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The Amendments To The Energy Law

Original Language Title: Grozījumi Enerģētikas likumā

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The Saeima has adopted and the President promulgated the following laws: the law of energy to make the Energy Act (Republic of Latvia Saeima and the Cabinet of Ministers rapporteur, 1998, nr. 20; 2000, no. 17; 2001, no. 12; 2005, 8, 13, 14; 2008. no no; 2009, 2., no. 14; Latvian journal, 2010, 82, 106 no; in 2011, 36, no 161; 2012, 186 No.) the amendments are as follows: 1. Article 1: Add to paragraph 1 by the word "the" with the words "natural gas, including liquefied natural gas"; Add to paragraph 2, after the word "the" with the words "of natural gas, including liquefied natural gas"; make paragraph 22 and 23 by the following: 22) "vertically integrated operators, energy trader or group directly or indirectly controlled by the same person or the same persons and provide at least one of the energy transmission, distribution, or storage of natural gas liquefied natural gas services while dealing with energy production or trade; 23) system operator — power supply merchant who provide energy transmission, distribution, or storage of natural gas liquefied natural gas service; "; make 25 as follows: "25) the users of the system, natural or legal person who uses the energy transmission or distribution system or natural gas or liquefied natural gas storage services;"; Express 34, 35 and 36, as follows: "34) system: a transmission and distribution network, natural gas storage and liquefied natural gas plant, which is the energy trader's property or use, including equipment needed for the provision of ancillary services; 35) ancillary services — all services necessary for access to the transmission and distribution networks, natural gas storage and liquefied natural gas facilities or use these networks, storage and equipment, including balancing, blending and injection of inert gases, except the objects and equipment to carry out their functions only used transmission system operators; 36) balancing — transmission and distribution system operators organized process that ensures a constant balance between energy entered the system and energy consumption; "; to make 41 as follows: "41) trader-merchant (including foreign merchant Branch), which is the energy trading business;" Add to article 44, 45, 46, 47, 48 and 49 of the following paragraph: "44) associated corporation — a corporation in which, in accordance with the law of the trader of energy supply Group is a major impact or has a decisive impact on the energy merchant, or a corporation in which the critical effect is another corporation, which is a decisive impact at energy merchant. 45) liquefied natural gas plant, a Terminal used for šķidrināšan of natural gas or liquefied natural gas receiving, unloading and for converting the gaseous state, as well as owned equipment and temporary storage necessary for the liquefied natural gas storage and re-converting gaseous state, as well as for subsequent delivery to the transmission system of natural gas or power user; 46) early-stage pipeline network: a pipeline or pipeline network used in the natural gas production project, or for the transport of natural gas from one or more such projects to a processing plant or terminal or final coastal terminals; 47) natural gas storage: the surface or underground object used natural gas, including liquefied natural gas, storage and supply of natural gas owned by the trader or it uses, as well as liquefied natural gas plant part used for storage, except used parts and equipment used exclusively for transmission system operators; 48) liquefied natural gas service: šķidrināšan natural gas or liquefied natural gas receiving, unloading, storage and conversion of gaseous state for subsequent delivery to the transmission system of natural gas or power user; 49) market, the natural gas producer, dealer or end user, operating in the natural gas market in accordance with the principle of voluntary participation. " 2. Supplement article 5 with the third, fourth and fifth paragraph as follows: "(3) the market participants and transmission system operators of natural gas, by the actions of the natural gas wholesale market, the European Parliament and Council Regulation No 1227/2011 on energy wholesale market integrity and transparency requirements, including the prohibition of abuse of inside information, the prohibition of market manipulation, as well as the obligation to provide information to regulators and the Agency for the cooperation of energy regulators. (4) in the third subparagraph of that regulation in respect of certain of the regulator monitored competence. (5) power supply regulator provides its merchants with the requested information on the statutory obligations of regulators within the time and in order. "

3. in article 6: make the first paragraph by the following: "(1) the system operator the license area and period specified in the licence is perpetual obligation system users and applicants access to the transmission or distribution of energy systems, a natural gas storage or liquefied natural gas facilities. This commitment system operator shall perform according to the technical regulations and safety requirements. The meaning of this part with security understands the energy supply security and technical security. "; Add to article 1.1 part as follows: "(11) the system operator within seven working days notify regulators whenever a system users and applicants denied access to the system, and of the measures required to improve the system and increase its capacity." 4. Supplement article 7 of the second paragraph after the word "storage" with the words "liquefied natural gas service". 5. in article 7.1: to replace in the first paragraph, the word "provide" with the word "States"; to make the third and fourth subparagraph by the following: "(3) the Governor shall determine the heat and heat producers to be included in the register of traders, producers and traders of heat recording requirements and procedures for the manufacturer and dealer of heat shall send a notice of registration (hereinafter registration statement) or a notice of termination of registration notice or notice of termination of the information to be included, as well as the order in which the producers and traders of heat removed from the heat or a heat register and register of traders. (4) if the heat generation and heat the general authorisation of trade rules have been broken repeatedly, the Governor can turn off heat producer and dealer of the manufacturer of the heating or heat register of traders. The manufacturer or marketer of heat has the right to resume the production of or trade in heat not earlier than one year from the date of manufacturer or dealer of heat off from heat or heat producer trader register if it prevented a breach for which was excluded from the manufacturer of the heating or heat register of traders, the laws in the order sent to regulators a new registration statement and in accordance with the procedure laid down in this Act repeatedly registered manufacturer of heat or heat register of traders. " 6. To make the first paragraph of article 7 by the following: "(1) If the Governor a month from the date of receipt of the notification of registration are not in writing informed the applicant of the registration statement of refusal to register it, it is considered that a heat producer or trader is registered." 7. in article 12: Add to the first paragraph, after the word "transport" with the word "storage"; replace the third paragraph, the words "the law" Of the annual accounts "with the words" the law "of the annual accounts; Add to article 2.1 part as follows: "(21) for the supply of natural gas are prohibited subsidies, that is, actions that make the natural gas supply merchant, turning her costs or other liabilities between the production of natural gas, liquefied natural gas, service, storage or marketing and natural gas transmission, distribution, storage or other kinds of commercial activity." 8. Turn off the first part of article 14. 9. in article 15: to make the first paragraph by the following: "(1) the merchant whose estate or is in possession of energy transmission, distribution, storage of natural gas or liquefied natural gas facilities, shall designate the transmission systems, distribution systems, storage of natural gas, or LNG system operators. Natural gas supply a merchant can create a joint natural gas transmission, distribution, storage and LNG system operator. "; in the fifth subparagraph, replace the words "system operator" with the words "natural gas transmission, distribution and storage, as well as LNG system operator"; express the sixth part as follows: "(6) the system operator shall be responsible for the energy transmission or distribution system or liquefied natural gas, or natural gas storage system operation, maintenance and safety, system control and development license area to connect to other systems, as well as on the long-term ability of the system to ensure energy transmission or conversion, or the distribution or storage of natural gas, according to the request."; replace the seventh paragraph, the words "system operator" (fold) with the words "natural gas transmission, distribution and storage, as well as LNG system operator" (fold). 10. Add to article 19 1.1 part with a 3.2 point as follows: "horizon for energy merchant 32) object has certain national interests and is an object made environmental impact assessment;" 11. To supplement the law with article 24.1 the following: ' article 24.1

If according to the law "on environmental impact assessment" is carried out an environmental impact assessment due to the energy trader's object creation or substantial change in pursuit of it, and this object is defined in the common interests of the European Union on the status of the project in accordance with European Parliament and Council Regulation No 347/2013, laying down guidelines for European infrastructure and repealing Decision No 1364/2006/EC amending Regulation (EC) no 713/2009 by Regulation (EC) no 714/2009 and Regulation (EC) no 715/2009, decision on acceptance of the action envisaged adopting the Cabinet. " 12. Add to article 42 of the fourth and fifth by the following: "(4) the order in which takes place the merchant's Exchange, is determined by the Cabinet of Ministers. (5) the Governor shall determine the information that natural gas trader includes end user invoices and be served informational materials, as well as the amount of information. " 13. in article 42.1: make the first paragraph by the following: "(1) the order in which the users and delivers natural gas to its supply, dealers, operators and users of the system, the rights and obligations of natural gas supply and use, as well as liquefied natural gas service order is determined by the Cabinet of Ministers."; to make the second and the third part as follows: "(2) the natural gas supply system comprises a high pressure natural gas transmission system network (with a working pressure of over 1.6 megapaskāl), helper objects, objects and other things necessary for the transmission of natural gas, natural gas storage facilities, LNG and natural gas distribution system network (with a working pressure of up to 1.6 megapaskāl), helper objects, objects and other things necessary for the distribution of natural gas to cross a specific energy users home. Energy merchant contract may lay down additional technical requirements settlement accounting instruments and natural gas consumption meters which are used for natural gas in the system, and share these requirements on their website. (3) gas transmission, distribution, storage and LNG system operator shall provide system users and applicants who request it, equal and open access to the system, giving them a natural gas transmission, distribution, storage or liquefied natural gas services. "; to supplement the article with a fifth by the following: "(5) and Biogas from biomass produced gas as well as gaseous state into liquefied natural gas to allow the natural gas transmission system. The Cabinet of Ministers determines the technical and security requirements, as well as gas quality characteristics to enter the transport of gas and natural gas transmission system would be safe. " 14. Make the first paragraph of article 42.2 of the second sentence as follows: "constructing and running a direct line to comply with the same requirements laid down in article 15 of this law, the seventh part of the approved regulators referred to in terms of use of the system or natural gas storage terms of use." 15. Supplement article 43 first paragraph under point 5 and 6 by the following: "5) transmission system development, taking into account the cross-border natural gas systems and their capacity, security of supply of natural gas, and the system interconnection feasibility study; 6) providing the information required for other transmission and distribution system operators, storage system operators of natural gas and LNG system operators, to the natural gas transmission, distribution and storage can be done without endangering the interconnected system safe and efficient. " 16. Replace article 43.1 in the third paragraph, the words "scheme members" with the words "natural gas distribution system and storage system operators, as well as LNG system operators". 17. Article 44 of the expression by the following: ' article 44 (1) natural gas storage system operators and LNG system operator shall, in addition to this law, laid down in article 15:1) ensure system operation, technical operation and development to perform suction, natural gas storage and withdrawals according to technical capabilities; 2) separate energy users belonging to a natural gas reserve of this user, if it allows natural gas storage technical capabilities; 3) does not discriminate between natural gas storage users, particularly in favour of its related corporations; 4) provide any other transmission system operators, storage system operators, LNG system operators and distribution system operators need to transporting and storage of natural gas could be taken without endangering the interconnected system safely and effectively; 5) provide system users with the information they need for efficient access to the natural gas storage; 6 when you purchase their natural gas) functions, observe transparent and non-discriminatory market procedures; 7 organise the alleged crash) localization and liquidation of natural gas storage. (2) natural gas storage system operators and LNG system operator shall make public information on the natural gas storage or its part is provided for access to third parties. (3) natural gas supply economic operators and users of the system, enter into an agreement with the relevant storage system operator natural gas or LNG system operator for access to the natural gas storage and other ancillary services. (4) natural gas storage system operators and LNG system operator shall, in accordance with article 15 of this law, the seventh part of the approved regulators listed in natural gas storage terms of use shall publish annually a major natural gas storage services and conditions of use of ancillary services. (5) developing conditions for access to the natural gas the natural gas storage, storage system operators and LNG system operator shall consult with the users of the system. (6) the requirements of this article in respect of access does not apply to ancillary services and temporary storage that are related to LNG facilities and are necessary for repeated liquefied natural gas conversion and delivery to the transmission system. " 18. To supplement the law with article 44.1 the following: ' article 44.1

(1) natural gas supply merchants and users regardless of location are eligible to access the early pipeline networks, including facilities, which provides technical services that are associated with this access, but not the object of this network and the ingredients used for local production operations at the place of extraction of natural gas. (2) the first paragraph of this article may refuse access if it is associated with the object referred to in the first paragraph of the technical capacity constraints that cannot be remedied or where prevention is not economically justified, including evaluating the: 1) early-stage pipeline network of the owner or operator of the natural gas transport and processing needs, as well as the rest of the natural gas supply network or relevant processing or handling equipment users that might be affected; 2) possible disruption in production of hydrocarbons in the future. (3) disputes concerning access to early-stage pipeline networks in Court of civil law. " 19. Article 45: make the second paragraph as follows: "(2) If the natural gas distribution system operator is a vertically integrated energy merchants, this operator is a separate Corporation with independent legal personality and separate from natural gas production, transmission, storage, LNG and service marketing activities. '; make the third paragraph (1) of the following: "1) persons responsible for natural gas management of the distribution system operator may not participate in the natural gas operators vertically integrated structures, which are directly or indirectly responsible for natural gas production, transmission, storage, LNG and supply services;"; make the third subparagraph of paragraph 4 by the following: "4) natural gas distribution system operator shall establish a compliance programme, which sets out the specific obligations of employees, as well as measures to be taken to prevent discriminatory actions, and ensure the proper implementation of the programme. The natural gas distribution system operator shall each year submit to the Governor a report on the measures taken and the message to the public. Evaluation of the report of the Governor shall issue an opinion on the independence of the adequacy of the measures taken. Regulators in the opinion of the flaws in the natural gas distribution system operator removes the time limit laid down by the Governor. " to supplement the article with the fifth and sixth the following: "(5) the Governor shall determine which documents and information to be submitted in order to declare the third part of this article the requirements. (6) the Governor shall determine the third part of this article referred to in paragraph 4 of the report, and the evaluation procedures for the publicity. " 20. the express article 45.1 as follows: "article 43 of this law 45.1. the second paragraph of article and article 45 of the second part shall prevent the United way of natural gas transmission, distribution, storage and LNG system operator, engaged in natural gas transmission, distribution, storage, LNG provides services and legally separated from the merchant who deals with the trade of natural gas, as well as meet the following criteria: 1) persons responsible for the joint management of the natural gas system operator may not participate in the integrated structure of the natural gas operator which directly or indirectly are responsible for the trade of natural gas on a daily basis; 2) take appropriate measures to ensure that persons responsible for the joint management of the natural gas system operator, capable of acting independently; 3) the combined system operator natural gas decision-making rights, independent from the integrated gas undertaking, with respect to assets necessary to operate, maintain or develop the network. This does not prevent the set up appropriate coordination mechanisms to ensure the ruling merchant economic rights relating to the individual merchant's return on assets; 4) combined natural gas system operator shall establish a compliance programme, which sets out measures taken to prevent discriminatory conduct, and ensuring adequate control over its observance. The program provides for specific obligations of employees to meet this objective. The combined system operator of natural gas each year, submit to the Governor a report on the measures taken in the implementation of the compliance programme and this report will be made public. Evaluation of the report of the Governor shall deliver an opinion on the implementation of the compliance programme the adequacy of the measures taken. In the opinion of the regulators failings combined natural gas system operator eliminates the regulatory deadline; 5) regulator defines what documents and information to be submitted in order to demonstrate that this article is 1, 2, 3 and 4 implementation of requirements; 6) the Governor determines that this article is referred to in paragraph 4 of the report submission, disclosure and evaluation procedure. " 21. in article 84.1: make the second part of paragraph 6 by the following: ' 6) in this law for the transmission, distribution, natural gas storage system operators and LNG system operators obligations; " make the third paragraph as follows: "(3) the Governor shall report annually to the European Commission and the Agency for the cooperation of energy regulators about its activities and this statutory obligations, as well as to publish this report on its Web site." 22. To supplement the law with the following chapter XIV: chapter XIV "responsibility for non-compliance for the supply of natural gas article 99

The Governor is entitled to the natural gas transmission system operator to impose fines of up to 10 percent of the natural gas transmission system operator in the previous fiscal year's net turnover, but not less than eur 300, if natural gas transmission system operator: 1) provides a transmission system services without a license, does not comply with the conditions of licence issued or transferred the license issued to other persons; 2) does not meet the regulator approved the use of the system and the system connection rules, does not provide access to the system or does not inform regulators about where the system operator rejected the system users or applicants access to the system; 3) does not provide its restricted access information protection that it, in the exercise of his duties, has received from the users of the system; 4) do not comply with European Parliament and Council Regulation No 1227/2011 on energy wholesale market integrity and transparency requirements; 5) does not provide specific information to the Governor at the time and order or provide false information; 6) does not distinguish between their internal accounts, do not submit a regulator the balance sheet, the profit and loss statement and cash flow statement, or violates the prohibition of cross-subsidy.
100. Article Regulator is entitled natural gas distribution system operator to impose fines of up to 10 percent of the natural gas distribution system in the previous fiscal year's net turnover, but not less than 300 euros, if the natural gas distribution system operator: 1) gives the distribution system services without a license, does not comply with the conditions of licence issued or transferred the license issued to other persons; 2) does not meet the regulator approved the use of the system and the system connection rules, does not provide access to the system or does not inform regulators about where the system operator rejected the system users or applicants access to the system; 3) does not provide its restricted access information protection that it, in the exercise of his duties, has received from the users of the system; 4) do not comply with the transmission system operator of the independence requirements, including the requirement to develop a compliance program and to provide a report on the measures taken to follow it; 5) does not provide specific information to the Governor at the time and order or provide false information; 6) does not distinguish between their internal accounts, do not submit a regulator the balance sheet, the profit and loss statement and cash flow statement, or violates the prohibition of cross-subsidy.
101. Article Regulator is entitled natural gas storage system operator to impose fines of up to 10 percent of the natural gas storage system operator in the previous fiscal year's net turnover, but not less than eur 300, if natural gas storage system operator: 1) natural gas storage service without a license, does not comply with the conditions of licence issued or transferred the license issued to other persons; 2) does not meet the regulator approved the storage of natural gas usage and system access rules do not provide access to the system or does not inform regulators about where the system operator rejected the system users or applicants access to the system; 3) does not give a regulator information so prescribed time and manner or provide false information; 4) does not distinguish between their internal accounts, submit to the regulator not a balance sheet, income statement and cash flow statement, or violates the prohibition of cross-subsidy.
Article 102 Regulator is entitled LNG system operator shall impose a penalty of up to 10 percent of the LNG system operator in the previous fiscal year's net turnover, but no less than € 300 if the LNG system operator: 1) liquefied natural gas service without a license, does not comply with the conditions of licence issued or transferred the license issued to other persons; 2) does not meet the regulator approved the use of the system and the system connection rules, does not provide access to the system or does not inform regulators about where the system operator rejected the system users or applicants access to the system; 3) does not give a regulator information so prescribed time and manner or provide false information; 4) does not distinguish between their internal accounts, submit to the regulator not a balance sheet, income statement and cash flow statement, or violates the prohibition of cross-subsidy. Article 103 Regulator is entitled natural gas marketer, impose fines of up to 10 percent of the natural gas trader in the previous fiscal year's net turnover, but not less than eur 300, if natural gas trader: 1) provides marketing services without a license, does not comply with the conditions of licence issued or transferred the license issued to other persons; 2) invoices to be served to the end user and informative materials does not include the information specified by the Governor; 3) does not give a regulator information so prescribed time and manner or provide false information; 4) does not distinguish between their internal accounts, submit to the regulator not a balance sheet, income statement and cash flow statement.
Article 104 the Governor is entitled to an operator to impose a fine of up to 10 percent of the market in the previous fiscal year's net turnover, but not less than 300 euros, if the market participant fails to comply with European Parliament and Council Regulation No 1227/2011 on energy wholesale market integrity and transparency requirements, including the prohibition of abuse of inside information, the prohibition of market manipulation, as well as the obligation to provide information to regulators and the Agency for the cooperation of energy regulators.
Article 105

(1) If the Governor finds that the natural gas system operator, dealer or market participant fails to comply with the requirements of this law, the Governor can accept one or more of the following decisions: 1) be obliged to provide a period set the requirements of this law; 2) warn; 3) impose this law 99, 100, 101, 103, and 104 102. fines referred to in article. (2) If the Governor decides that his obligation within the time limits laid down to ensure the compliance with the requirements of this Act and expressed the warning, but the natural gas system operator, dealer or market regulator has not fulfilled within the time limit set by that decision, the Governor is empowered to decide on the imposition of fines. (3) the regulatory administrative act issued under this Act may appeal to the administrative court. The administrative district court case as a Court of first instance of the three judges. Judgment of the Court of appeal, by an appeal in cassation. (4) the submission of the Court referred to in the first paragraph of the annulment, annulment unenforceable or invalid shall not suspend the operation of this administrative act, except the part about the imposition of the fine. (5) this law 99.100.102.101, 103, and 104 penalty referred to in article is paid to the State budget, and it may not include costs borne by the user. (6) the Cabinet of Ministers issued the rules that determine the net turnover of the financial year, the calculation of the amount of the fine calculated, taking into account the gravity and duration of the infringement, the mitigating and aggravating circumstances, as well as cases in which a fine may be reduced. " 23. the transitional provisions: express the following in paragraph 15: "15. Article 15 of this law, the fifth and the seventh, third and fourth article 26.2, 28.1 article second, third, fourth, fifth and sixth and 45.3 article shall enter into force on 4 April 2014."; transitional provisions be supplemented with 30, 31, 32, 33, 34, 35, 36, 37, 38, 39 and 40 as follows: ' 30.4 April 2014 to be declared unenforceable law of Energy separate article order of entry into force of the Act (the Republic of Latvia Saeima and the Cabinet of Ministers rapporteur, 2005, nr. 14; Latvian journal, 2009, no. 194). 31. Article 45 of this law, the second, third, fourth, fifth and sixth and 45.1 article shall enter into force on April 3, 1869. The first report referred to in article 45 of this law, in the third paragraph, the natural gas distribution system operator shall provide to the Governor no later than 2017. on 2 April. 32. Article 42 of this law, the first, second, third and fourth, 42.2 article, article 43, second and third subparagraph shall enter into force on 3 April 2017, if not previously joined one of the following circumstances: 1) Latvian natural gas system is directly connected to any Member State of the European Union of the natural gas system, except Estonia, Lithuania and Finland; 2) part of the dominant supplier of total natural gas consumption of Latvia is less than 75 percent. 33. Article 44.1 this law shall enter into force when in Latvia started mining, natural gas, and the entry into force of this article shall be established by a special law. 34. This law, the first paragraph of article 42.1 of the provisions laid down, the Cabinet of Ministers issued up to 2014 October 1. Until the date of entry into force of rules, but no longer than up to 2014 30 September applicable Cabinet of 16 December 2008 rule no. 1048 "natural gas supply and use". 35. This law, fifth subparagraph of article 42.1 shall enter into force on January 1, 2015. 36. The Cabinet of Ministers by 2014 December 31 issued this law in the fifth subparagraph of article 42.1 of the provisions laid down. 37. Article 42 of this law the fifth shall enter into force on January 1, 2015. 38. The Regulator to: 1) 2014 issue 1 July this law, the third paragraph of article 7.1 of the mentioned law. Until this legislative act date of entry into force, but not longer than until 30 June 2014, subject to the Governor's 2013 11 December decision No 1/34 "energy producers and traders registration rules"; 2) 2014 December 31 issued this law article 42 referred to in the fifth subparagraph of law; 3) 2016 1 September issue this law, article 45 of the fifth and sixth parts 5 and 6 of article 45.1. the legislation referred to in paragraph 1. 39. Chapter XIV of this law enter into force simultaneously with the amendments to the Latvian Code of administrative offences. 40. The Cabinet of Ministers and the date of entry into force of the transitional provisions provided for in paragraph 39 amendments to the Latvian Code of administrative offences, article 105 of this Act issued in the sixth part of these provisions. " The law shall enter into force on the day following its promulgation. The Parliament adopted the law in 2014 March 13. The President a. Smith in Riga 2014 25 March