RAJASTHAN ELECTRICITY REGULATORY COMMISSION

JAIPUR, RAJASTHAN

NOTIFICATION

No: RERC/ Secy/Regu. 3                                          Dated : 11th April 2000

            In exercise of powers conferred on it by Section 58 read with Section  29 of the Electricity Regulatory Commissions Act, 1998 and all powers enabling it in that behalf, the Rajasthan Electricity Regulatory Commission hereby makes the following Regulations, namely ;

GENERAL

Short title and commencement

1.         (1)            These Regulations may be called the Rajasthan Electricity Regulatory Commission (Tariff) Regulations, 2000.

(2)            They shall come into force on the date of their publication in the official gazette.

 2.             Definitions

(1)

“Act” means Electricity Regulatory Commissions Act, 1998.  

(2)

“Bulk Supply” shall mean supply of electricity by a licensee to other licensee.

(3)

“Bulk Supply tariff” shall mean the tariff/charges for Bulk Supply of electricity.

(4)

“Consumer” means the end or final user of electricity.

(5)

“Grid tariff” shall have meaning assigned to it in the Electricity (Supply) Act, 1948.

(6)

“Licensee” means a person holding  “supply license” or “transmission license” and includes  Rajasthan State Electricity Board and State Transmission Utility , including its successor entity but does not include generating companies, unless otherwise specifically provided.

 

(7)

“Retail Supply” means authorised sale of electricity to consumers at any voltage.

(8)

“Retail tariff” means tariff for retail supply.

(9)

“RSEB” shall mean Rajasthan State Electricity Board and include its successor entity.

(10)

“Supply License” shall mean license granted by the State Government under Part-II of the Indian Electricity Act 1910 to supply energy in specified area of supply.

(11)

“Supply Licensee” shall mean a person who holds a supply license or sanction under section 28 of the Indian Electricity Act 1910 to engage in the business of supplying energy.

(12)

“Standards of performance” means the standards of performance as may be determined by the Commission and shall include operating standard, safety and security standards.

(13)

“Tariff” means the schedule of  charges for supply of electricity and other charges incidental thereto together with terms and conditions for  application thereof.

(14)

‘Transmission license’ shall mean a license granted under Part –II A of the Indian Electricity Act 1910.

(15)

‘Transmission licensee’ shall mean a person who holds a transmission license or who has been granted an exemption under sub-section 5 of section-27D of the Indian Electricity Act, 1910.

(16)

“Wholesale supply” shall mean  authorised supply of Electricity by a “licensee” to (i) local authority supplying power to consumers or (ii) to Cantonments, government,  Semi Government organisations, Institutions or Industry supplying electricity for its employees/consumers in its colonies.

(17)

“Wholesale Supply tariff” shall mean tariff for wholesale supply.

(18)     Words or expressions occurring in these regulations and not defined above shall bear the same meaning as in the  Rajasthan Electricity Regulatory Commission (Conduct of Business) Regulations, 2000.

 

3          Tariff

 (1)      The methodology, procedure and the format for furnishing information for calculating expected revenue and for determining tariff may be laid down by the Commission from time to time. The Commission may at any time add, amend, alter, revise, substitute or otherwise change the methodology, procedure and formats as the Commission considers appropriate.

  (2)     The Commission may at any time, specify the terms and conditions for determination of licensee’s revenue and tariff in accordance with the provisions of Section 29 of the Act.

(3)         Unless otherwise specified by the Commission, the terms and conditions of determination of licensee’s revenue and tariff may provide that the tariff allowed and revenue permitted in any financial year, in terms of Section 29 of the Act, shall be subject to adjustments in any tariff to be fixed for the subsequent period, if the Commission is satisfied, for reasons to be recorded in writing that such adjustments for the excess amount or shortfall in the amount actually realized is necessary and the same is not on account of any reasons attributable to the Licensee.

4            Preparation & submission of  Annual Accounts, Reports etc.:

  (a)            Every licensee and generating company  for which Rajasthan  Government is the Competent Authority, shall prepare  annual statement of accounts and also prepare annual reports and statistics, in forms prescribed, giving an account of its activities during the current and previous year and likely to be undertaken in the next financial year. The report of activities will also indicate targets and achievements in respect of various performance parameters. In respect of Generating company, reports and accounts filed under Section 75 A of the Electricity (Supply) Act, 1948 and in respect of RSEB, reports and accounts, filed under Section 61 and 75  of the Electricity (Supply) Act, 1948 shall also be submitted. These reports shall be furnished to the Commission in duplicate, by 31st  October every year.

 (b)            The Commission may also direct that, in addition to submission of the annual statements of accounts in the prescribed forms, a licensee shall submit to the Commission or such other authority as it may designate in this behalf, such additional information as the Commission may require for the performance of its functions.

(c)            The Licensee shall provide to the Commission between 15th and 31st December every year, details of calculations for the ensuing financial year of expected aggregate revenue requirement that the Licensee believes it is permitted to recover in accordance with the provisions of  the Electricity (Supply) Act, 1948.

5.          Periodicity of tariff determination :-

           (a)            The tariff for licensee (including State Transmission utilities and RSEB) shall ordinarily be determined not more than once in a financial year.

Provided that this provision will not bar the Commission to determine or review tariff even at a shorter period of time under exceptional circumstances.

(b)            The Commission may determine tariff on provisional basis on such terms and conditions as it may think proper.

 6.            Petition for tariff revision

(1)               A licensee may make a petition for revision of tariff ordinarily between 15th and 31st December.

(2)       This petition shall include all the information required to be             submitted in regulation 4. If a licensee proposes for long    term             determination of tariff, then  calculations will be             furnished    for the period for which tariff determination is             requested.

(3)      The petition shall include the following:

a)            A statement of the current tariff and all applicable terms and conditions and expected revenue from the current tariff  for 12 months period for which the new tariff is to be implemented.

b)            A statement of revenue expected and proposed tariff including a full statement of all applicable terms and conditions.

c)            A statement containing full details of calculation of any subsidy received, due or assumed to be due from the State Govt., the consumers to whom it is directed and documentation showing how the subsidy is reflected in the current and proposed tariff applicable to those consumers. This statement shall also include the tariff calculated without consideration of the subsidy for those consumers. The subsidy calculations shall also compare the situation for the 12 month’s  period for which the tariff is to be implemented with similar data for the previous year and where relevant, the current year.

d)            A statement of the estimated change in annual revenues that would result from the proposed tariff changes in the year in which they are to be implemented.

e)            If the proposed tariff is to be introduced after the start of the financial year, a statement of the proportion of revenues expected and quantities supplied under each proposed tariff modification during remaining months of the financial year shall be included.

f)            Detailed calculations in support of determination of  cost based tariffs free of external subsidies and cross subsidies. These calculations shall include all relevant data and methods used in determination of tariff for each consumer class.

g)            A statement showing  calculations of the  amount of cross subsidy in the existing tariff and in the proposed tariff  and comparison thereof.

h)            A statement of marginal costs of the licensee’s business and a written explanation of the methods used to calculate marginal costs.

i)            An explanatory note giving  rationale for proposed tariff changes, including justification of the return on capital base/equity being requested.

            j)            Any other information, as required by the relevant license or specified by the Commission.

(4)        If a person holds more than one license, he shall submit  separate calculations as above in respect of  each license.

7.            Orders by Commission :

(1)       The Commission, after the petition has been registered as per regulation 32 of RERC (Conduct of Business)  Regulations, 2000 may within  21 days convey for furnishing :

         (i) Any  further information, particulars and documents  as the Commission may consider appropriate to enable the Commission to assess the petitioner’s calculations; or

        (ii) a  revised petition, if Commission does not consider the licensee’s calculation to be in accordance with the methodology or procedure specified and approved by the Commission.

(2)       After receipt of information or otherwise, the Commission may make appropriate orders regarding initiation of proceedings in accordance with the provisions of the Rajasthan Electricity Regulatory Commission (Conduct of Business) Regulations, 2000.

8.         Power purchase and fuel cost adjustment  :

(a)      The Commission may from time to time specify formula for Power purchase and  fuel cost adjustment (PPFCA) surcharge  payable to the licensee for variations in the following:-

i)          fuel related cost of generating station of the licensee.

ii)         Cost of power purchase (including fuel related cost and pass through items of power purchase) from generating companies, central or State Transmission Utilities, Power Trading  Corporation etc.

b)        The licensee shall determine the PPFCA surcharge as per the specified  formula and recover the same provisionally from such categories of consumers as specified by the Commission. Detailed Calculations of PPFCA surcharge will be sent to the Commission alongwith the surcharge actually levied on various categories of the Consumers forthwith.

c)            Calculation and levy of  PPFCA surcharge will be subject to further scrutiny and final approval by the Commission with modifications, if any. The Commission shall make available the calculations for inspection, to any person.

9.         The licensee shall within specified time of order of the Commission   publish  the tariff , in two daily news papers having wide circulation in its area of supply. Tariff shall come into force only after such publication and shall remain in force until any amendment to the tariff is approved by the Commission and published by the Licensee.

10.       The “Tariff for supply of Electricity–1985” as amended by RSEB upto  2.1.2000 shall continue to be in force until  amended by the Commission.

By order of the Commission,

(P. Dayal)   

Secretary, RERC