Author: PPD Team Date: 04/03/2025
APTEL rejects Shri Khanderao Thakaji’s petition against MSERC’s compensation order
The Appellate Tribunal for Electricity (APTEL) has dismissed Shri Khanderao Thakaji Khaire’s petition challenging the Maharashtra State Electricity Regulatory Commission’s (MSERC) order dated January 22, 2020. MSERC had overturned the Nashik Collector’s October 1, 2019, decision and ruled that Maharashtra State Electricity Transmission Company Limited (MSETCL) was liable to pay Rs 53,340 as compensation for damage to grape trees on the appellant’s land due to a transmission line installation.
APTEL upheld the compensation amount, citing the Panchnama prepared by MSETCL, which was signed by the Agricultural Officer of Nifad and three independent Panchas. This document detailed key factors such as the number of affected grape trees, production per tree, and market rates necessary for calculating the one-time compensation. In contrast, the appellant’s Panchnama lacked these details and was signed by only one Panch, making it inadmissible.
APTEL also questioned the necessity of two additional Panchnamas dated May 23, 2013, and May 27, 2013, noting that the Nashik Collector’s order failed to justify their preparation. Additionally, MSETCL representatives were not involved in these assessments. Finding no errors in MSERC’s ruling, APTEL dismissed the appeal as meritless.
Petition No: APPEAL No. 464 of 2024 | Read the full order here.
UPERC approves South East U.P. Power Transmission’s request to create charge over assets
The Uttar Pradesh Electricity Regulatory Commission (UPERC) has approved South East U.P. Power Transmission Company Limited’s petition seeking regulatory approval to create a charge over assets and pledge shares in favor of a lender and security trustee through mortgage, hypothecation, and pledge.
UPERC recognized that transmission projects require significant capital investment, often financed through loans, and that financial institutions typically require security to mitigate credit risk. In this case, the State Bank of India (SBI) has agreed to increase financial support to the petitioner.
The commission has permitted the petitioner to create encumbrances over receivables, letters of credit, or other project assets as security for amounts payable under financing agreements. Accordingly, UPERC has granted in-principle approval for creating a security interest in favor of SBI and SBI CAP Trustee Company Limited, subject to executing a security trustee agreement and financing documents.
However, UPERC clarified that the petitioner’s transmission license and underlying assets cannot be assigned to the lender’s nominee without the commission’s prior approval.
Petition No: 2128 of 2024 | Read the full order here.
CERC approves transmission tariff for 2024-29 under Southern Region System Strengthening Scheme-XVIII
The Central Electricity Regulatory Commission (CERC) has determined the transmission tariff for the 2024-29 period for the combined asset under the Southern Region System Strengthening Scheme-XVIII. The approved annual fixed charges (AFC) for the transmission asset are as follows:
Approved AFC for 2024-29 tariff period (Rs million):
- 2024-25: 1,647.32
- 2025-26: 1,596.7
- 2026-27: 1,541.32
- 2027-28: 1,015.6
- 2028-29: 1,010.68
The commission also finalized the trued-up AFC for the previous tariff periods. For 2014-19, the AFC claimed and allowed remained nearly identical, with minor adjustments. Similarly, for 2019-24, the AFC claimed and approved figures matched, starting at Rs 1,915.05 million in 2019-20 and reducing to Rs 1,708.55 million by 2023-24.
These tariffs will guide transmission cost recovery for the concerned assets in the Southern Region.
Petition No: 354/TT/2024 | Read the full order here.
CERC approves OPTCL’s tariff petition for seven non-ISTS assets, links recovery to availability
The Central Electricity Regulatory Commission (CERC) has approved the petition filed by Odisha Power Transmission Corporation Limited (OPTCL) for tariff determination of seven non-inter-state transmission system (ISTS) assets and their inclusion in the computation of point of connection (PoC) charges and losses. The approval aligns with the commission’s order dated May 12, 2017, in Petition No. 07/SM/2017 and follows the CERC (Sharing of Inter-State Transmission Charges and Losses) Regulations, 2010, along with its amendments.
Based on the Eastern Regional Power Committee (ERPC) certificate dated October 12, 2018, only seven non-ISTS transmission lines have been considered for tariff approval for the 2014-19 tariff period. The transmission charges for these assets are as follows:
Approved transmission charges for Asset-1 (Rs million):
Depreciation: 0.09 per year (2014-19)
Return on equity: 0.38 per year (2014-19)
Interest on working capital: 0.01 per year (2014-19)
Operations and maintenance (O&M) expenses: Ranging from 0.16 in 2014-15 to 0.18 in 2018-19
Total charges: Ranging from 0.65 in 2014-15 to 0.67 in 2018-19
Approved transmission charges for Asset-2 (Rs million):
Depreciation: 2.09 per year (2014-19)
Return on equity: 8.4 per year (2014-19)
Interest on working capital: Ranging from 0.45 in 2014-15 to 0.48 in 2018-19
O&M expenses: Ranging from 4.66 in 2014-15 to 5.32 in 2018-19
Total charges: Ranging from 15.6 in 2014-15 to 16.3 in 2018-19
Approved transmission charges for Asset-3 (Rs million):
Depreciation: 1.88 per year (2014-19)
Return on equity: 7.57 per year (2014-19)
Interest on working capital: Ranging from 0.4 in 2014-15 to 0.43 in 2018-19
O&M expenses: Ranging from 4.21 in 2014-15 to 4.8 in 2018-19
Total charges: Ranging from 14.08 in 2014-15 to 14.7 in 2018-19
Approved transmission charges for Asset-4 (Rs million):
Depreciation: 0.39 per year (2014-19)
Return on equity: 1.58 per year (2014-19)
Interest on working capital: Ranging from 0.08 in 2014-15 to 0.09 in 2018-19
O&M expenses: Ranging from 0.87 in 2014-15 to 1 in 2018-19
Total charges: Ranging from 2.93 in 2014-15 to 3.06 in 2018-19
Approved transmission charges for Asset-5 (Rs million):
Depreciation: 0.28 per year (2014-19)
Return on equity: 1.15 per year (2014-19)
Interest on working capital: 0.05 per year (2014-19)
O&M expenses: Ranging from 0.46 in 2014-15 to 0.53 in 2018-19
Total charges: Ranging from 1.96 in 2014-15 to 2.03 in 2018-19
Approved transmission charges for Asset-8 (Rs million):
Depreciation: 0.12 per year (2014-19)
Return on equity: 0.49 per year (2014-19)
Interest on working capital: 0.02 per year (2014-19)
O&M expenses: Ranging from 0.28 in 2014-15 to 0.32 in 2018-19
Total charges: Ranging from 0.92 in 2014-15 to 0.97 in 2018-19
Approved transmission charges for Asset-9 (Rs million):
Depreciation: 0.39 per year (2014-19)
Return on equity: 1.57 per year (2014-19)
Interest on working capital: 0.09 per year (2014-19)
O&M expenses: Ranging from 1 in 2014-15 to 1.14 in 2018-19
Total charges: Ranging from 3.07 in 2014-15 to 3.21 in 2018-19
CERC stated that the approved transmission charges would be recovered as per the applicable Sharing Regulations under Regulation 43 of the 2014 Tariff Regulations and Regulation 57(2) of the 2019 Tariff Regulations. The commission also ruled that these charges must be adjusted against the annual revenue requirement (ARR) approved by the Odisha Electricity Regulatory Commission (OERC).
Additionally, CERC noted that once the transmission charges of non-ISTS lines are included in the ISTS pool, their availability must be verified by the respective regional power committees. It directed that recovery of the tariff should be linked to availability, for which ERPC should implement the necessary mechanisms. The commission further instructed OPTCL to approach OERC for adjusting the recovery against its ARR for the respective years.
Petition No: 288/TT/2023 | Read the full order here.
CERC approves trued-up tariff for Powergrid’s Biharsharif-Begusarai line
The Central Electricity Regulatory Commission (CERC) has approved Power Grid Corporation of India Limited’s (Powergrid) petition for truing-up the transmission tariff for 2019-24 and determining the tariff for 2024-29. The approval applies to assets under the Hathidah River Crossing Section of the 220 kV Biharsharif-Begusarai transmission line in the Eastern Region.
For the 2019-24 period, the trued-up annual fixed charges (AFC) allowed for the asset are:
- 2019-20: Rs 5.18 million
- 2020-21: Rs 5.09 million
- 2021-22: Rs 5.05 million
- 2022-23: Rs 5.05 million
- 2023-24: Rs 5.04 million
For the 2024-29 period, the approved AFC are:
- 2024-25: Rs 5.01 million
- 2025-26: Rs 5.01 million
- 2026-27: Rs 5.02 million
- 2027-28: Rs 5.02 million
- 2028-29: Rs 5.03 million
Petition No: 481/TT/2024 | Read the full order here.
CERC approves trued-up tariff for Powergrid’s SPS project in the northern region
The Central Electricity Regulatory Commission (CERC) has approved Power Grid Corporation of India Limited’s (Powergrid) petition for truing-up the transmission tariff for 2019-24 and determining the tariff for 2024-29. The approval applies to the Special Protection Scheme (SPS) for Northern Regional Grid Stage-II in the Northern Region.
For the 2019-24 period, the trued-up annual fixed charges (AFC) allowed for the asset are:
- 2019-20: Rs 2.89 million
- 2020-21: Rs 2.73 million
- 2021-22: Rs 2.63 million
- 2022-23: Rs 2.57 million
- 2023-24: Rs 2.50 million
For the 2024-29 period, the approved AFC are:
- 2024-25: Rs 4.08 million
- 2025-26: Rs 3.61 million
- 2026-27: Rs 1.09 million
- 2027-28: Rs 1.09 million
- 2028-29: Rs 1.09 million
Petition No: 157/TT/2025 | Read the full order here.
CERC approves transmission tariff for Powergrid’s transformation capacity project
The Central Electricity Regulatory Commission (CERC) has approved Power Grid Corporation of India Limited’s (Powergrid) petition for determining the transmission tariff from the date of commercial operation until March 31, 2024. The approval applies to three assets under the Augmentation of Transformation Capacity project in the Southern Region.
For the 2019-24 tariff period, the approved annual fixed charges (AFC) for 2023-24 are:
- Asset-1 (pro rata for 108 days): Rs 16.23 million
- Asset-2 (pro rata for 108 days): Rs 1.69 million
- Asset-3 (pro rata for 108 days): Rs 45.37 million
Petition No: 85/TT/2024 | Read the full order here.
CERC approves trued-up tariff for Powergrid’s fixed series compensation project
The Central Electricity Regulatory Commission (CERC) has approved Power Grid Corporation of India Limited’s (Powergrid) petition for truing-up the transmission tariff for 2019-24 and determining the tariff for 2024-29. The approval applies to an asset under Fixed Series Compensation on 400 kV lines in the Southern Region.
For the 2019-24 period, the trued-up annual fixed charges (AFC) allowed for the combined asset are:
- 2019-20: Rs 51.64 million
- 2020-21: Rs 51.25 million
- 2021-22: Rs 50.88 million
- 2022-23: Rs 50.89 million
- 2023-24: Rs 51.45 million
For the 2024-29 period, the approved AFC are:
- 2024-25: Rs 48.37 million
- 2025-26: Rs 49.01 million
- 2026-27: Rs 49.69 million
- 2027-28: Rs 50.41 million
- 2028-29: Rs 51.16 million
Petition No: 38/TT/2025 | Read the full order here.
CERC grants transmission license to Powergrid Vataman Transmission
The Central Electricity Regulatory Commission (CERC) has approved Powergrid Vataman Transmission Limited’s petition for a separate regulated tariff mechanism (RTM) transmission license. The license is for the implementation of two 765 kV line bays at Vataman substation under the inter-state transmission system (ISTS) for the termination of the Saurashtra-Vataman 765 kV double-circuit (D/C) line.
The commission noted that the Central Transmission Utility of India Limited (CTUIL) recommended the license grant in a letter dated November 6, 2024. The license is subject to the following conditions throughout its validity:
- The license will remain in force for 25 years unless revoked earlier.
- The licensee must comply with the CERC Transmission Licence Regulations, 2024, or any future amendments.
- The licensee may apply for renewal two years before expiry under Regulation 9(2) of the Transmission Licence Regulations.
- The licensee cannot engage in electricity trading during the license period.
- The licensee must pay the license fee as per CERC (Payment of Fees) Regulations, 2012, or future amendments. Failure to pay within 60 days will be considered a breach of license conditions.
Petition No: 436/TL/2024 | Read the full order here.
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