Legal Representation on the Federal Antimonopoly Service on Energy Issues

Legal support of cases on energy issues

Energy is one of the significant areas not only of energy supply to consumers, but also an essential element of market relations. However, despite the regulation of this area of ​​activity at the legislative level, in practice there are issues related to the need to contact the Federal Antimonopoly Service.

One of the main functions of the Federal Antimonopoly Service is to monitor compliance with antimonopoly legislation, including in the electric power industry, as well as determining (setting) prices (tariffs) and exercising control over issues related to the determination (setting) and application of prices (tariffs) in the electric power industry.

It is important to note that the lack of control over energy supply organizations leads to an unjustified increase in prices for energy resources, the formation of complaints from consumers and excess profits for energy supply organizations. In order to eliminate all adverse consequences of the lack of control, the legislation provides for a procedure for regulating tariffs in the energy sector. For example, the Department for Regulation of Electric Power Industry of the Federal Antimonopoly Service of Russia carries out tariff regulation in the electric power industry and the main tasks of the department are:

1. control over the validity of establishing, changing and applying tariffs;
2. monitoring, collecting and analyzing information on approved tariffs in this area;
3. taking measures to eliminate violations and bring tariff decisions in accordance with the law.

Regulated prices (tariffs) for goods and services in the energy sector are established for each regulated organization and for each regulated type of activity. For example, regulated prices (tariffs) for goods and services in the heat supply sector include:

1. maximum (minimum and (or) maximum) tariff levels;
2. tariffs;
3. fees for services to maintain reserve thermal capacity in the absence of thermal energy consumption for certain categories (groups) of socially significant consumers;
4. fees for connection to the heat supply system.

However, despite the control in the energy sector by regulatory authorities, in practice there are situations in which energy consumers are forced to turn to the Federal Antimonopoly Service, to the court for the protection of their interests and violated rights. The main issues for which appeals to the FAS Russia in the energy sector are:

1. abuse of dominant market position by energy supply companies;
2. overpricing of technological connection or refusal to connect to energy networks;
3. pricing and tariffs in the energy market;
4. violation of the connection deadline established in the contract with energy supply organizations;
5. illegal power outages, etc.

To contact the FAS Russia on a particular issue, the consumer can file a complaint and send it in writing or in the form of an electronic document. An important point in sending a complaint to the FAS Russia is the evidence base for the fact of violation of legislation in the energy sector.

Abuse of dominant market position by energy supply companies

Energy consumption is inextricably linked with interaction with energy supply organizations, however, there are situations when there is abuse of dominant position by energy supply organizations, due to the fact that energy supply is carried out by a limited number of organizations and there is no competition in this area. Refusal of an energy supply organization, for example, to connect a facility to the grid to receive energy, may become the basis for an appeal to the FAS Russia.

In addition, each tariff adopted for a particular type of energy must be justified, confirmed and comply with calculation methods, in order to avoid inflated prices for energy resources.

In order to exclude abuse in the energy sector, measures of influence are applied to energy supply organizations by legislative authorities in terms of regulatory regulation of legislation in this area, as well as by executive authorities in terms of the lawful execution of the adopted legislation in this area. This allows minimizing situations in which energy supply organizations can abuse, taking advantage of a dominant position in the energy market.

Disputes over pricing in the electricity markets

Pricing is the process of calculating and establishing regulated prices (tariffs) used in settlements for goods and services. The following regulatory documents apply to energy pricing:

1. Resolution of the Government of Russia dated 23.07.2018 No. 860 “On certain issues of pricing for thermal energy (capacity) in heat supply price zones”;
2. Resolution of the Government of Russia dated 29.12.2011 No. 1178 “On pricing in the field of regulated prices (tariffs) in the electricity industry”.

However, despite the rules established by regulatory documents in the field of pricing in the energy sector, in practice, controversial issues arise, as a result of which energy market participants are forced to contact the Federal Antimonopoly Service of Russia.

It is important to note that for violation of the pricing procedure, Article 14.6. The Code of Administrative Offenses of the Russian Federation provides for administrative liability, in particular, administrative liability occurs for overstating state-regulated prices (tariffs, rates, charges, etc.) for products, goods or services, maximum prices (tariffs, rates, charges, fees, etc.), overstating established markups (markups) to prices (tariffs, rates, charges, etc.). On this basis, cases can be initiated to bring energy supply organizations to administrative liability. An appeal to the FAS Russia requires from the consumer not only knowledge of regulatory documents in the energy sector, but also knowledge of the rules of law when applying to regulatory authorities. The absence of the necessary documents or evidence established by law may lead to a refusal to accept a complaint or appeal to the FAS Russia. As a rule, engaging an experienced and qualified lawyer in the energy sector, as well as in the field of appeals to the FAS, allows you to minimize the risks of the FAS of Russia refusing to consider the subscriber's appeal or complaint, prove illegal actions on the part of energy supply organizations, their abuse of a dominant position in the energy market and apply fair measures of influence and penalties in relation to energy supply organizations.

Legal services

1. Consulting subscribers on issues of interaction with energy supply organizations
2. Determination of controversial issues in interaction with energy supply organizations for appeals to the FAS of Russia
3. Preparation of documents for appeals, filing a complaint to the FAS of Russia on energy issues
4. Representation of interests in conducting cases in the FAS of Russia