President • 30 November, 2018

Kazakh President receives Energy Minister Kanat Bozumbayev

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Head of State Nursultan Nazarbayev meets with Minister of Energy Kanat Bozumbayev, reports Akorda's press service.

During the meeting, the Head of State was informed about the progress in the execution of the instructions given at the Security Council meeting on November 7 of this year.

“The Ministry is completing the year with good performance in all areas, including in the areas of oil production, electric power, alternative energy sources, geological exploration, and working with large investors,” said the President of Kazakhstan.

Nursultan Nazarbayev emphasized that the responsibility for control over tariff setting was laid not only on the Ministry of Energy, but also on the Ministry of National Economy.

- Criticism was voiced regarding tariffs for which not only the Ministry of Energy is responsible. The energy ministry is responsible for the source of electricity and transportation, and the anti-monopoly committee controls the redistribution and communication to the consumer, the Head of State said.

The President of Kazakhstan noted the key role of the Government in the process of forming and controlling tariffs in the energy services market.

- Every year at a Government meeting, the Ministry of Energy reported on the need to reduce tariffs. On these issues, the Prime Minister and the Government did not take action. I instruct everyone to establish order in this area. The whole chain of responsible departments should be under the auspices of the ministry, or the Government itself should coordinate the process, - Nursultan Nazarbayev.

In turn, K. Bozumbayev informed the Head of State on the results of the work carried out on the establishment of marginal tariffs for the generation of electrical energy at the stations.

- In the first decade of December, the auction will take place, the results of which will determine the tariff for capacity. And in the first decade on the basis of this we will approve the marginal tariffs for electric energy. They will be differentiated according to different types of stations. But all of them will be reduced from 5 to 20 percent on average, depending on the type of stations, the Minister of Energy said.

During the meeting, it was noted that work was needed on the part of the committee on regulating natural monopolies, protecting competition and consumer rights of the NEM to reduce the tariffs of regional stations and energy supply organizations.

At the end of the meeting, the Head of State approved the approaches of the Ministry of Tariff Regulation in the electricity market and gave a number of specific instructions.

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