Tariff Regulations

Andhra Pradesh

The Andhra Pradesh Electricity Regulatory Commission has issued the Terms and conditions for determination of Transmission Tariff regulations dated 30th November 2005. The primary purpose of these regulations is to specify approach, framework, procedure, filings and principles for computation of Aggregate Revenue Requirement (ARR) and determination of Transmission Tariff.

APERC Transmission Tariff Regulations 2005

Download Principal Document  
Resolution By
APERC
Notification No. and date
No. 5 of 2005 dated November 30, 2005
Objectives
To specify approach, framework, procedure, filings and principles for computation of Aggregate Revenue Requirement (ARR) and determination of Transmission Tariff
Regulations called as
Andhra Pradesh Electricity Regulatory Commission (Terms and conditions for determination of Transmission Tariff) Regulation, 2005
Effective Control period
Multi-year period fixed by the Commission from time to time, usually 5 years, for which the principles for determination of ARR will be fixed, the first Control Period, however, being ofthe duration of 3 years
[clause 2.i.h]
Controllable Factors
a. Operation & Maintenance expenses
b. Return on Capitdl Employed
c. Depreciation
d. Non-tariff income
[clause 10.4]
Un-controllable Factors
a. Taxes on Income
[clause 10.4]
Sharing Norms
a. The Transmission Licensee shall be eligible to claim variations in "uncontrollable" items in the ARR for a Control Period in the filings for the subsequent Control Period depending on the availability of data as per actuals
b. The gains or losses in the controllable items of ARR on account of force majeure factors shall be passed on as an additional charge or rebate in ARR over such period
[clause 10]
Operation & Maintenance expenses
1. The O&M expenses for the Base Year, if required, will be used for projecting the expenses for each year of the control period.
2. The Commission will determine the admissible quantum ofO&M exp~nses for each year of the control period on the basis of the following formula:
O&MLo = 0.3*O&Mo / LLo
O&MSo = 0.7*O&Mo / SSo
O&MLn = O&MLn -1*INDX
O&MSn = O&MS n-1 * INDX
O&M = O&MLn *LLn + O&MSn *SSn

Where,
O&MLo is the O&M cost per ckt-km (circuit-kilometers) of EHT (Extra High Tension) lines for the Base Year of the first Control Period
O&MSo is the O&M cost per bay of substations for the Base Year of the first Control Period
O&MLn is O&M cost per ckt-km of EHT lines in nth year
O&MSn is O&M cost per Bay in nth year
LLn is the cumulative length ofEHT lines in ckt-kms in nth year
SS,. is the number of EHT Substation Bays in nth year .
INDX is the Inflation Factor
[clause 12]
Allocation of Annual Transmission Charges
1. The transmission tariff payable by the users of the Transmission system shall be determined in accordance
with the following formula: ·
TR= Net ARR/(12*TCC)

Where,
TR: Transmission Rate in Rs./kW/month
Net ARR: Net ARR, as determined under clause 8.3 of the regulation
TCC: Total Contracted Capacity in kW of the Transmission system by all Long-Term Users

[clause 20.1 ]
Incentive
1. The transmission losses below the approved range shall earn an incentive and such incentive shall be added to the ARR relating to subsequent Control Period.
2. The Commission from time to time, specify any other performance parameters, including availability of Transmission System, quality targets, et( for which penalty or incentive may be required to be included in the application for ARR: .
[clause 18]
Corrigendum/ Amendment, if any
a. dated 16th February 2019
APERC Tariff Regulations, 2005 (1st Amendment)

Resolution By
APERC


Notification No. and date
No 01 of 2019 dated 16th February 2019


Objectives
To specify approach, framework, procedure, filings and principles for computation of Aggregate Revenue Requirement (ARR) and determination of Transmission Tariff


Regulations called as
Andhra Pradesh Electricity Regulatory Commission (Terms and conditions for Determination of Tariff for Transmission of Electricity) First Amendment Regulation, 2019


Allocation of Annual Transmission Charges
1. The transmission tariff payable by the users of the Transmission system
shall be determined in accordance with the following formula:
TR= Net ARR/(12*TTC)

Where,
TR: Transmission Rate in Rs./kW/month
Net ARR: Net ARR, as determined under clause 8.3 of the regulation
TTC: Total Transmission Capacity in kW of the Transmission system

[subclause 3; Sub clause 20.1 of clause 20 of principal regulation]