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Dispute on Heat Price to Be Resolved by Court
2008-07-30
Kaunas Heat and Power Plant (KHPP) appealed to Vilnius Regional Administrative Court with the request to annul the obligation imposed by the National Control Commission for Prices and Energy (NCCPE) on harmonization of prices of heat sold.
In 2003 KHPP and KAUNO ENERGIJA concluded the contract on the purchase of heat energy. It determined that during the first five years of the contract the heat price would not change virtually and later on it would be recalculated according to the formula specified in the contract. All the time KHPP observed the undertaken commitments not to increase the heat price.
However, regardless of the contract in force, in June the NCCPE delivered to KHPP a complaint claiming for the data, following the Procedure for Establishing the Heat Price, as required for the calculations of the basic heat production price. NCCPE motivates its position subject to the Law on Heat Sector, amended by the Seimas.
“Such claim of the Commission means that it does not virtually acknowledge the provisions of the contract signed five years ago and intends to establish the price for heat sold by KHPP. Consequently, we went to law to clear up the matter”, stated Antanas Pranculis, the Director General of KHPP. Following his statement, Procedure for Establishing the Heat Price is inconsistent with the procedure for calculation of heat price, established by the contract of 2003.
“For five years we observed the investment agreement, though it was not beneficial for us from the economical point of view. We want the agreement to be observed by our partners as well, namely by KAUNO ENERGIJA and the City Municipality, which controls the former. Variation of the game rules for the investor can negatively influence future investment into development of Kaunas Power Plant”, insisted Antanas Pranculis, the Director General of KHPP.
© Kauno diena