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New regulations in the energy sector

July 3, 2019

The Moldovan National Energy Regulatory Agency adopted two new regulations in the energy sector that will become effective on 28 July 2019:

1) Regulation on the connection to the electrical networks and the provision of electricity transmission and distribution services; and

2) Regulation on the supply of electricity.

The first regulation

It sets the conditions for connecting consumption facilities and electrical plants to the electrical networks of system operators (transmission and distribution networks), regulates the relations between them, and sets the conditions for termination of the respective services.

The Regulation stipulates that any natural person or legal entity has the right to apply for connecting the electrical consumption facility or the electric power station belonging to them to the transmission or distribution electric network of the system operator [electricity transmission or distribution operator].

The pre-condition for connecting the electrical consumption facility or the electric power station is obtaining the permission for connection.

The operator is obliged to provide all relevant information related to the process and conditions for the connection and the documents that have to be submitted as part of the application process.

The application together with the attached documents can be submitted directly at the office of the operator, or can be sent via post, fax or email.

The Regulation sets forth the detailed provisions as to coordinating the process of issuing the connection permit, including the relevant time limits.

The permit is issued free of charge. However, the operator can charge the costs of connection works.

Conditions for refusing the connection

The operator may refuse to issue a connection permit only in the case of the lack of capacity of the electrical network.

Applications by producers of electricity from renewable sources

If the application is submitted by a potential producer of electricity from renewable sources, and if the operator establishes that the connection of the power plant is possible, but the development of the corresponding electrical network solely favors the applicant and it is not necessary for other users of the system, then the operator and the applicant shall proceed in the following way:

  • The operator of the transmission system and the operator of the distribution system are obliged to provide an assessment demonstrating that the development of the electricity network constitutes the sole benefit of this producer, and notify the National Energy Regulatory Agency;
  • The respective energy producer pays to the transmission or distribution system operator the costs associated with the development of the relevant network, according to the cost estimate prepared by the system operator and approved by the National Energy Regulatory Agency.

The works related to the development of the relevant transmission and/or distribution networks shall be carried out by the relevant transmission or distribution system operator. In this case, the operator of the system that conducted the works related to the development of the network becomes the owner of the corresponding network segment.

The Regulation also sets forth detailed provisions regarding the installation and exploitation of the power facilities, delimitation of the equipment and facilities of the operator and the user.

It also stipulates the major conditions of contracts for the transmission and/or distribution of electricity, rights and obligations of the relevant parties, the terms of suspending, discontinuing or limiting the provision of electricity, conditions for disconnecting the user’s facilities from the network, rules relating to the energy consumption accounting and the use of the relevant equipment, and the conditions of the operator’s liability for the damages caused.

The second regulation (Regulation on the supply of electricity)

This regulations substitutes the similar regulation of 2010. It sets forth detailed provisions with respect to the relations between the supplier, the system operator and the end user as to concluding the contract, supplying and paying for electricity in the retail electricity market.

To ensure the supply of electricity to the end consumer, the supplier enters into a contract for the provision of transmission or distribution services with the relevant operators.

The final consumers have the right to enter into the contract for the supply of electricity with any supplier, by their own choice.

The supplier is obliged to conclude a contract for the supply of electricity, without discrimination, with any applicant who has fulfilled all the conditions set forth by law.

* You can contact us to learn more about the new regulations or other legal provisions and regulatory instruments in the energy sector in Moldova.