Article 16. The procedure for the implementation of the State's priority right to participate in the project of the newly created main pipeline The Law On the Main Pipeline

Home / RLA / Article 16. The procedure for the implementation of the State's priority right to participate in the project of the newly created main pipeline The Law On the Main Pipeline

1. In order to ensure energy security, the Republic of Kazakhstan has a priority right to participate in the amount of at least fifty–one percent in the project of the newly created main pipeline (hereinafter referred to as the priority right of the State).

2. On behalf of the Republic of Kazakhstan, the Government of the Republic of Kazakhstan exercises the priority right of the State.

3. A person intending to carry out the construction of a main pipeline shall send to the authorized body a commercial proposal for the participation of the state in the main pipeline construction project (hereinafter referred to as the commercial proposal).

The authorized body, within a period not exceeding ten working days from the date of receipt of the commercial proposal, submits it for consideration by the Government of the Republic of Kazakhstan.

4. The commercial offer must contain:

1) information on the cost of the project being implemented, which contains reasonable calculations for the construction of the main pipeline;

2) technical characteristics of the main pipeline to be constructed.

5. The Government of the Republic of Kazakhstan, within a period not exceeding thirty working days from the date of submission of the commercial proposal by the authorized body, decides on the implementation of the priority right of the state or its waiver.

6. The authorized body shall notify in writing the person intending to carry out the construction of the main pipeline about the decision taken by the Government of the Republic of Kazakhstan no later than five working days from the date of the decision.

7. If the Government of the Republic of Kazakhstan has waived the priority right of the state or the authorized body has not sent a written notification within the time period established by paragraph 6 of this article, the person intending to build the main pipeline has the right to offer participation in the project of the newly created main pipeline to other persons or to build the main pipeline independently. At the same time, the conditions for participation of other persons in the construction of the main pipeline cannot be more advantageous than the conditions proposed by them to the Government of the Republic of Kazakhstan.

8. The Government of the Republic of Kazakhstan has the right to make a decision on participation in the amount of less than fifty-one percent in the project of the newly created main pipeline.

9. The provisions of this article do not apply to cases of expansion of an existing main pipeline.

The Law of the Republic of Kazakhstan dated June 22, 2012 No. 20-V.

This Law regulates public relations arising during the design, construction, operation, conservation and liquidation of the main pipeline, and is aimed at ensuring efficient, reliable and safe operation of the main pipeline.

President

Republic of Kazakhstan

Constitution Law Code Standard Decree Order Decision Resolution Lawyer Almaty Lawyer Legal service Legal advice Civil Criminal Administrative cases Disputes Defense Arbitration Law Company Kazakhstan Law Firm Court Cases