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Regulation of district heating and water sector s in Lithuania

Regulation of district heating and water sector s in Lithuania. 2012-01-11. heating sector. Legal ground. L a w on Energy ; L a w on Heat Sector. Regulatory authorities. Ministry of Energy ; NCC ; Municipalities. NCC role.

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Regulation of district heating and water sector s in Lithuania

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  1. Regulation of district heating and water sectors in Lithuania 2012-01-11

  2. heating sector

  3. Legal ground • Law on Energy; • Law on Heat Sector. Regulatory authorities • Ministry of Energy; • NCC; • Municipalities.

  4. NCC role • Approves Heat price calculation methodology and Hot water price calculation methodology; • Issues licenses, controls regulated activity (>10 GWh per year); • Sets basic heat and hot-water price components; • Verifies annual heat price components compliance with the law, unilaterally establishes (if needed) annual heat price components; • Evaluates investments; • Controls priceapplication.

  5. Regulation area (1)

  6. Regulation area (2)

  7. Price components Generation + Supply + Price of sales = Fixed component Variable component Adjusted every month Adjusted every year

  8. Heat prices

  9. The separation of regulation roles Municipalities Approvement of the investments plans Setting the annual price components Investments Prices Verification (unilateral establishment) Evaluation of investments NCC

  10. Water sector

  11. Legal ground • Law on Water Supply and WasteWaterManagement. Regulatory authorities • Ministry of Environment; • NCC; • Municipalities.

  12. NCC role • Approves Water supply and waste water management price calculation methodology; • Issue licenses, controls regulated activity; • Coordinates water supply and waste water management price; • Verifies municipality’s determined water and waste water management price compliance with the law, unilaterally establishes (if needed) price; • Controls price application.

  13. Regulation area (1)

  14. Regulation area (2)

  15. The separation of regulation roles Municipalities Approvement of the development plans Setting the price Investments Prices Verification (unilateral establishment) Investment evaluation into the prices NCC

  16. Thank You for Your Attention!

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