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===== Limitations of State control ===== However, such a system has its drawbacks. Excessive government intervention can lead to: * Reduced efficiency: Bureaucratic procedures and restrictions in decision-making can slow down the work of enterprises and hinder the introduction of innovations. * Unreasonable expenses: Administrative barriers and inefficient management can lead to an increase in inappropriate expenses. * Limiting investments: The uncertainty of government policy and the risks of interference from akimats may deter potential investors. Resource efficiency: Despite these limitations, utilities within the framework of this system can demonstrate high efficiency in the use of labor resources and management costs.<ref name=":2" /> Residents of Kazakhstan receive water, sewerage and heating from companies recognized by the state as natural monopolies. This means that there is no competition in these areas, and tariffs are set by a special state body – the Committee for Regulation of Natural Monopolies, Competition and Consumer Protection (CRNM and CP).<ref>{{Cite web |title=О естественных монополиях - ИПС "Әділет" |url=https://adilet.zan.kz/rus/docs/Z980000272_ |access-date=2024-04-26 |website=adilet.zan.kz}}</ref><ref>{{Cite web |title=Об утверждении Положения о Комитете по регулированию естественных монополий, защите конкуренции и прав потребителей Министерства национальной экономики Республики Казахстан и признании утратившими силу некоторых приказов Министра национальной экономики Республики Казахстан - ИПС "Әділет" |url=https://adilet.zan.kz/rus/docs/G17NT000153 |access-date=2024-04-26 |website=adilet.zan.kz}}</ref> In order to ensure the smooth operation of public utilities, the state also controls the investment programs of monopolistic companies. This is handled by the Committee on Construction and Housing and Communal Services. Such a system allows you to regulate prices for utilities and direct investments to infrastructure development.<ref>{{Cite web |title=Об утверждении Положения республиканского государственного учреждения "Комитет по делам строительства и жилищно-коммунального хозяйства Министерства по инвестициям и развитию Республики Казахстан" - ИПС "Әділет" |url=https://adilet.zan.kz/rus/docs/G17IL000128 |access-date=2024-04-26 |website=adilet.zan.kz}}</ref> However, this system also has its disadvantages. For example, the lack of competition can lead to a decrease in the efficiency of monopolistic companies. To protect the interests of consumers from unjustified overpricing and substandard service, there are special regulatory bodies whose powers are regulated by the Law "On Natural Monopolies" and other regulatory acts. Main functions: * Investment promotion: Development of tariff calculation methods that are attractive to both consumers and private investors interested in investing in the modernization of public infrastructure.<ref>{{Cite web |title=Об утверждении Методики расчета тарифа с учетом стимулирующих методов тарифообразования - ИПС "Әділет" |url=https://adilet.zan.kz/rus/docs/V1700016212 |access-date=2024-04-26 |website=adilet.zan.kz}}</ref> * Control over the use of funds from IFIs: Determining the specifics of regulating the activities of natural monopolies that attract financing from international financial institutions (IFIs). This allows you to track the intended use of borrowed funds.<ref>{{Cite web |title=Об утверждении Особого порядка регулирования деятельности субъектов естественных монополий, привлекающих займы международных финансовых организаций и входящих в перечень субъектов естественных монополий, привлекающих займы международных финансовых организаций - ИПС "Әділет" |url=https://adilet.zan.kz/rus/docs/V1500012506 |access-date=2024-04-26 |website=adilet.zan.kz}}</ref> * Formation of a transparent tariff policy: Establishment of rules obliging monopolistic companies to publicly disclose information about tariffs, as well as infrastructure development plans.<ref>{{Cite web |title=Об утверждении Правил утверждения тарифов (цен, ставок сборов) и тарифных смет на регулируемые услуги (товары, работы) субъектов естественных монополий - ИПС "Әділет" |url=https://adilet.zan.kz/rus/docs/V1300008642 |access-date=2024-04-26 |website=adilet.zan.kz}}</ref> * Analysis of investment programs: Evaluation of investment programs of natural monopolies, approval of development plans and control over their implementation.<ref>{{Cite web |title=Об утверждении Правил утверждения инвестиционных программ (проектов) субъекта естественной монополии, их корректировки, а также проведения анализа информации об их исполнении - ИПС "Әділет" |url=https://adilet.zan.kz/rus/docs/V1400010459 |access-date=2024-04-26 |website=adilet.zan.kz}}</ref> Interaction at different levels: It is important to note that the powers to regulate the activities of natural monopolies are distributed between federal and local authorities. Effective coordination of their actions is necessary to ensure coordinated work and achieve common goals. As a result, the activities of the regulatory authorities of natural monopolies are aimed at ensuring a balance between the interests of consumers, utility companies and the state.
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