The legal construction of public utilities
Public utilities — the supply of electricity and natural gas to final consumers — are determined by five norms of the Law on Energy: public service, the supply activity, the supply rules, natural gas supply as a public service, and consumer rights. This page explains how the five work together.
Public service and public gas supply
Deriving from the general economic interest, for the purposes of supply security, continuity, appropriate quality and price, environmental protection and energy efficiency, an energy undertaking may be charged with a public-service obligation. It is imposed by the government after consultation with the competent authorities, the commission and the Energy Community Secretariat. It is a temporary measure, subject to regular review, and must be transparent, non-discriminatory and proportionate. Compensation or an exclusive right must not exceed the corresponding costs, and the commission is authorized to set the tariff.
The concrete instance of public service in the gas sector is the following:
Supply activity and rules
Supply to final consumers is carried out at an unregulated, market price, on the basis of a supply contract; household consumers and small enterprises have the right to enjoy supply. The rights and duties of the supplier and the consumer are determined by the contract, whose conclusion and content are regulated by the supply rules approved by the commission. The rules determine the procedure for changing terms, the consumer's right to terminate, the procedure for informing before a price increase, and the provision of pricing information.
A household consumer, a small enterprise and a thermal power plant that is a source of guaranteed capacity have the right to receive natural gas from a public-service supplier in the established manner. Within one distribution area, such consumers may be served by only one supplier charged with the public supply obligation. The commission elaborates and approves the rules of activity of this supplier, including its rights and duties and the termination of the obligation.
Consumer rights
The protection of the final consumer is carried out in accordance with the law, acts issued on its basis and other normative acts on consumer rights. The consumer pays the fee according to the supply rules and contractual terms. The consumer has the right freely to choose and change the supplier; to receive free of charge all necessary information on consumption and metering data; and to make these data accessible, without charge, to any registered supplier.