Qualification requirements to the activity of energy transmission companies will be introduced by phases in to avoid a strong impact on business

This was stated by the director of the Department of Electric Power of the Ministry of Energy of Kazakhstan Bauyrzhan Sarsenov during the 9th meeting of the Energy Committee of the Presidium of the National Chamber of Entrepreneurs of RK "Atameken".

During discussion of the draft law on amendments and additions to some legislative acts of the Republic of Kazakhstan on electricity and, in particular, integration of regional power grid companies within the frames of 51-st step of the Plan of the nation to level the tariff for electric power services in the regions, he noted that licensing of REC as a mechanism of consolidation was not supported by the authorized bodies and the Government of the Republic of Kazakhstan. In this regard, it was decided to prescribe certain qualification requirements to activity of electric companies on the legislative level.

"We have repeatedly sent requests to the regions in order to develop common qualification requirements. Additional opinion poll among energy transmission companies showed that we are ready to exclude from the proposed qualification requirements, those which stipulate availability of specialized industrial buildings, repair and production facilities and manufacturing equipment at electric transmission companies and the registered telephone number for complaints of consumers on electric power transmission services.

With regard to the introduction of the remaining qualification requirements, they proposed to introduce them in stages, with a certain time lag, so as not to put strong pressure on business", - said Baurzhan Sarsenov.

These are four qualifications. First - is the presence of dispatching process enabled control, which in the case of the bill harmonization will be introduced not later than 1^st of January 2018. The second – is availability of services, staffed by trained and certified personnel engaged in the operation and maintenance of electrical networks, equipment, machinery, occupational health and safety; secured by means of individual and collective protection, protective clothing, tools and devices, which will be introduced no later than 1^st of January 2020. Third - is the presence of contracts with the system operator for the provision of ancillary services, which it is proposed to introduce by 1^st of January 2020. And the fourth - the availability of automated systems for commercial accounting, telecommunications systems, ensuring their harmonization with the systems installed in the system operator and the regional power grid company, which it is planned to introduce at the latest by 1^st of January 2022.

The introduction of clear requirements for the activities of energy transmission companies will create an equal competitive environment in this area, and, most importantly, will contribute to the smoothing of different tariffs by eliminating cascading increase in tariffs for the end user in the transmission of electricity through several ETC.

Regarding the unification of power supply organizations with the regional power grid organizations, Bauyrzhan Sarsenov noted that, in the opinion of the Government and the Ministry of Energy, the measure is currently not possible.

"There are objective reasons. Firstly, if you take the amount of ETC - they are now 160 in Kazakhstan, and 239 power supply companies. Combine the two things that even the weight simply can’t match, it is impossible. First of all, we need to think about how to reduce the amount of energy transmission organizations. According to our ministry, when the number of power supply companies will be reduced to 2-3 in the region, then it will be possible to raise the question of the transfer of functions. We want to be heard by NCE RK and support this issue", - said the representative of the Ministry of Energy.

The Chairman Energy Committee Almasadam Satkaliyev supported the position of the Ministry.

"We need to decide on the mismanagement of networks, with integration of the RECs, to create not only institutional, but also the legal framework, to determine the model of regulation of the economy. And depending on these decisions to do the next step", - he said.

 In general, it is noted that the draft law in light of comments will be sent for approval to the Government no later than by 20^th of October this year, and the Parliament - not later than November.

Managing Director of NCE RK Evgeny Bolgert said that within the execution of 51st step, NCE RK supported the issue of transfer to RECs of electrical networks of communal property, including newly constructed in trust or to gratuitous use of RECs and ownerless electric networks. NCE RK believes that the introduced qualification requirements for organizations engaged in electric power transmission, must not be tougher than those, which acted prior to cancelation of the licensing in 2012.

Also at the meeting were discussed issues of implementing price regulation of electric energy for electricity and the development of renewable energy sources.