OREANDA-NEWS. June 09, 2011. Arbitration Court of the Republic of Karachaevo-Cherkessia pronounced legitimacy and reasonableness of the decision and determination issued by the Office of the Federal Antimonopoly Service (FAS Russia) in the Republic of Karachaevo-Cherkessia (Karachaevo-Cherkessia OFAS Russia) regarding “Interregional Distribution Grid Company of North Caucasus” OJSC (“MRSK SK” OJSC), reported the press-centre of FAS Russia.

Earlier Karachaevo-Cherkessia OFAS Russia found that “MRSK SK” OJSC violated Clauses 5 and 9 Part 1 Article 10 of the Law “On Protection of Competition” and Articles 25 and 26 of the “Law on Electric Power Industry” and issued a determination to eliminate the violations.

The antimonopoly case was initiated upon a petition of “Distribution Grid Company” OJSC (“RSK” OJSC). The Commission of Karachaevo-Cherkessia OFAS Russia established that “MRSK SK” OJSC did not allow specialists to carry out a pre-project examination in order to modernize ASCUE (an automated system for commercial accounting of electric power) into AIIS KUE (an automated information and measurement system for commercial accounting of electric power), and prevented necessary arrangements that are mandatory for “RSK” OJSC.

Also “MRSK SK” OJSC unreasonably avoided signing the acts for delineation of balance sheet attribution of electric grids and operational responsibility of the parties and signing a contract for providing services for transmitting electric power. As a result of such actions, “MRSK SK” OJSC created obstacles for “Cherkessk Town Electric Grid” OJSC entering to the wholesale market of electric power and capacity.

“The reaction of “MRSK” of North Caucasus to the determination, issued by our OFAS to stop the antimonopoly violation, was expected. The company did everything to prevent another consumer appearing on the wholesale market of electric power and capacity that right away moves from a dependent operator to a competitor. By bringing “Cherkessk Town Electric Grid” OJSC to the wholesale market, first, we are stimulating competition on this market and, second, reducing prices for electric power”, explained the Head of Karachaevo-Cherkessia OFAS Russia, Amin Urakchiev.