Regulations Regarding the Trade and Use of Electricity

Issued pursuant to
Section 30.¹, Paragraph four, Section 32,
Paragraphs three and five, Section 34,
Paragraph three, Section 35,
Paragraph two of the Electricity
Market Law and Section 22,
Paragraph five of the law
On Regulators of Public Utilities

I. General Provisions

1. This Regulation prescribes:

1.1. the procedures for supplying electricity and discontinuing the supply of electricity to an electricity user (hereinafter - user);

1.2. the rights and duties of an electricity trader (hereinafter - trader), electricity system operator (hereinafter - system operator) and user in the supply and use of electricity, as well as in settlement of payments for services;

1.3. the procedures for changing the trader;

1.4. the procedures for determining and publishing the price of electricity supplied within the scope of the supply of last resort;

1.5. the conditions of the universal service offer;

1.6. the procedures by which a household user shall agree with the distribution system operator on application of the electricity net payment system, and the procedures for applying it;

1.7. the procedures by which a system operator or trader may discontinue the supply of electricity to those users who have not paid for the electricity or system services received or have not fulfilled other obligations towards the system operator or trader.

2. Terms used in this Regulation:

2.1. a sub-user - a person that upon agreement with a user uses electricity grids in the ownership or possession thereof for the receipt of electricity and does not purchase electricity from the trader or system operator;

2.2. permitted maximum load - the largest simultaneous electrical load that may be used by the user according to the technical parameters of the connection. The permitted maximum load shall be limited by an input protection device or the amount of electrical load determined in the contract;

2.3. balancing service contract - a contract entered into by a balancing service provider and an electricity market participant regarding provision of the balancing service;

2.4. balancing service provider - a transmission system operator or electricity market participant who provides balancing service to other electricity market participants and who has entered into a balancing service contract with the transmission system operator;

2.5. operational works - maintenance, servicing and repair of electrical equipment;

2.6. electrical load - a value characterising the operation of the user's equipment that is equal to all the capacity amounts of electrical installations of the user switched on simultaneously in the electricity grid, including load losses in electrical installations of the user;

2.7. electricity meter for the power commercial accounting - a measurement appliance or a system of measuring appliances for recording the amount of electricity and system services for the purposes of settlement of payments, as well as for recording the amount of electrical load in the interval of trade;

2.8. electricity supply contract - a contract regarding the trade of electricity that is entered into by and between the electricity trader and user;

2.9. electricity trade period - a time period laid down in the electricity supply contract, for which the trader and the user have agreed upon the price of electricity and other provisions;

2.10. electrical equipment - any equipment for electricity production, conversion, transmission, distribution or consumption;

2.11. electrical installation - several mutually connected electrical appliances for the performance of joint tasks;

2.12. proprietary border of electrical installations - the border between the electrical installations of the system operator and user or producer, or between the electrical installations of the user or sub-user determined in the contract;

2.13. electricity grid - a part of the electricity supply system used for transmitting and distributing electricity, and consisting of mutually related electric transmission lines and electrical equipment (for example, substations, distribution points, electricity distribution boxes);

2.14. small-scale distribution system operator - a distribution system operator to whose distribution networks less than one hundred users are connected;

2.15. net consumption - the difference between the amount of electricity received by the electricity grid and the amount of electricity transferred into the electricity grid within the scope of one settlement period;

2.16. settlement period - a time period for which payments are settled. The settlement period is one calendar month, unless the parties have agreed otherwise;

2.17. component of the mandatory procurement - a payment in euros per kilowatt hour, calculated in accordance with procedures stipulated by the Public Utilities Commission (hereinafter - Regulator) and approved by the Regulator, which compensates the additional expenses of the public trader for electricity procured within the scope of mandatory procurement and produced in cogeneration, using renewable energy resources, in comparison with the procurement of the same amount of electricity in the electricity market;

2.18. supply of last resort - supply of electricity to such user who has discontinued activity in the electricity market and purchases electricity from the supplier of last resort or who does not have a balancing service contract;

2.19. connection agreement - an agreement that is entered into by and between the system operator and the user or producer regarding the installation of the connection to the system;

2.20. reactive power - part of the complex capacity of the sinusoidal voltage and current, which is required for the creation of magnetic fields for individual equipment and is an irrevocable component of the technological process in the production, transmission and distribution of electricity;

2.21. bill - a document according to which the user makes a payment;

2.22. system use contract - a contract that is entered into by and between the trader and the system operator regarding the exchange of necessary information for the performance of trade transactions;

2.23. system services contract - a contract that is entered into by and between the system operator and the user or producer regarding the provision of system services and other services;

2.24. connection to the system - a part of the electricity grid of the system operator that is installed for providing the supply of electricity to the user or receiving electricity from the producer up to the proprietary border of the electrical installations;

2.25. interval of trade - a period of one hour that commences on the hour;

2.26. day of trade - a period of 24 intervals of trade that commences at midnight; and

2.27. installed capacity - total nominal power of the electricity consuming installations installed by the user.

3. Connection of electrical installations of the user to the electricity system (hereinafter - system) or the increase of the permitted load shall take place in accordance with the system connection regulations for participants of the electricity system approved by the Regulator.

II. Power Commercial Accounting

4. An electricity meter for the power commercial accounting registered by the system operator shall be installed on the proprietary border of the electrical installations. If the electricity meter for the power commercial accounting has not been installed on the proprietary border of the electrical installations, the system operator, in conformity with the losses in the electricity grid that have been calculated from the proprietary border of the electrical installations up to the place of installation of the electricity meter for the power commercial accounting, shall determine the amount of electricity and services that are received by such users the electrical installations of which are connected to the voltage of at least six kilovolts. In order to calculate the above-mentioned amount of electricity and services, the following calculations shall be performed:

4.1. if the electricity meter for the power commercial accounting is installed on the side of the system operator before the proprietary border, the amount of the received electricity and services within the area between the place of installation of the electricity meter for the power commercial accounting and the proprietary border shall be deducted from the amount of electricity and services received by the user;

4.2. if the electricity meter for the power commercial accounting is installed on the side of the user before the proprietary border, the amount of the received electricity and services within the area between the place of installation of the electricity meter for the power commercial accounting and the proprietary border shall be added to the amount of electricity and services received by the user.

5. For a temporary connection (up to three months) or a one-phase connection with the rated current of the input protection device up to 10 amperes, the system operator, upon agreement with the user, may calculate the amount of electricity and services supplied without installing an electricity meter for the power commercial accounting.

6. Electricity meters for the power commercial accounting shall be installed by the system operator or the owner of the electricity system, and they are the property of the system operator or the owner of the electricity system.

7. The installed electricity meters for the power commercial accounting must conform to the requirements laid down in the laws and regulations regarding the procedures for performing approval, primary verification and market supervision of the type of means of measurement, as well as in the laws and regulations regarding metrological requirements for means of measurement and regarding metrological requirements for electricity meters for the active power commercial accounting. The system operator is responsible for a periodic verification of the electricity meters for the power commercial accounting and the user is responsible for a periodic verification of the instrument transformers in the ownership thereof in accordance with the laws and regulations regarding periodic verification of electricity meters, verification certificates and verification marks, conforming to the periodicity of verification that is laid down in the laws and regulations regarding the list of measurement devices subject to State metrological control. The lockable terminal cover of the electricity meters for the power commercial accounting shall be sealed with a seal of the system operator.

8. Early verification of an electricity meter for the power commercial accounting may be performed upon initiative of the system operator or, if the user has doubts regarding accuracy of the electricity meter for the power commercial accounting, the user has the right to request that the system operator ensures early verification of the electricity meter for the power commercial accounting with a body which is accredited by the national accreditation body in conformity with the laws and regulations regarding assessment, accreditation and supervision of conformity assessment bodies. If:

8.1. the electricity meter for the power commercial accounting is recognised as invalid for use during early verification, the expenses related to early verification of the electricity meter for the power commercial accounting shall be covered by the system operator. If the electricity meter for the power commercial accounting is recognised as valid for use during early verification requested by the user, the expenses related to early verification of the electricity meter for the power commercial accounting shall be covered by the user;

8.2. if the error of the electricity meter for the power commercial accounting exceeds the error laid down in the laws and regulations regarding periodic verification of means of measurement, verification certificates and verification marks, the system operator may update the amount of electricity and services supplied to the user, performing recalculation in accordance with the procedures laid down in Paragraph 11 of this Regulation.

[7 August 2018]

9. The system operator shall verify the correctness of the connection of the electricity meter for the power commercial accounting and shall perform the sealing of pre-accounting and accounting circuits. The system operator shall inform the user regarding the sealing of pre-accounting and accounting circuits performed, using distance means of communication or in writing. The user has the right to choose the mode of communication, in which the system operator will inform him or her.

10. If a written consent to terminate contractual obligations with the system operator has been received from the owner of the multi-apartment house and all users existing in the house, a common electricity meter for the power commercial accounting may be installed with the permission of the system operator. In such case the owner of the house or his or her authorised person, or a person authorised by all users existing in the house shall become the user, assume the liability to supply all sub-users in the relevant house with electricity and enter into a contract with the system operator regarding supply of electricity or system services.

11. If a wrong operation or error in the calculations of the electricity meter for the power commercial accounting is detected, the amount of the supplied electricity and services shall be updated for the entire period from the moment when the electricity meter for the power commercial accounting has commenced to operate incorrectly or, if this moment cannot be determined, for the last settlement period. The recalculation shall be performed, taking into account the average amount of electricity and services in the previous settlement period or the average amount of electricity and services after renewal of accounting.

12. The system operator shall determine the consumption of electricity by the user for the needs of settlement of payments:

12.1. using distance means of communication, if a smart electricity meter for the power commercial accounting has been installed for users;

12.2. on the basis of historic average monthly consumption of electricity of the user, which is corrected according to the reading of the meter for the commercial accounting recorded during control inspections;

12.3. according to readings of the meter for the commercial accounting read and declared by the user, which are provided by him or her to the system operator or trader in the way determined by them.

III. Electricity Net Payment System

13. An agreement between the household user and the distribution system operator regarding the rights to use the electricity net payment system may be a component of the electricity connection agreement.

14. The distribution system operator shall draw up and publish on its website uniform conditions for application of the electricity net payment system.

15. The distribution system operator shall install an electricity meter for the power commercial accounting, which accounts the electricity received from the electricity grid and the electricity transferred into the electricity grid, to the household user who has been permitted the electricity net payment system.

16. The distribution system operator has the right to perform a survey of electricity production equipment and an inspection of settings for the protection of electricity production equipment during operation thereof at the household user with whom an agreement regarding the use of the electricity net payment system has been entered into.

17. The household user has a duty to settle payments for electricity, according to a bill written out by the trader, in the amount of net consumption and for system services, as well as components of the mandatory procurement for the whole amount of electricity that has been received from the electricity grid during the settlement period.

18. If net consumption during the settlement period is negative, the distribution system operator shall add the amount of net consumption to the subsequent settlement period as the electricity transferred into the electricity grid, but the net consumption of the household user in the settlement period shall be zero.

IV. Supply of Electricity

19. Supply of electricity to the user up to the proprietary border of electrical installations shall be performed in accordance with this Regulation.

20. The proprietary border of electrical installations between the user and the system operator shall be determined in the connection agreement or in the system services contract. If the parties have not agreed otherwise, they shall serve electrical installations thereof up to the proprietary border.

21. If the proprietary border of electrical installations between the household user and the system operator is not determined in the contracts referred to in Paragraph 20 of this Regulation, the proprietary border of electrical installations shall be determined:

21.1. at the terminal point of overhead lines of the system operator or suspended cable line to the user's roof pillar insulators or insulators to the wall of the house;

21.2. at the terminal point of the user's cable line to the contacts to the system operator overhead line or suspended cable line;

21.3. at the terminal point of the user's cable line to the contacts in the distribution box for electricity metering appliances, cable distribution box or terminal desk of the electricity meter of the system operator;

21.4. at the terminal point of the system operator's cable line to the contacts in the distribution box of the user;

21.5. in residential apartment houses (the proprietary border of the electrical installations between electrical installations of the user and system operator) at the terminal point of the house electrical installation to the electrical installation of the system operator.

22. The trader shall indicate the identity and address of the trader and user, the term of operation of the contract, the electricity trade period, the procedures for early termination of the contract, the price of electricity or the formula for determination thereof, the procedures for co-ordinating supply of electricity schedules, the procedures for settlement of payments and the procedures for submitting and examining claims and questions and contact information, and other necessary information, in the electricity supply contract.

23. If payment for early termination of the contract is provided for in the electricity supply contract, which has been entered into with the user for a definite period of time, it must be determined in proportion to the time of supply of electricity until early termination of the contract, dividing it in periods of at least three months.

24. The user who owns or who uses electricity in several objects consuming electricity is entitled to enter into one trade contract or into several electricity supply contracts, entering them into with one or several traders regarding one or several objects consuming electricity.

25. The grounds for settling payments for electricity between the user and the trader shall be the information provided by the system operator regarding consumption of electricity, which has been determined in accordance with the types referred to in Paragraph 12 of this Regulation.

26. Payment for the system services shall be calculated on the basis of electricity consumption which has been determined in accordance with the types referred to in Paragraph 12 of this Regulation and according to the tariffs laid down in accordance with the procedures laid down in the Electricity Market Law.

27. The user shall pay for each component of the mandatory procurement in proportion to electricity consumption.

28. The user shall inform the trader regarding termination of the electricity supply contract according to the procedures laid down in the contract. If meter readings in the object are not obtained using distance means of communication, the user shall record readings of the electricity meter for the power commercial accounting, notify them to the distribution system operator or trader in the way stipulated by them. The parties shall perform the final settlement of payments for the electricity received, the system services provided by the system operator, other services and components of the mandatory procurement within the specified time period. The user shall pay the payment for early termination of the contract, if such is provided for in the contract.

29. If the user, upon terminating the use of electricity in an object, has not informed the trader or system operator thereof in accordance with Sub-paragraph 32.8 or Paragraph 41 of this Regulation or has not admitted a representative of the distribution system operator to acquire the readings of the meter for the commercial accounting, he or she shall be responsible for paying for the received services until a new contract is entered into with another user.

V. Supply of Electricity to Household Users

30. Supply of electricity to a household user shall take place according to the electricity supply contract.

31. The trader shall include the following information in electricity supply offers to household users:

31.1. the term of operation of the electricity supply contract, the electricity trade period, the procedures for early termination of the contract, including payment for early termination of the contract if any;

31.2. the price of electricity or the formula for determining it, the procedures for and type of settlement of payments, the procedures for examining questions and claims;

31.3. total anticipated costs of electricity for 100 kilowatt hours or average monthly consumption of electricity, indicating separately the price of electricity, payment for system services, components of the mandatory procurement and the value added tax in the bill.

32. Upon entering into an electricity supply contract with household users:

32.1. the trader is entitled to enter into a contract with the user if the conditions of the contract are not different from the conditions of the offer issued to the user;

32.2. if the electricity trade period determined in the contract exceeds two years, payment for early termination of the contract or amending trading provisions may be applied only in the first two years of such trade period;

32.3. if the trader changes the conditions of the contract in the first two years of the electricity trade period, the user is entitled to terminate the electricity contract without the payment for early termination of the contract being applied;

32.4. such conditions shall be included in the contract, which allow the user to withdraw from the electricity supply contract entered into before the supply of electricity is commenced, notifying thereof until the twentieth date of the previous month before it is intended to commence the supply of electricity;

32.5. the contract shall include data regarding the system operator which provides system services, the rated current of the input protection device and the type of the system service tariff. The distribution system operator shall provide the information necessary to the trader for preparation of the contract;

32.6. a condition regarding the duty of the trader to settle payments with the system operator for the system services provided to the household user, other services and components of the mandatory procurement shall be included in the contract;

32.7. the contract shall include the procedures for examining questions and claims;

32.8. the contract shall include a condition that the household user is entitled to terminate the use of electricity in the object, informing the trader thereof at least five working days in advance and indicating the time of terminating the use of electricity.

33. If the trader provides electricity supply services to the household user, the trader has a duty to offer the universal service. The following conditions and information shall be included in the offer of the universal service:

33.1. the electricity trade period is 12 months. Supply of electricity after the end of the electricity trade period is ensured within the scope of the universal service for the price determined by the trader for the subsequent electricity trade period;

33.2. the price of electricity shall remain unchanged throughout the electricity trade period;

33.3. the user has the right to withdraw from the universal service before the end of the electricity trade period without the payment for early termination of the contract being applied;

33.4. the procedures laid down for the settlement of payments and the applicable type of settlement of payments.

34. The household user has a duty to make payments within the time period and in the way indicated in the electricity supply contract or by the trader providing the universal service for electricity supplied by the trader, the system services provided by the system operator, other services and components of the mandatory procurement.

VI. Supply of Electricity to Users who are not Household Users

35. Supply of electricity to the user shall take place according to the system services contract, electricity supply contract and balancing service contract, which may be a component of the electricity supply contract.

36. The user shall pay to the relevant electricity transmission or distribution system operator for the component of the mandatory procurement together with the payment for transmission or distribution system services.

37. The user may, in the electricity supply contract, delegate the trader a duty to settle payments with the system operator on behalf of the user:

37.1. for the system services and other services;

37.2. for components of the mandatory procurement.

38. The trader shall inform the system operator regarding the delegation referred to in Paragraph 37 of this Regulation together with the duty laid down in Paragraph 122 of this Regulation to notify regarding an agreement regarding trade of electricity.

39. The user who owns or who uses electricity in several objects consuming electricity is entitled to enter into one or several balancing service contracts, entering them all into with one or several traders regarding one or several objects consuming electricity.

40. The user is entitled to enter into an electricity supply contract with several traders also for electricity consumed in one object. In such case only one trader is entitled to provide the balancing service and the duties referred to in Paragraph 37 of this Regulation may be delegated only to the trader which provides the balancing service.

41. The user is entitled to terminate the use of electricity in the object, informing the system operator thereof at least five working days in advance and indicating the time for terminating the use of electricity.

42. Upon entering into a system services contract, the identity and address of the system operator and user, the level of the quality of services to be supplied, the term of operation of the contract, the termination of provision of services and the renewal thereof, the right to withdraw from the contract, compensations for provision of a poor-quality service and the financial losses caused, as well as the procedures for submitting and examining claims of the user shall be indicated in the contract.

43. The amount of balancing electricity in each interval of trade shall be determined as the difference between the amount actually consumed and the amount of electricity recorded in the delivery schedule.

44. The user has a duty to make payments within the time period and in the way indicated in the electricity supply contract and the system services contract for electricity supplied by the trader, the system services provided by the system operator, other services and components of the mandatory procurement.

45. If the user has missed a payment or if it is being liquidated or reorganised and according to a reorganisation plan is going to be liquidated, the trader and system operator may request the user to perform prepayment in the amount of average monthly payment, to determine shorter settlement periods or to request to submit a security of adequate fulfilment of contractual liabilities.

VII. Rights and Duties of the User

46. The user is responsible for connecting his or her electrical installations and electrical appliances, their technical state and qualified servicing in conformity with the laws and regulations that determine the requirements for the technical operation of electrical installations and safety equipment. The user may enter into a contract regarding the servicing of electrical installations with a legal person or natural person who in accordance with the procedures laid down in laws and regulations has acquired the right to perform such tasks.

47. The possessor or owner of a multi-apartment residential house is responsible for the technical state of electrical installations located in the common use area of the house (distribution of inlet and floors, cables to individual floors, electrical installation of stairs, courtyard, basement, attic, lifts, pumps, illuminating devices and electric motors), the existence and servicing of the single-line scheme, as well as for the maintenance of the electricity meter for the power commercial accounting and seals installed thereto.

48. Upon declaring readings of the power commercial accounting, the user, in accordance with Sub-paragraph 12.3 of this Regulation, has a duty to provide information corresponding to the readings of the electricity meter for the power commercial accounting.

49. The user has a duty to develop such scheme of supply of electricity that, when performing the load shedding according to the schedule of disconnection, the electrical installations in the operation of which the interruptions of supply of electricity is not permissible would not be disconnected.

50. The user shall ensure the existence of a single-line scheme conforming to the actual state of electrical installations from the proprietary border of electrical installations up to the electricity meter for the power commercial accounting.

51. If the system operator is in the possession of information that indicates electricity release in the electrical installation of the user, the user may not prohibit the employees of the system operator to perform the control of the commercial accounting and pre-accounting in the territory of the user, which has not been previously co-ordinated with the user. An employee of the system operator shall perform the control in the presence of the user, his or her representative or a police officer.

52. The user has a duty to fulfil the written instructions of the system operator regarding changes in the electrical installation of the user and the servicing thereof, in order to ensure safe operation of the commercial accounting, possibility of the sealing of pre-accounting circuits and performance of contractual obligations, as well as in order to prevent electricity release in the electrical installation of the user.

53. The user may disconnect or connect such electrical installations of the user, through which the system operator provides supply of electricity to other users, only with the permission of the system operator.

54. The user according to civil legal procedures shall be financially liable for the interference into the operation of the electricity meters for the power commercial accounting, intentional damage or falsification of seals, the preservation of the electricity meters for the power commercial accounting or system pre-accounting circuits, seals, as well as automated recording systems and communication lines installed within their premises or territory and the technical condition thereof.

55. The user shall require the permission of the system operator for the performance of such works that are related to connection change of the schemes of the electricity meters for the power commercial accounting, change or movement of measurement appliances. During repair the power commercial accounting may be performed according to a temporary scheme that is co-ordinated with the system operator or the amount of the consumed electricity may be determined by means of calculation.

56. The user shall immediately inform the system operator regarding damage to the electricity meters for the power commercial accounting, torn-off seals and possible mistakes of the readings of electricity meters for the power commercial accounting.

57. If, upon inspecting electrical installations, the system operator establishes that due to the fault of the user an electricity meter for the power commercial accounting has been lost or damaged or the seal has been damaged, the user has a duty to cover expenses related to restoration and periodic verification of the meter for the commercial accounting, as well as to pay for the non-accounted electricity and services in accordance with the procedures laid down in Paragraph 11 of this Regulation.

58. If the electricity meter for the power commercial accounting has been damaged with the intention of reducing the value of the reading of electricity consumption or creating a possibility to use electricity free of charge or the user has arbitrarily changed the accounting scheme, the user has a duty to pay for the non-accounted electricity and services in accordance with the procedures referred to in Paragraph 112 or 113 of this Regulation and cover expenses for constructing the commercial accounting in a place that is freely accessible to the system operator, which do not exceed the actual expenses for reconstruction of the inlet and commercial accounting.

59. If, upon inspecting the system of electrical installations of the user, the operator establishes damages to the electricity meter for the power commercial accounting, the system operator shall hand over the electricity meter for the power commercial accounting installed for the user for expert-examination in a laboratory which is accredited in accordance with the procedures provided for in the laws and regulations in the field of conformity assessment. If intentional damaging or forging of seals, interfering with the operation of the meter for the commercial accounting or the fact that the damage has been caused due to an artificial overvoltage and it reduces the value of the reading of electricity consumption or creates a possibility to use electricity free of charge is established in the expert-examination, the user has a duty to cover expenses related to the performance of the expert-examination, restoration and periodic verification of the electricity meter for the power commercial accounting. The user has the right to become acquainted with the documents drawn up by the system operator and the opinion of the laboratory.

60. The user shall take a decision himself or herself regarding the required safety of supply of electricity, i.e. the necessity to prevent interruptions of supply of electricity and damages to his or her electrical installations, which may occur during damages to or repair of separate elements of the supply of electricity system or during planned disconnections.

61. The user whose electrical installations do not tolerate interruptions in supply of electricity, voltage dips and overvoltage shall take additional measures in order to achieve the necessary safety of supply of electricity. A reserve connection, an independent power supply and appliances stabilising voltage, as well as automated switching equipment shall be installed and arranged on the account of the user.

62. The user may request that the system operator disconnects his or her electrical installations on the proprietary border of electrical installations, discontinuing supply of electricity for a definite period of time in order to perform maintenance work in electrical installations of the user. If such disconnection affects the supply of electricity of other users or sub-users, the user requesting disconnection shall co-ordinate the request in writing with all such users or sub-users.

63. If disconnection of electrical installations for a definite period of time is requested by a household user and another person has expressed a wish to use and pay for electricity in such object, the system operator is entitled not to discontinue the supply of electricity in the absence of technical obstacles.

64. The user has the right to request and the system operator has a duty to provide the necessary information that is related to access to the system, the use of system services and balancing service, settlement of payments, as well as with unforeseen interruptions of supply of electricity and the process of prevention thereof.

65. Using system services provided by the system operator, the user has a duty:

65.1. to observe the permitted load and provisions for the use of electricity. The permitted electrical load for apartments and households shall be the rated current of the input protection device that does not exceed 16 amperes, or in a grid of 3 x 220 volts the permitted simultaneous load shall be 10 amperes, if the user has not agreed otherwise with the system operator;

65.2. upon request of the system operator to develop and perform regulatory measures for the reduction of electrical load and to fulfil the requirement of the system operator to reduce the electrical load or consumption of electricity in an emergency situation or during such energy crisis that has been proclaimed in accordance with the procedures laid down in the Energy Law (does not apply to household users);

65.3. within 10 days to submit to the system operator an application regarding the unsupplied electricity or supply of electricity of an inadequate quality that has occurred while the user fulfilled the requirement of the system operator referred to in Sub-paragraph 65.2 of this Regulation (does not apply to household users);

65.4. to connect to the network of the user and to use only such electricity installations that do not cause unacceptable electricity quality changes in the network of the system operator or damages to the electricity meter for the power commercial accounting. Connecting of electrical installations of the user according to the instruction for use stipulated by the manufacturer of electrical installations shall be ensured;

65.5. in time and to full extent to settle payments with the system operator or his or her authorised person for the received system services (does not apply to household users);

65.6. to inform immediately the system operator regarding the determined damages or actual threat in the electrical installations of the system operator;

65.7. not to request without a reason for the planned time of disconnection to be changed if other users have been warned regarding the disconnection and it affects the supply of electricity of other users;

65.8. to ensure unimpeded access of employees of the system operator or its authorised person to meters for the commercial accounting and to the pre-accounting network, if they present a service identification document in which the right to perform the relevant inspection is indicated;

65.9. to settle payments for the consumed reactive energy, if tg φ is more than 0.4 (power factor cos φ < 0.929), according to the payment 0.004 EUR/kVA - to the users whose electrical installations are connected to voltage of at least six kilovolts with the permitted load of 100 kilowatts and more, or other users with an input protection device, the rated current of which is 200 amperes and more;

65.10. to pay the bill written out by the operator according to the actual maximum load established during the settlement period, if the system operator establishes on the basis of the meter reading that the actual load of the user, whose electrical installations are connected to voltage of at least six kilovolts, exceeds the load determined in the contract. If the user concurrently exceeds the amount of the permitted load by more than 10% during a settlement period, the system operator has the right to write out and the user has a duty to pay a bill according to the permitted load, as well in triple amount for the amount of the exceeded load established during the settlement period (does not apply to household users);

65.11. to enter into a balancing service contract with the transmission system operator or balancing service provider (does not apply to household users);

65.12. to agree with the balancing service provider on the procedures by which fixed electricity supplies may be performed (does not apply to household users).

66. The user who is not a household user has the right to change the permitted maximum load determined in the system services contract, agreeing thereupon with the system operator. The household user has the right to change the permitted maximum load determined in the trade contract, agreeing thereupon with the trader or with the system operator determined in accordance with the procedures referred to in Sub-paragraph 32.5 of this Regulation. Upon agreement the user shall present documents certifying the ownership rights of or the rights to use the object consuming electricity.

67. The user is prohibited from transferring reactive energy to the network of the system operator. If the system operator establishes the transfer of reactive energy into the system, the users whose electrical installations are connected to voltage of at least six kilovolts with the permitted load of 100 kilowatts and more or other users with an input protection device, the rated current of which is 200 amperes and more, have a duty to pay for all the reactive energy transferred into the network of the system operator in accordance with the payment 0.013 EUR/kVArh.

68. If the system operator or trader has not entered into a contract with the user regarding supply of electricity to the object, the contract has ceased to be in effect or has been recognised as invalid, the owner or legal possessor of the object shall be responsible for paying for the electricity used during the time period when the contract had not been in effect.

69. If the electrical installations located in houses that are owned or possessed by any person are used for both his or her supply of electricity and supply of electricity of other users of the system operator, the maintenance of such electrical installations shall be provided by the owner or possessor of the relevant house. Upon performing the reconstruction of external electricity grids of the system operator or increasing the requested capacity of the connection, electrical installations of users in houses owned by different persons shall be connected to the electricity grid of the system operator without the use of electrical installations owned by other persons.

70. The users who supply electricity to sub-users through electricity grids in the ownership or possession thereof, in relation to sub-users have the duties and responsibility of the system operator, but the sub-users - the duties and responsibility of users.

71. The user who supplies electricity to sub-users through electricity grids in the ownership or possession thereof may collect justified payments from the sub-users for the maintenance of the electricity grid, which do not exceed 10% of the electricity system service tariff stipulated by the system operator to whose system the electrical installations of the user are connected, if the user and sub-user do not agree otherwise.

72. The sub-user may become a user, by requesting an electricity connection from a licensed system operator. In such case he or she has the duty to co-ordinate the construction of connection with the owners of such properties in which the provision is made to perform the construction of connection.

VIII. Discontinuation of Supply of Electricity and Termination of the Contract

73. The system operator may disconnect the electrical installation of the user without a warning in the following cases:

73.1. if the electrical installation is connected arbitrarily or without the electricity meters for the power commercial accounting registered by the system operator or they have been arbitrarily removed or damaged, or other violations have been established due to which the actual amount of the consumed electricity is reduced or a possibility to consume electricity free of charge has been created;

73.2. for the period of time of rectification of damage if it is necessary to perform emergency measures for the rectification of damage of electricity grids or liquidation of the consequences of the accident, as far as possible, informing the users thereof and announcing the reasons for disconnection.

74. If the household user does not make payments for electricity or services of the system operator and components of the mandatory procurement within the time period laid down, the trader shall send a warning to the user regarding discontinuation of supply of electricity not earlier than 10 days after expiry of the time period for payment. If the user does not make payments after the warning is sent, the trader is entitled, not earlier than after 20 days, to request and the system operator has a duty to disconnect the electrical installations of the user, completely or partly discontinuing supply of electricity to the user.

75. If the user who is not a household user does not make payments for electricity used or services received from the system operator and components of the mandatory procurement within the time period laid down, the trader or system operator shall send a warning to the user regarding discontinuation of supply of electricity. If the user does not make payments for electricity used or services received from the system operator and components of the mandatory procurement, the trader is entitled to request and the system operator has a duty to disconnect the electrical installations of the user, completely or partly discontinuing supply of electricity to the user. If the user does not make payments for services received from the system operator and components of the mandatory procurement after the time period determined in the warning, the system operator is entitled to completely or partly disconnect the electrical installations of the user.

76. The system operator has a duty to restore supply of electricity within five days after it has received the payment for system services in full amount or after receipt of a corresponding notification of the trader.

77. The system operator has the right, upon prior warning of the user, to completely or partly disconnect his or her electrical installations in the following cases:

77.1. if the user has not paid prepayment, if such is provided for, or has not made payments according to the bills referred to in Paragraph 115 of this Regulation;

77.2. if the instructions of the system operator regarding changes in the electrical installation of the user and the maintenance thereof referred to in Paragraph 52 of this Regulation have not been performed;

77.3. if due to the fault of the user a reduction in the quality of supply of electricity takes place that interferes with normal work of the electricity installations of other users or the system operator;

77.4. if the user prevents the access of the employee authorised by the system operator to the electricity pre-accounting grid and electricity meters for the power commercial accounting in order to perform the control or change thereof or the inspection and repair of electricity installations of the system operator;

77.5. if the user does not observe the limits of electricity consumption or the permitted load determined by the system operator. For non-observance of the limits of the permitted load and electricity consumption, the system operator may disconnect the electrical installation of the user to such extent that is technically possible and necessary for the observance of the determined consumption regime. If the user repeatedly does not observe the limits stipulated by the system operator during one year, or refuses to disconnect the electrical installations necessary for the observance of limits, the system operator may completely disconnect the electrical installation of the user from the electricity grid.

78. The user shall be warned at least five days in advance regarding the planned interruption of the supply of system services due to disconnection of voltage temporarily in order to perform planned work in the electricity grid of the system operator. If disconnection of voltage is necessary for the inspection or replacement of the electricity meter for the power commercial accounting or instrument transformers and the period of disconnection does not exceed 30 minutes, the system operator shall warn the user right before the disconnection. The planned disconnection periods shall be co-ordinated mutually with the users whose connection of electricity installations to 6-20 kilovolts or 110 kilovolts of voltage is not connected with other users. If it is not possible to agree, the system operator shall determine the disconnection period independently and shall choose it as much as possible outside the working hours of the user, taking into account that planned disconnection of residential houses during the dark hours of the day and a permanent disconnection during holidays, as well as performance of such works that cause intensified noise from 23.00 to 7.00 is not permissible, and shall inform the users thereof.

79. The system services contract, but if non - the electricity supply contract shall cease to be in effect, if the supply and use of electricity in the object of the user has not occurred for more than a year.

80. The trader and the system operator has the right to unilaterally terminate the electricity supply contract or the system services contract if:

80.1. the supply of electricity to the user is discontinued in the cases provided for in Paragraphs 74 and 75 and Sub-paragraph 77.1 of this Regulation;

80.2. the system operator has received a request of the trader or another person regarding supply of electricity to another user in the relevant object and the system operator has notified the user and trader thereof. If within 15 days after receipt of the notification of the system operator regarding changing the electricity user in the object the user confirms his or her wish to the system operator to continue the use of electricity in the object, the system operator shall without delay restore the current user in the object, notify the person who submitted the request regarding supply of electricity in the relevant object regarding invalidity of the request, notifying the trader selected by such person and the trader of the user thereof accordingly. The trader has a duty to renew the contractual relations with the user, if a notification has been received from the system operator, and to revoke the payment for early termination of the contract;

80.3. the system operator has received a request of the trader or another person regarding supply of electricity in the relevant object, which has been co-ordinated with the user in writing, and the system operator has notified the user and the trader of the user thereof.

IX. Rights and Obligations of the Trader

81. Prior to commencing operation within the zone of operation of the licence of the system operator, the trader shall enter into a system use contract with the system operator, agreeing upon the necessary exchange of information, as well as the procedures for paying for the system services.

82. Upon commencing operation in the electricity market, the trader has a duty:

82.1. to inform the user regarding itself, the economic activity thereof, the experience and facilities, as well as to provide other information requested by the user for identifying the particular trader;

82.2. not to use methods against the user that might make him or her take a decision on the transaction without the necessary essential information, as well as in the circumstances of lack of time. The trader has a duty to provide the user with all the necessary information regarding the offered transaction and to give sufficient time so that the user carefully and without rushing can become acquainted with the offer expressed the trader;

82.3. in presentations and offers to provide the user only with proper and verifiable comparisons regarding business opportunities;

82.4. upon preparing an offer for the user, not to use methods (the size of the letters, comments, reservations) that may mislead the user regarding the actual significance of the information drawn up in such manner in the offer;

82.5. to indicate clearly and unequivocally the period of validity of the offer.

83. If the trader in the materials of its presentation, conversations with the users or in offers uses information in connection with the amount, quality, prices of the services of the system operator or other similar information, it shall be responsible for the accuracy and correctness of the used information.

84. In order to ensure its recognition, the trader:

84.1. upon participating in the electricity market, taking marketing measures or activities of informative nature, shall use the details indicated in the register of the trader of electricity. Representatives of the trader shall refer to the registered trader whom they represent and in the name of whom they act;

84.2. ensure the following publicly available information about itself:

84.2.1. the name of the merchant;

84.2.2. the number in the register of traders of electricity;

84.2.3. the telephone number, legal address, electronic mail address of the trader.

85. The trader shall ensure confidentiality of information of the user in accordance with the requirements of laws and regulations determining the protection of personal data and commercial secrets of natural and legal person.

86. The trader shall, at least six weeks in advance, inform the user regarding expiry of the term of validity of the electricity supply contract, except for the cases if the term of operation of the electricity supply contract is less than six weeks.

87. For each day of late payment the trader is entitled to request the user a fee for late payment up to 0.15% from the sum not paid in time.

88. The trader, upon agreeing with the system operator, has the right to enter into a system services contract with the user on behalf of the system operator. The system operator shall ensure equivalent conditions of authorisation to all traders.

89. The trader has a duty to settle the payment with the system operator, within a month after expiry of the settlement period on behalf of a household user and the users referred to in Paragraph 37 of this Regulation, for the system services provided to the user, other services and components of the mandatory procurement according to the tariffs of system services currently in effect and the components of the mandatory procurement.

X. Duties and Rights of the System Operator

90. The system operator shall continuously provide the system services to the user within the limits of the permitted simultaneous load determined in the system services contract or the electricity supply contract, except for the cases laid down in Paragraphs 73, 77, 78, 79, 80, 93 and 94 of this Regulation.

91. The system operator shall ensure registration of the duration and reasons for interruption or limitations of the provision of system services.

92. The system operator has a duty to ensure a conforming quality of the system services. If the user is not ensured the quality of services of the electricity system conforming to the quality requirements laid down in laws and regulations, and the standards determined the characteristics of the quality of voltage:

92.1. the distribution system operator shall apply a lowered tariff of services of the electricity system. A lowered tariff of services of the electricity system shall be calculated, applying the coefficient 0.5 to the electricity transmission component of the tariff of services of the electricity system determined for the relevant group of users. Payment for the rated current of the input protection device and the permitted load shall remain unchanged. The procedures for applying a lowered tariff of services of the electricity system shall be drawn up by the distribution system operator and published on its website;

92.2. the transmission system operator shall reimburse losses to the user, which have arisen due to providing a poor-quality service of the electricity system.

93. In the case of accident or damage of the electrical installations of the system operator, the system operator shall register damages and ensure rectification of the damage as quickly as possible (not longer than within 24 hours).

94. The rectification period of interruption of the supply of electricity may exceed that referred to in Paragraph 93 of this Regulation if:

94.1. the damages have occurred due to natural disaster or force majeure;

94.2. the damages cannot be rectified due to intentional or unintentional activity of the personnel of the user or third persons;

94.3. the supply of electricity is limited or discontinued according to the schedule of limits or disconnection during an energy crisis proclaimed in accordance with the procedures laid down in the Energy Law.

95. If due to damage supply of electricity is discontinued for more than 5000 users, the system operator shall inform the users, using the mass media.

96. The system operator does not have a duty to ensure supply of electricity, and it shall not be responsible for the quality of electricity determined in the supply of electricity contract during the period of time when the user does not observe the electricity consumption regime determined in the contract or uses electrical installations which deteriorate the quality of electricity.

97. The system operator has a duty to ensure operation of its electrical installations located in the territory and premises of the user in accordance with the requirements of such laws and regulations that determine the provisions of technical operation of electrical installations and safety equipment.

98. If information is at the disposal of the system operator which indicates to electricity release in an electrical installation of the user and indicates to an emergency situation, and if it is convinced of the veracity of the information, the employees authorised by the system operator have a duty to notify and invite officers of the State Police so that in accordance with the procedures laid down in the law at any time of day and night they can get inside the premises or territory of the user for rectification of the emergency situation. The system operator shall ensure without delay that the user is informed regarding accessing the territory or premises thereof.

99. The system operator must perform the planned repair and operational work of the electrical installations of the system operator located in the territory or premises of the user, disturbing the economic activity of the user as little as possible. The system operator shall inform the user regarding the work to be performed five days prior to commencing the work. After performing the work the system operator has to arrange the territory and premises of the user in which the electrical installations of the system operator are located, in conformity with the previous state thereof.

100. Prior to connecting an electrical installation of the user to the electricity system, the system operator has the right to inspect it to ascertain the conformity of the electrical installation with the requirements that are laid down in the laws and regulations regarding the installation of electrical installations, and to request a written attestation regarding readiness of the electrical installation for activation of voltage. The inspection of the electrical installation of the user shall not make the system operator responsible for the operation thereof.

101. After modernisation or repair of electrical installations the system operator shall ensure the connection to the electricity grid of all the electrical installations of the previously connected users with the relevant electrical installation.

102. Upon request of the user, the system operator shall inform and consult the user regarding the amounts of installing the electrical installations necessary for the establishment of the connection and the prospective expenses of construction, the procedures for work organisation, as well as regarding the use of electricity, accounting, settlement of payments and quality issues.

103. The employees authorised by the system operator, upon presenting a service identification document, may at any time of day or night have access to the electrical installations of the system operator located in the territory (or any property) or premises of the user, drive up with a road transport or other technical means in order to perform an emergency repair, inspection or operational switch-over. The employees authorised by the system operator may access the electrical installations of the system operator located in a dwelling, if the permission of the persons residing in the dwelling has been received. The property shall be renewed as much as possible to its initial state after the performance of work.

104. The system operator may perform at any time the work of prevention of accidents and rectification of the consequences of accidents in its own electrical installations that are located in the territory or premises of the user, informing the user orally or in writing thereof.

105. The system operator in each settlement period shall record the components of the mandatory procurement conforming to the consumption of electricity by end-users connected to the system thereof, provide the necessary information to the public trader for the performance of the settlement of payments and shall settle payments with the public trader for the components conforming to the consumption of electricity of end-users connected to the system thereof.

106. The system operator shall ensure the user or his or her authorised person with the necessary information regarding the total amount of electricity consumed and transferred into the network in a month according to such technical capabilities, which are ensured by the meter for the commercial accounting installed for the user. If the user or his or her authorised person requests other information regarding electricity consumed or transferred into the network, the system operator is entitled to request a payment.

107. The system operator shall provide operational information to the trader - balancing service provider - for a fee regarding consumption of electricity and load profile of its users, if such information is at the disposal of the system operator.

108. The system operator is entitled to correct the data of electricity consumption of the user, if the user has not fulfilled the duty to provide information corresponding to the actual readings of the electricity meter for the power commercial accounting.

109. If, when inspecting the electrical installations of the user, the system operator establishes that the user has arbitrarily installed a connection to the pre-accounting circuits or uses electricity without the electricity meter for the power commercial accounting and due to the above-mentioned activities the amount of the electricity consumption reading has been reduced or an opportunity has been created to use electricity free of charge, the system operator shall draw up a deed regarding the established fact and request explanations from the user and witnesses.

110. If, when inspecting the electrical installations of the user, the system operator establishes that the scheme of the electricity meter for the power commercial accounting has been changed or the electricity meter for the power commercial accounting has been damaged, or the seals of the electricity meter for the power commercial accounting or pre-accounting electrical appliances have been damaged or torn off, or other activities have been performed or ancillary devices have been used due to which the amount of electricity consumption reading has been reduced or an opportunity has been created to use electricity free of charge, the system operator shall draw up a deed regarding the established fact, request explanations from the user and witnesses and remove the electricity meter for the power commercial accounting, damaged seals and ancillary devices, due to which the amount of the electricity consumption reading has been reduced. The system operator shall hand over the electricity meter for the power commercial accounting and the damaged seals for expert-examination in a laboratory which is accredited in accordance with the procedures provided for in the laws and regulations in the field of conformity assessment. The user has the right to become acquainted with the deed drawn up by the system operator and the opinion of the laboratory.

111. If the system operator has justified suspicions regarding arbitrary electricity consumption in an object of the user, the system operator shall inform officers of the State Police thereof.

112. Observing the documented state of the electricity meter for the power commercial accounting of the user and the fact of violation, as well as explanations of witnesses and users if such are provided, and the opinion of the expert-examination (if it was necessary to perform expert-examination), the system operator shall recalculate the amount of electricity, system services, other services and components of the mandatory procurement for the time period from the last day of inspection of the electricity meter for the power commercial accounting installed for the user performed by the system operator until the day of establishing the violation (the assumed time of arbitrary consumption of electricity). The recalculated amount of electricity, system services, other services and components of the mandatory procurement shall not exceed the amount as in performing recalculation according to the maximum connection capacity of the connection within a 24-hour period.

113. If the system operator establishes the interference with the operation of the electricity meter for the power commercial accounting, which is confirmed by the opinion of the expert-examination, or a connection to pre-accounting circuits and it was not possible to establish such activities during the performance of the current control of the electricity meter for the power commercial accounting, the system operator is entitled to recalculate the amount of electricity, system services, other services and components of the mandatory procurement for the time period up to one year from the maximum connection capacity of the connection within a 24-hour period irrespective of the previous inspection history.

114. In performing the recalculation referred to in Paragraphs 112 and 113 of this Regulation, the system operator shall determine the price of electricity in the amount of the price of the supply of last resort in the month when the fact was established.

115. According to the performed recalculation, the system operator shall issue a bill in which the recalculation of payments, amount to be paid and the term of payment shall be indicated. The user has a duty to settle payments with the system operator in due time and in full amount.

116. The system operator is entitled to request the user a fee for late payment in the amount of 0.15% from the sum not paid in due time for each day of late payment. The system operator is entitled to request that the user who does not make payments in due time and who is being repeatedly discontinued the supply of electricity during a year, covers the costs related to connecting and disconnecting and to restore the supply of electricity after such costs are covered, as well as to request henceforth that the users who are not household users perform prepayment in the amount of average monthly payment for system services, other services or components of the mandatory procurement.

117. The system operator may request financial guarantees from the trader during the settlement period in the amount of the foreseeable payment for system services, other services or components of the mandatory procurement, if the trader has not complied with the term for payment referred to in Paragraph 89 of this Regulation. The system operator shall inform the user regarding the delay of the payment of the trader and may use the above-mentioned guarantees if a full payment for the system services, other services and components of the mandatory procurement is not received within the time period provided in the contract. The trader shall immediately inform the system operator regarding the reasons for the delay of payment and shall renew in full the used guarantee.

118. If the trader, within 10 working days from the day when the system operator has used the financial guarantees in the cases laid down in Paragraph 117 of this Regulation, does not renew them or the traders, within 10 working days after request of the system operator, has not submitted financial guarantees, the system operator has the right to terminate the system use contract entered into with the trader and to request the user to pay for the unsettled payments of the system services, other services and components of the mandatory procurement. The system operator shall inform users regarding the necessity to change the user, as well as the time from which supply of electricity within the scope of the supply of last resort is commenced.

119. The distribution system operator has a duty to agree with one trader which will ensure the supply of last resort to users. The system operator shall indicate information regarding the selected trader on its website in accordance with Sub-paragraph 84.2 of this Regulation.

120. If, upon terminating the use of electricity in the object, the user has not admitted a representative of the distribution system operator for acquisition of the readings of the meter for the commercial accounting, the distribution system operator, upon acquiring the actual reading of terminating the provision of services, is entitled to perform recalculation in accordance with the conditions of Paragraph 114 of this Regulation.

XI. Change of the Trader - Balancing Service Provider

121. The user has the right to change the trader on the first date of the month, if the conditions referred to in Paragraphs 122, 123 and 124 of this Regulation are conformed to.

122. If the user has selected another trader, the selected trader has a duty to notify the system operator until the fifteenth date of the previous month before the intended change of the trader that an agreement regarding trade of electricity has been entered into.

123. The trader selected by the user has the right to revoke the notification referred to in Paragraph 122 of this Regulation regarding change of the trader until the twentieth date of the previous month before the intended change of the trader.

124. The system operator shall inform the previous trader of the user and the selected trader of the user regarding change of the trader prior to the change of the trader until the twenty fifth date of the previous month.

125. The trader shall, not later than one working day prior to expiry of the electricity supply contract, inform the system operator regarding the time for terminating the trade of electricity.

126. The user who does not have a valid electricity supply contract or balancing contract for any object or objects consuming electricity or who does not receive the universal service shall be ensured the supply of electricity by a trader selected by the system operator in accordance with the procedures laid down in Chapter XII of this Regulation until entering into a new electricity supply contract or balancing contract within the scope of the supply of last supply for the needs of the relevant object or objects.

127. The user has a duty to settle payments with the previous trader for the supplied electricity and to cover the payment for early termination of the contract, if such is provided, according to the provisions of the electricity supply contract.

128. The system operator shall inform the previous and the new trader regarding electricity consumed by the user within five working days after the change of the trader.

129. Upon request of the trader the system operator must provide information regarding history of electricity consumption and load profile of the user, if such information is at the disposal of the system operator and if the trader has received a consent of the user for the receipt thereof.

XII. Supply of Last Resort

130. If the user does not have a valid electricity supply contract or balancing service contract for any object consuming electricity, the supply of electricity to the relevant objects of the user shall take place within the scope of the supply of last resort, except for the cases referred to in Paragraph 139 of this Regulation. If an electricity supply contract is entered into with the balancing service provider, all trade contracts entered into by the user in relation to such object shall cease to be in effect.

131. The user has a duty to settle payments with the trader selected by the distribution system operator for electricity received within the scope of the supply of last resort, system services, other services and components of the mandatory procurement.

132. The price of the supply of electricity of last resort to users whose electrical installations are connected to the distribution system shall be the day-ahead (Elspot) monthly price of the trade district of Latvia of electricity exchange "Nord Pool Spot AS" of the settlement period, which is published on the website of the electricity exchange and to which an extra charge determined by the supplier of last resort is added.

133. The supplier of last resort has a duty, one month before the beginning of the billing period, to publish the extra charge of the supply of last resort applied in the settlement period.

134. The supplier of last resort has the right to request and the user has a duty to pay the bill within at least 14 days from the day of writing out the bill, but for each day of late payment - the fee for late payment in the amount of 0.15% from the sum not paid in due time.

135. The transmission system operator shall perform the supply of last resort to the user whose electrical installations are connected to the transmission system for the highest balancing service price recorded in any trading interval of the settlement period.

136. If the supplier of last resort is the transmission system operator, it is entitled to request, prior to commencing the supply of last resort, financial guarantees from the user in the amount of the payment for system services, ancillary services (including the balancing service) and components of the mandatory procurement, foreseeable in the settlement period. If the user has not provided guarantees upon request of the transmission system operator or does not renew them within 10 working days, the system operator has the right not to commence or to discontinue the supply of last resort and to disconnect the electrical installations of the user.

137. If the distribution system operator has selected the trader for the performance of the supply of last resort, however, the trader is not able to ensure it, the supply of last resort to the user shall be performed by the distribution system operator itself, applying the price the principles for determination of which are referred to in Paragraph 132 of this Regulation.

XIII. Closing Provisions

138. Cabinet Regulation No. 914 of 29 November 2011, Regulations Regarding the Trade and Use of Electricity (Latvijas Vēstnesis, 2011, No. 196; 2012, No. 137; 2013, No. 183, 252), is repealed.

139. Traders shall ensure inclusion of the conditions referred to in Sub-paragraph 32.5 of this Regulation in electricity supply contracts for household users not later than until 1 September 2014.

140. If a household user does not have a valid electricity supply contract on 1 April 2014, such users shall receive the universal service provided by the previous trader.

141. The system services contract which has been entered into with a household user until 1 April 2014 shall remain in effect.

142. This Regulation shall come into force on 1 April 2014.

Informative Reference to European Union Directives

This Regulation contains legal norms arising from:

1) Directive 2009/72/EC of the European Parliament and of the Council of 13 July 2009 concerning common rules for the internal market in electricity and repealing Directive 2003/54/EC;

2) Directive 2012/27/EU of the European Parliament and of the Council of 25 October 2012 on energy efficiency, amending Directives 2009/125/EC and 2010/30/EU and repealing Directives 2004/8/EC and 2006/32/EC.

Prime Minister Valdis Dombrovskis

Minister for Economics, acting for the Minister for
Environmental Protection and Regional Development Daniels Pavļuts

Translation © 2019 Valsts valodas centrs (State Language Centre)