Tariff Regulations
Tamil Nadu
The Tamil Nadu Electricity Regulatory Commission has issued the Terms and Conditions for Determination of Tariff for Intra state Transmission / Distribution of Electricity under Tariff Framework regulations dated 11th February 2009. The primary purpose of these regulations is to determine the tariff in all cases covered under these Regulations.
TNERC MYT Regulations, 2009
Resolution By
TNERC
Notification No. and date
TNERC/MYT/18/1 dated 11-02-2009
Objectives
Determination of tariff in all cases covered under these Regulations
Regulations called as
TNERC ( Terms and Conditions for Determination of Tariff for Intra state Transmission / Distribution of Electricity under MYT Framework ) Regulations , 2009
Effective Control period
The initial control period under the MYT framework shall be for a duration of 3 years. Thereafter, each control period shall be normally for a period of 5 Financial years
[clause 3.i]
[clause 3.i]
Un-controllable Factors
a. Costs on account of inflation
b. Taxes and duties
[clause 3.viii]
b. Taxes and duties
[clause 3.viii]
Sharing Norms
The financial loss, if any, due to failure to achieve the target for the controllable costs in any of the years in the control period shall be borne by the licensees and the gains, if any, shall be shared with the beneficiaries at 50: 50
[clause 3.ix]
[clause 3.ix]
Operation & Maintenance expenses
1. The Operation and Maintenance expenses include the repairs & maintenance costs, employee-related costs and administrative & general expenses.
2. The O& M expenses shall be derived on the basis of actual
expenses for the past five years previous to base year
based on the audited Annual Accounts.
3. The O& M expenses so arrived for the base year may be
escalated by four per cent per annum for every year of the
control period.
4. O & M expense is a controllable cost and the licensee cannot recover the cost in excess of norms.
[Chapter 3 Clause 9)
2. The O& M expenses shall be derived on the basis of actual
expenses for the past five years previous to base year
based on the audited Annual Accounts.
3. The O& M expenses so arrived for the base year may be
escalated by four per cent per annum for every year of the
control period.
4. O & M expense is a controllable cost and the licensee cannot recover the cost in excess of norms.
[Chapter 3 Clause 9)
Incentive
1. The Transmission Licensee shall be entitled to incentive at 1% of equity for each percentage point of increase in annual availability beyond
the target availability prescribed under regulation 58(b)
2. Incentive = Equity * (Annual Availability achieved – Target availability ) / 100.
3. A portion ( as decided by the Commission) of the incentive shall be shared with the long term OA customers in the ratio of their average allotted capacity.
[chapter 3, clause 16]
the target availability prescribed under regulation 58(b)
2. Incentive = Equity * (Annual Availability achieved – Target availability ) / 100.
3. A portion ( as decided by the Commission) of the incentive shall be shared with the long term OA customers in the ratio of their average allotted capacity.
[chapter 3, clause 16]
Reactive Energy Charges
1. The Reactive power charges for each year of the control period shall be regulated as per the Tariff Regulations.
2. The rate will be notified by the Commission in the MYT Tariff order.
[chapter 3, clause 22]
2. The rate will be notified by the Commission in the MYT Tariff order.
[chapter 3, clause 22]
Corrigendum/ Amendment, if any
a. dated 28 February 2011
TNERC MYT Regulations, 2009 (1st Amendment)
Resolution By
TNERC
Notification No. and date
TNERC/MYT/18/2, dated 28-02-2011
Objectives
For determination of tariff by the TNERC in accordance with Section 62 of the Electricity Act, 2003
Regulations called as
TNERC ( Terms and Conditions for Determination of Tariff for Intra state Transmission / Distribution of Electricity under MYT Framework ) (Amendment) Regulations , 2011
Sharing Norms
The financial loss, if any, due to failure to achieve the target for the controllable costs in any of the years in the control period shall be borne by the licensees and the efficiency gains, if any, shall be shared between the licensee and consumer in the ratio of 2:1