Notification on material event
Regarding the decision of AB Energijos Skirstymo Operatorius to refuse the appeal in court
Lietuvos Energija, UAB, (hereinafter – the Company) identification code 301844044, registered office placed at Žvejų str. 14, Vilnius, Republic of Lithuania. The total nominal value of issued bonds 600 000 000 EUR; ISIN codes XS1646530565; XS1853999313.
On 19 November 2018, the subsidiary of Lietuvos Energija, AB Energijos Skirstymo Operatorius (ESO) adopted a decision to appeal to Vilnius Regional Administrative Court regarding the Resolution No O3E-334 “On the recalculation of price cap limits for the distribution services by medium and low voltage grids of AB Energijos Skirstymo Operatorius for 2019” adopted by the National Commission for Energy Control and Prices (hereinafter – the Commission) on 17 October 2018 whereby the price cap limits for the ESO electricity distribution services were set for the year 2019.
Given the facts that during the period from the filing of the appeal with the court, the Commission provided an explanation that the LRAIC accounting model (long run average incremental costs) has been applied and will be applied in the future (regulatory environment has not changed), that the correction adapted by the Commission during the setting of electricity distribution price caps for 2019 will be evaluated in near future regulatory period, and that an independent auditor’s report was received on the ESO financial statements for 2018, the Board of ESO has adopted the decision to refuse the appeal.
More information: Arturas Ketlerius, Head of Corporate Communications of Lietuvos Energija +370 620 76076, email@example.com