Refund of amounts unduly paid from Energo Pro Mreji Jsc.

04.11.2016

In the beginning of 2016 Ilieva, Voutcheva and Co. Law Firm advised its client, a project company in the renewable energy sector, on its options for collection of amounts paid unduly to Energo Pro Mreji Jsc. by the client. The company executed a power purchase agreement with the licensed electro distribution company for 20 years on fixed prices and a grid connection agreement. In September 2012 the State Energy and Water Regulation Commission (SEWRC) adopted a resolution for defining of temporary prices for access to the grid. Later on in 2013 the resolution of SEWRC was cancelled by the Supreme Administrative Court, but in the meantime the project company was charged and paid for the use of the grid on the basis of the resolution of SEWRC. Many of the producers of electricity initiated court cases in order to collect the undue payments made, but the resolutions of the courts were contradictional until the end of 2015 when the Supreme Court adopted a resolution stating that such payments are undue and they should be repaid to the companies for distribution of electricity. Following closely the development of the matter we advised our client to undertake measures for collection of the debt in the light of the latest court practice which increased considerably the chances for success of such court case. We submitted a notary invitation for collection of the debt and we filed a claim with the court. The payments were repaid voluntary to our client shortly after that. The legal challenge of the case is result of the combination of the administrative and civil regulations.

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