Author: PPD Team Date: 11/04/2025
BERC approves ₹1,562.40 crore transmission tariff for BSPTCL for FY 2025–26
The Bihar Electricity Regulatory Commission (BERC) has issued its final tariff order for Bihar State Power Transmission Company Limited (BSPTCL), approving the true-up for FY 2023–24, performance review for FY 2024–25, and transmission tariff along with the Aggregate Revenue Requirement (ARR) for FY 2025–26 under the Multi-Year Tariff (MYT) framework. The order, effective from April 1, 2025, also covers the business plan and ARR projections for the control period up to FY 2027–28.
The Commission approved an ARR of ₹1,002.79 crore for FY 2023–24 after prudence checks, against the claimed ₹1,138.31 crore. For FY 2024–25, BSPTCL’s revised ARR was ₹1,557.33 crore, but BERC approved ₹1,367.89 crore. For FY 2025–26, the utility had projected ₹2,053.02 crore including the past revenue gap/surplus. However, the Commission approved ₹1,562.40 crore after adjusting for the FY 2023–24 surplus and carrying cost. The ARRs for FY 2026–27 and FY 2027–28 were approved at ₹1,891.66 crore and ₹2,038.25 crore respectively.
Key stakeholder concerns included high transmission costs, underachievement in capital expenditure (Capex) and capitalization targets, excessive operations and maintenance (O&M) projections, and the need for better transparency in asset records. BERC acknowledged these issues and reiterated the need for prudence in approving GFA, RoE, depreciation, and O&M expenses.
One essential table from the order summarizes the transmission performance and financials:
Transmission charges will be billed monthly on a pro-rata basis to DISCOMs (NBPDCL and SBPDCL) and other users, subject to achieving a minimum 98% system availability.
Petition No: Case No.27 of 2024 | Read the full order here.
BERC approves ₹324.11 crore ARR for BGCL for FY 2025–26, cuts down on earlier claims
The Bihar Electricity Regulatory Commission (BERC) has issued its final tariff order for Bihar Grid Company Limited (BGCL), approving the truing-up for FY 2023–24, performance review for FY 2024–25, and determining the Annual Revenue Requirement (ARR) and transmission tariff for FY 2025–26. This order also includes the business plan and ARR approval for the control period FY 2025–26 to FY 2027–28.
BGCL had sought ₹428.17 crore as ARR for FY 2025–26, but after regulatory scrutiny and adjustment of a prior surplus of ₹150.67 crore (including carrying cost from FY 2023–24), BERC approved a net ARR of ₹324.11 crore. BGCL is directed to recover these charges on a monthly basis from BSPHCL, which will in turn bill DISCOMs and other long/medium-term users based on their contracted capacity.
For FY 2023–24, BERC approved an ARR of ₹94.38 crore in the truing-up exercise against BGCL’s claim of ₹142.56 crore. The actual transmission losses were 0.94%, significantly better than the 1.80% target, but BGCL did not claim an incentive for the performance. A revenue surplus of ₹125 crore from this year will be carried forward into future ARRs.
The following table summarizes the ARR across the control period:
Stakeholders raised objections regarding high transmission costs, surplus accumulation, R&M and employee expenses, and lack of transparency in capital expenditure reporting. The Commission responded by conducting prudence checks and affirmed that transmission losses and expenses are regulated under defined norms. While BGCL attributed surplus and cost variations to external delays and pandemic-related disruptions, the Commission ensured only substantiated costs were allowed.
The tariff order is effective from April 1, 2025, and will remain valid until March 31, 2026, or until the next tariff order is issued.
Petition No: Case No. 31 of 2024 | Read the full order here.
BERC approves ₹30.90 crore SLDC charges for FY 2025–26, trims proposed ARR
The Bihar Electricity Regulatory Commission (BERC) has finalized the State Load Despatch Centre (SLDC) tariff order for FY 2025–26, approving an Annual Revenue Requirement (ARR) of ₹30.90 crore, down from the ₹33.35 crore sought by SLDC. The order also includes the truing-up for FY 2023–24, the Annual Performance Review (APR) for FY 2024–25, and the Multi-Year ARR for the control period FY 2025–26 to FY 2027–28.
SLDC, operated by the Bihar State Power Transmission Company Limited (BSPTCL), manages grid operations across the state. For FY 2023–24, the Commission approved an ARR of ₹12.86 crore against the claimed ₹13.72 crore. The revised ARR for FY 2024–25 was pegged at ₹21.93 crore.
SLDC projected an ARR of ₹33.35 crore for FY 2025–26, factoring in a revenue surplus from FY 2023–24. The Commission, after adjustments, approved ₹30.90 crore. The ARRs for FY 2026–27 and FY 2027–28 were also approved at ₹30.30 crore and ₹32.42 crore respectively.
A key table from the order details the approved ARR over the control period:
The order drew limited public participation, with only one written comment and no objections raised at the hearing. Stakeholders, including Bihar State Hydroelectric Power Corporation Ltd. (BSHPC), sought exemption from SLDC charges, citing unscheduled generation. However, BERC upheld charges based on capacity allocation rules.
The Commission also addressed concerns over rising Repair & Maintenance costs and depreciation assumptions, affirming that expenditures are regulated and justified due to the IT-intensive nature of SLDC operations. The order directs SLDC to recover charges monthly from transmission users per contracted capacity, as per regulatory norms.
This tariff order remains in effect from April 1, 2025, to March 31, 2026.
Petition No: Case No. 28 of 2024 | Read the full order here.
DERC disposes of petition regarding transformer relocation complaint
The Delhi Electricity Regulatory Commission (DERC) has disposed of a petition filed by Prashant Mathur under Section 142 of the Electricity Act, 2003, against BSES Rajdhani Power Limited (BSES) for noncompliance with a direction issued by the Public Grievances Commission (PGC). The petition concerns the non-relocation of a 1000 KVA transformer installed near Mathur’s property on a public road.
Mathur claims the transformer poses a safety risk due to loose cables, especially during the rainy season, and has requested its relocation to a safer site. He sought compliance with the PGC’s order, imposition of a penalty on the Government of National Capital Territory of Delhi (GoNCTD), and compensation for the denial of his rights to use his property.
In defense, BSES stated the transformer was installed in compliance with the Central Electricity Authority (CEA) and DERC regulations. BSES also emphasized the transformer was placed at a statutory distance from Mathur’s property and was regularly serviced.
The Commission referred to the Works of Licensees Rules, 2006, which allow modifications or removal of works if the landowner raises objections. The Commission concluded that the petitioner has alternative remedies under these rules and suggested addressing the matter through the District Magistrate or Commissioner of Police.
The Commission found no violation of regulations by BSES and dismissed the petition, advising Mathur to approach the relevant authority for further resolution.
Petition No: 79/2022 | Read the full order here.
HERC rejects HVPNL’s plea to levy 10% R&M charges on underground cable conversion
The Haryana Electricity Regulatory Commission (HERC) has dismissed a petition filed by the Haryana Vidyut Prasaran Nigam Limited (HVPNL), which sought approval to recover Repair and Maintenance (R&M) charges at 10% of the estimated project cost from applicants requesting conversion of overhead transmission lines to Extra High Voltage (EHV) XLPE underground cables.
The utility argued that due to rising requests from government agencies, real estate developers, and other private entities, it needed a mechanism to fund long-term maintenance of such converted infrastructure. HVPNL proposed creating a separate R&M fund sourced from applicants themselves, contending this would reduce dependency on working capital and avoid burdening general consumers with maintenance costs.
According to data submitted during the proceedings, 15 such conversions had taken place in the last two years, incurring a total cost of ₹50.75 crore, with estimated R&M needs pegged at ₹5.07 crore. HVPNL also noted that underground cables entail higher maintenance costs due to limited accessibility and specialized repair needs.
Despite these arguments, the Commission pointed to its earlier order (PRO-48 of 2017) and related regulations, which explicitly prohibit the levy of O&M charges on applicants for such conversions. Additionally, the HERC cited its 2019 notification mandating that all costs for the conversion, including installation of a spare operational cable, must be borne upfront by the applicant, with no further liability for future maintenance.
Further strengthening its position, the Commission referenced Regulation 4.10 of the Duty to Supply Regulations, 2016, which establishes that post-energization, the infrastructure becomes the licensee’s property, and its upkeep must be borne by the licensee without further charges to the applicant.
In its final order, HERC acknowledged the practical challenges of underground cable maintenance but concluded that the proposed 10% charge was inconsistent with existing regulatory provisions. It encouraged HVPNL to explore advanced technologies and maintenance contracts to manage long-term costs effectively.
The petition was formally rejected and disposed of on April 9, 2025.
Petition No: Case No. HERC/P. No. 60 of 2024 | Read the full order here.
CERC approves tariff for PGCIL’s Western Region reactors under Part-II
The Central Electricity Regulatory Commission (CERC) has approved Power Grid Corporation of India Limited’s (PGCIL) transmission tariff for assets under “Installation of Reactors (Part-II)” in the Western Region. The order includes the truing-up of tariffs for 2019–24 and determination of tariffs for 2024–29.
PGCIL is allowed to recover shortfalls or make refunds related to changes in income tax rates. The Commission also approved reimbursement of petition filing fees. In addition, PGCIL can separately bill and recover licensee fees, RLDC (Regional Load Despatch Centre) fees and charges, and GST from the respondents.
The initial investment was approved on 5 April 2013. A revised cost estimate was cleared on 12 October 2015. The assets include reactors and substations located across multiple states in the Western Region.
The commercial operation dates (COD) of the assets are as follows:
- 420 kV 1×125 MVAR Bus Reactor at Raipur substation – 2 October 2014
- 400 kV 125 MVAR Bus Reactor with associated bays at Seoni substation – 13 December 2014
- 420 kV 1×63 MVAR Line Reactor at Raipur substation (Raipur–Bhadrawati 400 kV D/C line) – 30 August 2014
- 1×125 MVAR Bus Reactor at 400 kV Damoh substation – 2 October 2014
- 1×125 MVAR Bus Reactor with associated bay at 400 kV Bachau substation – 3 December 2014
- 1×125 MVAR Bus Reactor at 400 kV Pirana substation – 4 October 2014
- 400 kV 1×125 MVAR Bus Reactor-I at Itarsi substation – 7 August 2014
- 1×125 MVAR Bus Reactor-II at 400 kV Itarsi substation – 15 October 2014
- 400 kV 1×125 MVAR Bus Reactor at Gwalior substation – 2 July 2014
- 420 kV 125 MVAR Bus Reactor with bays at Parli substation – 10 January 2015
- Conversion of four 50 MVAR Line Reactors into switchable reactors at 400 kV Pune substation – 13 December 2014
Some of these assets were part of earlier tariff approvals. The current order also considers the replacement of reactors at certain substations and classifies the replaced reactors as spares.
Petition No: 122/TT/2025 | Read the full order here.
CERC grants transmission license to Barner I Transmission for 5.5 GW RE project
The Central Electricity Regulatory Commission (CERC) has granted a transmission license to Barner I Transmission Limited (BITL), a subsidiary of Power Grid Corporation of India Limited (PGCIL). BITL will build infrastructure to evacuate 5.5 GW of renewable energy from the Jaisalmer/Barmer Complex in Rajasthan. The license, valid for 25 years, was issued under the 2024 Transmission Licence Regulations after a competitive bidding process.
The project, worth Rs 2,473.6 million per annum, was awarded to PGCIL as the lowest bidder. It includes a 765/400 kV pooling station, 400 kV and 765 kV transmission lines, and associated reactors and bays. The project will be developed under the Build-Own-Operate-Transfer (BOOT) model.
The Commission issued a public notice on 16 March 2025. No objections were received. The Central Transmission Utility of India (CTUIL) supported the license, confirming technical and regulatory compliance.
The project is scheduled for completion by 7 November 2026.
Petition No: 509/TL/2024 | Read the full order here.
CERC grants transmission licence to POWERGRID for STATCOM systems at Khavda
The Central Electricity Regulatory Commission (CERC) has granted a 25-year transmission licence to POWERGRID Khavda PS1 and 3 Transmission Limited for developing an inter-state transmission system. The licence covers the provision of dynamic reactive compensation at Khavda Pooling Station 1 (KPS1) and Khavda Pooling Station 3 (KPS3) on a Build, Own, Operate and Transfer basis.
The project involves the installation of ±300 MVAR STATCOMs (Static Synchronous Compensators), each with 1×125 MVAR mechanically switched capacitor (MSC) and 2×125 MVAR mechanically switched reactors (MSR). One STATCOM system will be located at each of the two bus sections of KPS1 and one at KPS3. Each installation includes a 400 kV gas-insulated switchgear (GIS) bay. The scheduled commercial operation date for all three systems is 24 months from the date of acquisition of the special purpose vehicle by POWERGRID.
The transmission licence was granted following a competitive bidding process conducted by PFC Consulting Limited. Power Grid Corporation of India Limited was declared the successful bidder with the lowest annual transmission charges quoted at Rs 1077.25 million.
The Commission had earlier issued a public notice in The Hindu and Hindustan newspapers on 17 March 2025 inviting suggestions or objections, but none were received. CTUIL supported the grant of licence in its communication dated 3 January 2025.
The licence is subject to compliance with the CERC Transmission Licence Regulations, 2024. POWERGRID must not engage in electricity trading during the licence period and is required to award the EPC contract through competitive bidding. The company must comply with the Indian Electricity Grid Code, provide open access, and maintain system performance standards. The Commission has instructed CTUIL and CEA to monitor the project’s progress and report any lapses.
The order also requires the project to be implemented in accordance with the Transmission Service Agreement and the Request for Proposal provisions, including timely commissioning within the scheduled dates.
Petition No: 507/TL/2024 | Read the full order here.
CERC grants transmission licence to Khavda V-A Power Transmission for 8 GW RE zone
Category: Transmission
The Central Electricity Regulatory Commission (CERC) has granted a transmission licence to Khavda V-A Power Transmission Limited (KVAPTL) for developing an inter-state transmission system. The project supports power evacuation from an 8 GW renewable energy zone in the Khavda area of Gujarat under Phase-V, Part A. It will be developed on a Build, Own, Operate, and Transfer (BOOT) basis.
The project includes ±800 kV HVDC (high-voltage direct current) terminal stations of 3,000 MW capacity each at KPS2 and Nagpur, along with associated HVDC bipole lines and interconnections. Power Grid Corporation of India Limited was declared the successful bidder.
Petition No: 71/TL/2025 | Read the full order here.
CERC grants transmission licence to POWERGRID Siwani Transmission for Rajasthan REZ project
The Central Electricity Regulatory Commission (CERC) has granted a transmission licence to POWERGRID Siwani Transmission Limited (formerly Bikaner B Power Transmission Limited) for establishing an inter-state transmission system. The project is designed to evacuate power from the 6 GW Phase IV (Part 3) Bikaner Renewable Energy Zone (REZ) in Rajasthan, under Part B, on a Build, Own, Operate, and Transfer (BOOT) basis.
The project involves the development of a 765/400 kV substation near Siwani, a 765 kV D/C line connecting Bikaner-IV Power Station and Siwani, and other related transmission infrastructure. Power Grid Corporation of India Limited was selected as the successful bidder for the project.
Petition No: 69/TL/2025 | Read the full order here.
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