Shanghai Baoshan Wanda Plaza was fined for violating the law by charging 2.745 million yuan in electricity charges at a higher price

Source: China Economic Network

China Economic Network Beijing, January 19, 2019 Recently, the Shanghai Baoshan District Market Supervision and Administration Bureau issued an administrative penalty decision (Shanghai Municipal Supervision and Treasure Department [2022] No. 132021001030). Shanghai Baoshan Wanda Plaza Commercial Management Co., Ltd. had illegal electricity prices, and the Baoshan District Market Supervision and Administration Bureau imposed a warning and a fine of 274,500 yuan on it.

It was found that the parties were the property managers of "Baoshan Wanda Plaza" and the main body of power supply. From January 2018 to April 2021, the electricity price of offshore power companies in overseas grids was higher than 1.17 yuan /degree (January 1, 2018 to February 28, 2019), 0.914 yuan /kWh (March 1, 2019 to May 31, 2019), 0.891 yuan / kWh (June 1, 2019 to October 30, 2020), and 0.772 yuan / degree (November 1, 2020 to April 30, 2021), respectively. The mark-up supplied power to all owners of the office building No. 1-4 of Baoshan Wanda Plaza, which was managed by a property in Shanghai. The average annual electricity price charged by the State Grid Offshore Power Company to the parties since January 2018 was 0.914 yuan / kWh in 2018, 0.76 yuan / kWh in 2019, 0.661 yuan / kWh in 2020, and 0.679 yuan / kWh in January to April 2021.

From January 2018 to April 2021, the parties overcharged the Shanghai branch of a property by a total of RMB2,745,200 in excess of electricity charges. After the inspection by law enforcement personnel, the parties carried out self-examination and self-correction of the charging of the power supply link according to the Municipal Market Supervision Bureau's cleaning and standardization of the power grid and the charging requirements of the power supply link, and actively reported to the Shanghai branch of a property, and agreed to refund the additional electricity charges of 2.7452 million yuan at the increased price.

The act of collecting electricity charges at an additional price violated the provisions of Article 44 of the Electricity Law of the People's Republic of China. The parties actively rectified the behavior of collecting electricity charges at a higher price and took the initiative to perform the refund obligation, and the Shanghai Baoshan District Market Supervision and Administration Bureau decided to impose a lighter punishment on the parties within the statutory range. According to the provisions of Article 66 of the Electricity Law of the People's Republic of China, in addition to ordering the return of the fees illegally collected, it was decided to impose the following penalties: first, a warning; second, a fine of RMB 20,000,000 yuan and a fine of 1,000 yuan.

Shanghai Baoshan Wanda Plaza Commercial Management Co., Ltd. is a wholly-owned subsidiary of Wanda Commercial Management Group Co., Ltd. Founded in 1988, Wanda Group has developed into a large-scale enterprise group mainly engaged in modern service industries, including commercial management group, cultural group and investment group.

Article 44 of the Electricity Law of the People's Republic of China stipulates that it is forbidden for any unit or individual to add other fees to the electricity bill; however, if otherwise provided by laws and administrative regulations, it shall be implemented in accordance with the provisions.

Where local governments raise funds to handle electricity for electricity use in addition to electricity charges, the people's governments of provinces, autonomous regions, and municipalities directly under the Central Government shall formulate measures in accordance with the relevant provisions of the State Council。

It is forbidden for power supply enterprises to collect other fees on behalf of other charges when collecting electricity charges。

Article 66 of the Electricity Law of the People's Republic of China stipulates: Whoever, in violation of the provisions of Articles 33, 43 and 44 of this Law, fails to charge users electricity charges in accordance with the records of electricity prices and electricity metering devices approved by the State, sets electricity prices beyond their authority, or adds other fees to the electricity charges, shall be given a warning by the competent administrative department for prices, order the return of the fees illegally collected, and may also be fined not more than five times the fees illegally collected;

The following is the original text:

Shanghai Baoshan District Market Supervision and Administration Bureau Administrative Punishment Decision

Shanghai Municipal Supervision and Treasure Office [2022] No. 132021001030

Party: Shanghai Baoshan Wanda Plaza Commercial Management Co., Ltd

Subject qualification license name: business license

Unified social credit code: 913101135741098225

Address: No. 1, Lane 988, 128 Memorial Road, Baoshan District, Shanghai

Legal representative: Wang Zhibin

Contact address: Room 701, No. 1, Lane 988, 128 Memorial Road, Baoshan District

On April 16, 2021, law enforcement officers conducted a special inspection of the transfer of power supply charges in Baoshan Wanda Plaza (No. 1, Lane 988, 128 Memorial Road, Baoshan District) where the parties were responsible for property management in accordance with the law. It was found that since January 2018, the parties were suspected of charging electricity charges at a higher electricity price increase than the electricity price of a foreign power grid offshore power company in the process of transferring power to the Shanghai branch of a Shenzhen Property Management Co., Ltd. (hereinafter referred to as the Shanghai branch of a property) to the Shanghai branch of a property management company in Baoshan Wanda Plaza. The Bureau investigates the parties' illegal acts by questioning the parties' entrusted persons, witnesses bystanders, and collecting documentary evidence.

It was found that the parties were the property managers of "Baoshan Wanda Plaza" and the main body of power supply. From January 2018 to April 2021, the electricity price of offshore power companies in the overseas network was higher than 1.17 yuan / degree (January 1, 2018 - February 28, 2019), 0.914 yuan / degree (March 1, 2019 - May 31, 2019), 0.891 yuan / degree (June 1, 2019 - October 30, 2020), 0.772 yuan / degree (November 1, 2020 - April 30, 2021), respectively. The mark-up supplied power to all owners of the office building No. 1-4 of Baoshan Wanda Plaza, which was managed by a property in Shanghai. The average annual electricity price charged by the State Grid Offshore Power Company to the parties since January 2018 was 0.914 yuan / kWh in 2018, 0.76 yuan / kWh in 2019, 0.661 yuan / kWh in 2020, and 0.679 yuan / kWh in January to April 2021.

From January 2018 to April 2021, the parties overcharged a total of RMB2,745,211.81 from the Shanghai branch of a property.

After the inspection of the law enforcement personnel, the parties carried out self-examination and self-correction of the charges for the transfer of power supply links in accordance with the requirements of the Municipal Market Supervision Bureau to clean up and standardize the power grid and the charging of the power supply link, and actively reported to the Shanghai branch of a property, and agreed to refund the additional electricity charges of 2745211.81 yuan.

The above facts are based on the transcript of the parties and witnesses, the High Voltage Power Supply and Consumption Contract signed between the parties and the State Grid Offshore Power Company, the parties' "Electricity Unit Price Schedule from January 2018 to April 2021 - Annual Average Electricity Price" and a copy of the electricity bill of the State Grid Offshore Power Company for the same period, a copy of the invoice paid by the party and the Shanghai branch of a property, and the monthly "Confirmation of the Number of Electricity Meters" between the parties and the Shanghai branch of a property from January 2018 to April 2021, Evidenced by the Agreement on the Refund of the Electricity Price Difference signed by the parties and the Shanghai branch of a property, the Calculation Instructions for the Refund of Electricity Charges in the Office Building of Baoshan Wanda Plaza, the transfer voucher of the bank returning the shanghai branch of a property of 2,745,211.81 yuan, and a copy of the party's business license, a copy of the legal person's ID card, a copy of the entrusted person's ID card, and a power of attorney.

On December 30, 2021, the Bureau served the parties with the Notice of Administrative Punishment Hearing (Shanghai Jianbao Hearing [2021] No. 132021001030) in accordance with the law, and the parties did not submit statements, defenses and requests to hold a hearing within the prescribed time.

The act of collecting electricity charges at an additional price by the parties violates Article 44 of the Electricity Law of the People's Republic of China, which prohibits any unit or individual from charging other fees to the electricity bill; however, if otherwise provided by laws or administrative regulations, it shall be implemented in accordance with the provisions.

The parties actively rectified the behavior of charging electricity charges at a higher price and took the initiative to perform the obligation of refund, and the Bureau decided to impose a lighter punishment on the parties within the statutory range.

According to Article 66 of the Electricity Law of the People's Republic of China, "Whoever, in violation of the provisions of Articles 33, 43 and 44 of this Law, fails to charge the user electricity charges in accordance with the records of the electricity prices and electricity metering devices approved by the State, sets the electricity prices beyond his authority, or adds other fees to the electricity charges, shall be given a warning by the competent administrative department for prices, ordered to return the fees illegally collected, and may also be fined not more than five times the fees illegally collected; The provisions, in addition to ordering the return of fees illegally collected, decide to impose the following penalties:

1. Warning;

2. Fine RMB 20,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,000,

The parties are hereby required to:

Carry this decision within 15 days from the date of receipt of this decision, and hand over the fine to the specific collection agency of the Industrial and Commercial Bank of China or China Construction Bank of this city. If the fine is not paid within the time limit, in accordance with the provisions of item 1 of the first paragraph of article 72 of the Administrative Punishment Law of the People's Republic of China, the Bureau may impose a fine of 3% of the amount of the fine every day.

If the parties are dissatisfied with this decision, they may apply for reconsideration to the Shanghai Baoshan District People's Government within 60 days of receiving this decision, and may also file an administrative lawsuit with the Pudong New Area People's Court within 6 months.

Where there is no application for administrative reconsideration or prosecution to the court within the time limit, and the administrative punishment decision is not performed, the Bureau may apply to the people's court for compulsory enforcement.

Shanghai Baoshan District Market Supervision and Administration Bureau

January 10, 2020