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  • Senate adopts amendments to the legislation on gas supply and railway transport

Senate adopts amendments to the legislation on gas supply and railway transport

27 December, 2019 09:43

At the Senate meeting, amendments to the legislation on subsoil use, gas and gas supply have been considered in the second reading, Staretgy2050.kz informs with reference to the Senate press service.

According to Senator Manap Kubenov the bill is aimed at attracting investment in the economy and the development of petrochemical production with high added value and significant multiplier effect.

At the same time, in order to ensure uninterrupted gas supply in the domestic market, as well as a stable gas price level, the marginal price of commercial gas for new strategically important investment projects under the bill will be formed from the cost of gas supply and the minimum rate of return of the National Gas and Gas Supply Operator ("KazTransGas").

To attract investment in the construction of power plants using commercial gas as fuel for the production of electric energy, it is proposed to establish an acceptable gas price for the long term (up to ten years).

In addition, changes are being made to the mechanism for holding an auction for the provision of subsoil use rights for hydrocarbons. With the adoption of the bill, auctions will be conducted by the operator in electronic form.

The recognition of the winner of the auction is retained by the commission.

The activities of the Electronic Auction Operator are also regulated. Having considered the document in the second reading, the senators adopted amendments to the legislation on subsoil use, gas and gas supply. The Senators also adopted amendments to the legislation on issues of railway transport.

Senator Erik Sultanov, in his report, noted that the document supplements the powers of state bodies to develop and approve regulatory legal acts in terms of improving and increasing the transparency of tariff formation, subsidizing and protecting the rights of consumers of access roads services.

The document provides for the toughening of administrative responsibility for the resale of travel documents and non-provision of traffic safety in railway transport.