Commission Tasks in the Electricity Sector

According to the Law on Energy the Commission performs these functions:

• Approves the accounting requirements of the regulated activity.
• Approves the methodologies for setting the State regulated prices, sets these prices and their ceilings.
• Prepares and submits to the Government the principles for setting the State regulated prices, if needed.
• Controls the application of the State regulated prices and tariffs.
• Approves the connection fees of energy objects (networks, systems, installations), taking into account the common criteria of fees setting described in the laws.
• Unilaterally sets the State regulated prices, if energy companies applies the price setting requirements lawlessly.
• Setting the State regulated prices, evaluates the cost of provided services, taking into account in the return on investment, which is in accordance with the criteria of reasonableness.
• Issues the licenses, changes them, suspend their validation, abolishes suspension of validation, abolishes the license validation, monitors and supervises the activity of licensed energy utilities.
• Sets the requirements of energy transportation reliability and service quality, also controls their compliance.
• Sets the norms of depreciation (amortization) of fixed asset used in the energy utilities activity, which prices are State regulated.
• Provides suggestions regarding the licensing of energy utilities to the Government, Ministry of Energy, Municipalities.
• Obligates the energy utilities to make agreements of energy transmission, distribution or supply, when energy utilities refuse to provide services unreasonably to the third parties or supply energy to the customers.
• Controls, that the activities of energy sector would be effectively unbundled, ensuring the independency of energy transmission and distribution activity from the commercial interests of energy activity and seeking to avoid the cross-subsidy.
• Supervises the extent and effectiveness of market opening and competition in the wholesale and retail trade (including the power and (or) gas exchanges), the application of prices to the households (including the systems of advance payment), the percentage share of customers, which switched the supplier, the percentage share of customers, which were disconnected from the electricity and gas systems, charges of maintenance services and the provision of these services, also according to the competence the cases of competition distortion or limitation in the energy activity.
• Supervises, if there is not the practice of bilateral agreements, which limit the competition, including the conditions of exemptions for the rights, which, if were applied, to the large non-household customers may block the way or limit the possibility to make agreements with more than one supplier, and informs the Competition Council about this practice.
• Not less than one time per year publishes recommendations, related with the compliance of service prices in the energy sector with the requirements of transparency, non-discrimination and other, which are set in the legal acts, and submits them to the Competition Council.
• According to the set order in the legal acts and competence has a right to check the information of energy companies submitted to the State institutions and (or) customers, assess its trustworthy, not breaching the security requirements of information, which is the commercial (production) or professional secret.
• Ensure the possibility to each customer to use data about his/her consumed energy, also summarized energy consumption data, non-identifying the customer’s personal data, the provision in an easy understandable form, which is set by the Commission, in the national level, and the possibility to use these summarized data to all customers.
• Performs the market research, seeking to ensure the operational competition in the energy sector, and to block the way for abuse of persons, which have the substantial influence in the market.
• Impose the set financial penalties (36 article of Law on Energy).
• According to the competence applies the action means set in the Code of Administrative Legal Right of the Republic of Lithuania for the violation of administrative rights.
• Performs other functions set in the Law on Energy and other legal acts.
• The Commission publishes the monitoring results of the mentioned provisions in the annual report.

Last Update: 2013-08-01 14:25