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LAW OF THE REPUBLIC OF MOLDOVA

of September 21, 2017 No. 174

About power

(as amended on 16-12-2020)

The parliament adopts this organic law.

Chapter I General provisions

Article 1. Subject of the law

This law establishes the legal base of the organization, regulation and ensuring effective and reliable functioning of sectors of power.

Article 2. Purpose and scope of the law

(1) the Purpose of this law is:

a) creation of the legal base of the organization and implementation of activities in sectors of power in the conditions of availability, permanent availability, reliability, uninterruptedness, competition, quality and transparency;

b) establishment of the main conditions necessary for ensuring independence of regulating authority;

c) regulation of legal relationship between the energy companies, between the energy companies and consumers, users of system, and also

between the energy companies and the central industry bodies, other bodies of the central public management, regulating authority, other bodies of the public power, and also bodies of local public authority;

d) creation of necessary conditions for restriction of exclusive activities, for liberalization of energy markets, and also for development of the competition on energy markets;

e) establishment of the basic principles of providing consumers with high-quality energy on fair, transparent and non-discriminatory conditions;

f) creation of the legal base of ensuring energy security of the country.

(2) Operation of this law extends on:

a) organization and functioning of regulating authority, and also condition of implementation of its activities;

b) state energy supervision;

c) the organization and implementation of activities in sectors of power;

d) energy accounting;

e) safety and protection of objects of power;

f) consumer protection.

Article 3. Basic concepts

For the purposes of this law the following basic concepts are used:

the consumer - the final consumer of the electric power, natural gas, the consumer of heat energy, the consumer of other types of energy;

the distributor of heat energy - the heat power company performing activities for distribution of heat energy according to this law and the Law on heat energy and promotion of cogeneration No. 92/2014;

the measuring equipment - the legitimized and confided device or system for measurement of amount of the made, exported, imported, transferred, distributed, stored, delivered and/or sold energy;

power - the industry of national economy including the following sectors: electrical power, heat power, sector of natural gas, sector of oil products and sector of solid and liquid fuel;

energy - energy product of any kind, fuel, the electric power, heat energy, energy from renewable sources or any other type of energy;

the energy company - the physical person or the legal entity registered in accordance with the established procedure in the Republic of Moldova as the company performing at least one of the types of activity regulated by the Law on the electric power No. 107/2016, the Natural Gas Act No. 108/2016, the Law on heat energy and promotion of cogeneration No. 92/2014, the Law on promotion of energy use from renewable sources No. 10/2016 and the Law on the market of oil products No. 461/2001 (further - the sectoral laws);

electrotechnical laboratory - the laboratory authorized by body of the state energy supervision, given the right to carry out preventive and commissioning measurements and testing in power supply networks and electroinstallations;

power objects - production installations, power plants, heating plants, networks, installations, devices, mechanisms, the equipment and devices which jointly with buildings and rooms in which they are established are used for investigation, production, cleaning, production, transfer, distribution, storage and/or sale of energy;

the system operator - the operator of the transferring system, the operator of distributive system of electric utility sector, the operator of the transferring system, the operator of distributive system of the sector of natural gas having the license for implementation of the corresponding types of activity according to the Law on the electric power No. 107/2016 and the Natural Gas Act No. 108/2016.

Chapter II Administrative competences. State energy supervision. The state technical supervision in the field of industrial safety

Article 4. Competence of the Government

(1) For the purpose of ensuring functioning and development of sectors of power the Government:

a) determines state policy in the field of power and the priority directions of its development;

b) develops the energy strategy and directs it to approval to Parliament;

c) approves state programs of development in the field of power according to the competence;

d) creates necessary premises and conditions of development, effective and steady functioning of sectors of power;

e) ensures energy security of the state;

f) approves action plans in emergency situations according to the sectoral laws;

g) establishes minimum necessary quantity of reserves of fuel for the power plants and heating plants using fossil fuel;

h) advances interests of sectors of power at the international level;

i) advances regional and international cooperation in sectors of power.

(2) For ensuring sustainable development of sectors of power, and also for strengthening of homeland energy security the Government has the right to create special funds or investment funds.

(3) the Government performs also other powers established by this law and the sectoral laws.

Article 5. Powers of the central industry body of public management in the field of power

(1) the Central industry body of public management in the field of power has the following powers:

a) develops and pursues state policy in the field of power;

b) develops perspective energy balance of the state and publishes it on the official web page;

c) develops state programs of development in the field of power;

d) develops and advances legislative and regulations in the field of power, including in the context of harmonization of the national legal system with the European Union law;

e) monitorirut implementation of the energy strategy, state programs of development and investments into the fields of power, and also realization legislative and regulations in the field of power;

f) ensures energy security of the state by means of monitoring and coordinating of development and proper functioning of objects of power;

g) advances within the competence regional and international cooperation in the field of power, including on strategic purchases of energy resources, investment attraction, prolongation of intersystem connections and integration of the markets of sectors of power industry of the Republic of Moldova into the regional and international markets;

h) manages state-owned property in the field of power;

i) encourages the competition and limits exclusive activities in sectors of power according to competence and without prejudice to the rights and powers of Competition council and National regulation agency in power established by the Competition act No. 183/2012, this law and the sectoral laws.

(2) the Central industry body of public management in the field of power performs also other powers provided by this law and the sectoral laws.

Article 6. Competence of bodies of local public authority

(1) Organa of local public authority promote safe and effective providing consumers of the respective settlements with energy.

(2) are Within the competence of bodies of local public authority:

a) construction of facilities of power of local value, including system of lighting;

b) the solution of questions of provision of sites for construction and operation of objects of power;

c) transfer to system operators, distributors of heat energy in use of the sites necessary for construction and placement, including for reconstruction and transfer, the networks of electricity transmission and/or distribution power supply networks transferring and/or distribution networks of natural gas, thermal networks, and also for their operation, servicing, recovery or upgrade;

d) allocation of financial resources within funds of local budgets for development in the settlement of system of providing consumers with energy, and also systems of public lighting;

e) coordinating of works on mitigation of consequences of emergency situations on power objects;

f) provision within means of local budgets to consumers in the settlement of compensations on energy payment;

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