Publication date: 11.07.2024
The procedure for obtaining a licence to provide public utilities
The provision of public utilities is one of the most important areas of life, providing the population with heat, water, electricity, gas and other necessary resources. To ensure high standards of quality and reliability of these services, the state sets strict requirements for their suppliers, including a mandatory licence to carry out the relevant activities. In this article, we will review the procedure for obtaining a utility services licence in Ukraine, the regulatory framework, key requirements for applicants, the stages of the licensing process and possible consequences of non-compliance with the licence conditions.
Legal and regulatory framework
The licensing process for public utilities in Ukraine is regulated by a number of legal acts, including:
TheLaw of Ukraine "On Licensing of Economic Activities":
- Defines the general legal framework for licensing of economic activities, establishes the list of activities subject to licensing, the procedure for obtaining a licence and requirements for licensees.
Law of Ukraine "On Housing and Communal Services":
- Defines the legal, organisational and economic framework for the provision of housing and communal services, sets out requirements for their providers, and the licensing procedure for activities in this area.
Law of Ukraine "On Electricity":
- Regulates the licensing of activities in the field of electricity generation, transmission, supply and use.
Law of Ukraine "On the Natural Gas Market":
- Defines the legal framework for the functioning of the natural gas market, sets requirements for market participants and the procedure for licensing natural gas supply activities.
Resolutions of the Cabinet of Ministers of Ukraine and other bylaws:
- Regulate certain aspects of the licensing of public utilities, define specific requirements for applicants and the procedure for submitting documents.
Main requirements for applicants
In order to obtain a utility licence, a business entity must meet a number of requirements set out in the legislation. The main requirements include:
Registration of a legal entity:
- The applicant must be registered as a legal entity in accordance with the laws of Ukraine.
Compliance with the material and technical base:
- The business entity must have the necessary material and technical base for the provision of public utilities, including production facilities, equipment, vehicles, etc.
Qualification of staff:
- The business entity must have qualified employees who have the necessary knowledge and experience to carry out the relevant activities. The staff must have the appropriate education, training and certificates.
Financial solvency:
- The applicant must confirm its financial capacity to carry out the activities of providing public utilities, including the availability of the necessary financial resources to maintain and develop the material and technical base.
No criminal record:
- The managers and employees of the business entity must not have any convictions for serious crimes, crimes against life and health, as well as other crimes provided for by law.
Licensing procedure
The procedure for obtaining a utility services licence includes several main stages:
Preparation of documents:
- The applicant must prepare a package of documents required to obtain a licence. This package includes:
- Application for a licence in the prescribed form.
- Copies of constituent documents (for legal entities).
- A copy of the state registration certificate.
- Documents confirming the availability of the material and technical base.
- Qualification documents of employees.
- Financial statements and other documents confirming financial solvency.
- A certificate of no criminal record for managers and employees.
- Application for a licence in the prescribed form.
Submission of anapplication to the licensing authority:
- The application together with the package of documents is submitted to the relevant licensing authority (e.g., the National Energy and Utilities Regulatory Commission). The documents may be submitted in person, by mail or electronically through specialised portals.
Consideration of theapplication by the licensing authority:
- The licensing authority reviews the application and checks the submitted documents for compliance with the legal requirements. If necessary, additional checks or requests to other authorities may be made.
Making a decision on granting a licence:
- Based on the review of the application and verification of the documents, the licensing authority makes a decision to grant or refuse a licence. In case of refusal, the applicant has the right to receive a reasoned response stating the reasons for the refusal.
Issuance of the licence:
- In case of a positive decision, the licensing authority issues a licence for the provision of public utilities to the applicant. The licence may be issued in paper or electronic form.
Peculiarities of licensing certain types of public utilities
Licensing of different types of public utilities has its own peculiarities, depending on the specifics of the services and the requirements of the law:
Districtheating licence:
- A district heating licence is issued to district heating companies that provide heat to buildings. The requirements to the material and technical base, staff qualifications and financial solvency are determined by the relevant regulations.
Licence to supply cold and hot water:
- A water supply licence is issued to water supply companies that provide cold and hot water to buildings. Particular attention is paid to the quality of water, the technical condition of water supply networks and the availability of appropriate equipment.
Wastewaterlicence:
- A wastewater licence is issued to companies that provide wastewater disposal and treatment. Requirements to the material and technical base include the availability of treatment facilities, wastewater collection and transportation systems.
Electricitysupply licence:
- The Electricity Supply Licence is issued to companies that supply electricity to consumers. Particular attention is paid to the stability of supply, the technical condition of power grids and the compliance of equipment with safety standards.
Gas supply licence:
- A gas supply licence is issued to companies that supply natural gas to consumers. The requirements for licensees include certified gas supply systems, personnel qualifications and compliance of equipment with the requirements of the law. Legal marketplace "CONSULTANT" will help you solve any problem! All the necessary services at any time: analysis of documents, legal analysis of the situation, legal analysis of the situation, written advice, verification of documents by a lawyer, legal analysis of documents, legal opinion of a lawyer, legal opinion of a lawyer, legal analysis. Are you looking for an online lawyer or a lawyer online? Choose CONSULTANT - a lawyer is always at your side!
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