KIAP Successful in Defending Interests of Oboronenergosbyt in the Supreme Commercial Court of the Russian Federation
On July 20, 2012, the Supreme Commercial Court of the Russian Federation refused to uphold demands of OAO Kolskaya Energy Retail Company, which had contested the norm under Ruling No. 1179 of the Government of the Russian Federation dated 12/29/2011, which sets a procedure for settlements between the claimant or other guarantee-basis suppliers and OAO Oboronenergosbyt. On stages of development of the legal position and during the case hearings the interests of Oboronenergosbyt were represented by Aleхander Borouhin, the Head of Energy and Utilities Practice and partner Ilya Ischuk.
During the court sessions in the Supreme Commercial Court of the Russian Federation we have successfully upheld that the contested norm is in compliance with the law and general principles of electrical power industry regulations, having thereby prevented a revision of the methods for settlements currently in place on the retail markets, which would have led to increased electrical energy costs for consumers of OAO Oboronenergosbyt. The ruling on this case will also certainly carry a precedent setting potential in the process of setting framework and identifying possible forms for government regulations in the energy industry, on similar disputes.