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LAW OF TURKMENISTAN

of August 16, 2014 No. 104-V

About power industry

(as amended of the Law of Turkmenistan of 08.06.2019 No. 153-VI)

 This Law establishes legal, economic and organizational bases of activities in the field of power industry and is directed to building-up of capacities of electric utility system of the country on the basis of further upgrade of industry, use of innovative energy-saving technologies and the equipment.

Chapter I. General provisions

Article 1. Basic concepts

In this Law the following basic concepts are used:

1) power industry – the industry of economy of Turkmenistan including complex of the production and economic relations arising in production process, transformations, transfers, sale and consumption of electrical (thermal) energy;

2) consumers of electrical (thermal) energy – the physical persons and legal entities acquiring electrical (thermal) energy for production and (or) domestic needs;

3) the agreement on use of electrical (thermal) energy – the agreement according to which the energoyosnabzhayushchy company shall deliver electrical (thermal) energy in certain quantity and required quality and the consumer shall accept it and pay on the terms of the signed agreement;

4) settlement accounting of electrical (thermal) energy – the accounting of electrical (thermal) energy based on indications of devices of settlement accounting, which is the basis for settlement under the agreement on use of electrical (thermal) energy between the power supplying company and the consumer;

5) network of electricity transmission – the network representing set of the electrical units intended for transfer and distribution of electrical energy, and consisting of transformer, distribution and converting substations, power lines and connecting wires (cables);

6) objects of electric utility system – the property objects which are directly used in production process, transfer and sale of electrical (thermal) energy (power plant, power line, transformer substations, distribution points and other equipment intended for implementation of transfer of electrical (thermal) energy);

7) subjects of power industry – the power supplying companies, the Central dispatching management;

8) the power supplying company – the company performing production, transfer and sale of electrical (thermal) energy;

9) the device of settlement accounting – the technical device allowed for use in accordance with the established procedure, intended for accounting of quantity of the released (consumed) electrical (thermal) energy;

10) electric utility system of Turkmenistan – set of the power plants, transformer substations and power lines connected among themselves by general regime of continuous engineering procedure of production, transformation, transfer, sale and consumption of electrical (thermal) energy in the conditions of centralized supervisory control;

11) technology violation – the violation of working hours of power generation facilities leading to loss of stability of electric utility system.

Article 2. Legislation of Turkmenistan on power industry

1. The legislation of Turkmenistan on power industry is based on the Constitution of Turkmenistan and consists of this Law, other regulatory legal acts of Turkmenistan governing the relations in the field of power industry.

2. If the international treaty of Turkmenistan establishes other rules than containing in this Law, then rules of the international treaty are applied.

Article 3. Power industry in system of economy of Turkmenistan and its feature

1. The power industry is basis of functioning of economy and life support.

2. Fundamentals of power industry are the companies of electric utility system of Turkmenistan which represent the production and technology complex providing production, transformation, transfer, sale and consumption of the electrical (thermal) energy which is products of the power industry intended for internal delivery and to export.

Each separately taken company of power industry has incomplete production cycle and does not function separately.

All companies of power industry belong to the category of industrial.

3. The features of power industry determining its value and functioning are:

1) continuous communication of production and consumption of electrical (thermal) energy, coincidence in time of phase of its production to consumption phase in case of the determining influence of size and the mode of consumption;

2) completion of cycle of production of electrical energy at power plant its transformation and transfer on power networks to consumers;

3) lack of work in progress and cycle of warehousing;

4) irregularity of production of electrical energy in connection with seasonal fluctuations of its consumption within year (quarter), within a month (daily allowance) and within a day (sentries) by which are predetermined the variable mode of their production at power plants and need of content of reserves of energy capacities and their advancing development;

5) calculation of cost of energy on the condition the French-consumer providing the complete expense accounting on production, transformation, transfer, sale and electric power consumption.

Article 4. Property in power industry of Turkmenistan

1. Objects of electric utility system of Turkmenistan are state-owned property.

2. The property is assigned to the companies of power industry as complete economic maintaining.

3. The companies of power industry own, use and dispose of property according to the legislation of Turkmenistan.

Article 5. Regulation of land use for placement of power generation facilities

1. The parcels of land for placement of power generation facilities are provided in permanent use according to the procedure, established by the legislation of Turkmenistan.

The sizes of the parcels of land provided for placement of power generation facilities are determined according to project technical documentation approved in accordance with the established procedure.

2. For safety of power generation facilities for the environment and the population which is in the area of placement of these objects conservation zones which sizes and the mode of use are determined according to the procedure, established by the Cabinet of Ministers of Turkmenistan are established.

3. For the parcels of land within conservation zones the specific mode of land use in case of which owners of land, users or lessees of these lands have the right of their economic use with the following restrictions is set:

1) conducting industrial and civil engineering is forbidden;

2) accomplishment of any works without approval of administration of power generation facility is forbidden.

Chapter II. Bases of the organization of power industry

Article 6. Technology and economic bases of functioning of power industry

1. The technology basis of functioning of power industry is constituted by electric utility system of Turkmenistan.

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