PRESIDENT OF RUSSIA SIGNED THE LAW ON FORCED SALE OF THE SHARES OF ELECTRIC POWER COMPANIES

The document will affect companies that illegally combine natural monopoly and competitive activities

The law empowers the FAS Russia to apply to the court with a demand for the forced sale of shares of companies that continue to illegally combine. For example, when an organization carries out energy sales activities together with the transmission of electricity.

Previously, the Service had the authority to file a lawsuit in court only for the forced sale of company property, not shares.

The amendments will enter into force on January 1, 2030. The Service will be endowed with a full range of powers to monitor compliance with the prohibition on combining natural monopoly and competitive activities.

Shares that are subject to the forced sale can only be transferred based on the results of an open auction**.

Reference:

* Federal Law "On Amendments to the Article 6 of the Federal Law "On the Specifics of the Functioning of the Electric Power Industry and on Amendments to Certain Legislative Acts of the Russian Federation and the Invalidation of Certain Legislative Acts of the Russian Federation in Connection with the Adoption of the Federal Law "On Electric Power Industry"

** Resolution of the Government of the Russian Federation of October 21, 2013
No. 938