity for the purchase of electric energy during the term of the purchase agreement.-sales of electric energy.

3. In case of expiration of the tariff, the natural monopoly entity provides regulated services according to the tariff approved by the authorized body, excluding funds allocated for the implementation of the approved investment program (depreciation and profit), with the exception of funds allocated to repay the principal debt on loans attracted for the implementation of the approved investment program.

4. A natural monopoly entity submits an application for approval of the tariff by the authorized body.

5. The application is submitted in electronic form.

6. The application is considered by the authorized body within ninety working days from the date of its submission.

7. The application must be accompanied by:

1) draft tariff (or price list, taking into account industry specifics);

2) a draft tariff estimate with supporting materials attached in the form approved by the authorized body;

3) a statement of justification on the need to approve the tariff;

4) a draft investment program or an approved investment program;

4-1) map of repairs of subjects with target indicators within the framework of investment programs;

5) cost estimates for repairs that do not lead to an increase in the cost of fixed assets;

6) financial statements for the two preceding calendar years;

7) Reports:

about financial and economic activities, about investment activities;

on the state of fixed assets, on the structure and distribution of wages for labor for the two preceding calendar years in accordance with the forms approved by the authorized body in the field of state statistics;

8) item-by-item cost calculations;

9) profit calculation;

10) calculations of the number of personnel, the needs of raw materials, fuel, energy and technical losses, based on standard norms and regulations in force in the relevant industry (sphere);

11) copies of the decisions of the competitive (tender) commissions for the purchase of goods, works, and services for the previous calendar year;

12) calculation of depreciation charges for fixed assets used before the implementation of the approved investment program (project) and put into operation during the implementation of the approved investment program (project), in the long term, broken down by years;

13) supporting documents on the terms of financing and repayment of borrowed resources;

14) data on the design capacity of the natural monopoly entity and its actual use;

14-1) data on the actual use of the capacity of a natural monopoly entity from information technology facilities;

15) documents confirming the planned volume of regulated services (a register of contracts indicating the actual volume of consumption of regulated services, documents confirming a decrease in consumption of regulated services, calculations of consumption of regulated services based on the obligation of high-quality universal service and the capabilities of a natural monopoly entity, the inadmissibility of reducing volumes in order to maintain or increase the level of tariffs, marketing materials consumer demand research);

For regulated services in the field of thermal energy, the documents confirming the planned volume of regulated services, including heat supply development schemes approved in accordance with the legislation of the Republic of Kazakhstan in the field of thermal energy;

16) documents confirming the actual data on the costs and volumes of regulated services for the four quarters preceding the submission of the application and for the previous calendar year.

When approving a tariff using the incentive method of tariff regulation, the documents provided for in the sub-paragraphs are attached to the application. 1), 3), 4), 6), 7), 9), 10), 13), 14) and 15) of the first part of this paragraph, as well as draft indicators of the quality and reliability of regulated services; and performance indicators of subjects of natural monopolies with the application of substantiating materials.

8. A natural monopoly entity has the right to submit to the authorized body an application for tariff approval using the incentive method of tariff regulation upon expiration of the approved tariff, except in cases when tariffs are approved using the incentive method of tariff regulation for natural monopoly entities, the list of which is determined by the authorized body.

9. The authorized body, no later than seven working days from the date of receipt of the application, verifies the completeness of the attached calculations and supporting materials for compliance with paragraph 7 of this article and informs the natural monopoly entity in writing of the acceptance of the application for consideration or refusal to accept it, indicating the reasons for refusal in accordance with paragraph 11 of this article.

10. The calculations and supporting materials attached to the application in accordance with paragraph 7 of this article shall be submitted in accordance with the following procedures:

1) they are stitched, numbered and signed by the head of the natural monopoly entity or by the person replacing him or the deputy head of the natural monopoly entity. This requirement does not apply to the submission of an application in electronic form.;

2) prepared separately for each type of regulated services.

The natural monopoly entity is responsible for the completeness, validity and reliability of calculations, documents, information and other materials attached to the application for approval of the tariff, tariff estimates and investment program, as well as attached to reports on the execution of the approved tariff estimates and the execution of the approved investment program in accordance with the laws of the Republic of Kazakhstan.

11. The grounds for refusal to accept the application are:

1) failure by a natural monopoly entity to submit the documents provided for in paragraph 7 of this Article;

2) non-compliance of the submitted documents with paragraph 10 of this article;

3) attribution of information not provided for in paragraph 7 of Article 25 of this Law to a commercial secret.

12. If additional information is required during the examination of the application, the authorized body has the right to request it from the natural monopoly entity in writing with a deadline, but not less than five working days.

13. Public hearings are held by the authorized body upon approval of the tariff no later than thirty calendar days before the approval of the tariff, upon approval of the tariff in a simplified manner, as well as in the cases provided for in paragraphs 4), 6), 7), 8) and 9) paragraph 1 of Article 22 of this Law, - no later than ten days in advance. calendar days before the tariff is approved.

14. A natural monopoly entity is obliged to submit an announcement on the date and place of the public hearing upon the request of the participants of the public hearing after publication in a periodical.:

draft tariff and tariff estimates;

information about the reasons for the tariff change with economically reasonable calculations.

15. Based on the results of consideration of the application, the authorized body has the right to adjust the draft tariff, tariff estimates and investment program.

16. When approved, the tariff may be differentiated depending on:

1) whether or not the consumer has a metering device;

2) Consumer groups;

3) the type of goods being transported, the type of rolling stock, the distance of transportation, and the volume (weight) of the goods being transported.

16-1. The natural monopoly entity is obliged to direct the additional income received when applying tariff differentiation to increase the investment program.

17. The decision to approve the tariff is sent to the natural monopoly entity no later than five calendar days from the date of the decision to approve it.

With the decision to approve the tariff, a justification for changes and clarifications of cost items, profits and activities of the approved investment program submitted by the natural monopoly entity with the application is sent.

18. The tariff shall enter into force no earlier than the first day of the second month following the month of tariff approval, except in cases provided for by this Law.

19. The natural monopoly entity is obliged to inform the consumer about the approval of the tariff no later than thirty calendar days before its entry into force.

20. If the natural monopoly entity does not inform the consumer about the introduction of the tariff within the time limits established by this Law, the specified tariff will not be introduced from the date specified in the decision of the authorized body. The approved tariff is introduced on the first day of the third month following the month of tariff approval.

21. A natural monopoly entity has the right to apply to the authorized body with an application for changing the approved tariff estimate without increasing the tariff by November 1 of the current calendar year in electronic form.

22. The rules for the formation of tariffs define:

1) the mechanism for calculating the tariff, taking into account the methods of tariff regulation of the spheres of natural monopolies provided for by this Law;

2) the procedure for approving the temporary compensation tariff;

3) tariff differentiation procedure;

4) the procedure for approving the tariff in a simplified manner;

5) the procedure for approving the investment program and its changes;

 6) the procedure for determining the tariff based on the concluded public-private partnership agreement;

7) the procedure for approving the temporary reduction coefficient;

8) the procedure for keeping separate records of income, costs and assets involved for each type of regulated services and in general for activities not related to regulated services;

9) the procedure for recalculating the cost of a regulated service for the sale of thermal energy, taking into account the actual outdoor temperature;

10) the procedure for determining the acceptable profit level of a natural monopoly entity;

11) the procedure for changing the tariff approved by the authorized body before its expiration date;

12) the list of costs included and not included in the tariff, the procedure for limiting the amount of costs included in the tariff;

13) tariff indexing procedure;

14) forms of tariff drafts, tariff estimates, investment program, reports on the execution of the approved tariff estimates, on the execution of the approved investment program;

15) the mechanism for calculating price limits for regulated services of mainline railway networks and their annual adjustments;

16) the procedure for the application of price limits for regulated services of mainline railway networks;

17) the procedure for calculating and applying the forecast tariff index.

23. The rules for the implementation of activities by subjects of natural monopolies determine:

1) the procedure for inclusion and exclusion from the State Register of Subjects of Natural Monopolies;

2) the procedure for holding public hearings;

3) the procedure for granting consent to certain actions by a natural monopoly entity, as well as for receiving a notification from a natural monopoly entity on activities not related to regulated services, in accordance with the Law of the Republic of Kazakhstan "On Permits and Notifications";

4) the procedure for procurement by subjects of natural monopolies;

5) the procedure for ensuring equal conditions of access to regulated services;

6) the procedure for conducting reports on the implementation of approved tariff estimates, on the implementation of approved investment programs, on compliance with quality and reliability indicators of regulated services and the achievement of performance indicators of natural monopoly entities to consumers and other interested parties;

7) the procedure for posting information on the availability of free and accessible capacities, capacities, locations, bandwidth of networks of a natural monopoly entity, as well as utility utility schemes in the fields of natural monopolies, with the exception of information related to state secrets and other legally protected secrets in accordance with the laws of the Republic of Kazakhstan;

8) the procedure for approving fees for the purchase and installation of a metering device;

9) the procedure for approving performance indicators of natural monopoly entities;

10) the procedure for exercising state control in the areas of natural monopolies;

11) forms:

applications for consent to transactions with property used to provide regulated services if the book value of the property recorded in the balance sheet at the beginning of the current year exceeds 0.05 percent of the book value of its assets in accordance with the balance sheet at the beginning of the current year, and the reorganization or liquidation of a natural monopoly entity;

reports of the natural monopoly entity to consumers and other interested parties:

on the execution of the approved tariff estimate;

on the implementation of the approved investment program;

on compliance with the quality and reliability indicators of regulated services;

on the achievement of performance indicators for natural monopoly entities;

12) the procedure for informing consumers and (or) the authorized body about the tariff and its changes;

13) the procedure for approving indicators of the quality and reliability of regulated services;

13-1) criteria and requirements for authorized persons (experts, expert organizations) to conduct technical expertise on the implementation of an approved investment program, compliance with quality and reliability indicators of regulated services, and achievement of performance indicators for natural monopoly entities;

14) the procedure for conducting public monitoring and (or) technical expertise of the implementation of the approved investment program, compliance with quality and reliability indicators of regulated services and achievement of performance indicators of natural monopoly entities.

15) the procedure for approval by the authorized body of credit agreements of natural monopoly entities for attracting loans from international financial organizations, specialized industry banks, the Development Bank of Kazakhstan and second-tier banks of the Republic of Kazakhstan;

16) the procedure for approval by the authorized state property management body and the local executive body of a transfer agreement for property used in the technological cycle in the provision of regulated services by natural monopoly entities and transferred from local executive bodies to a natural monopoly entity in accordance with the transfer plan for the balance sheet and (or) trust management of property;

17) the procedure for approving by the local executive body a plan for the transfer to the balance sheet and (or) to the trust management of property used in the technological cycle in the provision of regulated services by subjects of natural monopolies.

24. Methods of forming tariffs:

1) approval of the tariff by the authorized body;

2) establishment of a tariff by a natural monopoly entity;

3) determination of the tariff based on the concluded public-private partnership agreement.

President

Republic of Kazakhstan

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