The Regulatory Office for Network Industries performs a number of regulations, but the most visible ones cover:
- price regulation,
- subject regulation.
The price regulation is a dominant activity of the Office. Its aims, priorities, scope and methods of performance are transformed into the Office executive documents in the form of Decrees and individually administrative acts- decisions. Via these instruments, the Office creates the regulatory framework and appropriate conditions for the formation of a transparent and non-discriminatory market environment with the regulated entities having sufficient space to cover their costs and to create an adequate profit. The Office also adopts measures guaranteeing the consumers with secure and reliable supply provision for fair prices.
The basic principle of price regulation approved or determined by the Office as for the regulatory period of 2012-2016 is applied by the price cap method.
The price regulation proceeding is initiated by delivering a price proposal for electricity, gas, heat, potable water and waste water and the related regulated activities to the Office from a regulated entity, or the Office initiates the proceedings upon its own initiative. In the course of price proceeding, the Office approves or determines price for the regulated entity, and thus by issuing a price decision. The regulated entity is allowed to put an appeal against the Office decision. The term for submission an appeal against the decisions issued within the price proceeding, is 40 days from the notification date.
The decisions are the final stage also for other Office activities covering the less-known subject regulation, and thus in line with §13 of Act on regulation in network industries (pdf). Besides a number of other decision-making activities, these cover mainly:
- licenses for regulated activities performance,
- issuing of pre- agreements,
- operational Orders approvals,
- issuing the confirmations on electricity origin, etc.