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

of April 25, 2013 No. 130-OD

About the approval of the Special procedure for forming of costs applied in case of approval of rates (the prices, rates of charges) or their limits on regulated services (goods, works) of subjects of natural monopolies

1. Approve the enclosed Special procedure for forming of costs applied in case of approval of rates (the prices, rates of charges) or their limits on regulated services (goods, works) of subjects of natural monopolies.

2. Recognize invalid some regulatory legal acts of the Chairman of the Agency of the Republic of Kazakhstan on regulation of natural monopolies according to appendix to this order.

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 in the procedure established by the legislation state registration of this order in the Ministry of Justice of the Republic of Kazakhstan.

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;

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 25, 2013 , No. 130-OD

Special procedure for forming of costs, applied in case of approval of rates (the prices, rates of charges) or their limits on regulated services (goods, works) of subjects of natural monopolies

1. This Special procedure for forming of costs applied in case of approval of rates (the prices, rates of charges) or their limits on regulated services (goods, works) of subjects of natural monopolies (further - the Special procedure), is developed according to the Law of the Republic of Kazakhstan of July 9, 1998 "About natural monopolies" (further - the Law).

2. The special procedure, includes following provisions:

1) regulation of the costs included in rate (the price, rate of charge) or its limit;

2) restriction of expenditure items of the subject of natural monopoly;

3) establishment of the list of the expenses which are not considered when forming rate (the price, rate of charge) or its limit;

4) restriction of the profit included in rate (the price, rate of charge) or its limit;

5) approval of the applied accrual methods of depreciation of fixed assets;

6) approval of the directions of use of means of the depreciation charges provided by the tariff estimate of the subject of natural monopoly.

3. In the Special procedure the following concepts are used:

1) competent authority - the state body performing management of the corresponding industry (sphere) of public administration, and for subjects of the natural monopolies rendering regulated services of water supply and (or) water disposal - local executive bodies;

2) regulated services (goods, works) of the subject of natural monopoly - the services (goods, works) provided by the subject of natural monopoly in the field of natural monopoly and which are subject to state regulation by authorized body including cases of provision of services (goods, works) in the form of transfer of certain goods to the consumer;

3) costly part of rate (the price, rate of charge) - set of the costs connected with rendering services (works) by the subject of natural monopoly which are considered in case of approval of rate (the price, rate of charge) and the tariff estimates consisting of production expenses and expenses of the period;

4) restriction of the cost types included in costly part of rate (the price, rate of charge) - establishment of the list of the expenses which are not considered in case of approval of rate (the price, rate of charge) and tariff estimates;

5) restriction of the cost level - establishment of limit of the cost level, considered in rate (the price, rate of charge) based on calculations of requirement of raw materials, materials, fuel, energy, and also level of the normative technical losses made on the basis of the standard regulations and standard rates existing in the corresponding industry (sphere) and limits;

6) restriction of the profit included in rate (the price, rate of charge) or its limit - establishment of limit of size of the profit determined in accordance with the established procedure taking into account the means necessary for realization of investing program;

7) department of authorized body - department of the state body performing management in spheres of natural monopolies.

4. The special procedure is applied to the subjects of natural monopoly providing regulated services (goods, works).

5. Forming of rates (the prices, rates of charges) is performed based on separate accounting of the income, costs and the involved assets by each type of regulated services (goods, works) and in general on other activities.

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