Tariff Regulations

West Bengal

The West Bengal Electricity Regulatory Commission has issued the Terms and Conditions of Tariff regulations dated 29th April 2011. The primary purpose of these regulations is to determine of tariff of generating companies, transmission & distribution licensees and SLDC for the year 2011-12 and onwards and Annual Performance Review for the year 2009-10 and onwards.

WBERC Tariff Regulations 2011

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Resolution By
WBERC
Notification No. and date
No. 48/WBERC dated April 29, 2011
Objectives
Determination of tariff for the year 2011-12 and onwards;
Annual Performance Review for the year 2009-10 and onwards.
Regulations called as
West Bengal Electricity Regulatory Commission (Terms and Conditions of Tariff) Regulations, 2011
Effective Control period
Third control period will consist of three ensuing years of 2011-12, 2012-13 and 2013-14
Cut-off Date
Date of closing of the first financial year after two year from the date of commercial operation of a project.
Useful Life
i. Transformers- 25 years
ii. Switchgear including cable connections- 25 years
iii. Lines on fabricated steel operating at nominal voltages higher than 66 kV- 35 years
Controllable Factors
a. Capital loan base
b. Depreciation of assets
c. Repair and Maintenance
d. Administrative and General Expense
e. Equity base
f. Man / CKM ratio
[clause 2.5.5]
Un-controllable Factors
a. Interest rate & Finance Charges
b. Addition or reduction in the Capital loan
c. Addition or reduction in the Depreciation
d. Addition or reduction in the equity base
e. Taxes on Income, Duties, Levies, cess, etc
f. Non-tariff income
g. Foreign Exchange Rate Variation
h. Interest on Working Capital
i. Insurance premium
j. Effect of rebate / surcharge
k. Income from other business
[clause 2.5.5]
Sharing Norms
a. Any variation arising out of all uncontrollable factors during Annual Performance Review using the operating norms, wherever applicable, for determination of allowable normative expenditure on that factor, shall be passed through the tariff in an appropriate manner;
b. Any variation arising out of controllable factors during Annual Performance Review using operating norms, wherever applicable, for determinations of allowable normative expenditure on that factor, shall be on the account of licensee
[clause 2.5.5]
Norms of operation
Normative Annual Transmission System Availability Factor (NATAF) shall be as under:
(1) AC system : 98%
(2) HVDC bi-pole links : 92%
(3) HVDC back-to-back Stations : 95%
[schedule 9D clause 2E]
Payment of Transmission Charges
The components of transmission tariff are:
a. Charges for use of network- This component of transmission service charges / tariff shall be reflecting cost of capital investment in and maintenance and operation of, a transmission system to transfer bulk power to and from different locations.
b. System Operation Charges- This component of transmission service charges / tariff shall reflect the cost associated with operating the state load despatch center
The fixed cost of the transmission system shall be computed on annual basis and recovered on monthly basis as transmission charge from the users
The annual transmission Service Charge (Aggregate Revenue Requirement) recoverable by a transmission licensee shall be computed in accordance with the following equation:
AFC = [Gross ARR - NTI - OI]
Where AFC = Annual Fixed Cost
Gross ARR = Gross Aggregate Revenue Requirement of the transmission licensee.
NTI = Approved level of non-tariff income
OI = Approved level of income from other business
Annual transmission service charges shall be recovered monthly. However, the short term customers shall pay transmission charges on a daily basis as laid down in the open access regulations.
[clause 6.16.2]
Allocation of Annual Transmission Charges
The transmission charge payable to a transmission licensee for a calendar month shall be calculated in accordance with the following formula.
i) The transmission charge payable for a calendar month for a transmission system or part thereof shall be
AFC x (NDM / NDY) x (TAFM / NATAF)
Where,
AFC = Annual fixed cost specified for the year, in Rupees
NATAF = Normative annual transmission availability factor, in per cent
NDM = Number of days in the month
NDY = Number of days in the year
TAFM = Transmission system availability factor for the month in percent.
The transmission charges shall be calculated on monthly basis according to transmission service charges to be recovered in each month of a year by the transmission licensee.
[clause 6.16.3]
In case of more than one long term transmission customer of the intra-state transmission system, the transmission service charges leviable on each long-term transmission customer shall be computed as per the following formula:
Transmission charges for transmission system concerned and payable for a month by a long-term transmission customer of that transmission system
n
= { ∑ [ AFCi/12 ] - TRSC } X CL/SCL
i=1
Where AFCi = Annual Fixed Charges for the ith transmission project in the transmission system
n = Number of projects in the transmission system concerned
TRSC = Total recovery of transmission charges for the month from short-term customers as specified in open access regulations for the transmission system
CL = Allotted transmission Capacity of the transmission system concerned to the long-term transmission customer.
SCL = Sum of the allotted transmission capacities to all the long-term transmission customers of the transmission system concerned
[clause 6.16.5]
Incentive
Incentive = Annual Transmission Charges x (Annual Availability achieved – Target Availability) /Target Availability
Where, Annual transmission charges shall correspond to intra-state assets and/or for a particular interstate asset, as the case may be
No incentive shall be payable below the availability of 99.75% for AC transmission line and substation system and 98.5% for HVDC system
[schedule 10 clause 8]
Reactive Energy Charges
Commission may decide reactive energy charge from time to time through a separate order which will be applicable on all the entity of the State grid
[clause 3.14]
Corrigendum/ Amendment, if any
a. dated Aug 27, 2012
b. dated Jul 30, 2013
c. dated Jan 01, 2020
WBERC Tariff Regulations, 2011 (1st Amendment)
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Resolution By
WBERC


Notification No. and date
No. 49/WBERC dated August 27, 2012


Objectives
Determination of tariff for the year 2011-12 and onwards;
Annual Performance Review for the year 2009-10 and onwards.


Regulations called as
West Bengal Electricity Regulatory Commission (Terms and Conditions of Tariff) (Amendment) Regulations, 2012


Effective Control period
No Amendment


Cut-off Date
No Amendment


Commercial Operation Date (COD)/ Date of commercial operation
No Amendment


Useful Life
No Amendment


Controllable Factors
No amendment


Un-controllable Factors
No Amendment


Sharing Norms
No Amendment


Norms of operation
No Amendment


Operation & Maintenance expenses
No amendment


Allocation of Annual Transmission Charges
No amendment


Treatment of losses
No amendment


Incentive
No amendment


Reactive Energy Charges
No amendment


Corrigendum/ Amendment, if any
No approval is required to be taken for Capital expenditure for schemes in a year upto the amount of ₹200 crore or 5% of GFA of the concerned business whichever is lower
[clause 2.8.4.1]


Payment of Transmission Charges
No amendment


WBERC Tariff Regulations, 2011 (2nd Amendment)
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Resolution By
WBERC


Notification No. and date
No. 54/WBERC dated July 30, 2013


Objectives
Determination of tariff for the year 2011-12 and onwards;
Annual Performance Review for the year 2009-10 and onwards.


Regulations called as
West Bengal Electricity Regulatory Commission (Terms and Conditions of Tariff) (Amendment) Regulations, 2013


Effective Control period
No Amendment


Cut-off Date
No amendment


Commercial Operation Date (COD)/ Date of commercial operation
No amendment


Useful Life
No amendment


Controllable Factors
Outsourcing within the period of agreement between the licensee and the outsourcing agency(ies) except the manpower related cost and hiring of vehicle cost
[clause 2.5.5]


Un-controllable Factors
Outsourcing within the period of agreement between the licensee and the outsourcing agency(ies) limited to manpower related cost and hiring of vehicle cost only
[clause 2.5.5]


Sharing Norms
No Amendment


Norms of operation
No Amendment


Operation & Maintenance expenses
No Amendment


Payment of Transmission Charges
No Amendment


Allocation of Annual Transmission Charges
No amendment


Treatment of losses
No Amendment


Incentive
No Amendment


Reactive Energy Charges
No Amendment


Corrigendum/ Amendment, if any
No approval is required to be taken for Capital expenditure for schemes in a year upto the amount of ₹300 crore or 5% of GFA of the transmission business of the transmission licensee whichever is lower
[clause 2.8.4.1]


WBERC Tariff Regulations, 2011 (3rd Amendment)
Download Amendment  

Notification No. and date
No. 65/WBERC dated January 21, 2020


Resolution By
WBERC


Objectives
Determination of tariff for the year 2011-12 and onwards;
Annual Performance Review for the year 2009-10 and onwards.


Regulations called as
West Bengal Electricity Regulatory Commission (Terms and Conditions of Tariff) (Third Amendment) Regulations, 2020


Effective Control period
ARR, APR, FCA and FPPA for the period prior to 01/04/2020 shall be governed by the regulations existing prior to the amendment
[clause 1.iii]


Cut-off Date
No amendment


Commercial Operation Date (COD)/ Date of commercial operation
No amendment


Useful Life
No amendment


Controllable Factors
No amendment


Un-controllable Factors
No amendment


Sharing Norms
No amendment


Norms of operation
No amendment


Operation & Maintenance expenses
No amendment


Payment of Transmission Charges
No amendment


Allocation of Annual Transmission Charges
No amendment


Treatment of losses
No amendment


Incentive
No amendment


Reactive Energy Charges
No amendment


Corrigendum/ Amendment, if any
For any payment made within due date, an additional rebate of 1% of the amount of energy billed will be applicable if such payment is made thorugh e-payment gateway.
[clause 8.5.4]