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Economy 2019-09-15T04:11:03+03:00
Ukrainian news
Constitutional Court Declares Creation Of Energy Commission Unconstitutional

Constitutional Court Declares Creation Of Energy Commission Unconstitutional

The Constitutional Court has declared the creation of the National Commission on State Regulation of Energy and Utility Services (the Energy Commission) unconstitutional.

The relevant decision of the Constitutional Court is published on the court’s website, Ukrainian News Agency reports.

According to the decision, 46 parliamentarians petitioned the Constitutional Court to declare the law “On the National Commission on State Regulation of Energy and Utility Services” dated September 22, 2016, unconstitutional.

The Constitutional Court ruled that the creation of a permanent independent state body that is similar to a central executive government agency but not subordinate to the Cabinet of Ministers and is not considered an executive government agency is inconsistent with the Ukrainian Constitution of Ukraine.

Besides, according to the Law on the National Commission on State Regulation of Energy and Utility Services, the president of Ukraine has the authority to appoint and dismiss members of the commission. However, according to the Constitutional Court, the Ukrainian Constitution does not provide for such powers and these powers fall outside the constitutional authority of the parliament and the president of Ukraine.

According to the court ruling, the Ukrainian constitution allows creation of a state agency for regulating, monitoring, and overseeing the operations of economic entities in the energy and utility industries. According to the Constitution, such an agency can be established by the Cabinet of Ministers.

As Ukrainian News Agency earlier reported, then-President Petro Poroshenko signed the law on the National Commission on State Regulation of Energy and Utility Services in November 2016.

The Energy Commission performs state regulation of natural monopolies in the electricity, district heating, oil and gas, and centralized water and wastewater industries. It also implements price and tariff policy in these industries.

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