Author: PPD Team Date: 19/03/2025
CERC approves Udupi Power’s petition for additional expenditure on ECS installation
The Central Electricity Regulatory Commission (CERC) has approved the petition filed by Udupi Power Corporation Limited for additional expenditure on installing an emission control system (ECS) to comply with the Ministry of Environment, Forest and Climate Change (MoEFCC) notification.
The commission noted that the petitioner has identified and proposed wet flue gas desulphurization (WFGD) systems to reduce SO₂ emissions. The selection of WFGD was based on factors such as effectiveness, availability, cost, plant size, operational expenses, and reagent availability. The Central Electricity Authority (CEA) has approved this choice.
Regarding the higher cost of installing WFGD systems compared to indicative estimates, the commission observed that CEA’s cost estimates were only indicative. The final cost of the WFGD system for the generating station was determined through competitive bidding.
CERC has granted in-principle approval for the estimated hard cost of Rs 9.36 billion (excluding taxes and duties) for additional capital expenditure related to the installation of the FGD and associated components. However, the petitioner must provide:
- An auditor-certified statement reconciling the capital cost claimed as on the date of commissioning of the ECS and any additional capital expenditure claimed thereafter.
- Detailed clarification on expenditure towards contingencies included in the initially approved cost.
- Detailed workings on interest during construction (IDC), financing charges (FC), and foreign exchange rate variation (FERV) calculations as on the respective date of commissioning of the ECS system.
Petition No: 373/MP/2022 | Read the full order here.
CERC rectifies tariff order for NTPC’s Rihand Super Thermal Power Station
The Central Electricity Regulatory Commission (CERC) has approved the petition filed by NTPC Limited seeking review of the commission’s order in Petition No. 238/GT/2020 relating to the truing up of tariff of Rihand Super Thermal Power Station, Stage-III (1000 MW) for the period 2014-19. The correction follows NTPC’s review petition regarding an error in the Gross Calorific Value (GCV) of coal used to calculate the Interest on Working Capital (IOWC).
The commission has determined the annual fixed charges for the generating station as follows (Rs million):
Petition No: 8/RP/2024 in 238/GT/2020 | Read the full order here.
MPERC approves multi-year tariff for JPVL’s 2×250 MW Bina thermal power station
The Madhya Pradesh Electricity Regulatory Commission (MPERC) has approved Jaiprakash Power Ventures Limited’s (JPVL) petition for the determination of multi-year tariff (MYT) for its 2×250 MW coal-based thermal power station at Bina, District Sagar, Madhya Pradesh, for the control period from FY 2024-25 to FY 2028-29.
The annual capacity (fixed) charges approved for each year of the control period are as follows (Rs million):
The commission has directed that the generation tariff will be applicable from April 1, 2024, until March 31, 2029, under MYT principles. Adjustments for differences in billing under Regulation 7.12 of the Tariff Regulations, 2024, will be made in a maximum of six equal monthly installments. JPVL has been instructed to implement the order after a seven-day public notice as per Regulation 1.30 of MPERC’s tariff determination rules and provide compliance details to the commission.
Petition No: 52 of 2024 | Read the full order here.
MPERC approves multi-year tariff for JPVL’s 2×660 MW Nigrie thermal power station
The Madhya Pradesh Electricity Regulatory Commission (MPERC) has approved Jaiprakash Power Ventures Limited’s (JPVL) petition for the determination of multi-year tariff (MYT) for its 2×660 MW supercritical coal-based thermal power station at Nigrie, District Singrauli, Madhya Pradesh, for the control period from FY 2024-25 to FY 2028-29.
The annual capacity (fixed) charges approved for each year of the control period are as follows (Rs million):
The commission has directed that the generation tariff will be applicable from April 1, 2024, until March 31, 2029, under MYT principles. Adjustments for differences in billing under Regulation 7.12 of the Tariff Regulations, 2024, will be made in a maximum of six equal monthly installments. JPVL has been instructed to implement the order after a seven-day public notice as per Regulation 1.30 of MPERC’s tariff determination rules and provide compliance details to the commission.
Petition No: 53 of 2024 | Read the full order here.
MPERC approves multi-year tariff for MPPGCL’s power stations
The Madhya Pradesh Electricity Regulatory Commission (MPERC) has approved Madhya Pradesh Power Generating Company Limited’s (MPPGCL) petition for the determination of multi-year tariff (MYT) for its thermal and hydel power stations for the control period from FY 2024-25 to FY 2028-29.
The annual capacity (fixed) charges allowed for each year of the control period are as follows (Rs million):
The commission has directed that the tariff determined in this order shall take effect from April 1, 2024. Any difference between the previous billing under Regulation 7.12 of the MPERC Tariff Regulations, 2024, and the tariff determined in this order must be settled in six equal monthly instalments.
MPPGCL has been instructed to implement the order after issuing a seven-day public notice, as required under Regulation 1.30 of the MPERC tariff determination regulations. The company must also submit proof of compliance to the commission.
Petition No: 56 of 2024 | Read the full order here.
WBERC clarifies approved energy charge rate for HMEL
The West Bengal Electricity Regulatory Commission (WBERC) has approved Hiranmaye Energy Limited’s (HMEL) petition seeking clarification on the approved energy charge rate (ECR) for the eighth control period (FY 2023-24 to 2025-26). The original order was issued on March 12, 2024, in Case No. TP-107/23-24.
The commission confirmed that the ECR for FY 2024-25 was set at Rs 3.36 per kWh, factoring in a SHAKTI scheme discount of 7 paisa per kWh, as approved in the supplementary power purchase agreement (PPA) dated August 30, 2019, under Case No. PPA-88/18-19.
In its clarification, WBERC stated that the total fuel cost, excluding the SHAKTI discount, stands at Rs 6,460.65 million for 2024-25. Considering the sent-out generation of 1,881.648 million units (MU) for the same period, the energy charge rate without the SHAKTI discount is Rs 3.434 per kWh.
The commission directed HMEL to calculate the monthly fuel cost with the applicable levelized discount of 7 paisa per kWh for coal linkage secured in the second round of the SHAKTI scheme and 17 paisa per kWh for linkage received in the sixth round. These calculations must align with the approved agreement and relevant provisions of the amended Tariff Regulations.
Petition No: OA-488/24-25 | Read the full order here.
CERC grants interim relief to Tata Power on coal procurement costs
The Central Electricity Regulatory Commission (CERC) has passed an order in Tata Power Company Limited’s (TPCL) petition seeking a declaration on the principles and methodology for computing compensation for power supplied to respondents under Section 11(2) of the Electricity Act, 2003.
The commission noted that TPCL incurred recurring monthly expenses for coal procurement to ensure continuous power supply. A major shortfall in cost recovery could impact the financial viability of its generation and supply operations under Section 11(1) of the Act. Given this, the commission found a strong prima facie case for granting interim relief to compensate for the actual expenditure on coal procurement.
While TPCL could potentially recover the shortfall after a final determination of financial impact, the commission observed that denying interim relief could hinder its ability to generate and supply electricity. Since the necessary conditions for granting interim relief were met, the commission ruled in favor of TPCL.
As per the order, TPCL is allowed to recover arrears related to the interim relief in three equal monthly installments. The interim tariff approved in this order will be subject to adjustment once the commission makes a final determination of the financial impact of the 2023 Directions.
Petition No: 179/MP/2023 | Read the full order here.
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