Commercial Quality of Service

Giorgi Pangani

Methodology and Quality of Service Department

10-14 September, 2012Kutaisi, Georgia

Georgian National Energy and Water Supply Regulatory Commission

GNERC was established in 1997;

First step towards “quality of service” was done in 2008;

1997 - 2008;

In 2008 GNERC has adopted normative act-decree N20 – Principles of Supply and Consumption of Electricity;

1. How to get connection to the electricity network,

2. How to become consumer and a.s.

In March 2009, GNERC makes a new regulation, which is dedicated to improving the commercial quality of services in the electricity sector – Decree N3 on “Adoption of Commercial Quality Indexes Monitoring Instructions of Electricity Distribution Licensee Service”;

Decree №9 on “Adoption of Customer Reliability Supply Indexes Monitoring Instructions of  Electricity Distribution Licensee Service”.

Decree N3service quality requirements

1 proven reply to consumers’ written notifications

not more than 2 weeks

2 inform consumers date and duration of electricity supply service planned interruption

not more than 3 working days

3 repair work – resumption of electricity supply service to a consumer disconnected due to unplanned interruption

not more than 6 hours for simple work; not more than 2 working days for complex work or, if the work requires planning documentation, time, defined by the proper documentation

consumer connection to the network (switching metering tools)

not more than 5 working days

consumer, disconnected due to unpaid bills, connection to the distribution network

not more than 6 hours after bill payment or drawing up payment portioning draft

accurate charged sum upon consumer’s request

not more than 5 working days after notification receiving

check voltage magnitude upon consumer’s request (dips to nominal voltage or transients)

visiting consumer, analyzing results and offering corrections in not more than 5 working days

check consumer’s metering devices upon his request (for example, counting of circling frequency)

not more than 2 working days after the notification was received

waiting to the reply of the operator of the contact – centre (call – centre) ( answering speed)

not more than 20 seconds

Goals and Objectives:

1. Transparency;

2. Improve investment and business environment;

3. Consumers' rights protection.

Biggest challenge for the GNERC in 2012 is the new Regulation of Commercial Quality of Service;

In the beginning of 2012 commission makes inspection of distribution company;

The inspection showed that information

provided by companies were not true.

GNERC is going to introduce the program, which will give the possibility to observe over everything in live;

Program will be able to recognize the violation of the requirements and calculate amount of compensation;

What is most important new decree will introduce new standards and requirements and first time there will be amount of compensation.

Although GNERC was all the time improving its decrees and regulations real breakthrough happened in November 2011:

Doing Business project : Georgia's aggregate ranking in 2011 which is measured

by 11 indicators was – 17; One of the indicators is - Getting electricity and by this

indicator our ranking was – 91.

GNERC have introduced a so-called "one - stop shop" principle:

New consumer has to fill application form which is adopted by the GNERC and pay half of the "capacity package" fee;

No additional documents are required;

Distribution company must respond on the application form in 5 days;

Everything including collection of permissions must be done by distribution company.

The company is obliged to provide for a new customer, the person to contact;

Distribution company has to finish connection in the right time, otherwise fee reduces on 50 percent.

If new consumer does not get the response within 5 days, although distribution company is already working on connection, new consumer can ask GNERC for reducing the connection fee on 50 percent;

Thank you