OREANDA-NEWS. February 29, 2012. The 16th Arbitration Appeal Court agreed with the conclusions of the Court of First Instance and confirmed validity of the decision of the Office of the Federal Antimonopoly Service in the Republic of Dagestan (Dagestan OFAS Russia) regarding the Tariff Service of the Republic of Dagestan (RST), reported the press-centre of FAS Russia.

In August 2011, Dagestan OFAS Russia found that RST violated Part 1 Article 15 of the Federal Law “On Protection of Competition”. RST violated the law by failing to bring normative legal acts regulating the fee for technological connection of energy-receiving devices to electric mains of network organizations in compliance with the Federal Law “On Electric Power Industry”.

РСТ disagreed with the conclusions of Dagestan OFAS Russia and filed a lawsuit to Dagestan Arbitration Court, that confirmed legitimacy of the decision of Dagestan OFAS Russia, and dismissed the claim of RTS.

RTS disagreed with the Court decision and filed a lawsuit to the 16th Arbitration Appeal Court that supported the conclusions of Dagestan Arbitration Court and dismissed the claim of RTS.

“Regulatory acts of the authorities of the constituent territories of the Russian Federation must comply with the federal law. In the part of compliance with the Federal Law “On Protection of Competition”, in future our Office will continue suppressing all possible violations, particularly, when regulatory acts are not in line with the federal law”, said the Head of Dagestan OFAS Russia, Kurban Kubasaev.

Reference:

Part 1 Article 15 of the Federal Law “On Protection of Competition” prohibits federal executive bodies, the authorities, local self-government bodies, other bodies exercising the functions of the above bodies, taking part in providing state and municipal services, as well as state extra-budgetary funds, the Central Bank of the Russian Federation to pass acts and (or) exercise actions (omissions) that lead to can lead to preventing , restricting, eliminating competition.