RESOLUTION OF THE CABINET OF MINISTERS OF UKRAINE

of July 15, 1997 No. 786

About procedure for regulation of specific costs of fuel and energy resources in social production

For the purpose of realization of the provisions determined in the Law of Ukraine "About energy saving" the Cabinet of Ministers of Ukraine DECIDES:

1. Approve for the period before enforcement of systems of energy standards the General provision about procedure for regulation of specific costs of fuel and energy resources in social production (is attached).

2. Confer responsibility for development of techniques of regulation, and also for development and approval of standard regulations of specific costs of fuel and energy resources in social production:

cross-industry (general production nature) - on the State agency on energy efficiency and energy saving;

industry - on the relevant ministries and other central executive bodies;

regional (for the companies of all patterns of ownership which are not relating to the sphere of management of the ministries and other central executive bodies) - on Council of Ministers of the Autonomous Republic of Crimea, the regional, Kiev and Sevastopol city public administrations.

Industry and regional techniques of regulation are subject to approval of the State agency on energy efficiency and energy saving.

3. To the state committee on energy saving on approval in the Ministry of Economics, the Ministry of Finance, the Ministry of Labour and the Ministry of Justice in three-months time to develop general recommendations of material stimulation of staff of the companies, the organizations of all patterns of ownership and organizations, certain employees of the state companies, organizations and organizations for effective use and economy of fuel and energy resources, and also to provide the approved offers on modification and amendments to acts of the legislation on responsibility of the companies and officials for irrational use of these resources depending on their recosts in relation to the established regulations.

4. To provide to the ministries and other central executive bodies, Council of Ministers of the Autonomous Republic of Crimea, the regional, Kiev and Sevastopol city public administrations, since 1998, the organization of works on regulation of specific costs of fuel and energy resources for new techniques at the companies, in organizations and the organizations for distribution according to Item 2 of this resolution.

5. To the state committee on energy saving in coordination with the Ministry of Economics in three-months time to prepare single technique of development and procedure for implementation of industry (cross-industry) and regional programs for energy saving in interrelation with the General provision about procedure for regulation of specific costs of fuel and energy resources in social production.

6. To the ministry of statistics together with the Ministry of Finance, the Ministry of Economics and the State committee on energy saving to enhance the statistical reporting on results of use of fuel and energy resources, including the reporting on observance of regulations of specific costs.

To the Ministry of Economics and the Ministry of Finance during forming of drafts of the State program of economic and social development of Ukraine and the Government budget of Ukraine to provide, since 1998, within the real opportunities of the budget additional assignments for the Ministry of statistics for implementation of actions determined by this resolution.

Approved by the Resolution of the Cabinet of Ministers of Ukraine of July 15, 1997 No. 786

The general provision about procedure for regulation of specific costs of fuel and energy resources in social production

1. Regulation of specific costs of fuel and energy resources in social production of Ukraine is performed for the purpose of rational use and economy of fuel and energy resources and is basis for application of economic sanctions for their irrational use and implementation of economic mechanisms of stimulation of energy saving.

Regulation of specific costs of fuel and energy resources does not provide intervention of the state in the economic activity of the companies connected with restriction of amounts of consumption of fuel and energy resources or amounts of the made products. It is the instrument of elimination of the irrational use of fuel and energy resources caused by mismanagement and use of obsolete technologies. The main levers of this mechanism is the financial incentive of economy of fuel and energy resources and the financial responsibility for their irrational use.

Regulation of specific costs of fuel and energy resources is used also for forecasting of amounts of consumption of fuel and energy resources in regions, industries and in general in the state.

Progressive indicators of regulations of specific costs of fuel and energy resources, and for application of economic sanctions and administrative penalties - cross-industry, industry and regional regulations of specific costs are basis for implementation of economic mechanisms of stimulation of energy saving.

2. Cost rates of fuel and energy resources are the indicator of their use approved by the representative on it the Cabinet of Ministers of Ukraine executive body per unit of the made products, the performed works or the provided services of the established quality (further - unit of production) oriented to progressive production.

3. Cost rates of fuel and energy resources shall be established taking into account features of specific production, as a rule, at the enterprise level, organizations, the organizations (daleepredpriyaty). Differentiation of regulations on specific technologies or types of consumption is performed by the company independently on the basis of cross-industry and industry techniques. These regulations shall not exceed the established indicators of cross-industry and industry standard regulations of specific costs of fuel and energy resources for certain types of consumption.

4. Responsibility for development and observance of cost rates of fuel and energy resources at the enterprise level is born by the director.

Regulation of specific costs of fuel and energy resources at the companies is provided with energy, technology or other services depending on specifics of production. Employees of these services are subject to first-priority financial incentive for effective use and economy of fuel and energy resources within the economic mechanism of energy saving.

5. At the level of specific production cost rates of fuel and energy resources on products of each type are, as a rule, installed separately, at the level of the companies in general in addition enlarged regulations per unit of the reduced products are determined, and at the level of industries and structures of public administration also generalized indicators of specific costs of fuel and energy resources are used.

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