ORDER FOR THE CONTINUATION OF ECONOMIC ACTIVITY BY AN ENERGY COMPANY IN THE SOCIAL INTEREST

Abstract

Article 40 of the Energy Law Act of 10 April 1997 provides for the possibility for the President of the Energy Regulatory Office to order the continuation of economic activity by an energy company despite the expiry of a license. This is a special regulation related to the need to ensure the continuity of supplies and protection of recipients of energy services when required by social interest. Therefore, this regulation provides for an exception to the principle of the freedom to undertake, perform, and terminate economic activity. The purpose of this article is to draw attention to the fact that the necessity to ensure the provision of energy services in a continuous manner means that the state imposes an obligation on energy companies to continue economic activity, at the same time not guaranteeing the entrepreneurs sufficient compensation in the form of appropriate remuneration for continuing the economic activity. Pursuant to the provisions of the Energy Law Act of 10 April 1997, an energy company is only entitled to loss coverage and only in the amount limited to the justified costs of the ordered activity.