Text consolidated by Tulkošanas un terminoloģijas centrs (Translation and Terminology Centre) with amending laws of:
10 May 2001;
27 September 2001;
2 December 2004;
8 December 2005;
26 October 2006;
14 June 2007;
13 December 2007;
12 December 2008;
11 June 2009;
22 October 2009;
1 December 2009.
If a whole or part of a section has been amended, the date of the amending law appears in square brackets at the end of the section. If a whole section, paragraph or clause has been deleted, the date of the deletion appears in square brackets beside the deleted section, paragraph or clause.
The Saeima1 has adopted and
the President has proclaimed the following Law:
On Regulators of Public Utilities
Chapter I.
General Provisions
Section 1. Purpose of this Law
The purpose of this Law is to ensure the possibility of receiving continuous, safe and qualitative public utilities whose tariffs (prices) conform to economically substantiated costs, as well as to promote development and economically substantiated competition in regulated sectors, determining the procedures for the regulation of public utilities and the legal relations in the provision of public utilities.
Section 2. Scope of Application of this Law
(1) This Law specifies general procedures for the regulation of public utilities and basic principles for the development and operation of a regulatory system.
(2) The State shall regulate the provision of public utilities as a commercial activity in the following sectors (hereinafter regulated sectors):
1) energy;
2) electronic communications;
3) postal services;
4) railway transport;
5) municipal waste management; and
6) water management.
(3) [11 June 2009].
(4) The types of such public utilities, the provision of which requires regulation, in regulated sectors shall be determined by the Cabinet.
(5) [14 June 2007].
[2 December 2004; 26 October 2006; 14 June 2007; 11 June 2009]
Section 3. Regulated Public Utilities
Regulated public utilities the provision of which shall be regulated in accordance with this Law, are the manufacture of goods, provision of services and infrastructure (the complex of engineering structures or engineering solutions, as well as the complex of resources related with the use thereof, which is necessary for the manufacture of goods or provision of services) services in regulated sectors pursuant to the special regulatory enactments of the sectors (hereinafter public utilities).
[11 June 2009]
Section 4. Providers of Public Utilities and Users of Public Utilities
(1) A provider of public utilities is a merchant, which provides public utilities in the regulated sectors in a particular territory, and the activities of which in the provision of public utilities are regulated in accordance with this Law.
(2) Users of public utilities (hereinafter users) are natural or legal persons who receive public utilities from providers of public utilities.
[27 September 2001; 2 December 2004]
Section 5. Basic Principles of Public Service Regulation
Public utilities shall be regulated by a public service regulatory institution, established in accordance with this Law, which shall operate independently and autonomously in performing the functions set out in this Law, in taking decisions and issuing administrative instruments in order to protect the interests of users and to promote the development of providers of public utilities in accordance with the principles of justice, transparency, neutrality, equality and proportionality.
Chapter II.
Public Utilities Institution - Regulator
Section 6. Public Utilities Institution
(1) Public utilities in regulated sectors shall be regulated by a State public utilities regulatory institution (hereinafter regulator).
(2) A regulator shall independently perform the functions delegated to it by law and, within the scope of its competence, shall independently take decisions and issue administrative instruments, which are binding upon specific providers and users of public utilities.
(3) The State Civil Service Law shall not apply to a regulator.
[27 September 2001; 11 June 2009]
Section 7. Regulator
[11 June 2009]
(1) The Regulator shall supervise the compliance with this Law and compliance with special regulatory enactments of regulated sectors in the provision of public utilities in the regulated sectors.
(2) For regulated sectors a common regulator shall be established the Public Utilities Commission which is a derived public person supervised by the Minister for Economics.
(3) The decision-taking authority of the Regulator shall be a council. The council, on behalf of the Regulator, shall take decisions and issue administrative instruments, which are binding on specific providers and users of public utilities.
(4) The Saeima, pursuant to the recommendation of the Cabinet, shall appoint to office the chairperson of the Regulator who shall also be the chairperson of the council (hereinafter chairperson) and four council members for five years. The Cabinet by means of a competition shall select applicants for the office of council member.
(5) If the term of office of a council member for some reason should be terminated before expiry of the specified term of office, the Saeima, pursuant to a recommendation of the Cabinet, shall appoint to office another council member.
(6) The Regulator is a legal person. The Regulator has its own property, an independent balance sheet and an account with the State Treasury.
[10 May 2001; 2 December 2004; 11 June 2009]
Section 8. Regulators in Local Government Regulated Sectors [11 June 2009]
[27 September 2001; 13 December 2007; 11 June 2009]
Section 9. Functions of Regulators
(1) The Regulator shall perform the following functions:
1) protect the interests of users and promote the development of providers of public utilities;
2) determine the method for calculation of tariffs;
3) determine tariffs, if special laws concerning sectors do not provide for other procedures for determining tariffs;
4) license the provision of public utilities;
5) carry out preliminary out-of-court examination of disputes;
6) promote competition in regulated sectors and supervise compliance of the public utilities with the conditions of the licence, specified quality and environmental protection requirements, technical specifications, standards, and other contract provisions;
7) at the request of ministries responsible for regulated sectors, provide information to them and make proposals to such ministries on matters regarding regulation of public utilities;
8) inform the public of its activities and also of the activities of providers of public utilities in the provision of public utilities;
9) perform such other functions as set out in special laws of a sector;
10) perform the exploitation control of energy supply merchants objects and other energy supply objects in compliance with regulatory enactments of the energy sector; and
11) perform supervision of the safety of hydrotechnical structures of hydroelectric power stations and the compliance of exploitation with the Law on Safety of Hydrotechnical Structures of Hydroelectric Power Stations.
(2) Regulators, within the scope of their competence, shall take decisions independently and shall issue administrative instruments, which shall be binding upon specific providers and users of public utilities.
(3) Regulators shall ensure the protection of information at their disposal regarding the providers of public utilities and their activities.
[11 June 2009]
Section 10. Rights of Regulators
(1) Regulators, in performing the functions prescribed by law, are entitled to request and receive without hindrance from providers and users of public utilities, from State and local government institutions, and from officials, such information regardless of the security grading thereof as is required for the performance of such functions.
(2) The chairperson of the Regulator shall take part in meetings of the committee of the Cabinet. The Regulator shall submit drafts of regulatory enactments in accordance with procedures prescribed by the Cabinet. Authorities, which submit to the Cabinet drafts of regulatory enactments related to the regulation of public utilities, shall also submit them to the Regulator for co-ordination.
(3) The regulator shall examine applications and complaints concerning the provision of public utilities.
(4) The chairperson of the Regulator or his or her authorised official is entitled to make a report on administrative violations by a provider or user of public utilities, which report shall be examined in accordance with procedures prescribed by law.
(5) [11 June 2009]
(6) [11 June 2009]
(7) A regulator shall determine the quality requirements for the provision of public utilities.
[2 December 2004; 11 June 2009]
Section 11. Independence of Regulators
(1) Regulators shall be independent in the performance of functions set out in law.
(2) The Regulator in performing its functions shall not be subject to the State or local government institutions.
(3) [11 June 2009]
(4) Administrative instrument of a regulator issued in accordance with this Law may be appealed to an Administrative Regional Court. The Administrative Regional Court shall adjudicate the case as a court of first instance in the composition of three judges. A court judgment may be appealed submitting a cassation complaint.
(5) The submission of an application to a court for revocation, recognition as not in effect or null and void of the administrative instrument issued by a regulator shall not suspend the operation of such administrative instrument.
[10 may 2001; 11 June 2009]
Section 12. Responsibility of Regulators
(1) Regulators shall be responsible for the lawfulness of their activities.
(2) Losses caused by an unlawful decision or an unlawful administrative instrument of a regulator shall be compensated in accordance with procedures prescribed by regulatory enactments.
[2 December 2004]
Section 13. Transparency of Regulator Activities
(1) Decisions taken by regulators shall be public and they shall be published in accordance with procedures prescribed by this Law.
(2) Regulators shall provide information to State and local government institutions and authorities, as well as make recommendations to users, and shall take other measures to ensure transparency of their activities, to explain the actions of providers of public utilities and to monitor the attitude of the public to such.
Section 14. Supervision of Activities of Regulators
(1) The Regulator shall once a year by 1 June submit to the Saeima a written report on its activities in the previous year and a full financial statement audited by a sworn auditor.
(2) [11 June 2009]
[11 June 2009]
Section 15. Protection of the Rights of Consumers in Regulated Sectors
(1) Regulators shall co-operate with associations for the protection of consumer rights, which organisations have been established in accordance with procedures prescribed by the Consumer Rights Protection Law, and protect consumer rights in regulated sectors , as well as co-operate with bodies for the supervision and control of consumer rights protection.
(2) A representative from the Consumer Rights Protection Centre or from another competent and authorised State institution within whose jurisdiction is the supervision and control of the protection of consumer rights in the relevant regulated sector is entitled to take part in meetings of a regulator in the capacity of an advisor, if the meeting of the regulator examines questions regarding provision or ensuring of public utilities in the relevant regulated sector.
[11 June 2009]
Section 15.1 Consultative Authority of Local Governments
(1) The Regulator shall establish a consultative authority for representation of interests of local governments and exploration of opinions.
(2) The by-laws of a consultative authority of local governments shall be approved by the council of the Regulator.
(3) The candidates for members of the consultative authority of local governments shall be nominated by the Latvian Association of Local and Regional Governments.
[11 June 2009]
Chapter III.
Licensing of Public Utilities
Section 16. Licence for Public Utilities
(1) A licence for public utilities (hereinafter licence) gives a public service provider the right to simultaneously assume similar obligations with respect to a number of users in the territory specified in the licence (hereinafter the territorial area of a licence) and sets out the obligation of the public service provider to provide such users with public utilities of a specified quality and quantity for the tariffs specified.
(2) The Cabinet shall specify the procedures by which regulators shall license the provision of public utilities and regulated sector merchants, as well as the procedures for submitting applications for a licence, if such is not specified in special laws of the sectors.
(3) Regulators shall issue a licence for a specified period to providers of public utilities and regulated sector merchants, specifying in the licence the types of public utilities.
(4) A regulator shall publish decisions regarding the issuance of licences, cancellation (revocation) of granted licences, refusal to grant a licence, as well as amendments to licence conditions if such apply to the type of public service, term of a licence or territorial area of a licence in the newspaper Latvijas Vēstnesis and on the Internet homepage thereof within 30 days from the date of the relevant decision.
(5) Regulators shall supervise the fulfilment of licence conditions and the conformity of public utilities with licence conditions.
(6) [11 June 2009]
[2 December 2004; 11 June 2009]
Section 17. Licence Conditions
(1) A licence shall indicate the type of public utility, the term of validity of the licence, the operational zone of the licence as a geographical territory, and the possibility of amendment and cancellation (revocation) of the licence, as well as special conditions that are provided for by special regulatory enactments of the regulated sector.
(2) Licence conditions shall be objectively justified, fair, equal and public.
[2 December 2004]
Section 18. Amendments to Licence Conditions, Cancellation (Revocation) of Licences and Suspension of Operations
(1) A substantiated proposal to make amendments to the conditions of a licence issued or to cancel (revoke) a licence shall be submitted by a provider of public utilities to the regulator in accordance with the procedures prescribed by Cabinet.
(2) A regulator shall amend the conditions of a licence issued if:
1) amendments to regulatory enactments, which relate to the type of regulated public utility have come into force;
2) economically substantiated provision of public utilities cannot be ensured by other means in the operational zone of the licence; and
3) a provider of public utilities has submitted a substantiated proposal.
(3) A regulator shall cancel (revoke) a licence issued to a provider of public utilities, if the provider of public utilities:
1) fails to comply with or violates the conditions of the licence issued to it;
2) fails to comply with or violates the requirements prescribed by regulatory enactments regarding the provision of public utilities;
3) has been declared as being subject to liquidation;
4) has submitted a substantiated proposal; or
5) within 12 months from the day of issue of the licence has not commenced provision of public utilities (if in the licence a commencement time period for the provision of public utilities has not been specified).
(4) A regulator shall give a provider of public utilities a written warning notice at least 30 days previously regarding amendments to licence conditions. In the case specified in Paragraph two, Clause 3 of this Section the regulator shall determined the warning time period.
(5) A regulator shall give a provider of public utilities a written warning notice at least three months previously regarding cancellation (revocation) of a licence. In the cases specified in Paragraph three, Clauses 3, 4 and 5 of this Section, as well as in cancelling (revoking) the licence in accordance with the Administrative Procedure Law, the regulator shall determined the warning time period.
(6) If a licence is cancelled (revoked), the State fee paid by the provider of public utilities in accordance with Section 30 of this Law for the regulation of public utilities shall not be reimbursed.
(7) A regulator shall suspend the operation of a licence if there is a justified suspicion regarding the fact that the provider of public utilities is failing to comply with or violating the conditions of the licence issued to it or the requirements prescribed by regulatory enactments regarding the provision of public utilities.
(8) The time period restrictions for the revocation of a lawful administrative instrument specified in the Administrative Procedure Law shall not be applied when making amendments to a licence or cancelling (revoking) a licence in accordance with this Law.
[2 December 2004; 11 June 2009]
Chapter IV.
Setting of Tariffs
Section 19. Procedures for Setting Tariffs
(1) Providers of public utilities shall calculate tariffs for public utilities in regulated sectors in accordance with the method specified for tariff calculation and upon his or her initiative or request of a regulator shall submit to a regulator drafts of the calculated tariffs together with a substantiation of the costs making up the tariffs referred to in the draft tariff calculation.
(2) The Regulator shall within 90 days from the receipt of draft tariffs evaluate the draft tariffs submitted by a provider of public utilities and calculated in accordance with prescribed procedures. If the Regulator determines that the draft tariffs has been calculated incorrectly or without substantiation, it may entrust a provider of public services to perform recalculation of the draft tariffs.
(3) [11 June 2009]
(4) If tariffs in the drafts submitted have not been calculated in accordance with procedures prescribed by this Law, the regulator shall within 10 days forward a substantiated rejection to the submitter.
(5) Regulators shall take decisions on the need for additional information, if the draft of calculated tariffs and documents substantiating the costs that make up the tariffs do not contain sufficient information to objectively approve or reject the draft calculated tariffs. In such case the regulator shall forward to the provider of public utilities a notice of the decision taken and request additional information or documents.
(6) Where necessary, a regulator shall invite representatives of the relevant provider of services and representatives of the Consumer Rights Protection Centre or independent experts to evaluate draft tariffs or provide explanations.
(7) The Regulator shall approve or reject the evaluated draft tariffs within 30 days from their examination.
(8) [11 June 2009]
(9) If the evaluated draft tariffs are rejected, the regulator shall submit a substantiated rejection to the provider of services within 10 days from the date of the relevant decision.
(10) In cases where the draft tariffs are approved, the regulator shall notify the provider of public utilities thereof within 10 days.
(11) [11 June 2009].
(12) [11 June 2009]
[10 May 2001; 2 December 2004; 11 June 2009]
Section 20. Tariff Levels
Tariffs shall be set at such levels as is necessary for the tariff payments made by users to cover the costs of public utilities and to ensure profitability of the public utilities in conformity with licence provisions during its term, unless special laws of a sector provide for other tariff-setting principles. If factors that influence tariffs change, a regulator may propose a review of tariffs.
[27 September 2001; 11 June 2009]
Section 21. Transparency of Tariffs
(1) The method for calculating tariffs specified by the Regulator shall be published in the newspaper Latvijas Vēstnesis and in the Internet homepage thereof within 10 days from its specification.
(2) The Regulator shall determine the procedures for how users may familiarise themselves with draft tariffs submitted by providers of services, and submit their proposals and recommendations to the regulator and the provider of public utilities. The referred to procedures shall be published within 10 days from the determination of such procedures, in the newspaper Latvijas Vēstnesis.
(3) Provider of public utilities shall publish information concerning calculated draft tariffs in the newspaper Latvijas Vēstnesis and in at least one local newspaper of the relevant local government within 10 days from their submission to the regulator. If the draft applies to users of certain administrative territory, a provider of public utilities shall submit the relevant information to the local government for publication in the Internet homepage thereof, if any.
(4) The Regulator shall publish the determined tariffs in the newspaper Latvijas Vēstnesis and in at least one local newspaper within 10 days after taking of the relevant decision. If the determined tariffs apply to users of certain administrative territory, the Regulator shall submit these tariffs to the local government for publication in the Internet homepage thereof, if any.
(5) The approved tariffs shall enter into effect not earlier than on the thirtieth day after their publication.
(6) The submission of an application to a court for revocation, recognition as not in effect or null and void of such administrative instrument by which a tariff has been approved, shall not suspend the operation of such administrative instrument
[2 December 2004; 26 October 2006; 13 December 200; 11 June 2009]
Chapter V.
Activities of Providers of Public Utilities
Section 22. Continuity, Security and Quality of the Provision of Public Utilities
(1) Providers of public utilities shall ensure the possibility of receiving uninterrupted public utilities during the whole term of a licence in conformity with the licence conditions in their territorial area.
(2) Providers of public utilities shall ensure observance of the requirements for safety of public utilities as determined for the relevant regulated sector, and the conformity of employee qualifications.
(3) Providers of public utilities shall ensure that the quality of public utilities conforms to technical specifications, standards and contract provisions. If during any period a public service provider cannot ensure a quality of public utilities that conforms to technical specifications, standards and contract provisions, the provider of services shall compensate for losses caused to users in accordance with the contract provisions or a decision of the regulator.
(4) Providers of public utilities shall utilise and promote the introduction of effective, economic and safe technologies and working methods to ensure and improve the quality of public utilities.
(5) A provider of public utilities may in accordance with procedures prescribed by the Cabinet discontinue the provision of public utilities to those users who have not paid for the services received or have not met other obligations with respect to the provider of public utilities.
Section 23. Restructuring and Termination of Activities of a Provider of Public Utilities [11 June 2009]
Section 24. Demand for Public Utilities
(1) Providers of public utilities shall ensure public utilities in the territorial area of a licence upon a reasoned request from users and other persons, if the financial capabilities of the provider of such services and technical capabilities of the facilities or infrastructure so permit.
(2) Providers of public utilities shall examine the demand for public utilities, evaluate the validity of such and the necessary costs of providing the requested public utilities, and not later than within 30 days from the receipt of a registered request notify the person requesting such of the initiation of provision of the public utilities.
(3) If the provision of the relevant public utilities is not possible, providers of public utilities shall, within 30 days from the receipt of a registered request, provide a substantiated written refusal to the person requesting services and notify the regulator thereof.
(4) A provider of public utilities may come to an agreement with the person requesting services that the requester will cover supplementary costs associated with the initiation of provision of the public utilities.
[2 December 2004]
Section 25. Provision of Information
(1) Providers of public utilities shall, within the time period and in accordance with the procedures specified by the regulator, submit to the regulator the information requested by the regulator.
(2) Providers of public utilities shall provide regulators free access to all information regarding the public utilities and the necessary information regarding other types of commercial activities, as well as provide the opportunity for the regulator to familiarise itself with the accounting documents of the provider of public utilities.
(3) Providers of public utilities shall ensure the opportunity for regulators to carry out the inspection and controls required for the performance of the public utilities regulatory function, as well as ensure access to equipment and measuring instruments, while observing safety requirements.
[2 December 2004]
Section 26. Separation of Types of Public Utilities
(1) In a regulated sector, a provider of public utilities may simultaneously provide public utilities of several types.
(2) The accounting of a provider of public utilities must include separate accounts in respect of each type of public utility. The referred to accounts shall separated from the total accounting.
[2 December 2004; 11 June 2009]
Section 27. Other Types of Activity of Providers of Public Utilities
(1) Providers of public utilities may, outside of regulated sectors, carry out commercial activity, which must, in accordance with procedures prescribed by Section 26 of this Law, be separated from activities in the provision of public utilities.
(2) A provider of public utilities does not have the right to utilise revenue from tariffs to cover costs associated with its commercial activity or with other types of activities that are not directly related to the provision of public utilities, including sponsorship, donations or charity. The restrictions referred to in this Section shall not apply in such cases as when the provider of public utilities utilises revenue from tariffs as donations to associations, foundations and religious organisations or institutions thereof to which the status of public benefit organisation has been granted in accordance with the Law on Public Benefit Organisations. The amount of donations shall not be included in the costs substantiating the tariffs.
[27 September 2001; 2 December 2004; 8 December 2005; 22 October 2009]
Section 28. Take-Over of the Territorial Area of a Licence of a Provider of Public Utilities
(1) Regulators shall take decisions on the necessity to take over the territorial area of the licence of a provider of public utilities:
1) if the licence of the provider of public utilities is to be cancelled (revoked);
2) if the term of the licence of a provider of public utilities expires in six months and the service provider does not wish to continue the provision of such public utilities for which a new licence is required; or
3) if a provider of public utilities for some reason is unable to ensure uninterrupted, safe and qualitative public utilities.
(2) If a regulator takes a decision to take over the licence territorial area of a provider of public utilities, the regulator shall within 10 working days notify the responsible ministry of the relevant regulated sector or the relevant local government of such decision. The responsible ministry of the relevant sector to be regulated or the relevant local government in whose territory the provider of public utilities is located shall for a time appoint a person responsible for the public utilities set out in the licence of the provider of public utilities in order to implement such measures as will encourage merchants to take over the provision of public utilities in the territorial area of the licence.
(3) In order to ensure the realisation of the activities set out in this Section, the person who is responsible for the public utilities set out in the licence of a provider of public utilities shall inform the regulator or the local government regarding the performance of his or her tasks and is entitled to choose procedures for tendering, competition or selection of applicants.
[2 December 2004]
Chapter VI.
Financing the Activities of Regulators
Section 29. Financing the Activities of Regulators
The activities of a regulator shall be financed from the revenues obtained by collection of the State fee for the regulation of public utilities.
Section 30. Payers of and Utilisation of the State Fee for Regulation of Public Utilities
(1) To ensure the regulation of public utilities, all providers of public utilities in regulated sectors shall pay the State fee for the regulation of public utilities.
(2) The State fee for the regulation of public utilities in regulated sectors shall be paid into the State budget and assigned to the Regulators account in the State Treasury. The State fee paid for the regulation of public utilities in regulated sectors shall be utilised only for performance of the activities of the Regulator.
(3) [11 June 2009]
(4) To ensure the activities of regulators, special laws of a sector may specify other payments of merchants in regulated sectors, which payments shall be proportionate to the services provided by the regulator or to the State resources allocated for use.
[2 December 2004; 13 December 2007; 11 June 2009]
Section 31. Rates for State Fees for the Regulation of Public Utilities and Procedures for Payment
(1) The rates in lats for State fees for the regulation of public utilities shall be determined by the Cabinet separately for each type of public service in a regulated sector on the basis of the annual net turnover of public utilities and the expenditures required for the provision of regulatory activities.
(2) The annual rate of the State fee for the regulation of public utilities may not exceed 0.2 per cent of the net turnover of the provided public utilities by a merchant in the previous calendar year.
(21) Merchants, which commence the provision of public utilities, shall pay the State fee for the first year of activity from the net turnover of the public utility of the relevant type in the first year of activity planned by themselves.
(3) [10 May 2001]
(4) The procedures by which the State fee for the regulation of public utilities shall be paid shall be determined by the Cabinet.
(5) The State fee for the regulation of public utilities shall be administered by the Regulator in accordance with regulatory enactments in the field of taxes.
[10 May 2001; 27 September 2001; 2 December 2004; 13 December 2007; 11 June 2009]
Chapter VII.
Examination of Disputes
Section 32. Preliminary Out-of-Court Examination of Disputes
(1) Regulators, as compulsory preliminary out-of-court instances, shall examine disputes arising from the relations involved in the provision of public utilities and other disputes concerning matters, which by means of this Law have been transferred to the competence of regulators, except for disputes regarding the collection of debts from users for the public utilities received.
(2) Disputes between a provider of public utilities and a user regarding the collection of debts from users for public utilities received shall be examined by a court in accordance with procedures prescribed by law.
[2 December 2004]
Section 33. Procedures for Examination of Disputes
(1) An applicant shall submit to a regulator a statement regarding the nature of the dispute, the participants in the matter and the defendant against whose actions the applicant is directing the complaint, stating the address of this person. The applicant shall attach to the submission all materials and documents at the disposal of the applicant with respect to the matter under dispute.
(2) The regulator shall examine the dispute, ensuring transparency and the right of participants in the matter and of interested third parties to receive information and be heard, to provide explanations, and to submit materials and other information necessary for the protection of their interests and objective examination of the dispute.
(3) The regulator, if necessary, may invite independent experts to provide an opinion with respect to questions under dispute, as well as request documents and materials or other types of information necessary for the objective examination of the dispute.
(4) If necessary, the regulator may summon all participants in the matter or their representatives to a meeting at which the relevant dispute is being examined, and may take a decision on the resolution of the dispute without the presence of participants in the matter or their representatives.
[2 December 2004]
Section 34. Time Frame for Examination of Disputes
(1) The examination of a dispute shall begin within one month from the date of receipt of the relevant submission. The regulator shall notify participants in the matter of the initiation of examination of the dispute.
(2) The regulator shall evaluate the dispute on the basis of its substance and nature, determine the facts that are necessary in order to take a decision, and take a decision on the examination of the dispute in the following time periods:
1) within one month from the start of examination of the dispute if it is not complicated and if its examination does not require the collection and compilation of additional materials or information, the clarification of additional circumstances, or the receipt of expert opinion; or
2) within three months from the start of examination of the dispute if it is complicated and its examination requires the collection and compilation of additional materials or information, the clarification of additional circumstances, or the receipt of an expert opinion, as well as other actions necessary for a fair and objective examination of the dispute.
[2 December 2004]
Section 35. Taking and Appeal of Regulator Decisions
(1) A regulator shall take a decision with respect to the resolution of a dispute and shall determine the procedures and time periods for its resolution. Such decision by a regulator shall, within five working days from the taking of the decision, be forwarded to participants in the matter.
(2) A decision of a regulator with respect to a matter regarding resolution of a dispute may be appealed to a court, in accordance with procedures prescribed by law, within one month after its coming into effect.
(3) The implementation of a decision of a regulator shall be ensured in accordance with the procedures and time periods specified by the decision.
[2 December 2004]
Chapter VIII.
Composition and Activities of Regulators
Section 36. Composition of the Regulator
(1) The Regulator shall consist of a council composed of a chairperson and four members appointed in accordance with procedures prescribed by this Law, and an executive body which reports to the council and performs the functions of its secretariat and of experts in order to prepare questions and documents for examination at council meetings and to implement decisions taken and administrative instruments issued by the council.
(2) The executive body shall consist of an organisational unit appropriate for each regulated sectors, as well as other necessary organisational units.
(3) The Regulator shall establish the necessary regional organisational units, taking into account the territories of planning regions.
[2 December 2004; 11 June 2009]
Section 37. Candidates for Council Membership
In order to be appointed as council member, a candidate must be a citizen of the Republic of Latvia who has a relevant higher education, whose knowledge and experience ensures performance of the tasks set out in this Law and who complies with the requirements of the Law on Official Secrets must be fulfilled in order to receive a special permit for access to an official secret.
[11 June 2009]
Section 38. Restrictions for Council Members and Candidates
(1) Council members or candidates for such position may not be persons:
1) who are or have been participants (members) of organisations prohibited by the laws of the Republic of Latvia, by decisions of the Supreme Council or by court adjudication after the prohibition of such organisations;
2) who have been convicted of the commission of an intentional criminal offence;
3) who have previously committed a crime, but have been released from serving the sentence in connection with the expiration of a limitation period, amnesty or clemency;
4) against whom a criminal prosecution has been initiated for an intentional criminal offence; or
5) who have been recognised as non-complying with the requirements of the Law on Official Secrets which must be fulfilled in order to receive a special permit for access to an official secret.
(2) Restrictions for council members with respect to commercial activity, obtaining of income, combination of offices and performance of work, as well as other restrictions and duties associated with them, insofar as they are not set out in this Law, shall be determined by the Law On Prevention of Conflict of Interest in Activities of Public Officials.
(3) A council member may not be a member of the Saeima or a local government council or hold elected offices in the management of political organisations or parties.
(4) A council member, for three years after termination of the term of office as council member, may not be an owner, a stockholder or an employee of the provider of public utilities who is entitled to take decisions or act with the property or financial resources of the provider of public utilities with respect to which the council member has taken a decision.
[2 December 2004; 11 June 2009]
Section 39. Assuming Office as Council Member
A council member shall assume office and take up his or her duties of office starting with the date set when appointing him or her to office. A council member, upon his or her appointment to office until the date when he or she takes up his or her duties of office, shall satisfy all the restrictions prescribed by law with respect to council members.
Section 40. Dismissal or Removal from Office of Council Members
(1) A council member during his or her term of office shall not be removed, except in cases as set out in this Law.
(2) The Saeima, on the recommendation of the Cabinet, shall remove a council member from office prior to the expiry of his or her term of office only in the following cases:
1) an application for resignation from office has been received from the relevant person;
2) the relevant person due to illness or some other reason has been unable to perform his or her duties of office for more than six successive months; or
3) a restriction set out in Section 38 of this Law has been found to be or has become applicable.
Section 41. Chairperson of the Council
(1) The chairperson of the council shall also be a council member and shall be responsible for the performance of functions of the regulator set out in law.
(2) The chairperson shall:
1) manage and organise the work of the regulator and represent the regulator;
2) chair council meetings;
3) be a manager of the financial resources of the regulator and provide the council with quarterly information with respect to implementation of the budget; and
4) give direct instructions to employees of the executive body.
(3) During the absence of the chairperson, his or her duties shall be performed by a council member designated by the chairperson, but in the absence of such designation, by the council member previously designated by the chairperson.
(4) Specific duties of the chairperson may be performed by a council member designated by the chairperson.
(5) The chairperson has the right to issue instructions to council members only with respect to organisational matters pertaining to performance of the duties of office.
Section 42. Convening and Lawfulness of a Council Meeting
(1) Council meetings shall be convened and chaired by the chairperson.
(2) The chairperson shall convene a council meeting if at least three council members request it.
(3) The council is entitled to take decisions if at least three council members participate in the meeting.
(4) The time and agenda of a council meeting shall be announced according to procedures specified by the council.
(5) Copies of documents regarding questions to be examined at a council meeting shall be appended to the agenda.
(6) Minutes of council meetings shall be kept in writing. All council members who participated in the meeting shall sign the minutes of meetings.
[2 December 2004]
Section 43. Taking Council Decisions
(1) The council shall take decisions by voting and the chairperson shall sign the decisions.
(2) A decision shall be considered adopted if at least three council members have voted in favour of it.
(3) Voting shall be open and the results of the voting shall be recorded in the minutes, indicating the vote of each council member separately for each question examined at the meeting and with an entry for, against or abstains.
(4) When signing the minutes of a meeting, council members may record their views regarding the question under examination or make a note regarding the appending to the minutes of a written substantiation of their arguments.
Section 44. Organisation and Structure of the Work of the Regulator
(1) The council shall determine procedures for the organisation of the internal work of the Regulator and the structure of the executive body.
(2) The council shall approve the by-laws that regulate activities of the Regulator, work organisation of the executive body and procedures for the appointment of heads of units, and determine procedures for the preparation of drafts of decisions proposed for examination at a council meeting and other documents.
(3) [2 December 2004]
[10 May 2001; 2 December 2004; 11 June 2009]
Section 45. Restrictions on Providing Information
(1) A chairperson, members of the council and employees of the executive body, as well as persons invited to activities of a regulator, are prohibited from divulging information in public or in some other way, or divulging any other restricted information related to the performance of functions of the regulator that has in the course of performing the duties of their office become known to them regarding activities of the provider of public utilities or their commercial activities in general, with the exception of specific cases set out in regulatory enactments.
(2) Members of the council and employees of the executive body, as well as persons invited to activities of the regulator are only entitled to divulge information that has in the course of performing the duties of their office become known to them regarding activities of the provider of public utilities or their commercial activity in general if such information in accordance with the Freedom of Information Law is public.
[10 May 2001; 2 December 2004]
Izteikt 46.pantu šādā redakcijā:
Section 46. Remuneration of Council Members and Employees of the Executive Body
Remuneration of council members and employees of the executive body shall be determined in accordance with the Law On Remuneration of Officials and Employees of State and Local Government Authorities.
[2 December 2004; 11 June 2009; 1 December 2009]
Section 47. Legal Protection and Service Identification Documents of Council Members and Employees of the Executive Body
(1) Persons guilty of influencing council members or employees of the executive body or of preventing them from the exercise of their rights prescribed by law, of injuring their honour and dignity, or committing threats or violence against them or committing a threat to their life in connection with the performance of official duties shall be held liable in accordance with procedures prescribed by law.
(2) Council members and employees of the executive body shall have service identification documents which must be produced when performing official duties.
Transitional Provisions
1. The Cabinet shall by 1 July 2001:
1) determine the types of public utilities requiring regulation in State regulated sectors;
2) submit to the Saeima proposals regarding applicants for the office of council member of the Public Utilities Commission in accordance with procedures set out in Section 7 of this Law; and
3) issue the regulations provided for by this Law.
2. The Public Utilities Commission shall start its operation on 1 September 2001 and by 1 October 2001 shall take over the functions of public service regulation of the Energy Supply Regulatory Commission, the Railway Administration and the Ministry of Transport in relevant State regulated sectors.
3. By 1 October 2001, the Public Utilities Commission shall take over the regulation of telecommunications from the Telecommunications Tariffs Council and shall be the successor in interest in relations with the limited liability company Lattelekom. The Public Utilities Commission shall regulate telecommunications in accordance with the Law On Telecommunications, adopted on 4 May 1993, until the moment when the aforementioned law is repealed.
4. Until 1 June 2002 local governments shall ensure the establishment of public utility regulators or the entering into of an agreement with the Commission regarding the regulation of public utilities in the administrative territory of local governments. Until the establishment of a local government regulator or the entering into of an agreement, the functions of a local government regulator, except for the function specified in Section 9, Paragraph one, Clause 5 of this Law, shall be fulfilled by the relevant local government city council (parish or district council).
5. Licences, which have been issued by another authority or institution prior to the coming into force of this Law, shall remain in force until expiry of the term of the relevant licence.
6. Those tariffs, which in accordance with this Law shall be treated as public service tariffs but are determined in accordance with other regulatory enactments and are in effect on the day when this Law comes into force, shall remain in force until expiry of the term specified for such or until the moment when the public service tariffs determined in accordance with this Law come into effect.
7. Section 10, Paragraph four of this Law shall come into force after relevant amendments have been made to the Administrative Violations Code.
[27 September 2001]
8. The new revision of Section 2, Paragraph three, Clause 1 of this Law (regarding the right of local government regulator to regulate disposal of municipal waste in waste landfill sites and dumps) shall come into force on 1 January 2007.
[26 October 2006]
9. The tariff for municipal waste management, except processing of municipal waste, shall be regulated by a regulator of the relevant local government and this regulation shall apply to waste management agreement which have been entered into in the territory of Riga until 31 December 2006, but in the territories of other local governments - until 31 December 2007. The tariff in the territory of the relevant local government shall be regulated until a new agreement is entered into between the relevant local government and a merchant selected in accordance with the procedures set out in regulatory enactments regulating the public procurement which will perform collection, transportation, reloading and storage of municipal waste.
[26 October 2006]
10. If an application is submitted to a court regarding the administrative instrument on approval of the tariff issued by a local government regulator and thus the operation of such instrument is suspended in accordance with Section 185, Paragraph one of the Administrative Procedure Law, the operation of the relevant administrative instrument shall be renewed on 1 December 2006. After 1 December 2006 the operation of such administrative instrument may be asked to be suspended in accordance with the procedures specified in the law.
[26 October 2006]
11. In 2009 the remuneration (salary, bonuses, etc.) specified in accordance with this Law shall be determined pursuant the Law on Remuneration of Officials and Employees of State and Local Government Authorities in 2009.
[12 December 2008]
12. The Public Utilities Commission shall, by 31 December 2009, take over the regulation functions from local government regulators or local government city councils (county or parish councils) in relevant local government regulated sectors.
[11 June 2009]
13. The term of office of a chairperson of the local government regulator shall be in effect until 31 December 2009, but the term of office of council members until 31 October 2009 regardless of expiry of the specified term of office. Chairpersons of local government regulators shall transfer the matters related to regulation of public utilities to the Public Utilities Commission until 31 October 2009.
[11 June 2009]
14. By the day when the methodology in the sectors of energy, municipal waste management and water management issued by the Public Utilities Commission comes into force, the Cabinet Regulation No.281 of 26 June 2001, Tariff Calculation Methodology for Public Utilities in Local Government Regulated Sectors shall be applied.
[11 June 2009]
15. Licences, which a local government regulator has issued before coming into force of the amendments to the law regarding liquidation of local government regulators, shall be in force until the end of the term thereof.
[11 June 2009]
16. The Public Utilities Commission shall, by 31 October 2009, establish a consultative authority in accordance with Section 15.1 of this Law for representation of interests of local governments and exploration of opinions. The Latvian Association of Local and Regional Governments shall, by 31 August 2009, nominate the candidates for members of the consultative authority.
[11 June 2009]
17. If an application has been submitted to Administrative Regional Court regarding the administrative instrument of a regulator issued until 31 October 2009, a decision regarding the submitted application shall be taken, as well as the administrative matter shall be examined and the court adjudication in such matter shall be taken and appealed in accordance with the Administrative Procedure Law.
[11 June 2009]
18. Amendments to Section 37 and Section 38, Paragraph one, Clause 5 of this Law, which set out the requirements and determine restrictions for council members and their candidates in relation to the compliance with the Law on Official Secrets, shall not apply to those council members who have been appointed before coming into force of the relevant amendments.
[11 June 2009]
19. Local government city council (parish council) or county council which is a successor to the local government city council (parish council), local government institutions, finances, property and obligations shall, by 31 December 2009 upon establishing the liquidation commission of a local government regulator in accordance with the procedures specified in regulatory enactments, liquidate a local government regulator which regulates the provision of public utilities in the administrative territory of the relevant local government.
[11 June 2009]
20. If a local government regulator has been established by several local governments, the local government city councils (parish councils) or county councils, which are successors to the relevant local government city councils (parish councils), local government institutions, finances, property and obligations shall, prior to the liquidation, agree regarding conditions thereof.
[11 June 2009]
21. A liquidation commission of a local government regulator shall, by 31 December 2009, ensure that the audited report for 2009 of the relevant local government regulator and a closing balance sheet of the activity of the institution as of the condition on 31 October 2009 are prepared and submitted to the relevant local government city council (parish council). A chairperson and a chief accountant of the local government regulator shall be authorised to sign the audited report for 2009 of the relevant local government regulator and a closing balance sheet of the activity of the institution until 31 December 2009.
[11 June 2009]
22. The activity of the liquidation commission of a local government regulator shall be financed from the budget of the relevant local government regulator. The State fee for 2009 regarding regulation of public utilities in local government regulated sectors shall be paid in full amount into the budget of the relevant local government and assigned to the account of the local government regulator.
[11 June 2009]
23. The Cabinet shall, until 1 September 2009 pursuant to Section 9, Paragraph one, Clauses 10 and 11 of this Law, submit to the Saeima the relevant amendments to Energy Law and Law on Safety of Hydrotechnical Structures of Hydroelectric Power Stations.
[11 June 2009]
This Law shall come into force on 1 June 2001, but Section 7, Paragraph four and Sections 37 and 38, on 1 March 2001.
Note. This Law shall come into force on 15 July 2007.
[14 June 2007]
Note.1 This Law shall come into force on 1 January 2008.
[13 December 2007]
Note.2 This Law shall come into force at the same time as the Law on Remuneration of Officials and Employees of State and Local Government Authorities in 2009.
[12 December 2008]
Note.3 This Law shall come into force on 1 January 2010.
[1 December 2009]
This Law has been adopted by the Saeima on 19 October 2000.
President V. Vīķe-Freiberga
Rīga, 7 November 2000
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