RERC Tariff Regulations 2019
Resolution By
RERC
Notification No. and date
No. RERC/Secy/Reg. 132 dated May 10, 2019
Objectives
For determination of tariff in cases covered under these Regulations
Regulations called as
Rajasthan Electricity Regulatory Commission (Terms and Conditions for Determination of Tariff) Regulations, 2019
[clause 1 (1)]
[clause 1 (1)]
Effective Control period
April 1, 2019 and onwards up to FY 2023- 24, i.e., March 31, 2024
[clause 1 (2)]
[clause 1 (2)]
Cut-off Date
last day of the calendar month after three years from the date of commercial operation of the project
[clause 2 (a) (15)]
[clause 2 (a) (15)]
Commercial Operation Date (COD)/ Date of commercial operation
In case of a Transmission Licensee, COD means the date of charging the transmission line or substation of transmission Licensee to its rated voltage level or 7 days after the date on which it is declared ready for charging by the transmission Licensee, but not able to charge for reasons not attributable to it;
[Clause 2 (a)(17)(ii)]
[Clause 2 (a)(17)(ii)]
Useful Life
a. AC and DC Sub-station (including GIS)- 25 years
b. Transmission line (including HVAC and HVDC)- 35 years
[clause 2 (a) (73)]
b. Transmission line (including HVAC and HVDC)- 35 years
[clause 2 (a) (73)]
Controllable Factors
a. Variations in transmission losses
b. Variations in performance parameters
c. Variation in Rate of Interest on working capital requirement
d. Variation in operation & maintenance expenses
[clause 9.2]
b. Variations in performance parameters
c. Variation in Rate of Interest on working capital requirement
d. Variation in operation & maintenance expenses
[clause 9.2]
Un-controllable Factors
a. Force Majeure events
b. Change in law
c. Economy wide influences
[clause 9.1]
b. Change in law
c. Economy wide influences
[clause 9.1]
Sharing Norms
a. The approved aggregate gain or loss to the Generating Company or Licensee or SLDC on account of uncontrollable factors shall be allowed as an adjustment in the tariff
b. Gain or loss to the Generating Company or Licensee or SLDC on account of controllable factors shall be retained or borne by the Generating Company or Licensee as the case may be, except in case of the following:
a) Interest on working capital
c) Distribution loss
[clause 9.2 & 9.3]
b. Gain or loss to the Generating Company or Licensee or SLDC on account of controllable factors shall be retained or borne by the Generating Company or Licensee as the case may be, except in case of the following:
a) Interest on working capital
c) Distribution loss
[clause 9.2 & 9.3]
Norms of operation
1) Auxiliary Power Consumption in the Sub-Station:
The auxiliary consumption in the sub-station for the purpose of air-conditioning, lighting, technical consumption, etc., shall be considered as part of transmission losses and shall be accounted for separately.
(2) Normative Availability of the Transmission System:
a) HVAC System: 98%
b) HVDC bipole links & HVDC back-to-back stations: 95%
For incentive consideration:
a) HVAC system: 98.50%
b) HVDC bipole links & HVDC back-to-back stations: 97.50%
Provided further that no incentive shall be payable for availability beyond 99.75%.
Note: Recovery of annual transmission charges below the level of normative availability shall be on pro-rata basis. At zero availability, no transmission charges shall be payable.
[Clause 63]
The auxiliary consumption in the sub-station for the purpose of air-conditioning, lighting, technical consumption, etc., shall be considered as part of transmission losses and shall be accounted for separately.
(2) Normative Availability of the Transmission System:
a) HVAC System: 98%
b) HVDC bipole links & HVDC back-to-back stations: 95%
For incentive consideration:
a) HVAC system: 98.50%
b) HVDC bipole links & HVDC back-to-back stations: 97.50%
Provided further that no incentive shall be payable for availability beyond 99.75%.
Note: Recovery of annual transmission charges below the level of normative availability shall be on pro-rata basis. At zero availability, no transmission charges shall be payable.
[Clause 63]
Operation & Maintenance expenses
For first year of control period (FY 2019-20)
(a) O&M expense per ckt-km
- 765 kV : Rs. 1.03 lakh per ckt-km
- 400 kV : Rs. 0.65 lakh per ckt-km
- 220 kV : Rs. 0.26 lakh per ckt-km
- 132 kV : Rs. 0.15 lakh per ckt-km
(b) O&M expense per MVA capacity : Rs. 0.40 lakh per MVA
(c) O&M expense per feeder bay
- 765 kV : Rs. 60.16 lakh per feeder bay
- 400 kV : Rs. 40.10 lakh per feeder bay
- 220 kV : Rs. 5.59 lakh per feeder bay
- 132 kV : Rs. 3.80 lakh per feeder bay
Note: MVA capacity includes MVAr.
O&M Expenses norms for each subsequent year shall be escalated by escalation rate of 3.51% per annum for
each year of the Control Period as specified in Regulation 24.
[Clause 64 & 24 (3)]
(a) O&M expense per ckt-km
- 765 kV : Rs. 1.03 lakh per ckt-km
- 400 kV : Rs. 0.65 lakh per ckt-km
- 220 kV : Rs. 0.26 lakh per ckt-km
- 132 kV : Rs. 0.15 lakh per ckt-km
(b) O&M expense per MVA capacity : Rs. 0.40 lakh per MVA
(c) O&M expense per feeder bay
- 765 kV : Rs. 60.16 lakh per feeder bay
- 400 kV : Rs. 40.10 lakh per feeder bay
- 220 kV : Rs. 5.59 lakh per feeder bay
- 132 kV : Rs. 3.80 lakh per feeder bay
Note: MVA capacity includes MVAr.
O&M Expenses norms for each subsequent year shall be escalated by escalation rate of 3.51% per annum for
each year of the Control Period as specified in Regulation 24.
[Clause 64 & 24 (3)]
Payment of Transmission Charges
a) Network Access Charge – A fixed charge corresponding to cost recovery for Connection Assets
b) Network Usage Charges - A fixed charge based on capacity contracted/agreed
c) A charge based on energy transmitted
d) Connectivity charge
e) Reactive energy charge
f) Transmission pricing system duly considering factor like voltage, distance, direction and quantum of flow based on adoption of the methodology specified by
the CERC.
Provided that in case of projects developed through competitive bidding , the ATC shall be as per the annual Transmission Service Charges (TSC) adopted for such transmission projects.
[Clause 65 (1)]
b) Network Usage Charges - A fixed charge based on capacity contracted/agreed
c) A charge based on energy transmitted
d) Connectivity charge
e) Reactive energy charge
f) Transmission pricing system duly considering factor like voltage, distance, direction and quantum of flow based on adoption of the methodology specified by
the CERC.
Provided that in case of projects developed through competitive bidding , the ATC shall be as per the annual Transmission Service Charges (TSC) adopted for such transmission projects.
[Clause 65 (1)]
Allocation of Annual Transmission Charges
1. The Long-Term and Medium-Term Users of the transmission system shall share the transmission cost in such proportion as their contracted transmission capacity to the total transmission capacity contracted/agreed from the intra-State transmission system.
The charges shall be calculated on a daily basis by the Transmission Licensee and shall be billed every month, except where directed otherwise by the Commission for any User or class of such users:
2) The Annual Transmission Charges (ATC) payable by a Long-term and Medium-Term User of the transmission system shall be computed in accordance with the following equation:
ATC = TC X [CL / SCL]
Where,
TC = Transmission Cost equivalent to the ARR of RVPN less income from short term open access transactions;
CL = Contracted/agreed Transmission Capacity of the User;
SCL = Sum of Contracted/agreed Transmission Capacity of all Users.
[Clause 66]
The charges shall be calculated on a daily basis by the Transmission Licensee and shall be billed every month, except where directed otherwise by the Commission for any User or class of such users:
2) The Annual Transmission Charges (ATC) payable by a Long-term and Medium-Term User of the transmission system shall be computed in accordance with the following equation:
ATC = TC X [CL / SCL]
Where,
TC = Transmission Cost equivalent to the ARR of RVPN less income from short term open access transactions;
CL = Contracted/agreed Transmission Capacity of the User;
SCL = Sum of Contracted/agreed Transmission Capacity of all Users.
[Clause 66]
Treatment of losses
Transmission Losses allowed by the Commission will have to be borne by users of the transmission system and energy accounts, to be maintained by SLDC, shall reflect
accordingly.
accordingly.
Incentive
Incentive = Annual Transmission Charges x [Annual availability achieved - Normative Availability] / Normative Availability;
No incentive shall be payable above the availability of 99.75%
Incentive to be paid to the Transmission Licensee shall be shared by the Licensees, long-term and medium-term open access customers.
[Clause 68]
No incentive shall be payable above the availability of 99.75%
Incentive to be paid to the Transmission Licensee shall be shared by the Licensees, long-term and medium-term open access customers.
[Clause 68]
Reactive Energy Charges
The Distribution Licensee shall provide the adequate capacitor bank at the load side and beyond the point of interconnection with the transmission system, wherever required, based on the system study carried out by the transmission Licensee and maintain the lagging power factor of not less than 0.95. The reactive energy charges for low power factor shall be specified by the Commission while specifying the Tariff Order from time to time
Corrigendum/ Amendment, if any
a. dated 28 February 2020
RERC Tariff Regulations, 2019 (1st Amendment)
Resolution By
RERC
Notification No. and date
No. RERC/Secy./Reg. No. 136 dated February 28, 2020
Objectives
For determination of tariff in cases covered under these Regulations
Regulations called as
Rajasthan Electricity Regulatory Commission (Terms and Conditions for Determination of Tariff) (First Amendment) Regulations, 2020
Effective Control period
April 1, 2019 and onwards up to FY 2023- 24, i.e., March 31, 2024