Author: PPD Team Date: 04/03/2025
The Chhattisgarh State Electricity Regulatory Commission (CSERC) has issued an explanatory memorandum regarding the draft CSERC (Terms and Conditions for determination of Multi-Year Tariff (MYT)) Regulations, 2024.
With the current MYT control period set to end on March 31, 2025, the commission has prepared draft regulations for the next MYT control period, which will run from April 1, 2025, to March 31, 2030. These regulations will apply to the generation business, transmission business, distribution wires business, retail supply business, and the state load despatch centre (SLDC).
Key modifications include:
- Generation, transmission, and SLDC business: Truing up for the preceding year(s) is required, with the STU/transmission licensee to propose transmission charges for short-term open access customers. The SLDC must also propose system operation and market operation charges.
- Tariff determination: The commission will determine the full-cost tariff for each consumer category, excluding any state government subsidy. If the state government decides to provide subsidies, it must do so in advance as per Section 65 of the Act.
- Subsidy accounting: Distribution licensees must account for subsidies in line with the Standard Operating Procedures issued by the Central Government.
- Special allowance: The special allowance has been increased to Rs 1.07 million per MW per year, from Rs 0.95 million, and the exception for HTPS has been removed. A proviso allows generating companies to claim 50% of the special allowance during tariff determination, with the balance to be claimed at true-up.
These amendments aim to align with CERC (Terms and Conditions of Tariff) Regulations, 2024, and provide greater clarity on tariff determination for the next MYT control period.
Read the full order here.
Featured photograph is for representation only.
