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LAW OF THE REPUBLIC OF KAZAKHSTAN

of July 8, 2024 No. 120-VIII ZRK

About heat-and-power engineeering

(as amended on 15-03-2025)

This Law governs the public relations arising in production process, transportations, realization and consumption of heat energy for utility and production needs and also high-quality functioning and development of systems of heat supply and state regulation in the field of heat-and-power engineeering.

Chapter 1. General provisions

Article 1. The basic concepts used in this Law

In this Law the following basic concepts are used:

1) the passport of readiness - annually issued document confirming readiness of the heatmaking and heattransporting subjects to work during the autumn and winter period;

2) individual system of heat supply - the system of heat supply providing the single consumer with heat energy from autonomous source of heat energy without connection to thermal networks of centralized and local systems of heat supply for needs of heating of the individual apartment house;

3) local system of heat supply - the system of heat supply which is belonging to one physical person or legal entity or being part of common property of object of condominium and functioning for one or several consumers of heat energy from one or several sources of heat energy on the thermal networks which are not networks of centralized system of heat supply;

4) thermal network - the system of pipelines and devices (including central heat distribution stations, pumping points) intended for transportation and regulation of flow of the heat carrier for the purpose of transfer of heat energy from sources of heat energy before the heatconsuming installations;

5) the heat carrier - the liquid or gaseous substance (vapor, air, water and other substances) used for transportation of heat energy;

6) thermal power - the amount of heat energy which can be developed by source of heat energy, is transferred by thermal networks and (or) it is accepted the consumer of heat energy for unit of time;

7) heat supply - providing consumers with heat energy, the heat carrier, including maintenance of thermal power;

8) the scheme of development of heat supply - the document describing and proving the complex of actions for development of heat-and-power engineeering of the corresponding administrative and territorial unit for the purpose of ensuring perspective need for provision of service in providing with heat energy taking into account features of the corresponding territory developed and approved according to this Law;

9) emergency reservation of heat supply - the minimum consumed thermal power or amount of heat energy providing condition, safe for personnel and the environment, of the heatconsuming installations of the consumer of heat energy with completely stopped engineering procedure;

10) reliability of heat supply - the characteristic of condition of system of heat supply in case of which quality and safety of heat supply of consumers of heat energy are provided;

11) technology reservation of heat supply - the minimum consumed thermal power necessary for the consumer of heat energy for completion of engineering procedure of production, with time duration in hours after which shutdown of the corresponding heatconsuming installations can be made and decrease in loading to emergency armor of heat supply is made;

12) system of heat supply - complex of the installations intended for production, transportation and use of the heat carrier;

13) quality of heat supply - compliance of characteristics of heat supply to the thermodynamic parameters set by the legislation of the Republic of Kazakhstan;

14) subjects of heat supply are the heatmaking and heattransporting subjects;

15) the heatmaking subject - the individual entrepreneur or the legal entity performing activities for production of heat energy according to this Law;

16) the heattransporting subject - the individual entrepreneur or the legal entity performing activities for transportation and (or) realization of heat energy according to this Law;

17) the heatconsuming installations - complex of devices, held for use heat energy, the heat carrier for needs of the consumer of heat energy;

18) heat-and-power engineeering - industry of production, transportation, realization and consumption of heat energy;

19) planned targets of heat-and-power engineeering - value of the key indicators planned to achievement in the short term;

20) the actual indicators of heat-and-power engineeering - value of key indicators for this (current) period of time;

21) target indicators of heat-and-power engineeering - value of the key indicators planned to achievement in long-term (strategic) term;

22) key indicators of heat-and-power engineeering - the main indicators (indicators) of assessment of condition of heat-and-power engineeering;

23) heat supply facilities - sources of heat energy, thermal networks and the heatconsuming installations;

24) authorized body in the field of heat-and-power engineeering (further - authorized body) - the central executive body performing management and cross-industry coordination in the field of heat-and-power engineeering;

25) subjects of heat-and-power engineeering are subjects of heat supply and consumers of heat energy;

26) heat energy - the energy resource which is goods in case of which consumption thermodynamic parameters of heat carriers change;

27) service in providing with heat energy - set of services in production, transportation and realization of heat energy;

28) commercial accounting of heat energy and (or) the heat carrier - establishment of quantity and parameters of heat energy and (or) the heat carrier devices of commercial accounting, and in case of their defect or absence - settlement method for commercial settlement;

29) transportation of heat energy - the transfer and distribution of heat energy including acceptance and delivery of heat energy and (or) the heat carrier from source of heat energy to the consumer of heat energy;

30) the consumer of heat energy (further - the consumer) - the physical person or legal entity acquiring heat energy for own consumption and (or) further sale to the subconsumer according to this Law;

31) source of heat energy - the combined heat and power plant, boiler and other devices and (or) installations intended for production of heat energy;

32) the device of commercial accounting - the technical device intended for commercial accounting of heat energy and (or) the heat carrier, allowed for use according to the procedure, determined by the legislation of the Republic of Kazakhstan;

33) the subconsumer - the consumer, thermal networks and (or) the heatconsuming installations of which are attached to thermal networks of the consumer;

34) centralized system of heat supply - system of heat supply from one or several sources of heat energy with transportation of the heat carrier to consumers on thermal networks with the total connected load of the consumers (using heat energy for domestic needs) exceeding twenty megawatts;

35) fuel - the substances used in economic activity for production of heat energy in case of their burning;

36) single state management system fuel and energy complex (further - information system of authorized body) - information system of authorized body on monitoring and interaction with subjects of heat supply;

37) technology violation - refusal or damage to machinery of sources of heat energy, thermal networks, including owing to ignition or explosions, variation from the set modes, unauthorized shutdown or restriction of operability of the equipment or its defect which led to violation of engineering procedure of production, transfer, consumption of electrical and (or) heat energy;

38) the direct consumer - the consumer whose thermal networks are connected to collectors of sources of heat energy of the heatmaking subject, and (or) having connection to steam line of sources of heat energy of the heatmaking subject;

39) authorized body in the field of the housing relations and housing and communal services - the central executive body performing management in the field of heat-and-power engineeering regarding consumption of heat energy.

Article 2. The legislation of the Republic of Kazakhstan in the field of heat-and-power engineeering

1. The legislation of the Republic of Kazakhstan in the field of heat-and-power engineeering is based on the Constitution of the Republic of Kazakhstan and consists of this Law and other regulatory legal acts of the Republic of Kazakhstan.

2. The international agreements ratified by the Republic of Kazakhstan have priority before this Law. The procedure and conditions of action in the territory of the Republic of Kazakhstan of international treaties which participant is the Republic of Kazakhstan are determined by the legislation of the Republic of Kazakhstan.

Article 3. Main objectives, tasks and the principles of legislative regulation in the field of heat-and-power engineeering

1. Legislative regulation in the field of heat-and-power engineeering is performed for the purpose of ensuring unity of management of heat-and-power engineeering of the Republic of Kazakhstan as especially important life support system of economic and economic and social complexes of the country.

2. The main objectives of legislative regulation in the field of heat-and-power engineeering are:

1) ensuring balance of consumer interests, subjects of heat supply and state;

2) ensuring the advancing, steady functioning and development of heat-and-power engineeering on the basis of planned and program documents with the smallest costs;

3) quality assurance and reliability of heat supply according to requirements of technical regulations, documents for standardization and conditions of the signed agreements established by this Law;

4) ensuring realization of priorities of the state on transition to low-carbon development and improvement of ecology, including by environment protection against harmful effects of activities of heat supply facilities, and also development and ensuring priority use of the systems of centralized heat supply based on highly effective cogeneration of heat energy, use of the energy efficient technologies and the equipment, renewable energy resources and other power sources allowing to reduce emissions of pollutants and greenhouse gases in the environment;

5) determination of responsibility of subjects of heat-and-power engineeering, including owners of heat supply facilities for safe and reliable operation of systems of heat supply;

6) ensuring holding actions for increase in level of energoeffektivost and to implementation of technologies for energy saving, resource-saving and possibility of application of optimum combination of different power sources in heat-and-power engineeering;

7) priority purchase of heat energy by subjects of heat supply from industrial enterprises in case of utilization of excessive heat of industrial processes taking into account technical and economic feasibility;

8) providing incentives for subjects of heat supply to which price regulation, is applied to increase in operating efficiency, decrease in losses of heat energy, improvement of quality and reliability of heat supply;

9) ensuring predictability of the income from regulated services for subjects of heat supply to which price regulation, in case of approval of long-term investing program is applied;

10) expansion of participation of subjects of private entrepreneurship in heat-and-power engineeering via the mechanism of the state private partnership according to the legislation of the Republic of Kazakhstan;

11) ensuring investment appeal of heat-and-power engineeering;

12) enhancement of the controlled market of heat energy;

13) rational and economical consumption of heat energy;

14) ensuring crediting and subsidizing of construction, reconstruction and upgrade of systems of heat supply;

15) development of heat-and-power engineeering taking into account the approved schemes of development of heat supply.

3. In the field of heat-and-power engineeering treat the basic principles of the legislation of the Republic of Kazakhstan:

1) effective, economically reasonable, eco-friendly and system development planning of heat-and-power engineeering;

2) increase in energy efficiency of systems of heat supply;

3) ensuring the state control in the field of heat-and-power engineeering;

4) monitoring and accountability of subjects of heat-and-power engineeering;

5) fair state regulation of rates in the field of heat-and-power engineeering taking into account interests of subjects of heat supply and consumers of centralized and local systems of heat supply for achievement of reliable, steady and high-quality heat supply;

6) availability of heat energy to consumers, including at the expense of subsidies;

7) ensuring the state support of development of centralized and local systems of heat supply, including by crediting and subsidizing of construction, reconstruction and upgrade of systems of heat supply at the expense of budgetary funds.

4. The central state bodies, and also local representative and executive bodies have no right to interfere with the production and technology activities of subjects of heat supply connected with production and transportation of heat energy or with technology management of these processes, except as specified, provided by the laws of the Republic of Kazakhstan.

Chapter 2. State regulation in the field of heat-and-power engineeering

Article 4. Competence of the Government of the Republic of Kazakhstan

Government of the Republic of Kazakhstan:

1) develops the main directions of state policy in the field of heat-and-power engineeering and will organize their implementation;

2) approves rules of rendering the state financial support for achievement of target indicators of heat-and-power engineeering;

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