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Kazakhstan approves amendments on EAEU common electricity market

19 января 2022
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Deputies of the Majilis (Lower Chamber) of the Parliament of Kazakhstan at the plenary session approved the ratification of the protocol on amendments to the Treaty on the Eurasian Economic Union (EAEU), dedicated to the formation of a common electricity market (CEM) of the Union.

"The purpose of the protocol is to create a common electricity market of the Eurasian Economic Union by integrating the national electricity markets of Armenia, Belarus, Kazakhstan, Kyrgyzstan and Russia, while maintaining a balance of economic interests of producers and consumers of electricity, as well as other subjects of the Union's CEM," the committee concludes. on ecology and nature management of the chamber.

As Minister of Energy of Kazakhstan Bolat Akchulakov informed, presenting the bill to deputies, the parties agreed to cooperate on the basis of equality, mutual benefit and not causing economic damage to any of the member states when creating the CEM. In addition, the parties intend to prioritize the use of mechanisms based on market relations and fair competition.

"The formation of a common market of the Union opens up opportunities for economic entities of the member states to trade electricity among themselves within the framework of concluded agreements", the minister said.

According to him, it is planned to create a mechanism for settling hourly deviations of actual electricity supplies from planned values, which will increase the responsibility for compliance with the agreed schedules.

"The effect of the creation of the electricity market will be expressed in an increase in the efficiency of the use of generating and transmission capacities, an increase in the volume of mutual and foreign trade in electricity. It is also expected that competition among power-producing organizations will increase", he concluded.

The draft law approved by the Mazhilis was sent for further consideration to the Senate (Upper Chamber) of the Parliament.

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