ORDER OF THE MINISTER OF NATIONAL ECONOMY OF THE REPUBLIC OF KAZAKHSTAN

of December 29, 2014 No. 174

About approval of Rules of pricing in the controlled markets, approvals and adjustments of investing program (project) of the subject of the controlled market

According to Items 1 and 2-1 of article 7-2 of the Law of the Republic of Kazakhstan of July 9, 1998 "About natural monopolies and the controlled markets" PRIKAZYVAYU:

1. Approve the enclosed Rules of pricing in the controlled markets, approvals and adjustments of investing program (project) of the subject of the controlled market.

2. To provide to committee on regulation of natural monopolies and protection of the competition of the Ministry of national economy 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) within ten calendar days after state registration of this order its direction on official publication in periodic printing editions and in information system of law of Ad_let;

3) placement of this order on Internet resource of the Ministry of national economy of the Republic of Kazakhstan.

3. To impose control of execution of this order on the first vice-minister of national economy of the Republic of Kazakhstan.

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

Approved by the Order of the Minister of national economy of the Republic of Kazakhstan of December 29, 2014 No. 174

Rules of pricing in the controlled markets, approvals and adjustments of investing program (project) of the subject of the controlled market

1. General provisions

1. These rules of pricing in the controlled markets (further - Rules) are developed according to Items 1 and 2-1 of article 7-2 of the Law of the Republic of Kazakhstan of June 9, 1998 "About natural monopolies and the controlled markets" (further - the Law) for the purpose of non-admission of unreasonable increase in prices and determine procedure for pricing in the controlled markets, approvals and adjustments of investing program (project) of the subject of the controlled market.

Rules provide the following stages of realization:

1) provision of information and notification for project appraisal of the price;

2) pricing on the controlled markets products, goods (works, services) subjects of the controlled market;

3) approval and adjustments of investing program (project) of the subject of the controlled market.

2. In Rules the following concepts are applied:

1) pricing - process of forming and consideration of goods prices (work, service) and products, goods and services;

2) selling price - the goods price (works, services) applied by the subject of the controlled market to its production and (or) realization;

3) fuel collection - the collection levied by airline for the purpose of compensation of growth of costs for aviation fuel during action of rate for transportation when which calculating to consider this growth was not represented possible;

4) investing program (project) - the program of attachment and return of the funds allocated for creation of new assets, expansion, recovery, updating, support of the existing assets, reconstruction, modernization of fixed assets of the subject of the controlled market, for the short-term, medium-term or long-term period for the purpose of receipt of technical and economic effect, including one or several investment projects;

5) exclusively made goods (works, services) - goods (works, services) on production (rendering) of which, subjects of the controlled market hold the dominating or monopoly position in the corresponding goods market;

6) reasonable price - the price determined based on reasonable costs and profit of the subject of the controlled market according to the documents submitted by the subject of the market confirming justification of such costs and profit and also based on the expertize which is carried out by department of authorized body using method of comparative analysis;

7) cost - set of the costs considered by department of authorized body in the price of exclusively made goods (work, service) and (or) of products, goods and services;

8) the controlled markets - the goods markets in which according to the Law state regulation of the prices for subjects of the controlled market is entered;

9) the subject of the controlled market (further - the Subject) - the individual entrepreneur or the legal entity, (except for subjects of natural, state monopoly and the power making organizations):

included in the State register of the subjects of the market holding the dominating or monopoly position in the controlled markets;

the selling products, goods and services included in the nomenclature established by the Government of the Republic of Kazakhstan;

10) authorized body - the state body performing management in spheres of natural monopolies and in the controlled markets;

11) department of authorized body - department of the state body performing management in spheres of natural monopolies and in the controlled markets;

Marginal 12) price - the goods price (works, services) established by the subject of the controlled market based on the costs and profit necessary for their production and (or) realization according to Rules, and recognized by department of authorized body of the examination of the price proved by results of carrying out.

2. Procedure for provision of information and notification for project appraisal of the price

3. Department of authorized body carries out expertize of the price planned by the Subject according to Rules.

In department of authorized body Subjects provide:

1) information on selling prices with appendix of the proving materials confirming price level no later than thirty calendar days from the date of introduction of state regulation of the prices or inclusion in the product range, goods and services in writing;

2) the notification on the forthcoming advance in price in writing in form according to appendix 1 to these rules (further - the notification according to appendix 1) at least in thirty calendar days about the forthcoming increase in prices for goods (works, services) above marginal price and the reasons of their increase with provision of the proving materials confirming the increase reasons (except for the subjects of the retail market which are not holding the dominating or monopoly position in the controlled markets);

3) information necessary for conducting examination of the price, upon the demand of department of authorized body by results of carrying out monitoring of the prices and (or) based on claims, information, data specifying establishment of the unreasonable price and also in cases of failure to carry out by the subject of the controlled market of the obligations established by subitems 3) and 3-1) articles 7-3 of the Law.

4. In cases of stipulated in Item 3 Rules the Subject is represented:

1) the explanatory note with reasons for feasibility of advance in price, with application of documents, confirming increase reasons (the copy of the relevant agreements (prisoners) confirming value increase of raw materials, materials, services);

2) the project of the prices or selling price on each type of activity;

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