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LAW OF THE REPUBLIC OF UZBEKISTAN

of April 24, 1997 No. 398-I

About natural monopolies

(as amended on 16-10-2017)
Article 1. Purpose of this Law

The purpose of this Law is regulation of the relations connected with activities of subjects of natural monopolies in the goods markets of the Republic of Uzbekistan and also ensuring balance of consumer interests, the state and subjects of natural monopolies.

Article 2. Legislation on natural monopolies

The legislation on natural monopolies consists of this Law and other acts of the legislation.

If the international treaty of the Republic of Uzbekistan establishes other rules, than those which are stipulated by the legislation the Republic of Uzbekistan about natural monopolies then are applied rules of the international treaty.

Article 3. Basic concepts

In this Law the following basic concepts are applied:

natural monopoly - condition of the goods market on which owing to technology features creation of competitive conditions of satisfaction of demand for certain type of goods is impossible or economically inexpedient (works, services) - (further - goods);

the subject of natural monopoly - the business entity (legal entity) occupied with production (realization) of goods in the conditions of natural monopoly;

the consumer - the physical person or legal entity acquiring the goods made by the subject of natural monopoly.

Article 4. State regulation of activities of subjects of natural monopolies

State regulation of activities of subjects of natural monopolies is established in the field of:

oil transportations, oil products and gas on the pipeline;

productions and transportations of electrical and heat energy;

rail haulings taking into account use of infrastructure of the railroads;

services of public mail service;

water and sewer servicing;

services of air navigation, ports and airports.

The paragraph of the eighth part one of Article 4 is excluded according to the Law of the Republic of Uzbekistan of 30.04.2013 No. ZRU-352 

Bodies of state regulation of activities of subjects of natural monopolies are:

Cabinet of Ministers of the Republic of Uzbekistan;

the body authorized by the Cabinet of Ministers of the Republic of Uzbekistan (further - authorized body).

The inventory (works, services), production (realization) of which is performed in the conditions of natural monopoly, determined by authorized body.

Article 5. Methods of regulation of activities of subjects of natural monopolies

Regulation of activities of subjects of natural monopolies is performed by the following methods:

the price regulation performed by means of determination (establishment) of the prices (rates) or their limit;

determination of the consumers who are subject to obligatory servicing and (or) establishment of the minimum level of their providing in case of impossibility of satisfaction in full consumers in the goods realized by subjects of natural monopolies.

Other methods also can be applied to regulation of activities of subjects of natural monopolies according to the legislation.

Article 6. Bases for acceptance by body of state regulation of activities of subjects of natural monopolies of decisions on application of methods of regulation

The relevant organ of state regulation of activities of subjects of natural monopolies makes the decision on application of the methods of regulation provided by this Law and other acts of the legislation in relation to the specific subject of natural monopoly on the basis of the analysis of its activities taking into account the stimulating role in improvement of quality of the made (implementable) goods and in satisfaction of demand for them. At the same time justification of costs is estimated and are taken into account:

costs of production (realization) of goods, including salary, cost of raw materials and materials, overheads;

taxes and other obligatory payments;

cost of the main production means, need for the investments necessary for their reproduction, and depreciation charges;

the predicted profit on possible sales of goods at the different prices (rates);

remoteness of different customer groups from production site of goods;

compliance of quality of the made (implementable) goods to demand of consumers;

state grants and other measures of the state support.

In case of decision making about application of methods of regulation of activities of the specific subject of natural monopoly the body of state regulation of activities of subjects of natural monopolies considers also information provided by consumers of goods of the subject of natural monopoly.

Article 7. Price regulation

Price regulation of activities of subjects of natural monopolies is performed by authorized body.

For price fixation (rates) for goods subjects of natural monopolies represent to authorized body projects of the prices (rates) and calculations for them according to the procedure established by the Cabinet of Ministers of the Republic of Uzbekistan.

Projects of the prices (rates) for goods of subjects of natural monopolies are considered by authorized body taking into account their influence on the prices of products of the consumer in a month.

The decision of authorized body at the prices (rates) is published by subjects of natural monopolies in mass media not later than fifteen days to their introduction in force.

Article 8. Determination of the consumers who are subject to obligatory servicing

Determination of the consumers who are subject to obligatory servicing by subjects of natural monopolies is performed by the Cabinet of Ministers of the Republic of Uzbekistan.

Article 9. State control of activities of subjects of natural monopolies

The state control of activities of subjects of natural monopolies is exercised by the state antimonopoly authority.

The state antimonopoly authority exercises control for:

observance of agreements on amounts of goods, implementable consumers;

observance of procedure for pricing and use of the prices (rates) for goods;

creation, reorganization and liquidation of subjects of natural monopolies.

Article 10. Powers of the state antimonopoly authority in the field of activities of subjects of natural monopolies

State antimonopoly authority:

creates and keeps the State register of subjects of natural monopolies concerning which state regulation and control is exercised;

develops and performs restructuring programs of industries of natural monopolies;

controls observance of this Law within the competence;

makes within the competence decisions on the facts of violation of the law;

sends to subjects of natural monopolies instructions, obligatory for execution;

The paragraph of the seventh Article 10 is excluded according to the Law of the Republic of Uzbekistan of 07.10.2013 No. ZRU-355

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