ORDER OF THE MINISTER OF ENERGY OF THE REPUBLIC OF KAZAKHSTAN

of February 27, 2015 No. 152

About approval of Rules of the organization and functioning of the market of electric power

According to the subitem 42) article 5 of the Law of the Republic of Kazakhstan "About power industry" PRIKAZYVAYU:

1. Approve the enclosed Rules of the organization and functioning of the market of electric power.

2. To provide to department of power industry of the Department of Energy of the Republic of Kazakhstan in the procedure established by the legislation of the Republic of Kazakhstan:

1) state registration of this order in the Ministry of Justice of the Republic of Kazakhstan;

2) the direction on official publication of this order within ten calendar days after its state registration in the Ministry of Justice of the Republic of Kazakhstan in periodic printing editions and in information system of law of Ad_let;

3) placement of this order on official Internet resource of the Department of Energy of the Republic of Kazakhstan and on the intranet portal of state bodies;

4) within ten working days after state registration of this order in the Ministry of Justice of the Republic of Kazakhstan submission to Department of legal service of the Department of Energy of the Republic of Kazakhstan of data on execution of the actions provided by subitems 2) and 3) of this Item.

3. To impose control of execution of this order on the supervising vice-Minister of Energy of the Republic of Kazakhstan.

4. This order becomes effective after ten calendar days after day of its first official publication, except for Items 3 and 5 of Rules which become effective since January 1, 2019.

Approved by the Order of the Minister of Energy of the Republic of Kazakhstan of February 27, 2015 No. 152

Rules of the organization and functioning of the market of electric power

Chapter 1. General provisions

1. These rules of the organization and functioning of the market of electric power (further – Rules) are developed according to the subitem 42) of article 5 of the Law of the Republic of Kazakhstan "About power industry" (further – the Law) and determine procedure for the organization and functioning of the market of electric power.

2. In these rules the following concepts and determinations are applied:

1) decrease amount – difference corresponding to the power making organization of the certified electric power determined by results of carrying out extraordinary certifications of power plants of the power making organization, and total electric power of leave in network in megawatts (further – MW);

2) method of adjacent averaging – method of determination (calculation) of the value of electric power of consumption of industrial complex, maximum for settlement period (calendar month), according to which the value of electric power of consumption of industrial complex, maximum for settlement period (calendar month), is determined as the corresponding average for all control periods of this settlement period (calendar month) value net - capacities of industrial complex less the imported electric power;

3) the certified electric power – the amount of the certified electric powers of power plants by results of the corresponding certifications, in MW;

4) the control period – interval of time of calendar day from 17:00 till 23:00 o'clock local time (Monday through Friday, except holidays);

5) the generating installation – the device developing electrical energy;

6) certification of electric power of the generating installations – the events held by the System operator which are directed to determination of values of the certified electric power and the certified speeds of increase and reduction of electric power;

7) the sheet of working electric powers of generation, technology and technical minima – the document constituted by the System operator on every day of the current and forthcoming settlement period (calendar month) which joins provided by the power making organizations also the values of working electric powers of generation, possible electric powers of generation, technology and technical minima of power plants of the power making organizations approved by the System operator;

8) the possible electric power of generation – the amount of working electric power of generation of thermal power plants of the power making organization (taking into account restrictions of the established electric power and the planned repairs approved with the System operator) and that part of the corresponding working electric power of generation of the power making organization which is the share of the hydraulic power plants which are its part (under the terms of providing set by basin inspectorates for regulation of use and protection of water resources of expenses of water, according to article 40 of the Water code of the Republic of Kazakhstan, in MW;

Total 9) the electric power of leave in network – total electric power less the value of electric power of own needs of power plants, maximum in settlement year, of the power making organization considered in it, in MW;

Total 10) deductible electric power – the amount of the following parameters specified for the corresponding calendar year in current agreements about purchase of service in maintenance of readiness of electric power of the power making organization or, in case of their absence (not the conclusion), in one of the existing bilateral agreements on providing with electric power the power making organization: the value of electric power of own consumption, maximum in settlement year, maximum in settlement year of electric power of deliveries to subjects of the retail market and the electric power of export, maximum in settlement year, in MW;

Total 11) electric power – the amount of contractual amount of service in maintenance and total deductible electric power, in MW;

12) planned repair – the planned repair included in the schedule of repairs approved with the System operator;

13) planning system – set of the program technical means intended for transfer by subjects of the wholesale market of electrical energy of requests on production consumption of electrical energy in day ahead, to forming of the daily schedule of production consumption of electrical energy, and also transfer of requests to the day (adjustment of the approved daily schedule);

14) repair capacity – the cumulative established electric power being in all types of repair (is able out of reserve) the generating installations of power plants of the power making organization;

15) the imported electric power – average monthly capacity of the electrical energy delivered because of limits of the territory of the Republic of Kazakhstan;

16) the consumers of the market of capacity who - are power supplying, the power transferring organizations and the consumers who are subjects of the wholesale market of electrical energy, including, industrial complexes;

17) reducing amount – difference corresponding to the power making total organization of the electric power of leave in network increased by value of contractual amount of service in providing with electric power, and the certified electric power, determined by results of carrying out extraordinary certifications of power plants of the power making organization, in MW;

18) the nominal planning repair period – the interval of time necessary for carrying out planned repair of the corresponding generating installation in standard amount, lasting not more than hundred eighty calendar days within the corresponding calendar year;

19) the operator of the market of centralized trade – the organization performing the centralized biddings by electrical energy including spot biddings electrical energy, and service in maintenance of readiness of electric power;

20) industrial complex – the organization which is the subject of the wholesale market of electrical energy, incorporating the power plants which are not separate legal entities, development of electrical energy by which it is performed with consumption purpose the companies and associations which are part of this organization, and also realization in the wholesale and (or) retail markets of electrical energy, and did not sign purchase agreements of service in maintenance of readiness of electric power with the single purchaser;

21) net - capacity of industrial complex – the electric power which is difference of electric power of consumption of industrial complex and electric power of leave in network of the power plants which are part of industrial complex taking into account purchase from settlement financial center of the electrical energy made by objects for use of renewable energy resources as the conditional consumer of electrical energy from renewable energy resources (negative values of this difference are equated to zero);

22) admissible sales amount of capacity at the biddings – difference of the certified electric power and the electric power of the power making organization which is not sold at the biddings, in MW;

23) the electric power which is not sold at the biddings – the amount of the amounts of service in maintenance of readiness of electric power confirmed by results of the corresponding certifications specified for the corresponding calendar year in the current agreements about purchase of service in maintenance of readiness of electric power of the power making organization concluded according to subitems 1), 2), 3), 4), 5) and 6) of Item 11 of these rules, and the total deductible electric power reduced by the amount of values of electric powers of own needs of the power plants of the power making organization fixed by results of the corresponding certifications of MW;

24) the test command – the order this by the System operator of the power making organization on change of electric power of the power plants which are part of the power making organization;

25) technical minimum – the amount of the minimum admissible electric powers of the generating installations: for condensation, heating, gas turbine and steam-gas power plants - under the terms of ensuring stability of their work according to the relevant passport data, for hydraulic power plants under the terms of providing, to the set water expenses basin inspectorates for regulation of use and protection of water resources of expenses of water, according to article 40 of the Water code of the Republic of Kazakhstan, in MW;

26) technology minimum – the amount of the minimum electric powers of the generating installations (in case of the set level of their thermal loading), in MW;

27) method of complete averaging – method of determination (calculation) of the value of electric power of consumption, maximum for settlement period (calendar month), of the power transferring organization according to which the value of electric power of consumption, maximum for settlement period (calendar month), of the power transferring organization is determined as average for this settlement period (calendar month) value of electric power of consumption of the power transferring organization for covering of losses of electrical energy in own networks and for economic needs less the imported electric power;

28) the register of groups of persons – the list of the power making organizations and the consumers entering one group of persons created by authorized body and placed on official Internet resource of authorized body on condition of control availability according to parts two and third Item 1-1 of article 9 of the Law;

29) authorized body – the state body performing management in the field of power industry;

30) contractual amount of service in maintenance – the amount of the amounts of service in maintenance of readiness of electric power specified for the corresponding calendar year in current agreements about purchase of service in maintenance of readiness of electric power of the power making organization of MW;

31) accumulation amount – positive value of difference of the actual total payment of service in ensuring readiness of electric power for execution of load of the single purchaser which consumers of the market of capacity performed for all previous settlement periods (calendar months) of the current calendar year, and the actual total payment of service in maintenance of readiness of electric power of the power making organizations which was performed by the single purchaser for all previous settlement periods (calendar months) of the current calendar year;

32) method of partial averaging – method of determination (calculation) of the value of electric power of consumption of the consumer of the market of capacity, maximum for settlement period (calendar month), according to which the value of electric power of consumption of the consumer of the market of capacity, maximum for settlement period (calendar month), is determined as the corresponding average for all control periods of this settlement period (calendar month) value of electric power of consumption of the consumer of the market of capacity less the imported electric power;

33) the certified speed of reduction of electric power – average value of speed of reduction of electric power by power plant of the power making organization during passing by power plant of the third stage of certification of electric power of the generating installations, in MW/minutes;

34) the certified speed of increase in electric power – average value of speed of increase in electric power of the generating installations of power plant of the power making organization during passing by power plant of the first stage of certification of electric power of the generating installations, in MW/minutes;

35) service in providing with electric power – the service rendered by the power making organizations to the consumers entering with them one group of persons included in the register of groups of persons on providing with electric power;

36) contractual amount of service in providing with electric power – the amount of the amounts of service in providing with electric power specified for the corresponding calendar year in the existing bilateral agreements on providing with electric power between the power making organization and the consumers entering with it one group of persons included in the register of groups of persons in MW;

37) the centralized biddings by electric power – the process directed to the conclusion of service provision agreements on maintenance of readiness of electric power between the power making organizations and the single purchaser in electronic system of trade;

38) the schedule of carrying out the centralized biddings by electric power – the schedule with indication of date, time of the beginning and the end of carrying out the centralized biddings by electric power;

39) the certified electric power of power plant – average during fixing value of electric power of leave in network of the generating installations of power plant of the power making organization, in MW;

40) the electric power of own needs of power plant – the electric power which is difference of electric power of generation and electric power of leave in network of the generating installations of power plant;

41) the electric power of own consumption of the power making organization – the electric power which is the amount of electric power of consumption by the companies and associations which are part of the power making organization and not being separate legal entities and the electric power of own, economic and other needs of the power plants which are part of the power making organization.

Other concepts and determinations used in these rules are applied according to the legislation of the Republic of Kazakhstan in the field of power industry.

Chapter 2. Procedure for the organization and functioning of the market of electric power

Paragraph 1. General provisions

3. Participants of the market of electric power are: the system operator, the single purchaser who are power making the organizations, consumers of the market of capacity, the operator of the market of centralized trade.

4. The purchase agreement of service in maintenance of readiness of electric power and the service provision agreement on ensuring readiness of electric power for execution of loading consist based on the standard agreements developed and approved by authorized body.

Paragraph 2. Participation of the System operator in the market of electric power and procedure for development of forecast demand for electric power the forthcoming and next calendar years

5. The list of consumers of the market of capacity is placed on Internet resource of the system operator and is staticized by the system operator upon change of list of consumers of the market of capacity.

The system operator sends to the single purchaser information on the included and excluded consumers of the market of capacity from the above-stated list.

6. The system operator no later than October first of the year preceding settlement develops in time forecast demand for electric power for the forthcoming and next calendar years on the basis of forecast requests of consumers of the market of capacity taking into account the necessary size of reserve of electric power and annual average electric power of consumption for compensation of technology expense, for own and economic needs of national power grid.

7. Forecast demand for electric power for the forthcoming and next calendar years is developed by the System operator in breakdown on zones of single electric utility system of the Republic of Kazakhstan (further - EEC of RK) in the following procedure:

1) separately for every month of the forthcoming calendar year the amount of the capacities of consumption corresponding to this month specified in the forecast requests for consumption sent to the System operator by consumers of the market of capacity current calendar year according to Item 48 of these rules for the areas entering Northern and Southern zones of EEC of RK is calculated;

2) separately for every month of the forthcoming calendar year the amount of the capacities of consumption corresponding to this month specified in the forecast requests for consumption sent to the System operator by consumers of the market of capacity current calendar year according to Item 48 of these rules for the areas entering the Western zone of EEC of RK is calculated;

3) the greatest of the amounts calculated according to the subitem 1) of this Item (further - the combined maximum of Northern and Southern zones of EEC of RK), and also the month corresponding to the combined maximum of Northern and Southern zones of EEC of RK is determined (further - month of maximum of Northern and Southern zones of EEC of RK);

4) the greatest of the amounts calculated according to the subitem 2) of this Item (further - the combined maximum of the Western zone of EEC of RK), and also the month corresponding to the combined maximum of the Western zone of EEC of RK is determined (further - month of maximum of the Western zone of EEC of RK);

5) for month of maximum of Northern and Southern zones of EEC of RK the combined maximum of the Northern zone of EEC of RK as the amount corresponding to this month and this zone of EEC of RK of the capacities of consumption specified in the forecast requests for consumption sent to the System operator by consumers of the market of capacity current calendar year according to Item 48 of these rules is determined;

6) value of forecast demand for electric power the forthcoming calendar year is determined by the Northern zone of EEC of RK as the value of the combined maximum of the Northern zone of EEC of RK increased by ten percent;

7) for month of maximum of Northern and Southern zones of EEC of RK the combined maximum of the Southern zone of EEC of RK as the amount corresponding to this month and this zone of EEC of RK of the capacities of consumption specified in the forecast requests for consumption sent to the System operator by consumers of the market of capacity current calendar year according to Item 48 of these rules is determined;

8) value of forecast demand for electric power the forthcoming calendar year is determined by the Southern zone of EEC of RK as the value of the combined maximum of the Southern zone of EEC of RK increased by ten percent;

9) for month of maximum of the Western zone of EEC of RK the combined maximum of the West Kazakhstan and Atyrau areas of the Western zone of EEC of RK as the amount corresponding to this month and these areas of the Western zone of EEC of RK of the capacities of consumption specified in the forecast requests for consumption sent to the System operator by consumers of the market of capacity current calendar year according to Item 48 of these rules is determined;

10) for month of maximum of the Western zone of EEC of RK the combined maximum of Mangystau Region of the Western zone of EEC of RK as the amount corresponding to this month and this area of the Western zone of EEC of RK of the capacities of consumption specified in the forecast requests for consumption sent to the System operator by consumers of the market of capacity current calendar year according to Item 48 of these rules is determined;

11) value of forecast demand for electric power the forthcoming calendar year in total is determined by the West Kazakhstan and Atyrau areas of the Western zone of EEC of RK as the value of the combined maximum of the West Kazakhstan and Atyrau areas of the Western zone of EEC of RK increased by ten percent;

12) value of forecast demand for electric power the forthcoming calendar year is determined by Mangystau Region of the Western zone of EEC of RK as the value of the combined maximum of Mangystau Region of the Western zone of EEC of RK increased by ten percent;

13) forecast demand for electric power is developed the forthcoming and next calendar years with indication of in it the values of forecast demands for electric power determined according to this Item the forthcoming calendar year on the Northern zone of EEC of RK, on the Southern zone of EEC of RK, in total on the West Kazakhstan and Atyrau areas of the Western zone of EEC of RK, across Mangystau Region of the Western zone of EEC of RK and on all by EEC of RK; values of the combined maxima of EEC of RK, the Northern zone of EEC of RK, the Southern zone of EEC of RK, the West Kazakhstan and Atyrau areas of the Western zone of EEC of RK, Mangystau Region of the Western zone of EEC of RK.

Certain values of forecast demands for electric power the forthcoming calendar year and values of the combined maxima are specified in forecast demand for electric power for the forthcoming and next calendar years to within whole.

8. The system operator annually till October fifth sends developed forecast demand for electric power for the forthcoming and next calendar years together with confirmatory materials and calculations to the single purchaser and authorized body.

9. In case of receipt from the single purchaser of the letter (on the official form) about input, transfer or removal of actions for input of restrictions to the consumer of the market of capacity the System operator, respectively, enters, transfers or removes actions for input of restrictions to this consumer.

10. The system operator annually till November fifth in writing informs the operator of the market of centralized trade on the handling capacity of the power lines connecting Northern and Southern zones of EEC of RK expected in December of the forthcoming calendar year and also on the handling capacity of the power lines connecting the West Kazakhstan and Atyrau areas of the Western zone of EEC of RK with Mangystau Region of the Western zone of EEC of RK expected in December of the forthcoming calendar year.

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