APPLICABLE LEGISLATION

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1 APPLICABLE LEGISLATION Mr. Hamayak Amiraghyan Head of the Legal and Licensing Department Public Services Regulatory Commission of the Republic of Armenia 1

2 According to the Law of the Republic of Armenia on the Public Services Regulatory Body, the main elements in the regulation of the public services are as follows: a) the sector of energy consists of the electric power generation, heating supply and gas supply; b) the water sector consists of drinking water supply, supply of industrial and other technical waters, irrigation, wastewater collection and wastewater treatment; c) communication sector (electronic communication); d) ground mail services sector (in the part of universal services); e) sector of railway transport, regarding the methodology for the calculation of payments/fees for the usage of the infrastructure; regarding the approval of calculation of use fees and approval of the defined fees f) sector of mandatory technical investigation of the means of transport, only regarding the tariffs. 2

3 The legislation on regulation of the field of provision of public services in the Republic of Armenia consists of the following: LAW ON PUBLIC SERVICES REGULATORY BODY, WATER CODE ENERGY LAW LAW ON ELECTRONIC COMMUNICATION LAW ON GROUND COMMUNICATION OTHER LAWS 3

4 What must be understood as regulation? The regulation of public services is the non-vendible part of the State policy of the Republic of Armenia, within the framework of rights and duties assigned thereto by the legislation, with the purpose of enforcing balance in the interests of consumers and entities, which implement regulated activity in the field of public services (hereinafter referred to as: the regulated entities), as well as establishment of equal conditions for the operation of the regulated entities, support to formation and development of competitive market, enforcement of effective use of the existing resources. 4

5 THE MAIN PRINCIPLES OF REGULATION The main principles of the regulation are as follows: a) implementation of the regulation by a an independent agency, within the framework of authorities assigned thereto, b) synergy in resolutions, adopted by the regulating agency, c) enforcement of transparency of regulation for the general public, d) exception of discrimination against consumers or any other entities under regulation, e) enforcement of balance in the interests of consumers and other entities under regulation, f) limitation in the frameworks of the regulation, in parallel to the development of the competitive market. 5

6 COMPOSITION OF THE COMMISSION The Commission consists of five members: the Chairman, the Deputy Chairman and the three Commissioners. At least one of the Commissioners must have legal education and one economic. 6

7 NOMINATION OF THE COMMISSIONERS The President of the Republic of Armenia nominates the Commissioners, following the recommendation of the Prime-Minister, with a principles of annual rotation (yearly nomination of one of the members) for a period of five years. The President of the Republic of Armenia also nominates the Chairman and the Deputy Chairman of the Commission, following the recommendation of the Prime-Minister. 7

8 THANK YOU FOR ATTENTION! 8