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Regulation of the electrical system in venezuela

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On the occasion of the repeal of the Electric Service Law (2001) it is necessary to update the role of the municipality in the regulatory text that replaced it.

The National Assembly issued the Organic Law of the Electric System and Service (LOSSEL, 2010), which aims to establish the provisions that will regulate the electric system and the provision of electric service in the national territory, as well as international energy exchanges, through the activities of generation, transmission, dispatch of the electrical system, distribution and commercialization, in accordance with the Development Plan of the National Electrical System and the National Economic and Social Development Plan.

The LOSSEL establishes the following premises for the provision of electrical service:

  1. Universal access to electricity service Reserve and domain of the State Socialist management model.

Like its predecessor, it establishes the notion of public utility and general interest, which becomes the reserve and domain of the State, by way of consequence.

To explain the socialist nature, it is argued in the LOSSEL that all activities of the National Electric System for the provision of the service will be carried out under the management model that is contemplated in the National Economic and Social Development Plan. The resources must be aimed at satisfying the electricity supply needs for the entire population, guaranteeing the leading and co-responsible participation of the workers of the operator and service provider, the users, as well as the organizations of the People's Power.

The so-called Electric System is made up of the governing body, that is, the National Executive through the Ministry of Popular Power for Electric Power; an operator and service provider through an entity called the National Electric Corporation (Corpoelec), which may create subsidiaries, for which the Organic Law of Public Administration (2008) must be consulted; the users and organizations of the so-called popular power.

LOSSEL assigns powers to the municipalities the following:

  1. Support the Ministry of People's Power with competence in electrical energy, in the control of the quality of electricity service in the territories that correspond to its jurisdiction Participate with the Ministry of Popular Power with competence in electrical energy, in planning for the provision of electricity service. Promote the organization of users, as well as guide the organizations of the Popular Power in the monitoring of the quality of the electricity service. Collaborate with the operator and service provider, as well as with the organizations of the Popular Power, in the improvement of the electrical service in its jurisdiction. Ensure adequate and timely attention to the user of the electrical service. Develop and execute training programs for users and organizations of the Popular Power,on the rational and efficient use of electrical energy. Issue and implement municipal regulations for the rational and efficient use of electrical energy.

This is important because the national legislator recognized the local autonomy envisaged, not only by the Constitution of the Bolivarian Republic of Venezuela (1999) and the Organic Law of Municipal Public Power (2010), since it refers to the latter in terms of services public where it exercises competencies concurrent with the national level; It specifically attributes what pertains to the provision and provision of those of the domiciliary type, among which is that of electricity.

LOSSEL establishes that citizen participation should be encouraged, mentioning the so-called popular power in the electricity sector, through community councils, technical energy tables, cooperatives, higher education institutions, research centers, workers of the operator and service provider, among others.

It also indicates that it will rely on community councils to carry out activities to control the quality of electricity service, as well as training, education and participation in programs for the rational and efficient use of electricity.

Up to now, it has been indicated that the communal councils are instances of support for the activities of inspection of the quality of the electrical service, as well as the training, education and participation in the programs for the rational and efficient use of the electrical energy.

In this regard, the Ministry of Popular Power for Electric Power issued a Resolution signed with No. 56, dated November 28, 2012, published in the Official Gazette of the Bolivarian Republic of Venezuela No. 40,065 dated December 5, 2012, containing of the Norms for the Communal Inspection of the Electric Service, in terms of its configuration and operation, training and certification as communal prosecutors by spokesmen for communal councils and other organizations of the so-called popular power.

This is done through a communal inspection system, made up of a communal integration council for the supervision of the quality of the electricity service and by a regional council for the supervision of the quality of the electricity service, whose decisions are binding.

The territorial area of ​​action where they can carry out their actions is limited to the territorial scope of the communal council, commune or the organization to which they belong, being able to do so on supply points, public lighting, quality of electricity service, substations, media networks and low voltage, new facilities and those set by the governing body.

From a national tax perspective, an exemption from taxes, fees or contributions is established for the operator, service provider and users, when community organizations are entrusted with activities of reading and delivering invoices or account statements and other notifications associated with marketing.. It is necessary to clarify that it cannot be extended to states and municipalities for the sake of the autonomy they enjoy from the Constitution of the Bolivarian Republic of Venezuela.

However, the national legislator insists on waiving the payment of national, state or municipal taxes for the activities of generation, transmission, dispatch of the electrical system, distribution and commercialization will not be subject to the payment of national, state and municipal taxes.

As a special organization of popular power for the public sector, they create the so-called Technical Energy Tables, which have the responsibility of participating in the planning for the provision of electricity service in their communities, for which the operator and service provider must assist them in the definition of the characteristics and technical specifications required for the development of projects related to your needs.

One of the relevant aspects for the municipalities has to do with public lighting, as it belongs to local life; In this sense, the Organic Law of the Electric System and Service (LOSSEL, 2010) establishes that it is part of the distribution activity and consists of the supply of electrical energy for lighting in areas of public domain and access, and other spaces of free movement.

The operator and service provider, without prejudice to the powers attributed to the municipalities, will carry out the investment for the construction, acquisition of equipment, operation and maintenance of public lighting installations incorporating efficient technology, throughout the national territory.

Regarding the inspection, it establishes that the governing body will coordinate with the Municipalities, in their respective jurisdictions, those necessary to ensure the provision of the public lighting service, under the principles established in this Law.

Regulation of the electrical system in venezuela