Article 21. Approval of the investment program and its modification The Law on Natural Monopolies
1. The investment program is being developed taking into account the priorities of development and socio-economic indicators of the Republic of Kazakhstan and provides for measures aimed at:
1) expansion, modernization, reconstruction, renewal of existing assets, creation of new assets directly used in the technological cycle of providing regulated services;
2) ensuring energy saving and improving energy efficiency;
3) improving the quality of regulated services provided.
2. The investment program is being considered:
1) the authorized body for compliance by the natural monopoly entity with the quality and reliability indicators of regulated services and achievement of performance indicators of natural monopoly entities;
2) by another state body or local executive body, whose competence is provided for in Articles 9 and 10 of this Law, for the technological validity and satisfaction of consumer demand for regulated services in order to improve the quality and reliability of the regulated services provided.
3. When considering the draft investment program, the following measures are excluded::
1) non-conforming to the requirements provided for in paragraph 1 of this Article;
2) unsecured by a source of financing;
3) unsupported by supporting documents.
The exclusion in accordance with the first part of this paragraph of all activities of the investment program is the basis for refusal to approve the investment program.
4. Refusal to approve the investment program by an authorized body, other state body or local executive body, whose competence is provided for in Articles 8, 9 and 10 of this Law, is the basis for refusal to approve the tariff.
4-1. The refusal to approve the investment program is made by a joint decision of the authorized body and the state body in charge of management in the relevant field, or the local executive body.
5. The investment program is approved for the duration of the tariff.
6. The implementation of the approved investment program and the repayment of borrowed funds raised for its implementation, as well as the repayment of funds raised for the implementation of state programs and (or) national projects, as well as documents of the State Planning System in the Republic of Kazakhstan approved by the authorized body, shall be carried out:
due to the profit and depreciation deductions included in the tariff;
at the expense of other sources not prohibited by the legislation of the Republic of Kazakhstan.
7. By November 1 of the current year, a natural monopoly entity has the right to apply simultaneously to the authorized body and (or) other state body or local executive body, whose competence is provided for in Articles 8, 9 and 10 of this Law, with an application for changing the approved investment program without increasing the tariff.
In case of implementation of state programs and (or) national projects, as well as documents of the State planning System in the Republic of Kazakhstan approved by the authorized body, the natural monopoly entity has the right to apply to the authorized body and (or) other state body or local executive body with a request to amend the approved investment program.
The procedure and time limits for consideration by the authorized body and (or) state bodies responsible for state regulation and management in relevant areas, as well as by local executive bodies, of the application of a natural monopoly entity to amend the approved investment program within the framework of the national project for the modernization of the energy and utility sectors are established by the rules for tariff formation."
8. In case of non-fulfillment by a natural monopoly entity of the activities of the approved investment program for reasons beyond the control of the natural monopoly entity (non-fulfillment of obligations by the other party to the contract, recognition of the tender as invalid due to force majeure circumstances), the deadlines for the execution of the activities of the approved investment program may be postponed to the next calendar year until March 1 of the year following the year their implementation.
Repeated postponement of the deadlines for the implementation of the approved investment program is not allowed.
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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