THE

JHARKHAND GAZETTE

EXTRAORDINARY

PUBLISHED BY AUTHORITY

24 AASHWIN 1947 (S)

RANCHI THURSDAY 16^ThOctober, 2025

JHARKHAND STATE ELECTRICITY REGULATORY

COMMISSION

--------

NOTIFICATION

16^th October, 2025

(Terms and Conditions for Determination of Distribution Tariff) Regulations, 2025

Notification No. 115--In exercise of powers conferred by sub-section (1) of Section 181 and

clauses (zd), (ze) and (zf) of sub-section (2) of Section 181, read with Sections 61, 62, and 86, of

the Electricity Act, 2003 (36 of 2003) and all other powers enabling it in that behalf, the

Jharkhand State Electricity Regulatory Commission here by makes the following Regulations.

The Regulation is guided by the principles contained in Sections 61 and 62 of the Act to

encourage competition, efficiency, economical use of resources, good performance and

optimum investments by the Distribution Licensees within the State of Jharkhand and for

determination of Multi-Year Tariff to be recovered by the Distribution Licensees for the

prudent expenses incurred towards providing quality supply of power to consumers within the

State of Jharkhand.

No. 474

Jharkhand Gazette (Extraordinary) Thursday 16^th October, 2025

CHAPTERI:

SCOPE, EXTENT AND DEFINITIONS

A1.

Short Title and Commencement

1.1

These Regulations shall be called the Jharkhand State Electricity Regulatory

Commission (Terms and Conditions for Determination of Distribution Tariff)

Regulations, 2025.

1.2

These Regulations shall extend to the whole of the State of Jharkhand.

1.3

These Regulations shall come into force for the period from April 01, 2026 to March

31, 2031, after its publication in the Official Gazette of the Government of Jharkhand

and unless reviewed earlier or extended by the Commission, shall remain in force upto

March 31, 2031.

1.4

These Regulations shall supersede the Jharkhand State Electricity Regulatory

Commission (Terms and Conditions for Determination of Distribution Tariff) (First

Amendment) Regulations, 2023, the Jharkhand State Electricity Regulatory

Commission (Terms and Conditions for Determination of Distribution Tariff)

Regulations, 2020, the Jharkhand State Electricity Regulatory Commission (Terms and

Conditions for Determination of Distribution Tariff) Regulations, 2015, Jharkhand State

Electricity Regulatory Commission (Terms and Conditions for Determination of

Distribution Tariff) Regulations, 2010, Jharkhand State Electricity Regulatory

Commission (Terms and Conditions of Tariff determination, Multi-Year Tariff

Framework) Regulations, 2007, and Jharkhand State Electricity Regulatory Commission

(Terms and Conditions for Distribution Tariff) Regulations, 2004, read with all

amendments thereto, as the case may be:

Explanation: For all purposes, including review matters pertaining to the period till March 31,

2026, the issues relating to determination of Aggregate Revenue Requirement and Tariff shall be

governed by the provisions of the Jharkhand State Electricity Regulatory Commission (Terms and

Conditions for Determination of Distribution Tariff) (First Amendment) Regulations, 2023 or the

Jharkhand State Electricity Regulatory Commission (Terms and Conditions for Determination of

Distribution Tariff) Regulations, 2020 or the Jharkhand State Electricity Regulatory Commission

(Terms and Conditions for Determination of Distribution Tariff) Regulations, 2015 or Jharkhand

State Electricity Regulatory Commission (Terms and Conditions for Determination of Distribution

Tariff) Regulations, 2010 or Jharkhand State Electricity Regulatory Commission (Terms and

Conditions of Tariff determination, Multi-Year Tariff Framework) Regulations, 2007 or Jharkhand

State Electricity Regulatory Commission (Terms and Conditions for Distribution Tariff)

Regulations, 2004, read with all amendments thereto, as may be applicable.

A2.

Scope of Regulations and Extent of Application

2.1

These Regulations shall be applicable for determination of ARR and Tariff to be billed

by the Distribution Licensees for Wheeling and Retail Supply Businesses to the different

categories of consumers including other Distribution Licensees within the State of

Jharkhand.

Jharkhand Gazette (Extraordinary) Thursday 16^th October, 2025

2.2

In accordance with the principles laid out in these Regulations, the Commission shall

determine tariff for:

Wheeling of electricity, i.e., wheeling tariff for the Control Period, and;

RetailSupplyofelectricity,i.e.,retailsupplytarifffortheControlPeriod;

Provided that in case of distribution of electricity in the same area by two or more

Licensees, the Commission may, for promoting competition among Licensees, fix only a maximum

ceiling of tariff for retail supply of electricity;

Provided further that where any category of consumer has been permitted open access

under Section 42 of the Act, the Commission shall determine the wheeling tariff, cross-subsidy

surcharge, additional surcharge and other open access related charges in accordance with these

Regulations

and

Jharkhand

State

Electricity

Regulatory

Commission(Intra

State

Open

Access)Regulations, 2016, as amended from time to time.

2.3

The ARR determined for the Wheeling Business shall be used to fix the wheeling tariff

for the wheeling of electricity.

2.4

The ARR determined for the Retail Supply Business shall be used to fix the retail supply

tariff for the retail sale of electricity.

2.5

These Regulations shall extend to the entire State of Jharkhand and to all matters

within the jurisdiction of the Commission.

A3. Definitions and Interpretation

3.1

In these Regulations, unless the context other wise requires-

‘Accounting Statement’ means for each Financial Year:

i. The Balance Sheet, prepared in accordance with the form contained in the

Companies Act, 2013 and its predecessors, as applicable;

ii. CashFlowStatement,preparedinaccordancewiththeapplicableAccounting

Standards of the Institute of Chartered Accountants of India;

iii. Cost Accounting Records prescribed by the Central Government under

Section 148 of the Companies Act, 2013 and its predecessors, as

applicable;

iv. Notes on accounts thereto, and such other supporting statements and

information forming part of financial statements or as the Commission

may direct from time to time;

v. Profit and Loss Account, complying with the requirements contained in

The Companies Act, 2013 and its predecessors, as applicable;

vi. Report of the Statutory Auditors, including any annexure and appendix

thereto, as applicable;

vii. Any or all the formats as notified by the Commission under these

Regulations for Tariff Regulation, including Multi Year Tariff Regulations

pertinent to the relevant year;

Jharkhand Gazette (Extraordinary) Thursday 16^th October, 2025

viii. Reconciliation Statement, duly certified by the Statutory Auditors, showing

the reconciliation between the total expenses, revenue, assets and

liabilities, of the entity as a Company and the expenses, revenue, assets

and liabilities, separately for each Business regulated by the Commission

and unregulated business operations.

‘Act’ means the Electricity Act, 2003 (36 of 2003) and subsequent

amendments thereof;

‘Additional Capitalisation’ means the capital expenditure incurred and

capitalised or projected to be capitalised, after the date of commercial

operation of the scheme and admitted by the Commission after a prudence

check, subject to provisions of Clause 10.13of these Regulations;

‘Aggregate Revenue Requirement’(ARR) means application for each financial

year, the costs pertaining to the Licensed business which are admissible, in

accordance with these Regulations, to be recovered in the form of tariffs and

charges determined by the Commission;

‘Allocation Statement’ means for each financial year, a statement in respect

of each of the businesses (Wheeling, Retail Supply, Other Business) of the

Licensee, showing the amounts of any revenue, cost, asset, liability, reserve or

provision, etc., which has been either:

Determined by apportionment or allocation between different businesses of

the Licensee, including the Licensed Business, together with a description on

the basis of the apportionment or allocation;

Charged from or to each such Other Business together with a description on

the basis of that charge;

‘Auditor’ means an auditor appointed by the Distribution Licensee, in

accordance with the provisions of sections 224, 233B and 619 of the

Companies Act, 1956 (1 of 1956), as amended from time to time or Chapter X

of the Companies Act, 2013 (18 of 2013) or any other law for the time being in

force;

‘Bank Rate’ means the one-year Marginal Cost of Lending Rate (MCLR) of the

State Bank of India applicable as on April 01of the respective year or any

replacement thereof for the time being in effect;

‘Base Year’ means the Financial Year 2025-26 and is used for the purposes of

these Regulations;

‘Carrying Cost’ means the interest amount on gap/surplus;

10.

‘Collection Efficiency’ shall mean the ratio of total revenue realised to total

revenue billed for the same financial year;

11.

‘Commission’ means the Jharkhand State Electricity Regulatory Commission

Jharkhand Gazette (Extraordinary) Thursday 16^th October, 2025

(JSERC);

12.

‘Conduct of Business Regulations’ means the Jharkhand State Electricity

Regulatory Commission(Conduct of Business) Regulations,2024, as amended

from time to time;

13.

‘Control Period’ means a multi-year period fixed by the Commission, from

April 01, 2026 and up to March 31, 2031;

14.

‘Deemed Distribution Licensee’ means a person/entity deemed to be a

Distribution Licensee under Section 14 of the Act;

15.

‘Distribution Licensee’ means a Licensee authorised to operate and maintain a

distribution system for supplying electricity to consumers in its area of supply

under Section 14 of the Act;

16.

‘Financial Year’ means a period commencing on April 01 of a calendar year

and ending on March 31 of the subsequent calendar year;

17.

‘Force Majeure Event’ means, with respect to any party, any event or

circumstance, or combination of events or circumstances, which is not within

the reasonable control of, and is not due to an act of omission or Commission

ofthatpartyandwhich,bytheexerciseofreasonablecareanddiligence,couldnotha

vebeenprevented;and,withoutlimitingthegeneralityofthe

foregoing,

shall

include the following events or circumstances:

(i)

acts of God, including but not limited to lightning, storm, action of

the elements, earthquakes, flood, torrential rains, drought and

natural disaster or any act of God beyond the control of any party

or due to any restraint of the State Government or Central

Government or any other Statutory Authority;

(ii)

strikes and industrial disturbances having a State-wide or extensive

impact in the area of supply of a Licensee, but excluding strikes and

industrial disturbances in the Distribution Licensee's own

organization;

(iii)

acts of war, invasion, armed conflict or act of foreign enemy,

insurrections, riots, revolution, terrorist or military action;

(iv)

unavoidable accident, including but not limited to fire, explosion,

radioactive contamination and toxic chemical contamination;

(v)

any shutdown or interruption of the grid, which is required or

directed by the concerned Load Dispatch Centre;

18.

‘Income from Other Business’ is the income received by the Distribution

Licensee other than from Tariff towards usage of assets and/or manpower

relating to regulated Business and shall exclude Non-Tariff Income;

19.

‘License’meansaDistributionLicensegrantedunderSection14oftheAct;

20.

‘Licensed Business’ shall mean the functions and activities, which the Licensee

Jharkhand Gazette (Extraordinary) Thursday 16^th October, 2025

is required to undertake in terms of the License granted or being a deemed

Licensee under the Act;

21.

‘Non-Tariff Income’ means the net income relating to the regulated Business

other

than

from

Tariff

defined

Clause

10.53,excludinganyincomefromOtherBusiness;

22.

‘Open Access Consumer’ means any Licensee or Consumer or buyer or a

person engaged in generation who has been granted Open Access in

accordance with the Jharkhand State Electricity Regulatory Commission(Terms

and Conditions for Intra-State Open Access) Regulations, 2016 as amended

from time to time;

23.

‘Other Business’ means any other business of the Distribution Licensee for

optimum utilisation of its assets within the meaning of Section 51 of the Act;

24.

‘Prudence Check’ means scrutiny of reasonableness of any cost or expenditure

incurred or proposed to be incurred in accordance with these Regulations by

the Distribution Licensee;

25.

‘Retail Supply Business’ means the business of sale of electricity by a Licensee

to the category of consumers within the area of supply in accordance with the

terms of the Licensee for distribution and retail supply of electricity;

26.

‘Retail Supply Tariff’ is the rate charged by the Licensee for supply to non-

open access consumers, which includes charges for Wheeling and Retail

Supply;

27.

‘Trading Business’ means the business of purchase of electricity by the

Licensee for resale to another Licensee or consumers or category of

consumers outside the area of supply of the Licensee;

28.

‘Tariff Period’ shall mean the period from April 01,2026andupto

March31,2031,forwhichTariffisdeterminedbytheCommissionunderthese

Regulations;

29.

‘Wheeling’ means the operation whereby the distribution system and

associated facilities of a Licensee are used by another person for the

conveyance of electricity on payment of charges to be determined under

Section 62 of the Act;

30.

‘Wheeling Business’ means the business of operating and maintaining a

distribution system for conveyance of electricity in the area of supply of the

Licensee;

31.

‘Average Cost of Supply’ (ACoS) shall mean average cost price of supply of

one unit of electricity;

32.

‘Fuel and Power Purchase Adjustment Surcharge’(FPPAS) shall mean the

increase in cost of power supplied to consumers due to a change in Fuel cost,

power purchase cost and transmission charges with reference to the cost of

supply approved by the Commission.

Jharkhand Gazette (Extraordinary) Thursday 16^th October, 2025

3.2

Words and expressions used in these Regulations and not defined herein but defined

in the Act shall have the meanings respectively assigned to them in the Act.

3.3

Reference to any Act, Rules and Regulations shall include amendment or consolidation

or re-enactment thereof.

3.4

All proceedings under these Regulations shall be governed by the Jharkhand State

Electricity Regulatory Commission (Conduct of Business) Regulations, 2024 as

amended or re-enacted from time to time.

A4.

Tariff Approved to be Ceiling Tariff

4.1

For removal of doubts, it is clarified that the Tariffs determined under the

provisions of these Regulations are the ceiling values and this shall not preclude

the Distribution Licensee from proposing reduced Tariffs for any consumer.

However, in such case the reduced Tariffs shall not be considered for the

determination of Revenue as the same is the liability of the Distribution Licensee.

Jharkhand Gazette (Extraordinary) Thursday 16^th October, 2025

CHAPTERII:

TARIFFFRAMEWORKANDGUIDINGPRINCIPLES

A5.

Multi–Year Tariff (MYT)Framework

5.1

The MYT Framework shall commence from April 01, 2026, and unless reviewed earlier

or extended by the Commission, shall be applicable till March 31, 2031. The ARR filings

for the Control Period shall be done in accordance with the MYT framework contained

in these Regulations.

5.2

The Distribution Licensees shall file the MYT Application along with supporting

documents before the Commission as per the timelines specified in Section A 24 of

these Regulations.

5.3

The MYT Application shall include statements containing ARR along with its break up

for the Years of the previous Control Period based on Audited Accounts for FY 2020-21

to FY 2024-25, revised estimates for Base Year FY 2025-26, and the projections for

each year of the Control Period.

5.4

The Guiding Principles for the MYT Framework are described in Section A6of these

Regulations.

5.5

The principles for the determination of ARR for the Control Period are described in

Chapter III of these Regulations, and the procedure for Annual Filing during the

Control Period is described in Chapter IV of these Regulations.

A6. Guiding Principles for Multi-Year Tariff (MYT)Framework

6.1

The Commission shall adopt a Multi-Year Tariff Framework for approval of ARR and

expected revenue from Wheeling and Retail Supply Tariff Business. The ARR shall be

determined for each year of the Control Period.

6.2

The Multi-Year Tariff framework shall be based on the following:

Business Plan for the Wheeling and the Retail Supply Business of the Licensees

for the entire Control Period to be filed before the Commission for approval,

along with MYT Petition prior to the start of the Control Period or within such

period as the Commission may direct;

Licensees’ forecast of expected ARR for each year of the Control Period,

wheeling tariff and retail supply tariff for the first year of the ensuing Control

Period,basedonreasonableassumptionsoftheunderlyingfinancialandoperationa

l principles/parameters laid down under these Regulations, and on the basis of

the Business Plan;

Trajectory for specific parameters shall be prescribed by the Commission for

improvement of Licensee’s performance through incentives and disincentives;

Annual review of performance, which shall be conducted vis-à-vis the

approved forecast and categorization of variations in performance into

controllable and uncontrollable factors; and

Mechanism for sharing approved gains or losses on account of controllable

Jharkhand Gazette (Extraordinary) Thursday 16^th October, 2025

and uncontrollable factors.

Determination of Baseline

6.3

The values for the Base Year of the Control Period shall be determined on the basis of

the audited accounts available for FY 2020-21 to FY 2024-25. In the absence of audited

accounts of any such year, the Commission may consider best estimate for such year

after carrying out due prudence check and after taking into account other factors as

considered relevant by the Commission.

6.4

The Commission shall normally not revise the performance targets during the Control

Period, unless the Commission is of the view that there is a major variation in

approved numbers vis-à-vis actuals.

Segregation of Retail Supply and Wheeling Business

6.5

The Licensee shall segregate the accounts of the Licensed Business into Wheeling

Business and Retail Supply Business.

6.6

The ARR for Wheeling Business shall be used to determine Wheeling Tariff and the

ARR for Retail Supply Business shall be used to determine Retail Supply Tariff.

6.7

For such period until accounts are segregated, the Licensee shall prepare an Allocation

Statement to apportion costs and revenues to respective business. The Allocation

Statement, approved by the Board of Directors of the Licensee, shall be accompanied

with an explanation of the basis and methodology used for segregation, which should

be consistent over the Control Period.

6.8

In case clear and reasoned methodology for allocation is not submitted by the

Distribution Licensee, the Commission may consider the segregation as approved for

the previous Control Period as specified below or may decide on the manner in which

such allocation can be done:

Particulars

Shareof Supply

Business

Shareof Wires

Business

O&M Cost

Employee cost

40%

60%

A&G Expense

50%

R&M Cost

10%

90%

Power purchase(Including PGCIL & RLDC Charges)

100%

Interest on security deposit

100%

Interest Cost

10%

90%

Interest on working capital

90%

10%

Taxes on Income

10%

90%

Depreciation

10%

90%

Return on Equity

10%

90%

Jharkhand Gazette (Extraordinary) Thursday 16^th October, 2025

Particulars

Shareof Supply

Business

Shareof Wires

Business

Less:Non-Tariff/Other Income

90%

10%

Business Plan

6.9

Each Licensee shall file for the Commission’s approval a Business Plan approved by an

authorized signatory, as per the timelines specified in Section A 24of these

Regulations.

6.10

The Business Plan shall be filed separately for the Retail Supply and Wheeling

Business. As specified in Clause 6.7of these Regulations, in the absence of segregated

accounts for the two Businesses, the Licensee shall prepare an allocation statement

and submit the same with the Business Plan.

6.11

TheBusinessPlanshallbefortheentireControlPeriodandshallinter-aliacontain:

Capital Investment Plan for the entire Control Period commensurate with

load growth, distribution loss reduction trajectory and quality improvement

measures proposed in the Business Plan. The Capital Investment Plan should

also include corresponding capitalisation schedule and financing plan;

The Distribution Licensee shall also submit scheme-wise capital structure and

cost of financing(interest on debt) and return on equity, Grant, Deposit Works,

along with terms of the existing loan agreements, etc., as a part of the Capital

Investment Plan;

Sales/Demand Forecast for each consumer category and sub-categories for

each year of the Control Period;

Power Procurement Plan based on the sales forecast and distribution loss

trajectoryforeachyearoftheControlPeriod.ThePowerProcurementPlanshall also

include energy efficiency, RPO fulfilment, and demand side management

measures;

A set of targets proposed for other controllable items such as distribution

losses, Billing efficiency, Collection efficiency, working capital requirement,

quality of supply targets (viz., SAIFI, SAIDI and MAIFI as per the Jharkhand

State Electricity Regulatory Commission( Distribution Licensees’ Standards of

Performance) Regulations, 2015, and subsequent amendments), etc. The

targets shall be consistent with the capital investment plan proposed by the

Licensee.

Human Resource Plan with manpower planning including details of the

estimated year wise manpower addition and retirements for the Control

Period to meet the growth in demand/consumers;

Proposals for Non-Tariff Income with item-wise description and details;

Jharkhand Gazette (Extraordinary) Thursday 16^th October, 2025

Proposals in respect of income from Other Business.

Business Plan shall also contain the requisite information for the preceding

Control Period:

Provided that requisite information for the preceding Control Period shall

include year-wise audited data on Scheme-wise capital investment,

distribution loss trajectory, quality improvement measures undertaken,

category-wise number of consumers, connected load and sales, source-wise

power procurement quantum and cost, Employee, R&M and A&G Expenses

along with detailed break up and any other information used for preparing

projections of various performance parameters and other components during

the Control Period. In case of a new Licensee, such information is required to

be submitted for the period of operations up to the start of the Control

Period.

Capital Investment Plan

6.12

The Licensee shall file for the Commission’s approval a Capital Investment Plan for the

entire Control Period along with the Business Plan. The Capital Investment Plan shall

be prepared scheme-wise, and each scheme shall include:

Purpose of investment (e.g., replacement of existing assets, meeting load

growth, technical and distribution loss reduction, non-technical loss reduction,

meeting reactive energy requirements, customer service improvement,

improvement in quality and reliability of supply, etc.);

Approval of Competent Authority;

Capital Structure;

Detailed Project Report;

Capitalisation Schedule;

Implementation schedule including timelines;

Cost-benefit analysis and Rate reasonability;

Improvement in operational efficiency envisaged in the Control Period;

Ongoing schemes that will spill over in to the year under review, along with

justification;

New schemes that will commence during the Control Period but may be

completed within or beyond the Control Period.

6.13

During the Annual Performance Review (APR), the Commission shall monitor the year-

wise progress of the actual capital expenditure incurred by the Licensee vis-à-vis the

approvedcapitalexpenditure.TheLicenseeshallsubmittheactualcapitalexpenditure

incurred along with the Annual Performance Review Filing.

6.14

The Commission shall review the actual capitalisation at the end of each year of the

Control Period vis-à-vis the approved capitalisation schedule and shall true up the ARR

Jharkhand Gazette (Extraordinary) Thursday 16^th October, 2025

based on actual capitalisation for the year for which True up has been filed and also

revise the ARR components for the year for which APR and Tariff have been sought.

6.15

In case the capital expenditure is required for emergency work, which has not been

approved in the Capital Investment Plan, the Licensee shall submit an application

containing all relevant information along with reasons justifying the emergency nature

of the proposed work, seeking approval of the Commission wherever possible:

Provided that in case the capital expenditure is required for emergency work or

unforeseen situation to mitigate threat to life and property and if prior intimation

there o f to the Commission shall cause any irreparable loss or injury, the Licensee

may undertake such capital expenditure and submit the details for post-facto approval

of the Commission along with next Tariff Petition with all relevant details.

Sales/Demand Forecast

6.16

The Licensee, in its Business Plan filings, shall forecast sales for each consumer

category, sub-category and for each tariff slab, at different voltage levels, for each

year of the Control Period based on recent trends and historical growth for the

Commission’s review and approval along with the requisite details of category-wise

and voltage-wise sales, contracted load, number of consumers, etc.

6.17

The Commission shall examine the forecasts for reasonableness and consistency on

the basis of expected growth in the number of consumers, changes in pattern of

consumption, seasonal variations, target distribution losses, demand for electricity in

previous years and anticipated growth in the next year, and any other factor

considered relevant by the Commission, and accordingly approve sales forecast with

such modifications as deemed fit for each year of the Control Period.

6.18

Sales of electricity, if any, to electricity traders or another Licensee shall be separately

indicated.

6.19

The Licensee shall also indicate category-wise open access consumers along with open

access sales. The energy wheeled for them shall be shown separately for:

Supply with in its area of supply; and

Supply outside its area of supply.

Power Procurement Guidelines

6.20

The Distribution Licensee shall undertake its Power procurement during the year in

accordance with the Power Procurement Plan for the Control Period, which may

include long-term, medium-term and short-term power procurement, approved by

the Commission in accordance with these Regulations.

6.21

The Distribution Licensee shall follow the Guidelines contained in this Part with

respect to:

Procurement of power under any arrangement or agreement with a term or

duration exceeding twelve (12) years and up to twenty-five (25) years (i.e.,

long-term power procurement);

Jharkhand Gazette (Extraordinary) Thursday 16^th October, 2025

Procurement of power under any arrangement or agreement with a term or

duration exceeding 3 months but not exceeding three (3) years (i.e., medium-

term power procurement); and

Procurement of power under any arrangement or agreement with a term or

duration less than or equal to one (1) month (i.e., short-term power

procurement).

Power Procurement Plan

6.22

The Distribution Licensee shall prepare a plan for procurement of power to serve the

demand for electricity in its area of supply and submit such plan to the Commission for

approval:

Provided that such power procurement plan shall be submitted for the

Control Period from FY 2026-27 to FY 2030-31:

Provided further that the power procurement plan proposed as a part of the Business

Plan, shall be submitted along with the application for determination of tariff:

ProvidedalsothatthepowerprocurementplansubmittedbytheDistribution Licensee may

include purchase from long-term, medium- term and short-term sources of power, in

accordance with these Regulations. However, the Distribution Licensee should, as far

as possible, not plan for short-term purchases except for conditions specified in Clause

6.31 to Clause 6.36 and should endeavor to meet its requirement from long-term and

medium-term power procurement and make a plan accordingly.

6.23

The power procurement plan of the Distribution Licensee shall comprise the

following:

A quantitative forecast of the unrestricted demand for electricity for each

tariff category, within its area of supply over the Control Period;

An estimate of the quantities of electricity supply from the identified sources

of generation and power purchase;

An estimate of availability of power to meet the Base Load and Peak Load

requirement:

Provided that such estimate shall be monthly estimation of demand and

supply expressed both in Mega-Watt (MW) as well as in Million Units (MU);

Standards to be maintained with regard to quality and reliability of supply, in

accordance with the Jharkhand State Electricity Regulatory Commission

(Distribution Licensees’ Standards of Performance) Regulations, 2015, as

amended from time to time;

Measures proposed to be implemented as regards energy conservation and

energy efficiency;

The requirement for new sources of power generation and/or procurement,

including augmentation of generation capacity and identified new sources of

supply, based on (a) to (e) above;

Jharkhand Gazette (Extraordinary) Thursday 16^th October, 2025

The plan for procurement of power including quantities and cost estimates for

such procurement:

Provided that the forecast/estimate contained in the long-term procurement

plan shall be separately stated for peak and off-peak periods, in terms of

quantities of power to be procured (in MU) and maximum demand (in MW /

MVA):

Provided further that the forecasts/ estimates shall be prepared for each

month of the Control Period:

Provided also that the long-term procurement plan shall be a cost-effective

plan based on available information regarding costs of various sources of

supply.

6.24

The forecasts estimates shall be prepared using forecasting techniques based on past

data and reasonable assumptions regarding the future:

Provided that the forecasts/estimates shall take into account factors such as overall

economic growth, consumption growth of electricity-intensive sectors, advent of

competition in the electricity industry, trends in captive power, impact of loss

reduction initiatives, improvement in Generating Station Plant Load Factors and other

relevant factors.

The concerned licensee will endevour to implementan application-based

automated tool, incorporating advanced technologies such as Artificial Intelligence

and Machine Learning, for managing the power procurement portfolio and enabling

accurate demand–supply forecasting. A detailed feasibility report covering the

technical

framework,

operational

modalities,

cost–benefit

analysis,

and

implementation schedule shall be submitted to the Commission. The tool shall be

designed to optimise key performance indicators of power procurement, including,

but not limited to, reduction in total power purchase cost, reduction in Deviation

Settlement Mechanism charges, optimisation of bilateral and power exchange

transactions, and enhancement of forecasting accuracy.

6.25

Where the Commission has stipulated a percentage of the total consumption of

electricity in the area of a Distribution Licensee to be purchased from cogeneration/

renewable sources of energy, the power procurement plan of such Distribution

Licensee shall include the plan for procurement from such sources at least up to the

stipulated level.

6.26

The Distribution Licensee shall be required to forward a copy of the power

procurement plan to the State Transmission Utility for verification of its consistency

with the transmission system plan for the intra-State transmission system:

Provided that the Distribution Licensee may also consult the State

Transmission Utility at the time of preparation of the power procurement plan to

ensure consistency of such plan with the transmission system plan.

Jharkhand Gazette (Extraordinary) Thursday 16^th October, 2025

6.27

The Distribution Licensee may, as a result of additional information not previously

known or available at the time of submission of the power procurement plan, apply

for a modification in the power procurement plan for the remainder of the Control

Period, as part of the application for Annual Performance Review.

6.28

The Commission may, as a result of additional information not previously known or

available to the Commission at the time of submission of the power procurement plan,

if it so deems, either on suo-motu basis or on an application made by any interested or

affected party, modify the power procurement plan of the Distribution Licensee for

the remainder of the Control Period, as part of the Annual Performance Review.

Approval of power purchase agreement/arrangement

6.29

Every agreement or arrangement for power procurement by a Distribution Licensee

from a Generating Company or Licensee or from other source of supply entered into

shall come into effect only with the prior approval of the Commission:

Provided that the prior approval of the Commission shall be required in respect of

any agreement or arrangement for power procurement by the Distribution Licensee

from a Generating Company or Licensee or from any other source of supply on a

standby basis:

Provided further that the prior approval of the Commission shall be required for any

change to an existing arrangement or agreement for power procurement, whether or

not such existing arrangement or agreement was approved by the Commission.

6.30

The Commission shall review an application for approval of power procurement

agreement/arrangement having regard to the approved power procurement plan of

the Distribution Licensee and the following factors:

Requirement for power procurement under the approved power procurement

plan;

Adherence to a transparent process of bidding in accordance with guidelines

issued by the Central Government;

Adherence to the terms and conditions for determination of tariff specified

under these Regulations where the process specified in (b) above has not been

adopted;

Availability (or expected availability) of capacity in the intra-State transmission

system for evacuation and supply of power procured under the agreement/

arrangement;

Need to promote co-generation and generation of electricity from renewable

sources of energy.

Additional Short-term power procurement

6.31

The Distribution Licensee may undertake additional short-term power procurement

during the year, over and above the power procurement plan for the Control Period

approved by the Commission, in accordance with this Regulation.

Jharkhand Gazette (Extraordinary) Thursday 16^th October, 2025

6.32

Where there has been a shortfall or failure in the supply of electricity from any

approved source of supply during the Financial Year, the Distribution Licensee may

enter into additional short-term arrangement or agreement for procurement of

power:

Provided that if the total power purchase cost or quantum for any block of six months

including such short-term power procurement exceeds the power purchase cost or

quantum approved by the Commission for the respective block of six months by more

than ten percent (10%), the Distribution Licensee shall have to obtain post-facto

approval of the Commission.

6.33

Where the Distribution Licensee has identified a new short-term source of supply from

which power can be procured at a tariff that reduces its approved total power

procurement cost, the Distribution Licensee may enter into a short-term power

procurement agreement or arrangement with such supplier without the prior approval

of the Commission.

6.34

The Distribution Licensee may enter into a short-term arrangement or agreement for

procurement of power or procure power from Power Exchanges without the prior

approval of the Commission when faced with emergency conditions that threaten the

stability of the distribution system or when directed to do so by the State Load

Dispatch Centre to prevent grid failure.

6.35

Within fifteen (15) days from the date of entering into an agreement or arrangement

for short-term power procurement for which prior approval is not required, the

Distribution Licensee shall provide the Commission, full details of such agreement or

arrangement, including quantum, tariff calculations, duration, supplier details, method

for supplier selection and such other details as the Commission may require with

regard to such agreement/arrangement to assess that the conditions specified in this

Regulation have been complied with:

Provided that where the Commission has reasonable grounds to believe that

the arrangement or agreement entered into by the Distribution Licensee does not

meet the criteria specified in Clause 6.32 to Clause 6.34, the Commission may disallow

any increase in the total cost of power procurement (net of additional revenue) over

the approved level arising there from or any loss incurred by the Distribution Licensee

as a result, from being passed through to consumers.

6.36

Subject to the cases specified in Clause 6.32 to Clause 6.34, where the Distribution

Licensee enters into any agreement or arrangement for short-term power

procurement without the approval of the Commission, any increase in the total cost of

power procurement (net of additional revenue) over the approved level arising there

from shall be deemed to be a variation in performance attributable entirely to

controllable factors.

6.37

In addition, the Licensee may also sell any surplus power in the open market provided

that such sale of power shall lead to recovery of tariff higher than the variable cost of

such power.

Jharkhand Gazette (Extraordinary) Thursday 16^th October, 2025

Targets for Distribution Losses and Collection Efficiency

6.38

The Licensee shall file the distribution loss trajectory for the entire Control Period in

the Business Plan commensurate with the Capital Investment Plan for each year of the

Control Period for approval of the Commission.

6.39

The minimum collection efficiency targets to be met during the Tariff Period by various

Licensees are as follows:

Collection Efficiency Targets

Utility

2026-27

2027-28

2028-29

2029-30

2030-31

JBVNL

99.00%

TSUISL

99.50%

SAIL-Bokaro

99.50%

TSL

99.50%

DVC

99.50%

Providedthatincasetheactualcollectionefficiencyisgreaterthanthetarget,the actual

collection efficiency shall be considered for Tariff Determination purposes.

Quality of Supply and Services

6.40

The quality of supply and the customer service parameters shall be monitored as per

the norms specified by the Commission from time to time.

6.41

The Licensees shall propose the baseline and performance trajectory for all quality

parameters as specified in the Jharkhand State Electricity Regulatory Commission

(Distribution Licensees’ Standards of Performance) Regulations, 2015, as amended

from time to time as per the formats specified in the said Regulations. For the Control

Period, the proposed baseline and performance trajectory shall be submitted along

with the Business Plan.

6.42

The Commission shall make an assessment of reliability of baseline data and may

prescribe the performance trajectory for each identified parameter for the Control

Period.

In this regard a benchmarking study shall be undertaken for operational, technical,

financial, and standards of performance parameters, taking into account prevailing

market dynamics and best practices within the power sector. A detailed report of the

benchmarking exercise shall be submitted to the Commission within six months from

the date of notification of these Regulations and in turn the commission may by doing

proper assessment of the report of the benchmark study submitted by the respective

utilities, may further take the initiative for determining the best practices in power

sector independently by engaging any expert in this field.

6.43

The performance framework to encourage Licensees to improve quality of supply and

services shall be as per the Jharkhand State Electricity Regulatory Commission

(Distribution Licensees’ Standards of Performance) Regulations, 2015, as amended

Jharkhand Gazette (Extraordinary) Thursday 16^th October, 2025

from time to time.

Controllable and Uncontrollable elements of ARR

6.44

For the purpose of the MYT Framework contained in these Regulations, the elements

of ARR shall be identified as “controllable” and “uncontrollable”, as follows:

ARRElement

Controllable/Uncontrollable

Variation in Sales

Uncontrollable

Power Purchase Cost (excluding short-term power)

Uncontrollable

Short-Term Power Purchase Cost

Controllable(CeilingValue)

Transmission & Load Dispatch Charges

Uncontrollable

O&M Expenses(excluding terminal liabilities of employees)

Controllable

Terminal liabilities of employees

Uncontrollable

Return on Equity

Controllable

Interest on Loan

Controllable

Interest on Working Capital

Controllable

Depreciation

Controllable

Taxes on Income

Uncontrollable

Foreign Exchange Rate Variation

Uncontrollable

Non-Tariff Income

Uncontrollable

Income from Other Businesses

Uncontrollable

Interest on Consumer Security Deposit

Uncontrollable

Distribution Loss and Collection Efficiency

Controllable

Quality of Supply

Controllable

Capital Expenditure

Controllable

Capitalisation

Controllable

Variation in Wires Availability and Supply Availability

Controllable

6.45

The variation on account of uncontrollable elements shall be treated as a pass-through

to be ultimately charged to the consumers, subject to a prudence check and approval

by the Commission.

6.46

The Commission shall also permit pass-through of variations in controllable items on

account of Force Majeure events and due to a Change in Law in the ARR for the

ensuing year, based on the submission of actual values by the Licensee and

subsequent validation and approval by the Commission.

6.47

The variation from targets specified by the Commission on account of controllable

elements shall be subject to an incentive and penalty framework, as detailed in the

subsequent section.

Jharkhand Gazette (Extraordinary) Thursday 16^th October, 2025

Incentive and PenaltyFramework

6.48

Various elements of the Aggregate Revenue Requirement (ARR) of the Licensee shall

be subject to an incentive and penalty framework, as per the terms specified in this

section. The overall aim is to incentivise better performance and penalise

underperformance, based on performance norms/benchmarks specified by the

Commission.

6.49

The gains/losses shall be computed on aggregate basis for controllable items such as

Operation & Maintenance Expenses (excluding Terminal Liabilities), Distribution Losses

and Collection Efficiency considered collectively on annual basis. The computations

shall be based on the data submitted by the Licensee in the Annual Performance

Review and audited annual accounts and shall be subject to prudence check by the

Commission.

6.50

In case of aggregate gains, the aggregate gain shall be shared between the Licensee

and the consumers in the ratio of fifty:fifty (50:50) respectively.

6.51

The gains to be shared shall be passed on to the consumers through Tariff during the

Annual Performance Review for each year of the Control Period.

6.52

In case of any loss on account of underperformance with respect to the controllable

parameters, the Licensee shall bear the entire losses and no proportion of losses shall

be passed on to the consumers.

6.53

In addition, the net savings due to refinancing of Loans by the Distribution Licensee

shall be shared between the Users and the Licensee, as the case may be, in the ratio of

fifty:fifty (50:50).

A7. Truing-up

7.1

The Licensee shall submit along with the application for truing up, category-wise and

voltage-wise sales, contracted demand and number of consumers, source-wise power

purchase quantum and cost, details of capital expenditure, additional capitalization,

sources of financing, operation and maintenance expenditure, actual loan portfolio

with the interest paid along with other components of ARR, for each year of the

Control Period, on the basis of annual Audited Accounts as per the Timelines

stipulated in Section A 24.

7.2

Where after the truing up, the revenue recovered exceeds the trued up value

approved by the Commission under these Regulations, the surplus amount shall be

treated as specified in Clause 7.4 of these Regulations.

7.3

Where after the truing up, the revenue recovered is less than the trued up value

approved by the Commission under these Regulations, the gap amount shall be

treated as specified in Clause 7.4 of these Regulations.

7.4

The amount under-recovered or over-recovered, along with simple interest at the rate

equal to Bank Rate as on April01 of the respective year plus two hundred (200)basis

points, shall be carried forward to the Tariff approved for the subsequent years:

Jharkhand Gazette (Extraordinary) Thursday 16^th October, 2025

Provided that no carrying cost on the duration of delay shall be allowed on unrecovered gap if the

Licensee fails to submit the Petitions as per the timelines stipulated in Section A 24:

Provided further that if such gap is large, and it is not feasible to recover the same in one

year alone, the Commission may take a view to create a regulatory asset, as per the guidelines

provided in Clause 8.2.2 of the Tariff Policy, 2016.

Provided further that any adverse financial impact on account of variation in uncontrollable

items due to lapse on part of the Licensee or its suppliers/contractors shall not be allowed in truing

up.

7.5

The Commission, to ensure tariff stability, may include the trued-up costs in the

subsequent Control Period’s ARR instead of including in the year succeeding the

relevant year of the Control Period.

A8. Annual Performance Review

8.1

The Licensee shall submit along with the application for Annual Performance Review,

details of category-wise and voltage-wise sales, contracted demand and number of

consumers, source-wise power purchase quantum and cost, details of capital

expenditure, additional capitalization, sources of financing, operation and

maintenance expenditure, actual loan portfolio with the interest paid along with other

components of ARR incurred/projected to be incurred for the year under review, as

per the timelines stipulated in Section A 24.

8.2

Along with Annual Performance Review Filing, the Licensee shall also claim revised

ARR for the following year based on the truing up and annual performance review of

previous year/s.

8.3

The Scope of the Annual Performance Review shall be comparison of the approved

expenses vis-à-vis revised estimates for the year(s)and shall comprise the following:

Comparison of Approved Capital Expenditure and Capitalisation vis-à-vis

revised estimates by the Licensee based on the latest actual data available;

Comparison of Sales and Power Purchase required to meet the requisite Sales

approved by the Commission vis-à-vis the revised estimates by the Licensee

based on the latest actual data available;

Comparison of Other Expenses such as Interest on Loan, Interest on Working

Capital, Return on Equity, Depreciation and O&M Expenses approved by the

Commission vis-à-vis the revised estimates by the Licensee based on the latest

actual data available;

Computation of the sharing of gains and losses on account of controllable

factors for the previous year;

Approved Revenue vis-à-vis revised estimates based on the latest actual data

available.

Any other Expenses/ Revenues impacting ARR.

8.4

Distribution Licensees may, as a result of additional information not previously known

Jharkhand Gazette (Extraordinary) Thursday 16^th October, 2025

or available to them at the time the forecast was developed, apply for a modification

in the approved forecast of ARR and expected revenue from tariff and charges for the

remainder of the Control Period, as part of the Annual Performance Review.

8.5

The Commission if, as a result of additional information not previously known or

available to it at the time the forecast was developed, is of the view that the same

may result in significant over/under recovery, either suo-motu or on an application

made by any interested or affected party, modify the approved forecast of ARR and

expected revenue from tariff and charges for the remainder of the Control Period, as

part of the Annual Performance Review.

8.6

Based on the analysis of Annual Performance Review and Truing up, the Commission,

may revise the ARR and Tariff for the ensuing year of the Control Period.

Jharkhand Gazette (Extraordinary) Thursday 16^th October, 2025

CHAPTER III: DETERMINATION OF ARR

A9.

Details for True-up, APR and determination of ARR & Tariff

9.1

The Distribution Licensee shall submit the details for True-up for the previous year,

Annual Performance Review for the current year and Tariff Determination for the

ensuing year as per the principles discussed in the subsequent Sections.

A10.PrinciplesforDeterminationofARR

Calculation of ARR for Wheeling Business during the Control Period

10.1

The Aggregate Revenue Requirement for the Wheeling Business of the Licensees for

each year of the Control Period, shall comprise the following items:

Operation and Maintenance Expenses;

Return on Equity;

Interest on Working Capital;

Interest on Loans;

Depreciation;

Income Tax;

Lease Charges;

Foreign Exchange Rate Variation;

Less: Non-Tariff Income;

Less: Income from Other Business; and

Less: Income from wheeling of electricity(refer Clause 10.50)

Calculation of ARR for Retail Supply Business during the Control Period

10.2

The Aggregate Revenue Requirement for the Retail Supply Business of the Licensees

for each year of the Control Period, shall comprise the following items:

Cost of power procurement;

Transmission & Load Dispatch charges;

Operation and Maintenance Expenses;

Return on Equity;

Interest on Working Capital;

Interest on Loans;

Interest on Consumer Security Deposit;

Depreciation;

Income Tax;

Lease Charges;

Jharkhand Gazette (Extraordinary) Thursday 16^th October, 2025

Foreign Exchange Rate Variation;

Bank Charges subject to the prudent check

Less: Non-Tariff Income;

Less: Income from Other Business; and

Less: Receipts on account of Cross Subsidy Surcharge and Additional Surcharge

from Open Access Consumers.

OperationandMaintenanceExpenses

10.3

Operation and Maintenance(O&M)Expenses shall include:

Salaries, wages, pension contribution and other employee costs;

Administrative and General Expenses;

Repairs and Maintenance Expenses.

10.4

The O&M Expenses for the Base Year of the Control Period shall be approved by the

Commission taking into account the audited accounts of FY 2020-21 to FY 2024-25,

Business Plan filed by the Licensee, estimates of the actual for the Base Year, prudence

check and any other factor considered appropriate by the Commission.

10.5

The O&M expenses permissible towards ARR of each year of the Control Period shall

be approved based on the formula shown below:

O&Mn=(R&Mn+EMPn+A&Gn)+Terminal Liabilities

Where,

R&Mn–Repair and Maintenance Costs of the Licensee for then^th year;

EMPn– Employee Costs of the Licensee for then^thyear, excluding term

inalliabilities;

A&Gn–Administrative and General Costs of the Licensee for then^thyear.

10.6

The above components shall be computed in the manner specified below:

R&Mn=K*GFA*(INDXn/INDX0)

Where,

‘K’ is a constant (expressed in percentage(%)) governing the relationship

between R&M costs and Gross Fixed Assets (GFA) and shall be calculated

based on the percentage (%) of R&M to GFA of the preceding year of the

Base Year in the MYT Order after normalising any abnormal expenses;

‘GFA’is the opening value of the gross fixed asset of then^thyear;

INDXn is the indexation for nth year of control period;

INDXo is the indexation for the base year of the control period;

EMPn+A&Gn=[(EMPn-1)*(1+Gn)+(A&Gn-1)]*(INDXn/INDXn-1)+ provision for A&G (if

any)

Jharkhand Gazette (Extraordinary) Thursday 16^th October, 2025

Where,

EMPn-1– Employee Costs of the Licensee for the (n-1)^th year excluding

terminal liabilities;

A&Gn-1– Administrative and General Costs of the Licensee for the (n-1)^th

year excluding legal/litigation expenses;

INDXn– Inflation factor to be used for indexing the employee cost and A&G

cost. This will be a combination of the Consumer Price Index (CPI) and the

Wholesale Price Index (WPI) for immediately preceding year before the

base year;

Gn – is a growth factor for the n^th year and it can be greater than or lesser

than zero based on the actual performance. Value of Gn shall be

determined by the Commission in the MYT Order for meeting the

additional manpower requirement based on the Distribution Licensee’s

Filing, benchmarking and any other factor that the Commission feels

appropriate;

Provision: Cost or initiatives or other one-time expenses as proposed by the

Distribution Licensee subject to the prudence check and is validated by the

Commission.

INDXn=0.55*CPIn+0.45*WPIn;

Note 1: For the purpose of estimation, the same INDXn/INDXn-1value shall be used for

all years of the Control Period. However, the Commission will consider the actual

values in the INDXn/INDXn-1at the end of each year during the Annual Performance

Review exercise and true up the employee cost and A&G expenses on account of this

variation, for the Control Period;

Note 2: Any variation due to changes recommended by the Pay Commission, wage

revision agreement, etc., will be considered separately by the Commission;

Note 3: Terminal Liabilities will be approved as per actual submitted by the Licensee

along with documentary evidence such as actuarial studies.

10.7

The Distribution Licensee shall submit a detailed break-up of Legal/Litigation Expenses

incurred during the Control Period (FY 2026-27 to FY 2030-31), along with necessary

documentary evidence such as invoices, fee receipts, case references, and proof of

payment. The Commission shall assess the admissibility of such expenses based on the

provisions of the Jharkhand State Litigation Policy and allow recovery of expenses

subject to prudence check at the time of truing-up.

Provided that the legal expenses shall be considered on a case-by-case basis, subject

to prudence check at the time of True-up, and only upon production of valid proof of

payment for the actual amount claimed.

Capital Cost

10.8

The capital cost of the Licensee shall include the following:

Jharkhand Gazette (Extraordinary) Thursday 16^th October, 2025

Expenditure incurred or projected to be incurred on original scope of work,

including the interest during construction and financing charges, any gain or

loss on account of Foreign Exchange Risk Variation during construction, on the

actual loan up to the date of commercial operation of the scheme, as

admitted by the Commission after prudence check, shall form the basis for

determination of Tariff;

Capitalised initial spares subject to the ceiling norm of 1.5% of the original

project cost.

10.9

The capital cost admitted by the Commission after prudence check shall form the basis

for determination of tariff:

ProvidedthatwheretheCommissionhasgiven‘inprinciple’approvaltotheestimates of scheme capital

cost and financing plan, the same shall be the guiding factor for applying prudence check on the

actual capital expenditure:

Provided further that in case of the existing schemes, the capital cost admitted by the Commission

prior to April 01, 2026andthe additional capital expenditure projected to be incurred for respective

year of the Control Period during FY 2026-27 to FY 2030-31 as may be admitted by the Commission,

shall form the basis for determination of capital cost:

Provided also that any increase in Capital Cost due to time/cost over-run shall only be allowed in case

the Licensee establishes with the support of appropriate documents and facts to the satisfaction of

the Commission that the delay was on account of uncontrollable factors and not attributable to the

Licensee.

10.10 Capital cost to be allowed by the Commission for the purpose of determination of

tariff will be based on the capital investment plan prepared by the Licensee and

approved by the Commission.

10.11 The amount funded through Consumer Contribution, Grants or Deposit Works for

connection to the distribution system of the Licensee shall be deducted from the

original cost of the scheme for the purpose of calculating the amount under debt and

equity under these Regulations.

10.12 Further, in case such cost has been incurred towards replacement or upgradation of

any existing assets, the original cost of the replaced asset shall be reduced and de-

capitalised from the Capital Cost.

Additional Capitalization

10.13 The capitalisation of capital expenses incurred or projected to be incurred, on the

following counts within the original scope of work, after the asset has been put to use

may be admitted by the Commission, subject to prudence check:

Deferred liabilities;

Works deferred for execution;

Liabilities to meet award of arbitration or for compliance of the order or

directions of any statutory authority or order or decree of any court of law;

Jharkhand Gazette (Extraordinary) Thursday 16^th October, 2025

On account of change in law;

Any additional works/services, which have become necessary for efficient and

successful operation of the scheme, but not included in the original scheme

cost;

Capital Expenses incurred due to Force Majeure conditions;

Less: De-Capitalisation of replaced/upgraded assets, if any; and

Less: Assets not put to use;

Provided that the details of work included in the original scope of work, along with

estimates of expenditure, undischarged liabilities and works deferred for execution,

shall be submitted along with the application for determination of tariff after the date

of commercial operation of the scheme.

10.14 In case of de-capitalisation of assets of a Distribution Licensee, the original cost of such

asset as on the date of decapitalization duly certified by its Statutory Auditor shall be

deducted from the value of gross fixed asset and corresponding outstanding loan on

such assets as well as equity shall be deducted from loan and the equity balances

respectively. Such deductions shall be carried out in the year such de- capitalisation

takes place with corresponding adjustments in cumulative depreciation and

cumulative repayment of loan shall be carried out duly taking into consideration the

year in which it was capitalised.

10.15 Impact of additional capitalisation within the approved scheme cost on tariff shall be

considered by the Commission during the Annual Performance Review:

Provided that avenues for monetisation of the asset base may be explored as part of

the overall scheme planning, and a detailed study identifying such avenues shall be

undertaken and submitted to the Commission for approval, through a Petition, prior

to implementation. Such monetisation measures shall, under no circumstances,

compromise grid security, grid safety, or the integrity and reliability of the distribution

system.

Provided that the Commission may consider any new scheme proposed on merits

subject to prudence check as per this Tariff Regulation.

Debt-EquityRatio

10.16 Existing Schemes - In case of capital expenditure schemes capitalised prior to April 01,

2026, the debt-equity ratio as allowed by the Commission for determination of tariff

for the period ending March 31, 2026, shall be considered.

10.17 New Schemes–For capital expenditure schemes to be capitalizedafterApril01,2026:

A normative debt-equity ratio of swenty : thirty (70:30) shall be considered for

the purpose of determining of Tariff;

In case the actual equity employed is in excess of thirty percent (30%), the

amount of equity for the purpose of tariff determination shall be limited to

thirty percent (30%), and the balance amount shall be considered as a

Jharkhand Gazette (Extraordinary) Thursday 16^th October, 2025

normative loan;

In case the actual equity employed is less than thirty percent (30%),the actual

debt-equity ratio shall be considered;

The premium, if any raised by the Licensee while issuing share capital and

investment of internal accruals created out of free reserve, shall also be

reckoned as paid up capital for the purpose of computing return on equity,

provided such premium amount and internal accruals are actually utilized for

meeting capital expenditure.

Note 1: Any expenditure admitted on account of committed liabilities within the

original scope of work and the expenditure deferred on techno-economic grounds but

falling within the original scope of work shall be serviced in the normative debt- equity

ratio specified in these Regulations;

Note 2: Any expenditure on replacement of old assets or on renovation and

modernization or life extension shall be considered on normative debt-equity ratio

specified in these Regulations after writing off the entire book value of the original

assets from the capital cost of the new asset;

Note 3: Any expenditure admitted by the Commission for determination of tariff on

account of new works not in the original scope of work shall be serviced in the

normative debt-equity ratio specified in these Regulations.

10.18 The Licensee shall submit the resolution of the Board of the Company or approval of

the competent authority in other cases regarding infusion of funds from internal

resourcesinsupportoftheutilizationmadeorproposedtobemadetomeetthecapital

expenditure of the Distribution Licensee.

Return on Equity

10.19 The base rate of Return on Equity (RoE) shall be 14.50% (post-tax) for assets

capitalised prior to April 01, 2026

and

15.00% (post-tax) for assets capitalized from April 01, 2026, provided that in addition

to the base RoE, the Commission may allow an additional 0.50% RoE for assets

capitalized from April 01, 2026,to the Distribution Licensee that demonstrably ensures

uninterrupted supply of electricity to Universal Supply Obligated Entities, including,

but not limited to, Religious Institutions, Government Hospitals, Educational

Establishments, Public Water Supply and Sanitation Services, Street Lighting Systems,

critical infrastructure facilities, and renewable energy integration projects, eligibility

for such additional RoE shall be linked to specific, measurable Key Performance

Indicators (KPIs), including but not limited to SAIDI, SAIFI, outage duration, and supply

reliability percentage to the above categories, asverified through independent

certification by the State Load Despatch Centre (SLDC) and/or a Statutory Auditor or

any third-party agency as approved by the Commission.

10.20 The Licensee to provide Return on equity for each year shall be allowed on equity

employed in assets in use considering the following:

Jharkhand Gazette (Extraordinary) Thursday 16^th October, 2025

EquityemployedinaccordancewithClause10.16oftheseRegulationson assets (in

use) capitalised as on the beginning of the year; and

Fifty Percent (50%)of the equity projected to be employed in accordance with

Clause 10.17of these Regulations on assets (in use) Commissioned during the

year.

The Distribution Licensee shall furnish all requisite data, information, and supporting

documents pertaining to the respective Financial Year by 30^thNovember of the year in

which the Petition is to be filed. Non-submission of the complete data within the

stipulated timeline shall render the Licensee ineligible to claim carrying cost for the

corresponding period, unless condoned by the Commission with recorded reasons.

Interest on Loan Capital

10.21 The loans arrived at in the manner indicated in Clauses10.16 and 10.17 shall be

considered as gross normative loan for calculation of interest on loan.

10.22 The normative loan outstanding as on April 01, 2026 shall be worked out as the gross

loan by deducting the cumulative repayment as admitted by the Commission up to

March 31, 2025 from the gross normative loan.

10.23 The repayment for each year of the Control Period shall be deemed to be equal to the

depreciation allowed for that year.

10.24 In case of de-capitalization of assets, the repayment shall be adjusted by taking into

account cumulative repayment on pro-rata basis and the adjustment should not

exceed cumulative depreciation recovered up to the date of de-capitalization of such

assets.

10.25 Notwithstanding any moratorium period availed by the Licensee, the repayment of

loan shall be considered from the first year of operation of the scheme/asset.

10.26 The rate of interest shall be the weighted average rate of interest calculated on the

basis of the actual loan portfolio at the beginning of each year applicable to the

Licensee:

Provided that Rate of Interest shall not exceed Bank Rate as on April 01 of the respective

year of the Control Period plus two hundred (200) basis points.

Provided that if there is no actual loan for a particular year but normative loan is still

outstanding, then the rate of interest shall be considered on normative basis and shall be

equal to the Bank Rate as on April 01of the respective year of the Control Period plus two

hundred (200) basis points.

10.27 The interest on loan shall be calculated on the normative average loan of the year by

applying the weighted average rate of interest.

10.28 The above interest computation shall exclude interest on loan amount, normative or

otherwise, to the extent of capital cost funded by Consumer Contribution, Grants or

Deposit Works carried out by Distribution Licensee.

10.29

The Licensee shall make every effort to re-finance the loan as long as it

results in net savings on interest and in that event the costs associated with such re-

Jharkhand Gazette (Extraordinary) Thursday 16^th October, 2025

financing shall be borne by the users and the net savings shall be shared between the

users and the Licensee, as the case may be, in the ratio of fifty:fifty (50:50).

Interest on Working Capital

10.30 Working capital for the Wheeling Business for the Control Period shall comprise:

a) Maintenance spares at one percent (1%) of Opening GFA of Wheeling

Business; plus

b) Two months equivalent of the expected revenue from wheeling charges at the

prevailing tariffs; minus

c) Amount, if any, held as security deposits.

10.31 Working capital for the Retail Supply of Electricity for the Control Period shall

comprise:

a) Maintenance spares at one percent (1%) of Opening GFA for Retail Supply

Business;

plus

b) Two months equivalent of the expected revenue from sale of electricity at the

prevailing tariffs;

minus

c) Amount held as security deposits under Clause (a) and Clause (b) of

subsection (1) of Section 47 of the Act from consumers and Distribution

System Users net of any security held for Wheeling Business;

minus

d) One-month equivalent of cost of power purchased including the Inter-State

and Intra-State Transmission Charges and Load Despatch Charges, based on

the annual power procurement plan.

10.32 Rate of interest on working capital shall be equal to the Bank Rates on September 30

of the financial year in which the MYT Petition is filed plus three hundred and fifty

(350) basis points. At the time of true-up, the interest rate shall be adjusted as per the

actual rate prevailing on April 01 of the financial year for which truing up exercise has

been undertaken.

Interest on Consumer Security Deposits

10.33 The interest payable on consumer security deposits shall be governed by the

provisions of the Jharkhand State Electricity Regulatory Commission (Electricity Supply

Code) Regulations, 2015, as amended by the First Amendment Regulations, 2018, and

the Second Amendment Regulations, 2024, or as may be further amended or

substituted by the Commission from time to time.

Depreciation

10.34 Depreciation shall be calculated for each year of the control period on the original cost

of the fixed assets of the corresponding year as admitted by the Commission:

Jharkhand Gazette (Extraordinary) Thursday 16^th October, 2025

Provided that depreciation shall not be allowed on assets funded by Consumer Contribution and

Capital Subsidies/Grants. Provision for replacement of such assets shall be made in the Capital

Investment Plan.

10.35 Depreciation for each year shall be determined based on the methodology as specified

in these Regulations along with the rates and other terms specified.

10.36 Depreciation shall be calculated annually, based on the straight-line method at the

rates specified at Appendix-I. The base value for the purpose of depreciation shall be

original cost of the asset:

Provided that the Distribution Licensee shall ensure that once the individual asset is depreciated to

the extent of seventy (70) percent of the Book Value of that asset, remaining depreciable value as on

March 31 of the year closing shall be spread over the balance useful life of the asset.

10.37 Depreciation shall be charged from the first year of commercial operation of the asset.

In case, the operation of the asset is for a part of the year, depreciation shall be

charged on a pro-rata basis.

10.38 The residual value of assets shall be considered as ten percent (10%) and depreciation

shall be allowed to a maximum of ninety percent (90%) of the original cost of the

asset. Land is not a depreciable asset and its cost shall be excluded while computing

ninety percent (90%) of the original cost of the asset.

Provided that the salvage value for IT equipment and software shall be considered as

NIL and hundred percent (100%) value of the assets shall be considered depreciable;

10.39 The Commission may, in the absence of the Fixed Assets Register, calculate

Depreciation in percentage(%) arrived by dividing the Depreciation and the Average

Gross Fixed Assets as per the latest available Audited Accounts of the Distribution

Licensee. The Depreciation (%) so arrived shall be multiplied by the Average GFA

approved by the Commission for the relevant Financial Year to arrive at the

Depreciation for that Financial Year.

10.40 In case of de-capitalization of assets, the cumulative depreciation shall be adjusted by

taking into account the depreciation recovered through tariff corresponding to the

decapitalised asset during its useful services.

Cost of Power Procurement

10.41 Quantum of Power Purchase: The Commission approved category-wise sales forecast

shall be used along with the distribution loss trajectory for estimating the Licensees’

power procurement requirement for each year.

10.42 The Licensee shall be allowed to recover the net cost of power it procures from

sources approved by the Commission, viz,intra-State and inter-State Trading Licensees,

Bilateral Purchases, Bulk Suppliers, State Generating Stations, Independent Power

Producers, Central Generating Stations, non-conventional energy generators,

generation business of the Licensee and others, assuming maximum normative rebate

available from each source for payment of bills:

Jharkhand Gazette (Extraordinary) Thursday 16^th October, 2025

Provided that the Licensee shall propose the cost of power procurement taking into

account the latest available Energy Charge Rate incurred in the ongoing year

consideringthe Fuel Price Adjustment formula specified for the generating stations in

the Jharkhand State Electricity Regulatory Commission(Terms and Conditions for

Determination of Generation Tariff) Regulations, 2025 and any amendments thereof

and net revenues earned by sales of surplus power through bilateral exchanges and

Unscheduled Interchange (UI) transactions:

Provided further that where the Licensee utilises a part of the approved power

purchaseorbulksupplyallocatedorcontractedfortheRetailSupplyBusinessforitsTrading

Business, the Licensee shall provide an Allocation Statement clearly specifying the

source wise cost of power purchase that is attributable to such trading activity

ensuring that only the unscheduled power after following merit order Dispatch

available during that time period has been traded as surplus power.

10.43 While approving the cost of power purchase, the Commission shall determine the

quantum of power to be purchased from various sources in accordance with the

principles of merit order Dispatch based on a ranking of all approved sources of supply

in the order of their variable cost of power purchase. All power purchase costs will be

considered legitimate unless it is established that the merit order principle has been

violated or power has been purchased at unreasonable rates.

10.44 The estimated revenue from the sale of surplus power, if any, shall be reduced from

the gross power purchase cost for estimating the net power purchase cost in the ARR.

10.45 The Licensee shall be obligated to comply with the Renewable Purchase Obligation in

accordance with the provisions of the Jharkhand State Electricity Regulatory

Commission (Renewable Energy Purchase Obligation and its Compliance) Regulations,

2016, as amended by the First Amendment Regulations, 2021, and the Second

Amendment Regulations, 2024, or as may be further amended or, substituted by the

Commission from time to time.

10.46 Any variation in cost of power, supplied to consumers, due to change in Fuel cost,

power purchase cost and transmission charges with reference to cost of supply

approved by the Commission, for reasons beyond the control of the Licensee, shall be

allowed to be recovered by way of FPPAS as per the mechanism specified from Clause

10.67 to Clause 10.74Eof these Regulations.

Distribution Losses

10.47 The Licensee shall file the distribution loss trajectory for the entire Control Period in

the Business Plan, commensurate with the Capital Investment Plan for each year of the

Control Period,for approval of the Commission after verification and evaluation of the

same.

10.48 The Licensee shall also propose voltage-wise losses for each year of the Control Period

for the determination of voltage-wise cost of supply and determination of voltage-

wise Wheeling Tariff.

Jharkhand Gazette (Extraordinary) Thursday 16^th October, 2025

Transmission, Load Dispatch & Wheeling Charges

10.49 The Licensee shall be allowed to recover net transmission and load Dispatch charges

payable to the Transmission Licensees(inter-State Transmission Licensee, State

Transmission Licensee, etc.) and System Operators (Regional Load Dispatch Centre,

State Load Dispatch Centre, etc.) for access to and use of the inter-State transmission

system, intra-State transmission system and availing load Dispatch services assuming

maximum normative rebate available from each source for payment of bills on

presentation of bills in accordance with the tariffs approved from time to time by

Central Electricity Regulatory Commission and the appropriate State Commission, as

the case may be.

10.50 The Licensee shall also be allowed to recover the Wheeling Charges during the Control

Period, in case the distribution network of other Licensee is used for procurement of

power for the Retail Supply Business.

Income Tax

10.51 Tax on income, if any, on the Licensed business of the Licensee shall be limited to tax

on the allowed return on equity.

10.52 The income tax actually payable or paid limited to the tax on allowed return on equity

shall be included in the ARR while truing up. The actual assessment of income tax

should take into account benefits of tax holiday, and the credit for carry forward losses

applicable as per the provisions of the Income Tax Act, 1961 and its amendments

thereof shall be passed on to the consumers. Tax on the other income streams of the

Distribution Licensee shall not be recovered from the Beneficiaries.

Non-TariffIncome

10.53 The amount of Non-Tariff Income relating to the Distribution Business as approved by

the Commission shall be deducted from the ARR in determining the Retail Supply Tariff

and Wheeling Charges of the Distribution Business:

Provided that the Distribution Licensee shall submit full details of its forecast of Non- Tariff Income to

the Commission in such form as may be stipulated by the Commission.

10.54 The Non-Tariff Income shall include:

a) Income from rent of land or buildings;

b) Income from sale of scrap;

c) Income from investments;

d) Interest accrued on advances to suppliers/contractors;

e) Interest income on loans/advances to employees;

f) Income from rental of staff quarters;

g) Income by rental from contractors;

h) Income by hire charges from contactors and others;

Jharkhand Gazette (Extraordinary) Thursday 16^th October, 2025

i) Income from delayed payment surcharge, supervision charges,etc.;

j) Supervision charges for capital works;

k) Income from recovery against the ft and/or pilferage of electricity;

l) Income from advertisements;

m) Income from sale of tender documents;

n) Profit from sale of Assets(i.e.difference of Sale value and Book valueofAsset);

o) Any other Non-Tariff Income:

Provided that the interest earned from investments made out of Return on Equity

corresponding to the regulated Business of the Distribution Licensee shall not be

included in Non-Tariff Income.

Provided that the onus to substantiate, to the satisfaction of the Commission, that

such investments have been out of Return on Equity shall be on the Licensee.

Income from Other Business

10.55 Where the Licensee is engaged in any Other Business under Section 51 of the Act for

optimum utilisation of its assets and/or manpower of its Regulated Business, the

income from such business will be calculated considering the following conditions:

1. The Licensee shall not in any manner utilize the assets and facilities of the

Licensed Business or otherwise directly or indirectly allow the activities to be

undertaken in a manner that it results in the Licensed Business subsidising the

Other Business in any manner;

2. The Licensee shall not in any manner, directly or indirectly, encumber the

assets and facilities of the Licensed Business for the other Business or for any

activities other than the Licensed Business;

3. The Licensee shall duly pay for all costs accounted for in the Licensed Business,

which have been incurred for Other Business and in the event of such cost

being incurred commonly for both the Licensed Business and Other Business,

apportion such cost and ensure due payment of apportioned costs to the

Licensed Business from the Other Business;

4. The revenue derived from the Other Business shall be commensurate with

prevailing market conditions for such similar business activities;

5. In addition to the sharing of costs undersub-clause3 above, the Licensee shall

account for and ensure due payment to the Licensed Business a certain

proportion of revenues from the other Business. As a general principle, the

Licensee shall retain fifty percent (50%) of the revenues arising on account of

Other Business and pass on the remaining fifty percent (50%) of the revenues

to the Consumers.

10.56 The revenue from Other Business shall be deducted from the ARR in calculating the

revenue requirement of the Licensee:

Jharkhand Gazette (Extraordinary) Thursday 16^th October, 2025

Provided that the Licensee shall follow a reasonable basis for allocation of all joint and

common costs between the Distribution Business and the Other Business and shall submit the

Allocation Statement as approved by the Board of Directors to the Commission along with his

application for determination of tariff:

Provided further that where the sum total of the direct and indirect costs of such Other Business

exceeds the revenues from such Other Business, no amount shall be allowed to be added to the ARR

of the Licensee on account of such Other Business.

Lease charges

10.57 Lease charges for assets taken on lease by the Licensee shall be considered as per the

lease agreement, provided they are considered reasonable by the Commission.

Foreign Exchange Rate Variation

10.58 The Licensee shall hedge foreign exchange exposure in respect of the interest on

foreign currency loan and repayment of foreign loan acquired by the Licensee.

10.59 The Licensee shall recover the cost of hedging of foreign exchange rate variation

corresponding to the normative foreign debt,in the relevant year on year-to-year basis

as expense in the period in which it arises and extra rupee liability corresponding to

such foreign exchange rate variation shall not be allowed against the hedged foreign

debt.

10.60 The Licensee shall recover the cost of hedging and foreign exchange rate variation on

a year-to-year basis as income or expense in the period in which it arises.

Recovery of ARR

10.61 The Recovery of Fixed Charges approved in the Tariff Order shall be based on the

actual hours of supply as recorded in the Consumer’s Meter. The Commission, in its

MYT/Tariff Orders shall stipulate the minimum hours of supply for HT and LT

Consumers for complete recovery of Fixed Charges from such Consumers. The

recovery of Fixed Charges shall be in proportion to the stipulated minimum hours of

supply:

Provided that the reduction in Fixed Charges to be recovered so calculated shall be

treated as disallowance due to reduced hours of supply and the same shall not be

allowed to be recovered in the ARR of the Distribution Licensee:

Provided further that if the actual hours of supply are equal to or higher than the

minimum hours of supply for HT and LT Consumers for complete recovery of Fixed

Charges, then the Distribution Licensee shall recover the complete Fixed Charges.

Illustration: If the Commission has approved the minimum hours of supply of

23 hours, and Fixed Charges of Rs. 350/ kVA/ Month for any HT Consumer, and the

actual average hours of supply is 22 hours per day for such consumer in any month,

the Fixed Charges recoverable by the Distribution Licensee for such Consumer shall be

calculated as below:

Jharkhand Gazette (Extraordinary) Thursday 16^th October, 2025

Fixed Charges Recoverable=22/23*350=Rs.334.78/kVA/Month

Cross-Subsidy Surcharge

10.62 The surcharge payable by consumers opting for open access on the network of the

Licensee will be determined by the Commission as per the following formula:

S=T-[C/(1–(L/100))+D+R]

Where,

S is the surcharge;

T is the Tariff payable by the relevant category of consumers, including reflecting the Renewable

Purchase Obligation;

C is the per unit weighted average cost of power purchase by the Licensee, including meeting the

Renewable Purchase Obligation;

D is the aggregate of transmission, distribution and wheeling charge applicable to the relevant

voltage level;

L is the aggregate of transmission, distribution and commercial losses, expressed as a

percentage applicable to the relevant voltage level;

Risthe per unit cost of carrying regulatory assets:

Provided that the surcharge, determined by the Commission under clause (a) of sub-

section (1) of the section 86 of the Electricity Act, 2003 shall not exceed twenty

percent (20%)of the Average Cost of Supply (ACoS).

Additiona lSurcharge on Charges of Wheeling

10.63 Additional Surcharge shall be determined on a ‘case to case’ basis and shall be payable

only if the Licensee is able to conclusively demonstrate the incidence of any stranded

costs.

10.64 Cross-Subsidy Surcharge and Additional Surcharge shall be shown as revenue from

tariff from the consumer categories, which are permitted open access, and such

amount shall be utilized to meet the cross-subsidy requirements of subsidised

categories and fixed costs of the Licensee arising out of his obligation to supply. The

Licensee shall provide the details in its MYT filings based on the actuals during the

previous Control Period and submit annual filings during the Control Period.

Fuel Price and Power Purchase Adjustment(FPPPA)

10.65 The Fuel and power purchase adjustment surcharge (FPPAS) formula has been

provided as specified under sub-section (4) of section 62 of the Act, for

recovery/adjustment of increase or decrease in power purchase cost on monthly

basis.

10.66 Fuel and power purchase adjustment surcharge shall be calculated and billed by the

Distribution Licensee to consumers, automatically, without going through regulatory

approval process, on a monthly basis, according to the formula, prescribed by the

Jharkhand Gazette (Extraordinary) Thursday 16^th October, 2025

Commission, subject to true up, on an annual basis:

Provided that the automatic pass through shall be adjusted for monthly billing in accordance

with these Regulations.

10.67 Fuel and Power Purchase Adjustment Surcharge shall be computed and charged by the

distribution Licensee, in the (n + 2)^th month, on the basis of actual variation, in the cost

of fuel and power purchase and Interstate Transmission Charges for the power

procured during the nth month. For example, the fuel and power purchase adjustment

surcharge on account of changes in tariff for power supplied during the month of April

of any year shall be computed and billed in the month of June of the same financial

year:

Provided that in case the distribution Licensee fails to compute and charge fuel and power

purchase adjustment surcharge within this time line, except in case of any force majeure

condition, its right for recovery of costs on account of fuel and power purchase adjustment

surcharge shall be forfeited and in such cases, the right to recover the fuel and power

purchase adjustment surcharge determined during true-up shall also be forfeited.

10.68 The distribution Licensee may decide, fuel and power purchase adjustment surcharge

or a part thereof, to be carried forward to the subsequent month in order to avoid any

tariff shock to consumers, but the carry forward of fuel and power purchase

adjustment surcharge shall not exceed a maximum duration of two months and such

carry forward shall only be applicable, if the total fuel and power purchase adjustment

surcharge for a Billing Month, including any carry forward of fuel and power purchase

adjustment surcharge over the previous month exceeds twenty per cent of variable

component of approved tariff.

10.69 The carry forward shall be recovered within one year or before the next tariff cycle

whichever is earlier and the money recovered through fuel and power purchase

adjustment surcharge shall first be accounted towards the oldest carry forward

portion of the fuel and power purchase adjustment surcharge followed by the

subsequent month.

10.70 In case of carry forward of fuel and power purchase adjustment surcharge, the

carrying cost at the Bank Rate plus one hundred fifty (150)basis points shall be allowed

till the same is recovered through tariff and this carrying cost shall be trued up in the

year under consideration.

10.71 Depending upon the quantum of fuel and power purchase adjustment surcharge, the

automatic pass through shall be adjusted in such a manner that,

If fuel and power purchase adjustment surcharge is up tofive percent (5%),

hundred percent(100%) cost recoverable of computed fuel and power purchase

adjustment surcharge by Distribution Licensee shall be levied automatically using

the formula.

ii. If fuel and power purchase adjustment surcharge is more than five percent (5%),

five percent (5%) fuel and power purchase adjustment surcharge shall be

recoverable automatically as per Sub-Regulation (i) above ninety percent (90%) of

the balance fuel and power purchase adjustment surcharge shall be recoverable

Jharkhand Gazette (Extraordinary) Thursday 16^th October, 2025

automatically using the formula, and the differential claim shall be recoverable

after approval by the Commission during true-up.

10.72 The revenue recovered on account of pass-through fuel and power purchase

adjustment surcharge by the Distribution Licensee, shall be trued up later for the year

under consideration and the true up for any financial Year shall be completed within

one twenty days (120) days after date of acceptance of Petition by the Commission.

10.73 In case of excess revenue recovered for the year against the fuel and power purchase

adjustment surcharge, the same shall be recovered from the Distribution Licensee at

the time of true up along with its carrying cost to be charged at 1.20 times of the

carrying cost rate approved by the Commission and the under recovery of fuel and

power purchase adjustment surcharge shall be allowed during true up, to be billed

along with the automatic Fuel and Power Purchase Adjustment Surcharge amount.

Explanation: For example, in the month of July, the automatic pass through component for

the power supplied in May and additional Fuel and Power Purchase Adjustment Surcharge, if

any, recoverable after true up for the month of April in the previous year, shall be billed.

10.74 A)Distribution Licensee shall submit such details, in the stipulated formats, of the

variation between expenses incurred and the fuel and power purchase adjustment

surcharge recovered, and the detailed computations and supporting documents, as

required by the Commission, during true up of the normal tariff.

B)To ensure smooth implementation of the fuel and power purchase adjustment

surcharge mechanism and its recovery, the Distribution Licensee shall ensure that its

billing system is updated to take this into account and a unified billing system shall be

implemented to ensure that there is a uniform billing system irrespective of the billing

and metering vendor through interoperability or use of open source software as

available

The Distribution Licensee shall publish all details including the fuel and power purchase

adjustment surcharge formula, calculation of monthly fuel and power purchase adjustment

surcharge and recovery of fuel and power purchase adjustment surcharge (separately for

automatic and approved portions) on its website and archive the same through a dedicated

web address.

C)Computation of Fuel and Power Purchase Adjustment Surcharge: The formula for

Computation of Fuel and Power Purchase Adjustment Surcharge (FPPAS) in percentage (%)

for

n^th month is as follows:

Monthly FPPAS for nth Month in percentage (%) =

ܯ݋݊ݐℎ݈ݕ ܨܲܲܣܵ ݂݋ݎ ݐℎ݁ ݊ݐℎ ܯ݋݊ݐℎ (%) =

(ܣ−ܤ) × ܥ+ (ܦ−ܧ)

ܼ × ቀ1 −^{ܦ݅ݏݐݎܾ݅ݑݐ݅݋݊}^݈݋ݏݏ݁ݏ^݅݊^%

100

ቁ× ܣܤܴ

Jharkhand Gazette (Extraordinary) Thursday 16^th October, 2025

‘n^th’ month means the month in which billing of fuel and power purchase adjustment

surcharge component is done. This fuel and power purchase adjustment surcharge is due to

changes in tariff for the power supplied in (n-2)^th month;

‘A’ is Total units procured in (n − 2)^th Month (in kWh) from all Sources including Long-term,

Medium–term and Short-term Power purchases (To be taken from the bills issued to

Distribution Licensee);

‘B’ is bulk sale of power in (n − 2)^th Month (in kWh)= (to be taken from provisional accounts

to be issued by State Load Dispatch Centre by the 10thday of each month);

‘C’ is incremental Average Power Purchase Cost= Actual average Power Purchase Cost (PPC)

from all Sources in (n − 2)^th month (₹/kWh) (computed) - Projected average Power Purchase

Cost (PPC) from all Sources (₹/kWh)(from tariff order);

‘D’ is the Actual inter-state and intra-state Transmission Charges in the (n − 2)^thMonth, (From

the bills by Transmission Licensees to Distribution Licensee) (in ₹);

‘E’ is the Base Cost of Transmission Charges for (n − 2)^th Month = (Approved Transmission

Charges/12) (in ₹);

‘Z’ = [{Actual Power purchased from all the sources outside the State in (n − 2)^th Month(in

kWh) * (1 – Inter-state transmission losses in % /100) + Power purchased from all the sources

within the State (in kWh)}*(1 – Intra-state losses in % /100) – B] in kWh;

‘ABR’ is the Average Billing Rate for the year (to be taken from the Tariff Order in ₹/kWh);

‘Distribution

Loss (in %)’ is the Target Distribution Losses (from Tariff Order);

‘Inter-state transmission Losses (in %)’is the approved Inter-state transmission Losses as per

Tariff Order;

‘Intra-state transmission Losses (in%)’ is the approved Intra-state transmission Losses as per

Tariff Order;

D)The Power Purchase Cost shall exclude any charges on account of Deviation

Settlement Mechanism.

E)Other charges which include Ancillary Services and Security Constrained Economic

Dispatch shall not be included in Fuel and Power Purchase Adjustment Surcharge and

shall be adjusted though the true-up approved by the Commission.

Late Payment Surcharge

10.75 In the event of delayed payment or non-payment of any bill raised by the Distribution

Licensee towards the retail supply of electricity, the consumer shall be liable to pay

Late Payment Surcharge (LPS) on the outstanding billed amount, including applicable

taxes, cess, duties, and statutory levies, beyond the following due dates:

High Tension (HT) and Extra High Tension (EHT) consumers – 15 (fifteen) days

from the date of billing.

ii.

Low Tension (LT) consumers – 21 (twenty-one) days from the date of billing.

10.76 The rate of Late Payment Surcharge shall be:

For Delay beyond the respective due date till sixty days (60 days)– LPS shall be

levied at twelve percent (12%) per annum on the outstanding amount,

calculated on a simple interest basis.

ii.

For delay beyond sixty days (60) days and up to ninety (90) days – interest on

Jharkhand Gazette (Extraordinary) Thursday 16^th October, 2025

delayed payment shall be levied at fourteen percent (14%) per annum over

and above the escalated cost as per Clause 10.76(i)for days beyond 60 days, on

a simple interest basis, on the cumulative outstanding, including accrued LPS

and statutory charges.

iii.

For delay exceeding ninety (90) days – interest shall be levied at sixteen

percent (16%) per annum over and above the escalated cost as per Clause

10.76(ii) for days beyond ninety (90)days, on a simple interest basis, on the

total outstanding, including accrued LPS and statutory charges.

10.77 LPS and interest shall accrue until full and final settlement of dues. The charges shall

be non-compounding unless otherwise specified by the Commission in specific

circumstances.

10.78 These provisions shall override any contrary terms in existing Power Supply

Agreements or bilateral arrangements. However, where a lower LPS is contractually

agreed upon, the same shall prevail, subject to prior approval of the Commission.

10.79 Payments received from consumers shall be time-stamped and appropriated in the

following order:

First, against accrued Late Payment Surcharge;

ii.

Thereafter, against the oldest outstanding principal billed amount, starting

from the longest overdue bill.

Illustrative Example:

A consumer is billed an amount of Rs. 1,00,000 on 1 July. In accordance with the

provisions of Clause 10.75, the applicable due date shall be 15 July for an EHT

consumer and 21 July for an LT consumer, during which no Late Payment

Surcharge (LPS) shall accrue. In the event the consumer effects payment on 20

October, the computation of LPS shall be as follows:

For a HT & EHT consumer, the first slab of LPS at 12% per annum shall apply after

the expiry of the 15‑day grace period, i.e., from 16 July to 29 August (45 days

within the 60-day slab), resulting in an LPS of approximately Rs. 1,479.

Thereafter, for the subsequent 30‑day period from 30 August to 28 September,

LPS shall be levied at 14% per annum on the cumulative outstanding (i.e., principal

plus accrued LPS from the previous slab), resulting in an additional LPS of

approximately Rs. 1,168.

For the delay beyond 90 days from the bill date, i.e., from 29 September to 20

October (22 days), interest at 16% per annum shall be levied on the cumulative

amount (i.e., principal plus LPS from slabs 1 and 2), resulting in an LPS of

approximately Rs. 964.

Accordingly, the total amount payable on 20 October shall be Rs. 1,03,611, which

shall first be appropriated towards LPS and thereafter towards the principal billed

amount in accordance with Clause 10.79.

Jharkhand Gazette (Extraordinary) Thursday 16^th October, 2025

For a LT consumer, the applicable due date is 21 July. Accordingly, the first slab of

LPS at 12% per annum shall apply post the expiry of the 21-day grace period, i.e.,

from 22 July to 29 August (39 days), resulting in an LPS of approximately Rs. 1,282.

For the subsequent 30‑day period, i.e., from 30 August to 28 September, LPS shall

be levied at 14% per annum on the cumulative outstanding (i.e., principal plus

accrued LPS from the first slab), resulting in an additional LPS of approximately Rs.

1,165.

For the delay beyond 90 days, i.e., from 29 September to 20 October (22 days),

LPS shall be levied at 16% per annum on the cumulative amount (i.e., principal

plus LPS from the previous two slabs), resulting in an additional LPS of

approximately Rs. 964.

Accordingly, the total amount payable on 20 October shall be Rs. 1,03,412, which

shall first be appropriated towards LPS and thereafter towards the principal billed

amount in accordance with Clause 10.79.

Prompt Payment Rebate

10.80 For payment of bills by the Consumers (Capacity Charge and Energy Charges) within

five (5) days of presentation of bills by the Distribution Licensee, a rebate of two

percent (2.00%) shall be allowed.

Note: In case of computation of five (5) days, the number of days shall be counted

consecutively without considering any holiday. However, in case the last day or 5^th day is

official holiday, the 5^th day for the purpose of Rebate shall be construed as the immediate

succeeding working day (as per the official State Government’s calendar, where the Office of

the Authorized Signatory or Representative of the Beneficiary, for the purpose of receipt or

acknowledgement of Bill is situated).

Treatment of Load Factor for Load Factor Rebate

10.81 The Commission may direct certain class of consumers to maintain load factor at a

stipulated level, as may be decided by the Commission, and allow incentive or impose

penalty through rebate or surcharge for maintaining load factor above or below the

stipulated level, as the case may be.

10.82 For the purpose of calculation of load factor rebate, the load factor of a consumer

shall be determined in accordance with the following formula:

Load Factor (%) =

୉୬ୣ୰୥୷ େ୭୬ୱ୳୫ୣୢ ୧୬ ୩୛୦/୩୚୅୦ ୤୭୰ ୲୦ୣ ୠ୧୪୪୧୬୥ ୮ୣ୰୧୭ୢ ୶ ଵ଴଴

(ୌି ∑ୌ୧) ×୑ୈା ∑(ୌ୧ ୶ ୖୈ୧)

Where,

H = Total Hours in the billing period

MD = Maximum Demand (in kW or kVA) for Load Factor Calculation

= Recorded maximum demand in the billing period or eighty-five (85%) of the

contract demand whichever is higher

Jharkhand Gazette (Extraordinary) Thursday 16^th October, 2025

Hi = The duration involved for i^th incidence of interruption / total shed/ partial restriction

onload in supplying power to the consumer by the licensee as specified under10.83of these

regulations

RDi= Restricted load imposed on the consumer corresponding to i^th incidence or actual

drawlduring the period of such restriction whichever is higher.

10.83 The computation of load factor shall exclude that period which is a part of the

concerned billing period and when load of the consumer is interrupted/ totally shed /

partially restricted because of any fault of the licensee in its system or for non-

availability of power with the licensee due to lower supply of electricity from its own

generating source or its other suppliers of power or due to imposition of restriction on

load by the licensee on drawl of power by its consumer. Such interruption shall also

include the interruption caused by the grid failure or automatic under frequency relay

tripping or any force majeure event not related to licensee.

10.84 For the purpose of load factor calculation as provided in regulation 10.82 of these

regulations, the following principles shall be followed:

If Maximum Demand (MD) is in KVA, it shall be converted into KW by using the

formula: KW = KVA X PF, where PF is the power factor.

ii.

If RDi is in KVA, it shall be converted into KW by using the formula: KW = KVA X

PF, where PF is the power factor.

iii.

PF shall be considered as average power factor of the month when 85% or less of

the contract demand is recorded maximum demand.

iv.

When maximum demand (MD) represents actual recorded maximum demand,

which is higher than 85% of contract demand, PF will be the actual average

power factor of the time block corresponding to the period of recording the

maximum demand.

For total shedding or interruption, RDi shall be considered as zero.

Voltage Rebate

10.85 All Consumer shall be eligible for a rebate on energy charges, based on the voltage

level at which they are actually connected irrespective of the voltage level prescribed

in the clause 4.3 of Jharkhand State Electricity Regulatory Commission (Electricity

Supply Code) Regulations, 2015 as well as voltage rebate/surcharge as per clause 4.5

of JSERC (Electricity Supply Code) Regulations, 2015.

10.86 The applicable rates will be as follows

(i)

Consumers connected at 33 kV will be eligible for a voltage rebate of three

percent (3%) at energy charge.

(ii)

Consumers connected at 132 kV and above will be eligible for a voltage rebate

of three percent (4%) at energy charge.

10.87 The above rebate will be available only on monthly basis and consumer with arrears

shall not be eligible for the above rebate. However, the applicable rebate shall be

allowed to consumers with outstanding dues, wherein such dues have been stayed by

Jharkhand Gazette (Extraordinary) Thursday 16^th October, 2025

the appropriate Courts.

Other Rebates and Surcharges

10.88 Any other Rebate or Surcharge applicable to the consumers, including but not limited

to Voltage Rebate/Surcharge, Power Factor Rebate/Surcharge, etc., shall be applicable

as specified in the Multi Year Tariff (MYT) / Annual Tariff Orders issued by the

Commission or under the provisions of the Jharkhand State Electricity Regulatory

Commission (Electricity Supply Code) Regulations, 2015, as amended by the First

Amendment Regulations, 2018, and the Second Amendment Regulations, 2024, or as

may be further amended or re-enacted from time to time.

Jharkhand Gazette (Extraordinary) Thursday 16^th October, 2025

CHAPTERIV:

PROCEDUREFORFILINGOFARRANDTARIFF

A11.Multi-YearTariffFilingProcedure

11.1

The Multi Year Tariff filing shall be submitted as per the provisions in these Regulation

and in the manner as per the provisions of JSERC (Conduct of Business) Regulations,

2024, as amended or re-enacted from time to time.

11.2

TheMultiYearTariffframeworkshallbebasedonthefollowing:

Business Plan for the Wheeling and the Retail Supply Businessof the Licensees

for the entire Control Period as submitted before the Commission for approval,

prior to the start of the Control Period;

b) Multi Year Petition on Licensees’ forecast of expected ARR for each year of the

Control Period, wheeling tariff and retail supply tariff for the first year of the

ensuing Control Period, based on reasonable assumptions of the underlying

financial and operational principles/parameters laid down under these

Regulations, and on the basis of the Business Plan;

The Trajectory for specific parameters, which shall be stipulated by the

Commission for the improvement of the Licensee’s performance through

incentives and disincentives;

d) Annual review of performance which shall be conducted vis-à-vis the approved

forecast and categorization of variations in performance into controllable and

uncontrollable factors.

11.3

The Licensee shall also submit the MYT filing in electronic format to the Commission.

11.4

The

LicenseeshallfiletheMYTPetitionandrelateddocumentsforapprovalofRetail

SupplyBusinessandWheelingBusinessfortheControlPeriodinaccordancewiththe

MYT

framework and the timelines specified in Section A 24of these Regulations, failing

which the Commission may issue the MYT order suo motu;

11.5

The Licensee shall file the MYT Petition for the Retail Supply Business and the

Wheeling Business together with the requisite information of the expenses and

revenue attributable to the respective businesses.

Before the Start of the Control Period

11.6

The Licensee shall file for the Commission’s approval, as per the Timelines specified in

Section A 24, a Business Plan and MYT Petition in accordance with Clauses6.9

to6.15oftheseRegulations.

Annual Tariff Filings for the Control Period

11.7

The Licensee shall file an application for approval of Retail Supply Tariff and Wheeling

Tariff for each year of the Control Period, as per the timelines specified in Section A

24of these Regulations, before the commencement of each year of the Control Period.

11.8

The Licensee shall propose a capacity-based wheeling tariff. The Licensee shall also

Jharkhand Gazette (Extraordinary) Thursday 16^th October, 2025

specify the distribution losses voltage-wise to provide for adjustment of losses in the

system.

11.9

The filings for wheeling tariff shall contain the following:

The distribution system or network usage forecast for each year of the Control Period

consistent with the Business Plan, trued up values and annual performance;

Revenue Gap or Surplus for each year of the Control Period and tariff proposal for

meeting/adjusting the Revenue Gap or Surplus for each year;

The Operation and Maintenance(O&M)Expenses estimated for the Base Year and the

actuals for the previous Control Period as per the Audited Accounts, together with

forecasts for each year of the Control Period in accordance with Clauses10.3 to 10.6 of

these Regulations;

Proposalforcomputationoftariffsforvoltage-wiseWheelingofelectricityfor each year of

the Control Period, including the losses and the procedure thereof;

Proposal for Non-Tariff Income with item-wise description and details;

Proposal in respect of income from Other Businesses like Consultancy Services,

Convergence, Training Facilities, etc;

Expected Revenue from the proposed Wheeling Tariff including Additional Surcharge,

Cross-Subsidy Surcharge, etc.

11.10 The filings for retail supply tariff shall contain the following:

Licensee shall submit proposal for retail sale of electricity for the consumers pertaining

to Retail Supply Business, which shall include tariffs for each consumer category

including green tariff - slab-wise and voltage-wise- as applicable. The proposed tariff

may also be based on energy charges, demand charges, minimum charges, etc., along

with the tariff rationalization measures;

Revenue Gap/Surplus for each year of the Control Period and tariff proposal for

meeting/adjusting the Revenue Gap/Surplus for each year. This should be based on

the cost of supply for various consumer categories and cross-subsidy reduction road

map;

The Operation and Maintenance(O&M)Expenses estimated for the Base Year and the

actuals for the previous Control Period as per the Audited Accounts, together with

forecasts for each year of the Control Period in accordance with Clauses10.3to 10.6 of

these Regulations;

Proposals for Non-Tariff Income with item-wise description and details;

Each tariff proposal submitted by the Licensee shall be supported with a cost- of-

service model allocating the costs of the Licensed business to each category of

consumers based on voltage-wise costs and losses;

The proposals of the Licensee should demonstrate that the tariffs are progressively

reflecting the cost of supply;

Jharkhand Gazette (Extraordinary) Thursday 16^th October, 2025

Expected revenue from the proposed retail supply tariff, and other matters considered

appropriate by the Licensee, including incentive schemes to consumers, cross subsidy

surcharge, etc;

TheapplicableFPPPAchargecalculatedaspertheformulamentionedinClause10.74ofthese

Regulations.

A12.DisposalofApplication

12.1

The Commission shall process the filings made by the Licensee in accordance with

these Regulations and Jharkhand State Electricity Regulatory Commission (Conduct of

Business) Regulations, 2024 and its amendments thereof.

12.2

Based on the Licensee’s filings, objections/suggestions from public and other

stakeholders, the Commission may accept the application with such modifications

and/or such conditions as may be deemed just and appropriate and issue, within one

twenty (120) days of the receipt of the application and after considering all suggestions

and objections from public and other stakeholders, an order containing, inter alia,

trued up revenue and cost components for the year preceding the Base Year,

estimation of parameters for the Base Year and determination of ARR and tariff for

retail supply and wheeling business for each year of the Control Period. The Order shall

also contain the approved Business Plan, targets for controllable items and

performance targets for quality of supply for the Control Period.

A13.Periodic Reviews

Review during the Control Period

13.1

To ensure smooth implementation of the Multi-Year Tariff (MYT) Framework, the

Commission may undertake periodic reviews of Licensee’s performance during the

Control Period, to address any practical issues, concerns or unexpected outcomes that

may arise.

13.2

The Licensee shall submit the Annual Performance Review report as part of annual

review on actual performance as per the timelines specified in the Section A 24of

these Regulations to assess the performance vis-à-vis the targets approved by the

Commission at the beginning of the Control Period. This shall include annual

statements of its performance and accounts including audited/authenticated accounts

and the tariff worked out in accordance with these Regulations.

13.3

The Licensee shall also submit the True up of ARR and corresponding tariff adjustments

as per the timelines specified in the Section A 24of these Regulations. The revised

estimates shall be required to true-up the costs on account of uncontrollable

variations, profit sharing mechanism for exceeding the targets, and implementation of

performance framework for quality of supply targets.

13.4

The Commission may also specify any modifications to the forecast of the Licensee for

the remainder of the Control Period, with detailed reasons for the same.

Review at the end of the Control Period

13.5

Towards the end of the Control Period, the Commission shall seek to review whether

Jharkhand Gazette (Extraordinary) Thursday 16^th October, 2025

theimplementationoftheprincipleslaiddownintheseRegulationshasachievedtheir

intended objectives. While doing this, the Commission shall take into account, among

other things, the industry structure, sector requirements, consumer and other

stakeholder expectations and Licensee’s requirements at that point in time. Depending

on the requirements of the sector to meet the objective of the Act, the Commission

may revise the principles for the next Control Period.

13.6

The commission may conduct comprehensive Regulatory Impact Assessment for the

regulation with the assistance of stakeholders from Jharkhand and other experts of the

sector.

13.7

The end of the Control Period shall be the beginning of the next Control Period and

the Licensee shall follow the same procedure unless specified otherwise by the

Commission.

13.8

The Commission may analyse the performance of the Licensee every year with respect

to the targets set out at the beginning of the Control Period and based on the actual

performance, expected efficiency improvements and other factors prevalent,

determine

the

initial

values

for

the

Control

Period.

Jharkhand Gazette (Extraordinary) Thursday 16^th October, 2025

CHAPTER V:MISCELLANEOUS PROVISIONS

A14.IssueofOrdersandPracticeDirections

14.1

Subject to the provisions of the Act and these Regulations, the Commission may, from

time to time, issue Orders and Practice Directions in regard to the

implementationoftheseRegulationsandproceduretobefollowedonvariousmatters,

which the Commission has been empowered by these Regulations to direct, and

matters incidental or ancillary thereto.

14.2

Notwithstanding anything contained in these Regulations, the Commission shall have

the authority, either suo-motu or on a Petition filed by any interested or affected

party, to determine the tariff of any Applicant.

A15.Non-ComplianceofDirections

15.1

State Load Dispatch Centre may give such directions and exercise such supervision and

control as may be required for ensuring integrated operation of the power system for

achieving maximum economy and efficiency and every Licensee, generating company,

sub-station and any other person connected with the operation of the power system

shall comply with such directions.

15.2

If any Distribution Licensee fails to comply with the directions issued, it shall be liable

to a penalty as per Section 146 of the Electricity Act, 2003.

A16.DisputeResolution

16.1

In case of dispute, any of the parties may make an application in accordance with the

Jharkhand State Electricity Regulatory Commission (Conduct of Business) Regulations,

2024, as amended from time to time, including statutory re-enactment thereof, for

settlement of the dispute.

A17.Powertoremovedifficulties

17.1

In case of any difficulty in giving effect to any of the provisions of this Regulation, the

Commission may by general or special order, issue appropriate directions to

Distribution Licensee(s) etc., to take suitable action, not being inconsistent with the

provisions of the Act, which appear to the Commission to be necessary or expedient

for the purpose of removing the difficulty.

17.2

The Licensees may make an application to the Commission and seek suitable orders to

remove any difficulties that may arise in implementation of these Regulations

A18.Powerof Relaxation

18.1

The Commission may in public interest and for reasons to be recorded in writing, relax

any of the provision of these Regulations.

A19.Interpretation

19.1

If a question arises relating to the interpretation of any provision of these Regulations,

the decision of the Commission shall be final.

Jharkhand Gazette (Extraordinary) Thursday 16^th October, 2025

A20.SavingofInherentPowersofthe Commission

20.1

Nothing contained in these Regulations shall limit or otherwise affect the inherent

powers of the Commission from adopting a procedure, which is at variance with any of

the provisions of these Regulations, if the Commission, in view of the special

circumstances of the matter or class of matters and for reasons to be recorded in

writing, deems it necessary or expedient to depart from the procedure specified in

these Regulations.

A21.Enquiryand Investigation

21.1

All enquiries, investigations and adjudications under these Regulations shall be done

by the Commission through the proceedings in accordance with the provisions of the

Jharkhand State Electricity Regulatory Commission (Conduct of Business) Regulations,

2024, as amended from time to time.

A22.Powertoamend

22.1

The Commission may from time to time add, vary, alter, suspend, modify, amend or

repeal any provisions of this Regulation.

A23.Savings

23.1

Nothing in these Regulations shall be deemed to limit or otherwise affect the inherent

power of the Commission to make such orders as may be necessary to meet the ends

of justice or to prevent abuse of the process of the Commission.

23.2

Nothing in these Regulations shall bar the Commission from adopting in conformity

with the provisions of the Act a procedure, which is at variance with any of the

provisions of these Regulations, if the Commission, in view of the special

circumstances of a matter or class of matters and for reasons to be recorded in

writing, deems it necessary or expedient for dealing with such a matter or class of

matters.

23.3

Nothing in these Regulations shall, expressly or impliedly, bar the Commission dealing

with any matter or exercising any power under the Act for which no Regulations or

Regulations have been framed, and the Commission may deal with such matters,

powers and functions in a manner it thinks fit.

Jharkhand Gazette (Extraordinary) Thursday 16^th October, 2025

A24.Summary of Timelines

S.No

Description

Filing of the

Petition along with all

necessary

document by

Furnishing additional

information/document as

sought by the Commission

Disposal of the Petition

Business Plan for the Control

Period and MYT Petition for the

Control Period for FY 2026-27 to

FY 2030-31 with Retail and

Wheeling Tariffs for first year of

the Control Period

November30,

2025

Within

fifteen

(15)

days of issue of the letter

seeking information by the

Commission

Within

one

hundred

and

twenty

(120)days

acceptance of the filing

True-Up for the previous year,

Annual Performance Review for

the current year and ARR &

Tariff Determination for the next

year of the Control Period

November 30 of

the financial year

for which APR has

been sought

Within

fifteen

(15)

days of issue of the letter

seeking information by the

Commission

Within

one

hundred

and

twenty (120)

days

acceptance of the filing

Jharkhand Gazette (Extraordinary) Wednesday 15^th October, 2025

APPENDIXI: DEPRECIATION SCHEDULE

Asset Description

Straight Line Depreciation(%)

Land owned under full title

0.00

Land held under lease

2.67

a)for investment in the land

2.67

b)forcost of clearing site

2.67

Assets Purchased New:

Building & civil engineering works

i)Offices & showrooms

2.67

ii)Temporary erection such as wooden structures

100

iii)Roads other than kutcha roads

2.67

iv)Others

2.67

Transformers, transformer (Kiosk)sub-station equipment & other fixed

apparatus(including plant foundations)

i)Transformers(including foundations)havingaratingof100kVA&above

4.22

ii)Others

4.22

Switch gear including cable connections

4.22

Lightning arrestors

4.22

Batteries

12.77

Cables and Duct System

4.22

Over head lines including supports

i)Linesonfabricatedsteeloperatingatvoltageshigherthan66kV

4.22

ii)Linesonsteelsupportsoperatingatvoltageshigherthan13.2kVbutnot

exceeding66kV

4.22

iii)Linesonsteelorreinforcedconcretesupports

4.22

iv)Linesontreatedwoodsupports

4.22

Meters

12.77

Self-propelled vehicles

12.77

Air conditioning plants

i)Static

4.22

ii)Portable

7.60

Office Equipment, Furniture, Internal Wiring and Street Light Fittings

6.33

Apparatus leton hire

i)Other than motors

7.60

ii)Motors

4.22

Communication equipment

6.33

IT Equipment and Software

15.00

Jharkhand Gazette (Extraordinary) Thursday 16^th October, 2025

Asset Description

Straight Line Depreciation(%)

Any Other Asset not covered above

4.22(or

approved

the

Commission considering asset life

and residual value)

By Order of the Commission,

R.P.Nayak,

Secretary

Jharkhand State Electricity Regulatory Commission

-----------

Printed & Published by the Superintendent of Jharkhand Government Press, Doranda, Ranchi.

Jharkhand Gazette (Extraordinary) 474-- 50.