Government and parliament agree on regulation of energy industry

The parliament and the government of Russia have reached a compromise onthe question of the distribution of rights to regulate the electrical power industry between regional and federal authorities. Russian EconomicDevelopment Minister German Gref gave this information to reporters after a meeting with Federation Council Deputy Speaker Valery Goreglyad. According to the minister, some authority in this industry will be transferred to regions of Russia on the condition that the process of making decisions will be strictly controlled by federal agencies, authorized to cancel or revise decisions made by regions. Gref pointed out that this decision applied to the regulation of retail margins for'guaranteeing' suppliers, the fee for transmission of electrical power through grids within a specific region, as well as the fee for heating. Additionally, the minister underlined that regions would appoint officials of the regulating agencies, but the appointments should be approved by the federal government. Goreglyad remarked for his part that it would be possible to recommend that the Duma give the respective bills their first reading on the condition that the trilateral conciliatory commission supports this solution at today's meeting.