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REN will write off 1 billion soums of the telecom company’s debt for an error in connecting meters

REN incorrectly connected the meters and accrued a fictitious debt for 3 years. The technical error is stipulated in the new rules, but was absent in the old ones.

Why is this important

The REN error created a fictitious debt of 1.097 billion ($91,000) over 3 years. Incorrect connection of meters is a systemic problem that affects thousands of consumers. The committee’s decision is a precedent for protecting business rights. Referring the case to law enforcement agencies can lead to the prosecution of the guilty employees.

What happened

  • The telecom company filed a complaint with the REN for unjustified accrual of 1+ billion;
  • The inspection revealed: the REN incorrectly connected the secondary circuits of the meters;
  • For 3 years, fictitious debt amounted to 1.097 billion;
  • A case has been initiated, the debt has been written off;
  • The materials were sent to law enforcement agencies.

Error essence

The REN, during installation, incorrectly switched the secondary circuits — wires — between the current transformer and the meter. The meter exaggerated consumption, accumulating fictitious debt of 1.097 billion soums over 3 years.

Legal aspect

  • New rules: the technical error of the REN releases the consumer from liability.
  • Old rules: they didn’t provide for this, allowing electrical networks to shift the blame.
  • Sub-consumer meter: The charges did not take into account the readings of the company’s correctly connected internal meter.

Committee decision

A case has been initiated under the law “On Competition”. Prescribed:

  • 1.097 billion soums to be written off;
  • To eliminate violations;
  • Send materials to law enforcement agencies.

The REN can appeal through the Appeals Council or the court.

Context

Incorrect connection of counters is not an isolated case. Low qualification of electricians, lack of quality control, negligence lead to mass errors. The committee’s decision signals: businesses can appeal the unjustified accrual of REN through regulatory bodies.

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