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Ease of Doing Business in

Lithuania

Lithuania Download Profile (1756.7KB, pdf)
Region Europe & Central Asia
Income Category High income
Population 2,910,199
GNI Per Capita (US$) 15,000
City covered Vilnius

190

1

DB 2017 Rank

1

100

DB 2017 DTF (% points)

  • local_library
  • group
Topics DB 2017 Rank DB 2016 Rank info_outline Change in Rank DB 2017 DTF (% points) info_outline DB 2016 DTF (% points) info_outline Change in DTF (% points) info_outline
Overall 21 21
0
78.84 78.60 down
0.24
Starting a Business 29 28 down
1
92.99 92.94 up
0.05
Dealing with Construction Permits 16 15 down
1
80.44 80.43 up
0.01
Getting Electricity 55 58 up
3
80.08 78.97 up
1.11
Registering Property 2 2
-
92.93 92.93
-
Getting Credit 32 29 down
3
70.00 70.00
-
Protecting Minority Investors 51 48 down
3
61.67 61.67
-
Paying Taxes 27 29 up
2
85.44 85.46 down
0.02
Trading across Borders 19 19
-
97.70 97.70
-
Enforcing Contracts 6 5 down
1
77.88 77.88
-
Resolving Insolvency 66 68 up
2
49.23 48.06 up
1.17

Positive= Doing Business reform making it easier to do business.Negative= Change making it more difficult to do business.

DB 2017 Rank:

55

DB 2016 Rank:

58

Change in Rank:

up3

DB 2017 DTF (% points):

80.08

DB 2016 DTF (% points):

78.97

Change in DTF (% points):

up1.11

STANDARDIZED CONNECTION
Price of electricity (US cents per kWh) 10.7
Name of utility AB Lesto
City Vilnius
Indicator Lithuania Europe & Central Asia OECD high income
Procedures (number) info_outline 6 5.6 4.8
Time (days) info_outline 85 112.3 76.2
Cost (% of income per capita) info_outline 43.7 375.5 62.5
Reliability of supply and transparency of tariff index (0-8) info_outline 8 5.2 7.5
  • Measure of efficiency
    No. Procedure Time to Complete Associated Costs
    1

    Submit application to AB Lesto and receive estimate and technical conditions

    Agency: AB ESO

    The customer submits an application for a connection to the utility. The utility issues technical conditions and estimate of costs.

    7 calendar days EUR 0
    2

    Obtain design of external works and its approval

    Agency: Project design firm or AB ESO

    Customer can now chose either to prepare the design of external works by hiring a private design company and having the design approved by the utility (AB ESO) and Project Examination Department of Municipality, or hire the utility to both prepare and have the design approved.
    When approving the project the utility coordinates with water, gas and other companies.

    30 calendar days EUR 1,448.1
    3

    Sign connection service agreement with AB ESO and await completion of external works

    Agency: AB Lesto

    The estimate has to be paid via bank transfer to the AB LESTO account. The customer signs the Connection Service Agreement and in the Agreement the Utility describes the payment schedule that the customer must follow. The utility is responsible for the design of the external connection and for the physical works. Material is available and the customer does not have to buy material.
    After the customer signs connection service agreement and pays connection service fee, AB LESTO holds a tender to select a subcontracting company to carry out external works and installation of electrical equipment.

    45 calendar days EUR 3,925.8
    * 4

    Obtain internal wiring inspection and certificate from State Energy Inspection

    Agency: State Energy Inspection

    An internal inspection can be done in parallel with AB Lesto works (the external connection works). The customer must apply to the State Energy Inspection, a Division of the Ministry of Economy, and request a Certificate of Completion. The customer can request the internal inspection already when the Construction Permit is obtained. The internal wiring is the responsibility of the customer and someone from the customer's party is requested to be present during the inspection. The State Inspection examines the constructed warehouse and its documentation and signs the certificate “Completion of Works”.

    18 calendar days EUR 0
    * 5

    Sign supply contract with electricity retailer

    Agency: Electricity supplier

    The agreement with an electricity supplier is signed.
    Regulation requires that consumer who enters energy sale–purchase agreement for the first time should provide notice to the distribution operator about preferred supplier before connecting the facilities to the power grid, but no later than the electric meter installation date.

    2 calendar days EUR 0
    6

    Obtain installation and opening of meter by AB ESO

    Agency: AB Lesto

    The meter is installed after the electricity supply agreement has been signed and after the utility receives the Certificate from the State Energy Inspection which indicates that the internal wiring is successfully completed and that the utility works up to the meter are completed as well. The meter is installed by AB Lesto and by the same department that is doing the connection works. There is also an inspection done of the utility’s external connection work by the State Energy Inspection. The utility independently requests the State Energy Inspection to inspect the utility work (external inspection). This is the sole responsibility of the utility and the customer does not have to be present.

    3 calendar days EUR 0

    * Takes place simultaneously with previous procedure.

  • Measure of quality
    Answer
    Reliability of supply and transparency of tariff index (0-8)
    Total duration and frequency of outages per customer a year (0-3)
    System average interruption duration index (SAIDI) 0.45
    System average interruption frequency index (SAIFI) 0.37
    Mechanisms for monitoring outages (0-1)
    Does the distribution utility use automated tools to monitor outages? Yes
    Mechanisms for restoring service (0-1)
    Does the distribution utility use automated tools to restore service? Yes
    Regulatory monitoring (0-1)
    Does a regulator—that is, an entity separate from the utility—monitor the utility’s performance on reliability of supply? Yes
    Financial deterrents aimed at limiting outages (0-1)
    Does the utility either pay compensation to customers or face fines by the regulator (or both) if outages exceed a certain cap? Yes
    Communication of tariffs and tariff changes (0-1)
    Are effective tariffs available online? Yes
    Link to the website, if available online http://www.lesto.lt/en/for-businesses/electricity-rates-and-payment-plans/d...
    Are customers notified of a change in tariff ahead of the billing cycle? Yes
    Answer
    Price of electricity (US cents per kWh) 10.7

    Note:

    If the duration and frequency of outages is 100 or less, the economy is eligible to score on the Reliability of supply and transparency of tariff index.

    If the duration and frequency of outages is not available, or is over 100, the economy is not eligible to score on the index.