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Regulatory Alert – June 2023

ALERT - REGULATORY

Approval of the “Procedure for the Qualification of Requests for Exclusion of Interruptions of the Electric Service for the Calculation of Compensations”

 

On June 26, 2023, OSINERGMIN Resolution Nº 124-2023-OS/CD was published approving the “Procedure for the Qualification of Requests for Exclusion of Interruptions of the Electric Service for the Calculation of Compensations” (“Procedure”), which will enter into force on July 12 of the current year.

The Procedure is of binding application to generators, transmitters and distributors for the exclusion of electric service interruptions for the calculation of compensations in accordance with the provisions of the Technical Standard of Quality of Electric Services (Supreme Decree N° 020-97-EM); the Technical Standard of Quality of Rural Electric Services (Directorial Resolution Nº 016-2008-EM/DGE); and, Article 87 of the Law of Electric Concessions (Decree Law Nº 25844). To this end, this Procedure establishes criteria for the attention of requests for (i) qualification of force majeure for unscheduled electric service interruptions; or, (ii) exoneration of compensation for scheduled electric service interruptions.

The Procedure consists of three (03) Titles and three (03) annexes. Title I contains general provisions such as the verification and evaluation of the evidentiary documentation, the competence to resolve the applications, the filing of administrative appeals, among others. The annexes indicate the content of the Technical Report that must accompany the applications.

Title II addresses the procedure for the qualification of force majeure for unscheduled power service interruptions, which requires, as previous steps: the communication of the interruption and the request for qualification of Force Majeure before the OSINERGMIN. In addition, the deadlines for submitting the request and issuing a pronouncement are established, as well as the evidentiary documentation that must accompany the request and the grounds for the inappropriateness and denial of the request.

Title III deals with the procedure for the exoneration of compensation for programmed interruptions of electric service. In addition to establishing the deadlines and the grounds for inappropriateness and denial, the three (03) reasons for requesting exoneration of compensation are determined: (i) expansion or reinforcement of existing facilities; (ii) execution of large-scale and/or public interest works in other sectors; and, (iii) execution of works within the process of expanding the electric frontier in rural areas, isolated and border localities of the country, within the scope of the General Law of Rural Electrification.

The Procedure will apply to all applications submitted as of July 12, 2023, while pending applications submitted under the provisions of the procedures approved in Resolutions Nº 010-2004-OS/CD and 106-2010-OS/CD are governed by their own provisions.

For further information, please contact Veronica Sattler (vsattler@estudiorodrigo.com) and/or Margarett Matos (mmatos@estudiorodrigo.com).