Price Formation in the Heat Supply Sphere as a Measure to Balance the Private and Public Interests

Two ways of applying price formation as a means of legal regulation of the heat supply sector are analyzed. They are free pricing in price zones with the restriction of the maximum price of the final product – thermal energy being sold to consumers, and the traditional government regulation of prices in other territories. It is concluded that the previous legal mechanism of government price setting ensured the sufficient degree of interests of entities of the heat supply sector. The newly introduced opposite approach to pricing in its liberalization substantially infringes the balance of private and public interests throughout the exclusion of the government tariff regulation of subjects of monopolistic activity.