11:54 16.02.2015

Rada obliges national commissions to agree tariffs set lower than economically justifiable level with cabinet

1 min read
Rada obliges national commissions to agree tariffs set lower than economically justifiable level with cabinet

Verkhovna Rada of Ukraine has obliged national commissions and other state collegiate authorities to agree tariffs set at a level which is lower than the economically justifiable level with the government.

A total of 284 lawmakers supported draft law No. 0919 on February 10.

According to the draft, the cabinet is obliged to define the sources for covering the difference between the tariffs and justifiable prices when agreeing the tariffs.

The law stipulates that the National Commission of Ukraine for Energy, Housing and Utilities Services Regulation (NCER) sets gas and electricity tariffs for households, including differentiated tariffs depending on the volume of electricity or gas consumed, or on groups of consumers. The law clearly states that the commission sets the prices of gas produced in Ukraine for companies with a controlling state stake and heating supply companies.

The commission will set upper gas prices for industrial consumers and budget-funded institutions under the preliminary agreement with the executive power agency realizing economic and social development state policy.

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