THE ORDER OF THE CHAIRMAN OF THE AGENCY OF THE REPUBLIC OF KAZAKHSTAN ON REGULATION OF NATURAL MONOPOLIES

of April 16, 2013 No. 115-OD

About approval of Rules according to the temporary compensating rate

1. Approve the enclosed Rules according to the temporary compensating rate.

3. To department of strategic planning and summary analysis of the Agency of the Republic of Kazakhstan on regulation of natural monopolies (Martynenko A. V.) provide:

1) in the procedure established by the legislation state registration of this order in the Ministry of Justice of the Republic of Kazakhstan;

2) publication of this order on the Internet resource of the Agency of the Republic of Kazakhstan on regulation of natural monopolies, after official publication in mass media.

4. To department of administrative work of the Agency of the Republic of Kazakhstan on regulation of natural monopolies (Bazarbayev S. P.) after state registration of this order in the Ministry of Justice of the Republic of Kazakhstan:

To provide 1) in the procedure established by the legislation its official publication in mass media with the subsequent submission of data on publication to Legal department of the Agency of the Republic of Kazakhstan on regulation of natural monopolies (Metenov S. S.);

2) to bring it to the attention of structural divisions and territorial authorities of the Agency of the Republic of Kazakhstan on regulation of natural monopolies.

5. To impose control of execution of this order on the vice-chairman of the Agency of the Republic of Kazakhstan on regulation of natural monopolies Duysebayev A. Zh.

6. This order becomes effective after ten calendar days after day of its first official publication.

Approved by the Order of the Chairman of the Agency of the Republic of Kazakhstan on regulation of natural monopolies of April 16, 2013 No. 115-OD

Rules according to the temporary compensating rate

1. General provisions

1. These rules according to the temporary compensating rate (dalee-Pravila) are developed according to the Law of the Republic of Kazakhstan "About natural monopolies and the controlled markets".

2. The purpose of these rules is determination of approval procedure and calculation of the size of the temporary compensating rate for regulated services (goods, works) rendered by the subject of natural monopoly.

3. Provision of these rules extend to all subjects of natural monopoly, irrespective of patterns of ownership.

4. In Rules the following concept is used:

1) the unreasonable income - the additional income gained by the subject of natural monopoly as a result of collection of payment at the cost exceeding the level of the rate approved by authorized body (the prices, rates of charge) or its limit and (or) inappropriate use of means of the depreciation charges provided by the tariff estimate, non-executions of cost items of the tariff estimate more than for five percent from the sizes approved by authorized body, non-execution or inappropriate use of the means provided in the tariff estimate on accomplishment of investing programs (projects).

Other concepts and terms used in Rules are applied according to the legislation on natural monopolies and the controlled markets.

5. The basis for approval of the temporary compensating rate is making by the subject of natural monopoly of the actions which caused losses to consumers of regulated services (goods, works).

6. The actions of the subject of natural monopoly which caused losses to consumers are recognized:

1) illegal overestimate of rate (price, rate of charge) or its limit;

2) inappropriate use of means of the depreciation charges (further - it is not whole);

3) No. 566 is excluded according to the Acting Minister of national economy of the Republic of Kazakhstan of 24.07.2015

4) non-execution of actions of investing programs (projects) considered in case of approval of rates (the prices, rates of charges) or their limits, except as specified economy of costs in connection with application of more effective methods and technologies, holding actions for decrease in normative technical losses, reducing amounts of the rendered regulated services in the reasons which are not depending on the subject of natural monopoly by results of holding competitive (tender) procedures, and also cases stipulated in Item the 10th article 15-3 of the Law of the Republic of Kazakhstan of July 9, 1998 "About natural monopolies and the controlled markets";

5) non-execution of cost items of the tariff estimate more than for five percent from the sizes approved by authorized body, except as specified economy of costs in connection with application of more effective methods and technologies, holding actions for decrease in normative technical losses, reducing amounts of the rendered regulated services in the reasons which are not depending on the subject of natural monopoly by results of holding competitive (tender) procedures;

Department of authorized body makes the decision on approval of the temporary compensating rate of the regional electric grid company rendering services in rates using method of comparative analysis only in the cases provided by subitems 1), 2) and 4) of this Item.

At the same time, the decision on approval of the temporary compensating rate, except as specified, provided by subitems 1) and 5) of this Item, is accepted after effective period of limit of rate (the price, rate of charge).