The main peculiarity of the new retail pricing is that the pricing system is synchronized with liberalization of wholesale prices. This means that electricity volumes will be partially supplied at regulated prices, and partially – at prices that reflect cost of electricity in the competitive wholesale electricity market within the limits of threshold levels of unregulated prices.
During the transition period the whole of electricity volumes actually consumed will be delivered to the population at regulated prices.
Market price is calculated in the following way: the competitive wholesale price plus capacity payment and the cost of regulated services, tariffs for which are and will be set by state authorities. The cost of regulated services may be calculated as the difference between the end tariff fixed for your group of consumers and the cost of electricity (capacity) included in the tariff.
Threshold levels of unregulated prices are calculated using a special formula, which is specified in the Rules, proceeding from the information on the average cost of one unit of electric power (1 KWh) in the wholesale market (as of the last month) monthly published by NP ATS, taking into account regulated tariffs for transmission and infrastructure services and the sales markup.
This will help to stimulate a supplier of last resort to reduce his expenses for the purchase of electric power in the wholesale market and to protect electricity consumers from careless pricing policy.
Power sales (retailing) organizations that aren't delivering electricity to the population have the right to deliver it at agreed prices. Besides, electricity consumers that conclude voluntary contracts with such retailing companies always have an opportunity to appraise the suggested electricity price – they may compare it with the cost of electricity supplies set by a supplier of last resort.
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