MONITORING OF COMPLIANCE IN REGIONAL MARKET OPERATIONS AND DISPUTE SETTLEMENTS IN MACEDONIA
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1 MONITORING OF COMPLIANCE IN REGIONAL MARKET OPERATIONS AND DISPUTE SETTLEMENTS IN MACEDONIA NARUC - Regulatory Partnership Program Presented by: Natasha Trimcheska, Electricity Expert, ERC
2 MONITORING OF COMPLIANCE IN REGIONAL MARKET OPERATIONS
3 Principles of Monitoring (1/2) Monitoring is a tool that makes it possible for the Regulator to follow up with the activities of the license holders through timely collection and processing of necessary data The Regulator regularly reviews the activity of the license holders from the viewpoint of laws and regulations (license conditions as well) in effect The Regulator shall observe, analyze, compare data received from the license holders and intervene if necessary 3
4 Principles of Monitoring (2/2) The Regulator must have the willingness and ability to intervene to fix any problems discovered by the market monitoring process as rapidly as possible The Regulator must prepare consistent measures of market and system performance that are comparable over time Public availability of data submitted to and produced by the market and system operators The market monitoring process should be independent of the market operator, system operator and the political process 4
5 Methods for Monitoring Request information, data, statistics or analysis automatically, regularly or ad hoc Perform on-site inspections Investigate suspected non-compliance Benchmarking 5
6 Monitoring in accordance with the EU Directives The Regulator should be responsible for monitoring: The rules on the management and allocation of interconnection capacity Any mechanisms to deal with congested capacity with the national system The time taken by transmission and distribution undertakings to make connections and repairs The publication of appropriate information by transmission and distribution system operators concerning interconnectors, grid usage and capacity allocation to interested parties The effective unbundling of accounts, to ensure there are no cross subsides between generation, transmission, distribution and supply activities The terms, conditions and tariffs for connecting new producers to guarantee that these are objective, transparent and non-discriminatory The extent to which transmission and distribution system operators fulfill their tasks The level of transparency and competition 6
7 Energy Community Regulatory Board - Monitoring The ECRB will foster and review common and uniform day to day implementation and application of all statutory, technical an regulatory rules and report directly to the MC The ECRB will develop effective and efficient mechanisms to enhance day to day consistent supervision, development and enforcement of the regional energy regulatory framework The ECRB should ensure a level playing field in the regional market and may issue recommendations to the competent Institutions. It shall also identify inconsistencies between the regional energy regulatory framework arrangements and national legislation in the countries The market monitoring must focus on identifying factors that contribute to economic inefficiency and have impact on the security of energy supply and the functioning of the regional market 7
8 DISPUTE SETTLEMENT IN MACEDONIA
9 Dispute Settlement in SEE 9
10 Dispute Settlement - ERC The Energy Law gives ERC the right to participate in dispute resolution and propose measures, but it does not define the scope of such disputes or measures, nor does it provide guidance regarding the dispute resolution process The revised primary legislation and the secondary legislation will provide further detail 10
11 Appeals on ERC s Decisions Law on Energy provides that any decision of the ERC can be appealed before the Commission on Appeals The Commission on Appeals is an independent body established by the Parliament The Commission on Appeals is composed of three members and their deputies The mandate of the Members of the Commission on Appeals is 5 years The decision of the Commission on Appeals is handed down with majority votes Members of the Commission on Appeals who have conflict of interest with regard to the case are replaced by their deputies 11
12 Appeal Procedure (1/3) The deadline for submission of appeals is usually 15 days The appeal, however, does not delay the execution of the decision The content of the appeal must specify: which Decision is subject to a rebuttal competent organ which has handed down the Decision date and number of Decision explanation/justification why the Decision is appealed 12
13 Appeal Procedure (2/3) When the appeal is submitted, the Commission on Appeals shall check its competency If the Commission on Appeals is competent organ to decide, it shall examine the formal and material aspects of the appeal Formal aspects of the appeal shall be whether the appeal is: allowed; submitted on time; and submitted by an authorized person. Failure to meet the aforementioned conditions shall constitute ground for rejection of the appeal 13
14 Appeal Procedure (3/3) When deciding upon appeal, the Commission on Appeals may: reject the appeal, if it determines that the procedure preceding the decision has been implemented correctly and that the decision is correctly and legally based, and the appeal is ungrounded; revoke the first instance decision by handing down its own Decision and settle the issue by itself if it finds out that the: facts from the first instance procedure have been incompletely or incorrectly determined; regulations of the procedure having an impact on the decision have not been considered carefully throughout the procedure; or disposition of the refuted decision is unclear or contradictory to the explanation; revoke that first instance decision by its own decision and shall hand down its own decision if it finds out that: the facts have been assessed incorrectly in the first instance decision; a wrong conclusion has been made regarding the factual situation; a legal regulation has been implemented incorrectly; or if it finds out that upon free assessment a different decision was to be handed down. 14
15 Judicial Protection The Constitution of RM provides: Judicial protection of the legality of the administrative legal acts, and Right to appeal legal acts enacted in the first instance If the legality during the appellate procedure is breached from the Commission on Appeals, a party may initiate an administrative dispute before the Supreme Court of the Republic of Macedonia The decision of the Supreme Court is final and obligatory for the parties 15
16 THANK YOU FOR YOUR ATTENTION Contact:
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