OFFICIAL GAZETTE — GOVT. OF GOA

SERIES I No. 2

(EXTRAORDINARY No. 2)

18TH APRIL, 2018

Suggestions are welcome on e-mail: [email protected]

EXTRAORDINARY

No. 2

GOVERNMENT OF GOA

Department of Power

Office of the Chief Electrical Engineer

___

Notification

120/03/JERC-MYT/CEE/Tech

The Electricity Department, Government of

Goa, filed its petition for Annual Performance

Review of FY 2016-17 & FY 2017-18, Retail

supply of Tariff for FY 2018-19 and True-up for

FY 2013-14, according to the Regulations and

as per the procedures outlined in section 61,

62 & 64 of the Electricity Act, 2003, before

the Hon’ble Joint Electricity Regulatory

Commission for the States of Goa and Union

Territories.

In exercise of the powers conferred under

various sections of the Electricity Act, 2003

and all powers enabling therein, on behalf of

the Joint Electricity Regulatory Commission

for the State of Goa and Union Territories, has

issued the tariff order dated 28th March, 2018

which is attached herewith for Determina-

tion of Tariff for FY 2018-19 with effective

from 1st April, 2018 and shall remain valid till

issuance of further orders of the Commission,

for the Electricity Department, Government of

Goa.

In consequence to the above Tariff Order,

the State Government is intending to provide

subsidy to the following categories in order to

give relief against the Tariff hike:

(1) LT Domestic Consumers who is

having monthly consumption only upto

200 Units.

(2) LT Agriculture Pump Sets/Irrigation.

Orders in regard to providing above

subsidy is in process and once the same is

issued the subsidy granted will be credited

to the respective consumers starting from the

consumption from 1st April, 2018 in the

subsequent billing months.

The above is hereby brought to the notice

of the public.

By order and in the name of the Governor

of Goa.

N. N. Reddy, Chief Electrical Engineer &

ex officio Additional Secretary (Power).

Panaji, 17th April, 2018.

SERIES I No. 2

Panaji, 18th April, 2018 (Chaitra 28, 1940)

Reg. No. G-2/RNP/GOA/32/2018-20

OFFICIAL GAZETTE — GOVT. OF GOA

SERIES I No. 2

(EXTRAORDINARY No. 2)

18TH APRIL, 2018

JOINT ELECTRICITY REGULATORY COMMISSION

For the State of Goa and Union Territories,

2nd Floor, HSIIDC Office Complex, Vanijya Nikunj,

Udyog Vihar, Phase-V, Gurugram-122016 (Haryana)

Phone: 0124-2875302 Fax: 0124-2342853

Website: www.jercuts.gov.in

Email: [email protected]

TARIFF ORDER

True-up of the FY 2013-14 and Approval of Aggregate Revenue Requirement (ARR) and

Determination of Retail Tariff for the FY 2018-19

Petition No. 249/2017

For

Electricity Department, Government of Goa (EDG)

28th March, 2018

_____

Table of Contents

1. Chapter 1: Introduction

1.1. About Joint Electricity Regulatory Commission (JERC)

1.2. About Electricity Department, Government of Goa (EDG)

1.3. JERC Tariff Regulations, 2009

1.4. Multi-Year Distribution Tariff Regulations, 2014

1.5. Filing and Admission of the Present Petition

1.6. Interaction with the Petitioner

1.7. Notice for Public Hearing

1.8. Public Hearing

2. Chapter 2: Summary of Suggestions/Objections received, Response from the Petitioner and

the Commission’s Views

2.1. Regulatory Process

2.2. Suggestions/Objections, Response of the Petitioner and Commission’s Comments

3. Chapter 3: True-up of FY 2013-14

3.1. Background

3.2. Energy Sales

3.3. Inter-State Transmission loss

3.4. Intra-State Transmission & Distribution (T&D) loss

3.5. Power Purchase Quantum & Cost

3.6. Renewable Purchase Obligation (RPO)

3.7. Energy Balance

3.8. Operation & Maintenance (O&M) Expenses

3.9. Capitalisation

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SERIES I No. 2

(EXTRAORDINARY No. 2)

18TH APRIL, 2018

3.10. Depreciation

3.11. Interest and Finance Charges

3.12. Return on Capital Base

3.13. Interest on Security Deposits

3.14. Interest on Working Capital

3.15. Provision for Bad & Doubtful Debts

3.16. Non-Tariff Income (NTI)

3.17. Revenue from Sale of Surplus Power

3.18. Aggregate Revenue Requirement (ARR)

3.19. Revenue at Existing Retail Tariff

3.20. Standalone Revenue Gap/Surplus

4. Chapter 4: True-up of the FY 2014-15, FY 2015-16 and FY 2016-17

4.1. Applicable provisions of JERC for the State of Goa and Union Territories (Terms and Conditions

for Determination of Tariff) Regulations, 2009

4.2. Approach for the True-up of the FY 2014-15 and FY 2015-16 and FY 2016-17

5. Chapter 5: Annual Performance Review of FY 2017-18

5.1. Background

5.2. Approach for the Review for the FY 2017-18

6. Chapter 6: Determination of Aggregate Revenue Requirement for the FY 2018-19

6.1. Background

6.2. Approach for determination of ARR for the FY 2018-19

6.3. Projection of Number of Consumers, Connected Load and Energy Sales

6.4. Energy Savings under Domestic Efficiency Lamp Programme (DELP)

6.5. Inter-State Transmission Loss

6.6. Intra-State Transmission and Distribution (T&D) Loss

6.7. Power Purchase Quantum & Cost

6.8. Renewable Purchase Obligation (RPO)

6.9. Energy Balance

6.10. Operation & Maintenance (O&M) Expenses

6.11. Capitalisation

6.12. Depreciation

6.13. Interest and Finance Charges

6.14. Return on Equity (RoE)

6.15. Interest on Security Deposits

6.16. Demand Side Management (DSM) Expenses

6.17. Interest on Working Capital

100

6.18. Non-Tariff Income (NTI)

101

6.19. Aggregate Revenue Requirement (ARR)

101

6.20. Revenue at Existing Retail Tariff

101

6.21. Standalone Revenue Gap/Surplus

104

7. Chapter 7: Tariff Principles and Design

105

7.1. Overall Approach

105

7.2. Applicable Regulations

105

7.3. Revenue Gap/Surplus at Existing Tariff

107

7.4. Treatment of the Revenue Gap/Surplus and Tariff Design

107

8. Chapter 8. Open Access Charges for the FY 2018-19

115

8.1. Wheeling Charges

115

8.2. Additional Surcharge

117

8.3. Cross-Subsidy Surcharge

119

9. Chapter 9: Tariff Schedule

121

9.1. Tariff Schedule

121

9.2. Applicability

123

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(EXTRAORDINARY No. 2)

18TH APRIL, 2018

9.3. General Terms and Conditions

131

9.4. Schedule of Miscellaneous Charges

135

10. Chapter 10. Fuel and Power Purchase Adjustment Mechanism

138

10.1. Legal Provisions

138

10.2. Existing formula

139

10.3. Need to review the existing mechanism

142

10.4. New formula

144

11. Chapter 11: Directives

148

11.1. Directives continued in this Order

148

11.2. New Directives issued in this Order

154

11.3. Directives dropped in this Order

154

Annexures

155

Annexure 1: Public Notices published by the Commission

155

Annexure 2: Public Notices published by the Petitioner

160

Annexure 3: List of Stakeholders

163

List of Tables

Table 1: Timelines w.r.t the Petition filed by EDG

Table 2: Timelines of the interaction with the Petitioner

Table 3: Details of Public Notices published by the Commission

Table 4: Details of Public Notices published by the Petitioner

Table 5: Energy Sales (MU) trued-up by the Commission

Table 6: Inter-State transmission loss (%)

Table 7: Intra-State distribution loss (%)

Table 8: Power Purchase cost submitted by the Petitioner (In Rs. Cr)

Table 9: Power Purchase Quantum (MU) and cost (Rs Cr) approved by the Commission

Table 10: Energy Balance (MU) submitted by Petitioner

Table 11: Energy Balance (MU) approved by Commission at State Periphery

Table 12: Employee Expenses submitted by the Petitioner (In Rs. Cr)

Table 13: Employee Expenses approved by Commission (In Rs. Cr)

Table 14: A&G Expenses submitted by Petitioner (In Rs. Cr)

Table 15: A&G Expenses approved by Commission (In Rs. Cr)

Table 16: R&M Expenses approved by Commission (In Rs. Cr)

Table 17: O&M Expenses approved by Commission (In Rs. Cr)

Table 18: Capitalisation approved by Commission (In Rs. Cr)

Table 19: Depreciation submitted by Petitioner (In Rs. Cr)

Table 20: Depreciation Rate (%)

Table 21: Depreciation approved by Commission (In Rs. Cr)

Table 22: Interest and Finance charges approved by Commission (In Rs. Cr)

Table 23: Interest on Consumer Security Deposits submitted by Petitioner (In Rs. Cr)

Table 24: Interest on Consumer Security Deposits approved by Commission (In Rs. Cr)

Table 25: Interest on Working Capital approved by Commission (In Rs. Cr)

Table 26: Non-Tariff Income as submitted by Petitioner (In Rs. Cr)

Table 27: Non-Tariff Income approved by Commission (In Rs. Cr)

Table 28: Non-Tariff Income approved by Commission (In Rs. Cr)

Table 29: Aggregate Revenue Requirement approved by Commission for FY 2013-14 (In Rs. Cr)

Table 30: Revenue at existing tariff submitted by the Petitioner for FY 2013-14 (In Rs. Cr)

Table 31: Revenue at existing tariff approved by Commission for FY 2013-14 (In Rs. Cr)

Table 32: Standalone Revenue Gap/Surplus approved by Commission for FY 2013-14 (In Rs. Cr)

OFFICIAL GAZETTE — GOVT. OF GOA

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(EXTRAORDINARY No. 2)

18TH APRIL, 2018

Table 33: No. of Consumer, Connected Load and Energy Sales approved by Commission

Table 34: Energy Savings under DELP (MU)

Table 35: Inter-State Transmission Loss (%)

Table 36: Intra-State T&D loss (%)

Table 37: Power Purchase Quantum (MU) and cost (Rs. Cr) approved by Commission

Table 38: Summary of Renewable Purchase Obligation (RPO) (MU)

Table 39: Cost towards compliance of Renewable Purchase Obligation (RPO) (In Rs. Cr)

Table 40: Energy Balance (MU) approved by Commission

Table 41: O&M Expenses approved by Commission (In Rs. Cr)

Table 42: Capitalisation approved by the Commission (In Rs. Cr)

Table 43: Depreciation approved by Commission (In Rs. Cr)

Table 44: Interest and Finance Charges approved by Commission (In Rs. Cr)

Table 45: RoE approved by Commission (In Rs. Cr)

Table 46: Interest on Security Deposits approved by Commission (In Rs. Cr)

Table 47: DSM Expenses as approved by Commission (In Rs. Cr)

100

Table 48: Interest on Working Capital approved by Commission (In Rs. Cr)

100

Table 49: Non-tariff Income approved by Commission (In Rs. Cr)

101

Table 50: Aggregate Revenue Requirement approved by Commission for FY 2018-19 (In Rs. Cr)

101

Table 51: Revenue submitted by Petitioner (In Rs. Cr)

102

Table 52: Revenue from existing retail tariff for FY 2018-19 (In Rs. Cr)

103

Table 53: Standalone Revenue Gap/Surplus approved by Commission (In Rs. Cr)

105

Table 54: Standalone Revenue Gap/Surplus submitted by Petitioner (In Rs. Cr)

107

Table 55: Standalone Revenue Gap/Surplus determined by Commission (In Rs. Cr)

107

Table 56: Retail Tariff proposed by Petitioner

108

Table 57: Existing and approved tariff

111

Table 58: Revenue from approved retail tariff (In Rs. Cr)

113

Table 59: Tariff increase approved by Commission

114

Table 60: Revised Revenue Gap/ Surplus approved by Commission (In Rs. Cr)

114

Table 61: Cost of Supply and tariff increase with and without Govt. Budgetary support

115

Table 62: Wheeling Charge calculation as submitted by Petitioner

116

Table 63: Allocation matrix approved by Commission

116

Table 64: Parameters assumed for voltage wise allocation of wheeling costs

117

Table 65: Wheeling Charges approved by Commission

117

Table 66: Additional Surcharge approved by Commission

118

Table 67: Cross-Subsidy Surcharge as proposed by the Petitioner

119

Table 68: Voltage wise losses assumed by Commission

119

Table 69: Energy Input at each voltage level (MU)

120

Table 70: Parameters used for allocation of fixed costs

120

Table 71: Voltage Wise Cost of Supply (VCoS)

120

Table 72: Cross-Subsidy Surcharge approved by Commission (Rs/kWh)

121

Table 73: Tariff Schedule

121

Table 74: Applicability of Tariff Schedule

123

Table 75: Applicability of ToD Tariff

134

Table 76: Schedule of Miscellaneous Charges

135

Table 77: Key Takeaways

143

Table 78: Rapproved determined by Commission for FY 2018-19

148

Table 79: List of Stakeholders

163

OFFICIAL GAZETTE — GOVT. OF GOA

SERIES I No. 2

(EXTRAORDINARY No. 2)

18TH APRIL, 2018

List of abbreviations

Abbreviation

Full Form

A&G

Administration & General

ACoS

Average Cost of Supply

Act

The Electricity Act, 2003

APR

Annual Performance Review

ARR

Aggregate Revenue Requirement

ATE

Appellate Tribunal of Electricity

BPL

Below Poverty Line

CAGR

Compound Annualized Growth Rate

Capex

Capital Expenditure

CEA

Central Electricity Authority

CERC

Central Electricity Regulatory Commission

CGRF

Consumer Grievance Redressal Forum

CGS

Central Generating Stations

Ckt. Km

Circuit Kilometer

COD

Commercial Operation Date

Commission/JERC

Joint Electricity Regulatory Commission for the State of Goa and Union

Territories

Crore

DELP

Domestic Efficient Lightening Program

Discom

Distribution Company

DSM

Deviation Settlement Mechanism

EA 2003

The Electricity Act, 2003

EDG

Electricity Department, Govt. of Goa

EDF

Electricity Development Fund

EHT

Extra High Tension

ERP

Enterprise Resource Planning

FAR

Fixed Asset Register

FPPCA

Fuel and Power Purchase Cost Adjustment

Financial Year

GFA

Gross Fixed Assets

Horse Power

High Tension

IEX

Indian Energy Exchange Limited

IPDS

Integrated Power Development Scheme

IPP

Independent Power Producer

ISTS

Inter-State Transmission System

JERC

Joint Electricity Regulatory Commission for the State of Goa and Union

Territories

OFFICIAL GAZETTE — GOVT. OF GOA

SERIES I No. 2

(EXTRAORDINARY No. 2)

18TH APRIL, 2018

KVA

Kilo Volt Ampere

KWh

Kilo Watt Hour

Low Tension

MOD

Merit Order Dispatch

Million Units

Mega Watt

MYT

Multi-Year Tariff

NFA

Net Fixed Assets

NTPC

National Thermal Power Corporation

NVVNL

NTPC Vidyut Vyapar Nigam Limited

O&M

Operation and Maintenance

PGCIL

Power Grid Corporation of India Ltd.

PLF

Plant Load Factor

PLR

Prime Lending Rate

POSOCO

Power System Operation Corporation Limited

PPA

Power Purchase Agreement

R&M

Repair and Maintenance

R-APDRP

Restructured Accelerated Power Development and Reforms Programme

REC

Renewable Energy Certificate

RLDC

Regional Load Despatch Centre

RoE

Return on Equity

RPO

Renewable Purchase Obligation

RTC

Round the Clock

SBI PLR

SBI Prime Lending Rate

SERC

State Electricity Regulatory Commission

SLDC

State Load Dispatch Centre

SOP

Standard of Performance

SRPC

Southern Regional Power Committee

T&D

Transmission & Distribution

TVS

Technical Validation Session

Unscheduled Interchange

Union Territory

WART

Weighted Average Retail Tariff

WRPC

Western Region Power Committee

OFFICIAL GAZETTE — GOVT. OF GOA

SERIES I No. 2

(EXTRAORDINARY No. 2)

18TH APRIL, 2018

Before the

Joint Electricity Regulatory Commission

For the State of Goa and Union Territories, Gurugram

QUORUM

Shri. M. K. Goel (Chairperson)

Smt. Neerja Mathur (Member)

Petition No. 249/2017

In the matter of

Approval for the True-up of the FY 2013-14, Annual Performance Review (APR) of the FY 2017-

-18 and Aggregate Revenue Requirement (ARR) and Tariff proposal for the FY 2018-19.

And in the matter of

Electricity Department, Government of Goa (EDG)……………………………………….. Petitioner

ORDER

Dated: 28th March 2018

a) This Order is passed in respect to the Petition filed by the Electricity Department,

Government of Goa (EDG) (herein after referred to as “The Petitioner” or “EDG” or “The

Licensee”) for approval of True-up of the FY 2013-14, Annual Performance Review of the

FY 2017-18, Aggregate Revenue Requirement (ARR) and Tariff proposal for the FY 2018-19

before the Joint Electricity Regulatory Commission (herein after referred to as “The

Commission” or “JERC”).

b) On receipt of the Petition, the Commission scrutinised its contents and requisitioned

further information/clarifications on the data gaps observed in the Petition to take a

prudent view of the Petition. The Commission also held a Technical Validation Session to

determine its sufficiency and the veracity of the information submitted. Further,

suggestions/comments/objections were invited from the public/stakeholders. A Public

Hearing was held and the stakeholders/public were heard. The schedule of activities

performed in the course of this quasi-judicial process are given below:

Table 1: Timelines w.r.t the Petition filed by EDG

Particular

Details

Date of Admission

11th December, 2017

Public Hearing

31st January, 2017

Technical Validation Session

18th January, 2018

c) The tariff, as detailed in the Chapter “Tariff Schedule,” Open Access Charges and other

provisions as approved in this Order shall come into force from 1st April, 2018 and shall

remain valid till further Orders of the Commission.

d) The licensee shall publish the revised Tariff Schedule and the salient features of tariff

within one week of receipt of the Order in three daily newspapers in the respective local

OFFICIAL GAZETTE — GOVT. OF GOA

SERIES I No. 2

(EXTRAORDINARY No. 2)

18TH APRIL, 2018

languages of the region, besides English, having wide circulation in their respective areas

of supply.

e) Ordered as above, read with the attached document giving detailed reasons, grounds and

conditions.

-Sd-

Neerja Mathur

M.K. Goel

(Member)

(Chairperson)

JOINT ELECTRICITY REGULATORY COMMISSION

(For the State of Goa and Union Territories)

Place: Gurugram

Date: 28^th March, 2018.

(Certified Copy)

Keerti Tewari

1. Chapter 1: Introduction

1.1. About Joint Electricity Regulatory Commission (JERC)

In exercise of powers conferred by the Electricity Act 2003, the Central Government

constituted the Joint Electricity Regulatory Commission for all the Union Territories except

Delhi to be known as “Joint Electricity Regulatory Commission for the Union Territories” vide

Notification No. 23/52/2003-R&R dated 2 May, 2005. Later with the joining of the State of Goa,

the Commission came to be known as “Joint Electricity Regulatory Commission for the State of

Goa and Union Territories” (hereinafter referred to as “JERC” or “the Commission”) vide

Notification No. 23/52/2003-R&R (Vol. II) dated 30 May, 2008.

JERC is an autonomous body responsible for regulation of the Power Sector in the State of

Goa and Union Territories of Andaman & Nicobar Islands, Lakshadweep Island, Chandigarh,

Daman & Diu, Dadra & Nagar Haveli and Puducherry, consisting of generation, transmission,

distribution, trading and use of electricity etc. Its primary objective includes taking measures

conducive to the development of the electricity industry, promoting competition therein,

protecting the interests of consumers and ensuring supply of electricity to all areas.

1.2.

About Electricity Department, Government of Goa (EDG)

The Electricity Department was formed in January 1963 under the Government of Goa. It is

the only licensee operating in the State of Goa for Transmission and Distribution of Electricity.

The power requirement of the State is met through its share from Central Sector Generating

Stations (CGS), Co-Generation Plants & IPP’s operating within the territory and from Open

Market.

1.3.

JERC Tariff Regulations, 2009

The Commission notified the Joint Electricity Regulatory Commission for the State of Goa

and Union Territories (Terms and Conditions for Determination of Tariff) Regulations, 2009 on

OFFICIAL GAZETTE — GOVT. OF GOA

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(EXTRAORDINARY No. 2)

18TH APRIL, 2018

9^th February, 2009 applicable to the whole of the State of Goa and the Union Territories

of Andaman and Nicobar Islands, Chandigarh, Dadra and Nagar Haveli, Daman and

Diu, Lakshadweep and Puducherry. The Regulations were applicable till the FY 2015-16

till the MYT Distribution Tariff Regulations, 2014 were notified by the Commission on

30th June 2014.

1.4.

Multi-Year Distribution Tariff Regulations, 2014

The Commission notified the Joint Electricity Regulatory Commission for the State of Goa

and Union Territories (except Delhi) (Multi-Year Distribution Tariff) Regulations, 2014 on 30^th

June, 2014 applicable for a three year Control period starting from FY 2015-16 till FY 2017-18.

The Commission subsequently notified the Joint Electricity Regulatory Commission for the

State of Goa and Union Territories (except Delhi) (Multi-Year Distribution Tariff) (First

Amendment) Regulations, 2015 on 10^th August, 2015 shifting the MYT Control Period to

FY 2016-17 to FY 2018-19. These Regulations are applicable to all the distribution licensees in

the State of Goa and Union Territories of Andaman & Nicobar Islands, Lakshadweep Island,

Chandigarh, Daman & Diu, Dadra & Nagar Haveli and Puducherry.

1.5.

Filing and Admission of the Present Petition

The Electricity Department, Government of Goa (EDG) filed the Petition for True-up of the FY

2013-14, APR of the FY 2016-17 and FY 2017-18 and ARR and Tariff Proposal for the FY 2018-19

vide letter dated 7^th December, 2017. On preliminary scrutiny of the Petition, certain data gaps

were observed on which the reply of the Petitioner was sought. The Petition was also

scrutinized in terms of the JERC (Conduct of Business) Regulations, 2009. The Petition was

admitted on 11^th December, 2017 and numbered as Petition No. 249/2017. A letter indicating

gaps in the information as well as the documentation was sent to the Petitioner.

1.6.

Interaction with the Petitioner

The Order has referred at numerous places to various actions taken by the “Commission.” It

may be mentioned for the sake of clarity that the term “Commission,” except for the Hearing

and Orders, denotes the Secretariat of the Commission responsible for carrying out technical

due diligence and validation of data of the Petitions filed by the utilities, obtaining and

analysing information/clarifications received from the utilities, and submitting relevant issues

for consideration of the Commission.

A preliminary scrutiny/analysis of the Petition was conducted and certain deficiencies were

observed. Accordingly, deficiency notes were issued to the Petitioner. Further, additional

information/clarifications/justifications were solicited from the Petitioner as and when required.

The Commission and the Petitioner also discussed various concerns of the Petitioner and key

data gaps, which included Energy Sales, revenue from retail tariff, capitalisation, tariff proposal

etc. The Petitioner submitted its response on the issue through various letters.

The Commission conducted the Technical Validation Session (TVS) with the Petitioner at the

Commission’s office in Gurugram, during which the discrepancies in the Petition were

discussed and additional information required by the Commission were sought. Subsequently,

the Petitioner submitted replies to the issues raised in these sessions and provided

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18TH APRIL, 2018

documentary evidence to substantiate its claims regarding various submissions. The following

table provides the list of interactions with the Petitioner along with the date:

Table 2: Timelines of the interaction with the Petitioner

S. No

Subject

Date

Issue of First Discrepancy Note

20th December 2017

Reply received from Petitioner

22nd December 2017 and 15th January 2018

Technical Validation Session

17th January 2018

Issue of 2nd Discrepancy Note

18th January 2018

Reply received from Petitioner

7th February 2018

Issue of 3rd Discrepancy Note

20th February 2018

Reply received from Petitioner

1st March 2018

Public Hearing

31st January 2018

1.7.

Notice for Public Hearing

Public Notices were published by the Commission in the leading newspapers as tabled

below, giving due intimation to the stakeholders, consumers and the public at large about the

Public Hearing to be conducted by the Commission.

Table 3: Details of Public Notices published by the Commission

S. No.

Date

Name of Newspaper

Language

Place of Circulation

4^th January 2018

The Times of India

English

Goa

The Navhind Times

English

Goa

Gomantak

Konkani (Marathi)

Goa

29^th January 2018

The Times of India

English

Goa

The Navhind Times

English

Goa

Gomantak

Konkani (Marathi)

Goa

Copies of the Public Notices published by the Commission for intimation of the Public

Hearing are attached as Annexure 1 to this Order. These notices were also uploaded on the

Commission’s website.

The Public Notice was published by the Petitioner in the following newspapers for inviting

objections/suggestions from the stakeholders on the Tariff Petition:

Table 4: Details of Public Notices published by the Petitioner

S. No.

Date

Name of Newspaper

Language

Place of Circulation

3^rd January 2018

The Navhind Times

English

Goa

Gomantak

Konkani

(Marathi)

Goa

National Herald

English

Goa

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Copies of the Public Notices published by the Petitioner for intimation of the Public Hearing

are attached as Annexure 2 to this Order.

1.8.

Public Hearing

The Public Hearing was held on 31^st January 2017 from 10:00 A.M. onwards at “Ravindra

Bhawan” at Goa to discuss the issues related to the Petition filed by the Petitioner. The issues

and concerns raised by the stakeholders in writing and as voiced by them during the hearing

have been examined by the Commission. The issues discussed during the public hearing

and/or written comment made by the stakeholders, the responses of the Petitioner thereon and

the views of the Commission, have been summarized in Chapter 2 of this Order.

2. Chapter 2: Summary of Suggestions/Objections received, Response from the

Petitioner and the Commission’s Views

2.1.

Regulatory Process

On admitting the Petition, the Commission directed the Petitioner to make copies of the

Petition available to the public, upload the Petition on the website and also publish the same in

the newspapers in an abridged form in the given format duly inviting comments/objections

from the public as per the provisions of the MYT Regulations, 2014.

The Public Hearing was held on 31^st January 2018 from 10:00 A.M. onwards at Goa. During

the Public Hearing, some of the stakeholders who had submitted their comments in writing

also presented their views in person before the Commission. Other participants from the

general public, who had not submitted written objections earlier, were also given an equal

opportunity to present their views/suggestions in respect of the Petition.

The list of the stakeholders is attached as Annexure 3 to this Order.

2.2.

Suggestions/Objections, Response of the Petitioner and Commission’s Comments

The Commission is appreciative of the efforts of various stakeholders in providing their

suggestions/comments/observations to make the process responsive and efficient. The

relevant observations of the stakeholders have been suitably considered by the Commission

while finalizing this Tariff Order. The submissions of the stakeholders, response of the

Petitioner and views of the Commission are summarized below:

2.2.1.

Procurement of power from cheaper solar energy sources

Stakeholder’s Comment:

The Petitioner should procure power from cheaper solar energy sources that will reduce the

power purchase cost. Further, the status of fulfillment of RPO has not been submitted.

Petitioner’s Response:

It is submitted that ED-Goa has almost complied with the backlog of the Renewable Power

Obligations (RPO) up to FY 2016-17, ED-Goa further submits that from FY 2017-18 onwards

ED-Goa has been procuring renewable Power as per requirement to meet the Renewable

Power Obligations on year on year basis. Government of Goa has issued Solar Power Policy

2017 to further enable cheaper and local power in the State of Goa. The consumers are also

requested to avail the facility of net metering and earn on generating solar power and

supplying to ED-Goa.

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Commission’s View:

The Commission has taken note of the Petitioner’s submission. The Commission has dealt

appropriately with the compliance towards RPO for FY 2018-19 while approving the Power

Purchase Cost of FY 2018-19 in the Chapter 6 of this Order. The Petitioner has not yet

submitted the Petition for True-up of FY 2016-17, therefore, the Commission is unable to verify

the Petitioner’s submission of clearing all the pending backlog in FY 2016-17.

The Commission directs the Petitioner to give wide publicity to the Solar Policy, 2017 and

facilitate the stakeholders in Rooftop Solar Power Generation within the State of Goa. In view of

cheaper renewable power available now, the Petitioner needs to continue to purchase physical

solar or non-solar power to fulfill its RPO compliance.

2.2.2.

Power Supply in the State is not reliable

Stakeholder’s Comment:

The quality and reliability of supply in the State is very poor in the State. Further, Power

distribution infrastructure is not capable of handling the growing power demand of the State.

Petitioner’s Response:

EDG has been taking several measures to improve the infrastructure of the State. ED-Goa

has planned for the IT initiatives and distribution infrastructure improvement plan which

broadly includes 400KV S/S at Xeldem/Dharbandora for interlinking Western Grid with

Southern Grid, as any breakdown causes for black out or load shedding, additional 220/33KV

S/S at Tuem, Saligao, Verna and inter connecting 220KV lines from Amona to Cuncolim, New

33/11KV Sub-station (Badem, Mandrem, Karaswada, Calangute, Sal, Altinho-Panaji, Navelim,

Colva, Balli and Dhabal) to reduce loading on existing transformers, reduce 11KV feeder length

and to cater additional growth, Underground cabling works, ABC works etc. Further, EDG has

implemented LED lighting scheme. The scheme also includes Centralized Control and

Monitoring System (CCMS) for remote switching on/off of lights which will be effective from

1^st April 2018.

Commission’s View:

The Commission has received various complaints against the Petitioner with regards to the

quality and reliability of supply in the State. The Petitioner during the past few years has been

undertaking lower capitalisation and R&M expenses than approved which clearly implies that

enough efforts are not being undertaken to supply quality/reliable power to the consumers. The

Commission directs the Petitioner to increase its efforts towards augmenting and maintaining

the requisite infrastructure to meet the growing demand and avoid any kind of supply

constraints to consumers.

2.2.3.

Creation of new category for Electric Vehicles

Stakeholder’s Comment:

A new category for Electric Vehicle should be created that will cater to the increasing

demand of power due to commercialization of Electric Vehicles.

Petitioner’s Response:

It is submitted that determination of tariff is a matter under purview of the Commission and

is determined based on the principles of Electricity Act, 2003 and National Tariff Policy 2006.

OFFICIAL GAZETTE — GOVT. OF GOA

SERIES I No. 2

(EXTRAORDINARY No. 2)

18TH APRIL, 2018

However ED-Goa submits that till the time there is development on a large scale on Electric

Vehicles and Charging Stations, LT/HT Commercial Tariff be made applicable. For e.g. In

Maharashtra presently LT/HT Commercial tariff is applicable if consumer uses the electricity

for charging his own vehicles at his premises.

Commission’s View:

The Commission has noted the submission of the Petitioner. The Commission believes that

the demand for charging infrastructure for electric vehicles will increase in the near future due

to increased commercialization. However, the Commission doesn’t find it practical to consider

the consumers under this category under LT/HT Commercial, as suggested by the Petitioner.

The Commission would require the Petitioner to submit data on the number of consumers,

connected load and the anticipated demand to enable the Commission to determine the tariff

accurately as it will impact the Petitioner’s revenue. The Petitioner in this regard is directed to

submit a proposal for creation of any such category backed with the requisite data along with

the next tariff petition.

2.2.4.

Submission of Fixed Asset Register (FAR)

Stakeholder’s Comment:

The valuation of assets as per FAR submitted for FY 2013-14 has increased by almost two and a

half times as compared to approved. The FAR has been prepared without any basis.

Petitioner’s Response:

In regard to the re-valuation of assets, it is submitted that the Commission in its Tariff order

dated 27th June 2012 for FY 2011-12 had considered “Nil” opening value of Gross Fixed Asset

(GFA) as Audited Accounts and Fixed Asset Register were not available from FY 2006-07

onwards. Accordingly ED-Goa was directed in the said order to undertake preparation of FAR

& FS on commercial/regulatory principles.

The Commission in its Order dated 23^rd May 2017 has approved Gross Fixed Assets (GFA) for

FY 2011-12 and FY 2012-13 post its review & prudence check, as per Audited Accounts and

also taking into consideration Fixed Asset Register.

It is submitted that it is misconception of objectioner that assets are revalued and audited

without any basis. It is submitted that FAR is prepared by Independent agency and the values

of FAR are part of audited annual accounts which is certified by CAG from time to time for

respective financial years. It is humbly submitted that asset value is same as per original cost/

/book value and it is just that Commission is considering the GFA value in truing-up process

after prudence check and on receipt of audited annual accounts only.

Commission’s View:

The Commission has noted the submission of the Petitioner. The valuation of the assets had

been revised by the Commission in the last Tariff Order while undertaking the True-up of FY

2011-12 and FY 2012-13. This was done based on the audited FAR submitted by the Petitioner

for the years prior to FY 2013-14 and after proper prudence check by the Commission. The

Commission while undertaking the True-up of FY 2013-14 in this Order has considered the

same opening GFA as the closing GFA as approved in the True-up of FY 2012-13. The addition

in GFA has been approved based on the FAR submitted by the Petitioner for FY 2013-14 duly

audited by an Independent Agency.

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SERIES I No. 2

(EXTRAORDINARY No. 2)

18TH APRIL, 2018

2.2.5.

Wastage of electricity in Govt. offices

Stakeholder’s Comment:

Lights are on in government offices even during the daytime leading to wastage of power.

Petitioner’s Response:

The Petitioner clarified during the hearing that officers and staff of various government

offices are being briefed regularly for conservation of electricity.

Commission’s View:

The Commission notes the submission of the Petitioner and advises it to regularly issue

appropriate circulars to various departments/offices to make them aware about the benefits of

conservation of electricity. Suitable stickers for electricity conservation at appropriate places

may be pasted to remind the users to switch of the lights, when not required.

2.2.6.

Implementation of Demand Side Management (DSM)

Stakeholder’s Comment:

The Petitioner should implement DSM which will help in reducing the cost of power and

conserve electricity.

Petitioner’s Response:

EDG has taken various measures under Demand Side Management (DSM) program which

include Energy Efficiency measures also. DSM Programs are aimed to reduce consumption at

consumer end and lower the peak demand. DSM also includes use of energy efficient

appliances by consumers. EDG has taken various measures under LED lighting scheme,

replacement of around 1.95 Lakhs conventional street light fixtures has already been done. The

scheme also includes Centralised Control and Monitoring System (CCMS) for remote switching

on/off of lights. Besides this, EDG has also has been undertaking various DSM schemes such

as:

● Jyotirmay Goa Scheme–around 8.20 lakhs LED bulbs (3 LED of 9 W to each household of

Goa) were distributed under the scheme.

● UJALA (DELP)–Distribution of LED bulbs on subsidized cost to household consumers

which can save energy by up to 80%.

● Street Lighting National Programme (SLNP)–Replacement of 1.66 lakh Nos. existing

conventional street lights throughout the entire State of Goa by high quality energy

efficient smart LED fixtures/lights with around 4200 Nos. of Centralised Control and

Monitoring System (CCMS).

● Demonstration of energy efficient technologies through demonstration projects and LED

village campaign.

The Petitioner shall continue undertaking a lot of these kind of initiatives for increased

energy saving energy and reduce the cost of power purchase.

Commission’s View:

The Commission has noted the submission of the Petitioner. The Petitioner should widely

promote the initiatives among the public to create awareness. The stakeholder is requested to

get in contact with the nearest EDG office to avail the benefits of these schemes. The

Commission has allowed Rs 3.03 Cr towards DSM expenses in the ARR of FY 2018-19.

OFFICIAL GAZETTE — GOVT. OF GOA

SERIES I No. 2

(EXTRAORDINARY No. 2)

18TH APRIL, 2018

2.2.7.

Submission of Energy Audit Report

Stakeholder’s Comment:

EDG should provide an action plan with timelines for preparation of Energy Audit Report. In

case of non-compliance, the Commission should initiate action.

Petitioner’s Response:

DT metering is pending for 250 Distribution Transformer (DTs) (out of total 6154 DTs).

Further, the department is also facing teething issues with respect to modems, sims,

communications etc. where meters are installed and the same are being addressed. EDG aims

to complete DT metering within next 4-6 months. EDG also submits that non-working energy

meters are being replaced. Work Order for 1.50 Lakh meters has already been issued and work

is expected to commence shortly. Order for another 1.50 Lakh meters will be placed by end of

FY 2017-18. Once the above activities are completed, energy audit can be taken as per

directives of the Commission.

Commission’s View:

The Commission directs the Petitioner to complete the process of DT and Feeder metering

and take up the Energy Audit of the State on priority.

2.2.8.

Unbundling and Corporatisation

Stakeholder’s Comment:

Unbundling and Corporatisation has still not happened.

Petitioner’s Response:

It is submitted that ED-Goa has pursued this matter with Government of Goa and ED-Goa is

yet to receive any specific directives on the same.

Commission’s View:

The Commission has directed the Petitioner to submit the proposal to the State Govt. by

30^th June 2018. Till such time a decision is taken by the State Govt. ring fencing of the

transmission functions should be initiated. Further, it is directed that the Petitioner should

increase its efforts towards making the State Load Dispatch Center (SLDC) fully operational.

2.2.9.

Issue of Solar Policy

Stakeholder’s Comment:

The Petitioner has still not finalised the Solar Policy of the State.

Petitioner’s Response:

It is submitted that Solar Energy Policy 2017 has been issued by Goa Energy Development

Agency (GEDA) with due approval of Government of Goa.

Commission’s View:

The Commission has noted the Petitioner’s response. The Petitioner is directed to widely

publicise the Solar Policy and upload the same on its website for the benefit of the general

public. The Petitioner is also directed to submit a copy of the Policy to the Commission.

OFFICIAL GAZETTE — GOVT. OF GOA

SERIES I No. 2

(EXTRAORDINARY No. 2)

18TH APRIL, 2018

2.2.10. Residential apartments are being rented out as Commercial/Paying Guests

accommodation and are still paying Domestic tariff.

Stakeholder’s Comment:

Several tourists are staying in Rent-Back-Apartments in the coastal villages of Goa but pay

residential rates instead of commercial, as the Department officials are making no attempt to

take any action in the matter, thereby resulting in a revenue loss of crores of rupees.

Petitioner’s Response:

It is submitted that there is already a provision in the Tariff Order dated 23^rd May 2017 under

LT & HT Commercial category for “Houses with Rent back facilities”. The consumers having

houses with rent back facilities are supposed to take LT/HT Commercial connection (which has

higher tariff than domestic category).

Commission’s View:

The Commission has taken note of the Petitioner’s submission. The Commission directs the

Petitioner to ensure that every consumer is given connection based on the categories they

come under to avoid any kind of malpractices. The stakeholder is requested to report specific

cases, if any, to nearby EDG office so that necessary action can be taken in this regard.

2.2.11. Proposed tariff hike is not justified

Stakeholder’s Comment:

The proposed tariff hike to recover the revenue gap is not justified. No tariff hike should be

done similar to the previous year.

Petitioner’s Response:

It is submitted that out of total revenue gap computed for FY 2018-19, the tariff hike of less

than 5% is sought and rest is funded from the budgetary support. Last year there was no tariff

hike and the entire burden was borne by the Government of Goa. Considering other inflations

across sectors over 2 years which is in the range of 5-8% p.a., the tariff hike of less than 5% is

justified. However determination of tariff is in the purview of the Commission.

Commission’s View:

The Commission has noted the Petitioner’ submission. The Commission has determined the

Revenue gap for the FY 2018-19 based on the revised estimate of Power Purchase Cost of FY

2018-19. The Commission believes that the tariff should progressively reflect the cost of supply.

The Commission while determining the tariff for FY 2018-19 has considered the prudent cost of

the Petitioner and has accordingly determined the tariff for each consumer category.

2.2.12. Implementation of LED Street Lights

Stakeholder’s Comment:

Street Lights across many areas in the villages are yet to be deployed with LED Lights

Petitioner’s Response:

EDG has already completed the replacement of around 1.95 Lakhs conventional street light

fixtures. The scheme also includes Centralised Control and Monitoring System (CCMS) for

remote switching on/off of lights. Installation of the same is in progress. Street light is to be

maintained and monitored by M/s EESL for the period of 10 years. Work is targeted for

completion by March 2018. This will have energy saving of ~27 MU every year.

OFFICIAL GAZETTE — GOVT. OF GOA

SERIES I No. 2

(EXTRAORDINARY No. 2)

18TH APRIL, 2018

Commission’s View:

The Commission has taken note of the Petitioner’s submission. The Commission directs the

Petitioner to expedite the process of replacing the conventional street lights with LED lights

and submit a compliance status report of the same to the Commission at the earliest.

3. Chapter 3: True-up of FY 2013-14

3.1.

Background

The Commission issued the Order on Aggregate Revenue Requirement (ARR) and Retail

Tariff for the FY 2013-14 on 31^st March 2013. Subsequently, the Commission issued the Tariff

Order for FY 2014-15, determining the Aggregate Revenue Requirement (ARR) and tariff for FY

2014-15 and Annual Performance Review of FY 2013-14 on 15^th April 2014 (hereinafter referred

to as the “APR Order”).

The True-up of the FY 2013-14 is to be carried out as per Regulation 8 (2) of the JERC Tariff

Regulations, 2009:

(2) (i) After audited accounts of a year are made available, the Commission shall undertake

similar exercise as above with reference to the final actual figures as per the audited accounts.

This exercise with reference to audited accounts shall be called ‘Truing Up’.

(ii) The Truing Up for any year will ordinarily not be considered after more than one year of

‘Review’.

(3) The revenue gap of the ensuing year shall be adjusted as a result of review and truing up

exercises.

(4) While approving such expenses/revenues to be adjusted in the future years as arising out

of the Review and/or Truing up exercises, the Commission may allow the carrying costs as

determined by the Commission of such expenses/revenues. Carrying costs shall be limited to the

interest rate approved for working capital borrowings.

(5) For any revision in approvals, the licensee would be required to satisfy the Commission that

the revision is necessary due to conditions beyond its control.

(6) In case additional supply is required to be made to any particular category, the licensee

may, any time during the year make an application to the Commission for its approval. The

application will demonstrate the need for such change of consumer mix and additional supply of

power and also indicate the manner in which the licensee proposes to meet the cost for such

change of consumer mix and additional supply of power.

(7) The Commission may consider granting approval to such proposals provided the cost of

additional supply is ordinarily met by the beneficiary category.”

In this Chapter, the Commission has analysed all the elements of actual revenue and

expenses for the FY 2013-14 and has carried out the True up of expenses and revenue with

reference to the actual figures (final) as per the audited accounts, after a prudence check and

has permitted necessary adjustments in cases where variations are for reasonable and

justifiable reasons.

3.2.

Energy Sales

Petitioner’s Submission

The Petitioner has submitted the total quantum of energy sales for FY 2013-14 as 3070.56 MU

as against an approved energy sales quantum of 2961.80 MU in the APR Order.

Commission’s Analysis

The Commission, after going through the submissions of the Petitioner including the audited

accounts, has considered the energy sales as 3,070.56 MU as submitted by the Petitioner for

the purpose of True-up of the FY 2013-14 as shown in the table on the next page:

OFFICIAL GAZETTE — GOVT. OF GOA

SERIES I No. 2

(EXTRAORDINARY No. 2)

18TH APRIL, 2018

Table 5: Energy Sales (MU) trued-up by the Commission

S. No

Category

Approved in APR

Order

Petitioner's

Submission

Trued-up by

Commission

A. LOW TENSION SUPPLY

LTD/Domestic

800.00

844.23

LTD/L.I.G.

2.00

8.26

LTD Domestic Mixed

6.00

5.00

LTC/Commercial

292.00

280.97

LTP/Motive Power

89.00

74.41

LTP Mixed (Hotel Industries)

5.00

4.73

LTP Ice Manufacturing

8.00

LTAG/Agriculture

16.00

17.76

LTPL (Public lighting)

24.00

37.23

LTPWW/Public Water works

6.00

2.08

LT Temporary

10.00

17.89

Sub-Total

1258.00

1300.57

B. HIGH TENSION SUPPLY

HT (Mixed)

112.00

117.88

HTI (Industrial) Ferro Metallurgical/

Steel Melting/Power Intensive.

532.00

517.37

HTI Industrial

628.00

619.33

HTAG (Agriculture)

6.00

6.09

EHTI (Industrial)

184.00

142.55

HT P.W.W. & Sewage system

138.00

138.12

HT. M.E.'s Defence Estt.

24.00

26.66

HTI (Steel Rolling)

59.00

69.02

HTI/IT High Tech

20.00

66.23

HTI/Ice Manufacturing

0.00

0.85

Sale from EDG to GSPL (Div. VII)

0.00

8.70

HTI Hotel Industry

0.00

57.11

HT Temporary

0.00

0.06

Sub-Total

1703.00

1769.99

Total

2961.80

3070.56

The Commission approves the energy sales as 3070.56 MU in the True-up of FY 2013-14.

3.3.

Inter-State Transmission loss

Petitioner’s submission

Petitioner has submitted the Inter-State transmission loss of 4.68% against a loss of 4.47%

approved in the APR Order.

OFFICIAL GAZETTE — GOVT. OF GOA

SERIES I No. 2

(EXTRAORDINARY No. 2)

18TH APRIL, 2018

Commission’s analysis

The Commission has verified the Inter-State losses from the supporting documentary

evidence submitted by the Petitioner and as per information available on WRPC/SRPC

websites. The Commission accordingly trues-up the Inter-State Losses as shown in the table

below.

Table 6: Inter-State transmission loss (%)

S. No

Particulars

Approved in APR

Order

Petitioner's

Submission

Trued-up by

Commission

Inter-State Transmission Loss

4.47%

4.68%

The Commission trues-up Inter-State Transmission Loss as 4.68% in the True-up of the

FY 2013-14.

3.4.

Intra-State Transmission & Distribution (T&D) loss

Petitioner’s submission

The Petitioner has submitted that it has achieved an Intra-State T&D loss of 11.16% in the FY

2013-14 against an approved loss of 12.00%.

Commission’s analysis

The Petitioner in its submission has failed to submit the Energy Audit Report of the State for

FY 2013-14. In the absence of the Energy Audit Report, the Commission, for verification of the

Intra-State T&D loss levels has relied on the information of energy drawal at state periphery,

available on the Western and Southern Region Power Committee websites and the energy

sales as approved above. Therefore, in accordance with the information available on the

websites, the Commission approves Intra-State T&D loss of 11.16% for the FY 2013-14 against

an approved loss of 12.00% in the APR Order.

The Petitioner in the Technical Validation Session (TVS) held at the Commission’s office

submitted that due to change in billing agencies, EDG has witnessed a transitional change in

energy accounting and billing in the past few years prior to FY 2017-18 which has resulted in

distortion in energy sales. The impact of the same can be observed in FY 2013-14 as well.

Therefore, in the absence of reliable sales figures for FY 2013-14, the Commission has decided

not to consider any incentive for the overachievement of T&D Loss target in the FY 2013-14.

The table below provides the Intra-State T&D loss approved in the APR of FY 2013-14,

Petitioner’s submission and as approved by the Commission now.

Table 7: Intra-State distribution loss (%)

S. No

Particulars

Approved in APR

Order

Petitioner's

Submission

Trued-up by

Commission

T&D Losses (%)

12.00%

11.16%

The Commission, while Trueing up for FY 2013-14, has considered the actual Intra-State

T&D loss of 11.16% for the FY 2013-14.

OFFICIAL GAZETTE — GOVT. OF GOA

SERIES I No. 2

(EXTRAORDINARY No. 2)

18TH APRIL, 2018

3.5.

Power Purchase Quantum & Cost

Petitioner’s submission

The Petitioner submitted that it meets its total energy requirement from its allocation from the

Central Generating Stations (CGS) and Co-generating Companies like Goa Energy Pvt. Ltd and

Goa Sponge & Power Ltd. Energy requirement is also met through NVVNL and through IPP

(Reliance Infra). The Power Purchase Cost has been submitted as incurred by the Petitioner in

FY 2013-14. The Power Purchase cost also includes ED, Cess, Incentive etc. and supplementary

charges considered on actual basis.

The transmission charges comprise of transmission charges of Western Region and Southern

Region.

With regards to Renewable Purchase Obligation (RPO), the Petitioner submitted that the

matter has been pursued in case No. 61/2012. The Petitioner submitted that the Non-Solar RPO

is being met through purchase of Co-generation power and the same has been acknowledged

by the Commission vide its Order dated 27^th December 2013 in case No. 61/2012.

The power purchase quantum and cost for FY 2013-14, as submitted by the Petitioner has been

shown in the following table:

Table 8: Power Purchase cost submitted by the Petitioner (in Rs Cr)

S. No.

Source

Power

Purchase

(MU)

Fixed Charges

(Rs Cr)

Variable

Charges

(Rs Cr)

Other

Charges

(Rs Cr)

Total

Charges (Rs

Cr)

Central Sector

Power Stations

NTPC

3181.02

241.72

428.33

40.05

710.10

KSTPS

1645.01

91.43

154.89

21.04

267.37

KSTPS - III

41.09

6.39

3.88

0.76

11.02

VSTPS - I

231.57

18.03

31.75

5.92

55.69

VSTPS - II

103.89

6.82

13.45

2.45

22.72

VSTPS -III

92.82

9.80

12.03

1.85

23.68

VSTPS-IV

49.77

7.30

6.48

0.40

14.17

KGPP

30.71

7.96

8.30

(2.14)

14.12

GGPP

30.33

10.39

8.52

(2.02)

16.89

SIPAT- I

142.91

22.99

22.01

5.23

50.22

RSTPS

725.58

43.37

152.30

4.40

200.07

SIPAT- II

80.19

10.46

12.70

1.48

24.64

Mouda

7.16

6.79

2.02

(1.13)

7.68

Supplementary

charges inclusive of

rebate

1.82

RGPPL

13.94

8.71

(0.13)

8.58

III

NPCIL

200.21

51.98

(1.18)

50.80

KAPS

117.98

28.34

(0.65)

27.69

TAPS

82.23

23.64

(0.53)

23.11

NET OVER-

DRAWAL

32.34

24.19

0.00

24.19

OFFICIAL GAZETTE — GOVT. OF GOA

SERIES I No. 2

(EXTRAORDINARY No. 2)

18TH APRIL, 2018

Within State

Generations

CO-GENERATION

74.03

17.54

0.00

17.54

Goa Energy Private

Limited

67.65

16.08

0.00

16.08

Goa Sponge &

Power Limited

6.37

1.46

0.00

1.46

IPP

Reliance Infra

115.39

146.46

0.00

146.46

OTHER CHARGES

120.79

PGCIL

Transmission

Charges, Wheeling

& Other Charges

120.79

Total

3616.94

241.72

677.20

160.71

1078.46

Commission’s analysis

The Petitioner procures power mainly from NTPC Stations, NPCIL stations, Co-Generating

Plants and IPP’s. No power has been purchased through IEX/Bilateral Purchase etc. The

Petitioner submitted the overall Power Purchase cost as Rs 1078.46 Cr inclusive of transmission

charges but exclusive of revenue from UI Underdrawal/sale due to surplus power.

The Commission has verified the power purchase details as submitted by the Petitioner in its

Petition with the publicly available information from the Regional Energy Accounts (REA)

maintained by Western Region Power Committee (WRPC) for the Central Generating Stations

(CGS). Further, apart from Western Region, the Petitioner also gets supply from the Southern

Region from the NTPC’s Ramagundam Thermal Power Station. The Commission has validated

the power purchase details pertaining to this station from the publicly available information

from the Regional Energy Accounts (REA) maintained by Southern Region Power Committee

(SRPC). The Commission has verified the power purchase quantum and cost as per the monthly

and station-wise bills submitted by the Petitioner. The cost has further been reconciled with

the audited annual accounts of FY 2013-14.

The Petitioner has accounted for the revenue from UI Underdrawal separately and Income

from Trading/Power Exchange as part of the Non-Tariff Income (NTI) and adjusted them both in

the Overall ARR. Further, it has been noticed that the Petitioner although has considered the

quantum of UI Underdrawal in the Total Power Purchase Quantum but has omitted the revenue

pertaining to this UI Underdrawal in the Total Power Purchase Cost. The Commission, for the

purpose of finalization of the Power Purchase Cost in the True up of FY 2013-14 has considered

both the Income from UI Underdrawal and Trading/Power Exchange along with the Power

Purchase cost approved now.

Other expenses such as the Transmission Charges and the Other Charges submitted have

been considered as per actuals incurred by the Petitioner.

The Petitioner submitted that no cost has been incurred towards the compliance of

Renewable Purchase Obligation (RPO) in FY 2013-14. The compliance status of RPO has been

discussed in detail in the subsequent section. The table below provides the summary of the

power purchase quantum and the cost approved by the Commission for FY 2013-14.

OFFICIAL GAZETTE — GOVT. OF GOA

SERIES I No. 2

(EXTRAORDINARY No. 2)

18TH APRIL, 2018

Table 9: Power Purchase Quantum (MU) and cost (Rs Cr) approved by the Commission

S. No.

Source

Power

Purchase

(MU)

Fixed Charges

(Rs Cr)

Variable

Charges (Rs

Cr)

Other Charges

(Rs Cr)

Total

Charges

(Rs Cr)

Central Sector

Power Stations

NTPC

3181.02

241.72

428.33

40.05

710.10

KSTPS

1645.01

91.43

154.89

21.04

267.37

KSTPS - III

41.09

6.39

3.88

0.76

11.02

VSTPS - I

231.57

18.03

31.75

5.92

55.69

VSTPS - II

103.89

6.82

13.45

2.45

22.72

VSTPS -III

92.82

9.80

12.03

1.85

23.68

VSTPS-IV

49.77

7.30

6.48

0.40

14.17

KGPP

30.71

7.96

8.30

(2.14)

14.12

GGPP

30.33

10.39

8.52

(2.02)

16.89

SIPAT- I

142.91

22.99

22.01

5.23

50.22

RSTPS

725.58

43.37

152.30

4.40

200.07

SIPAT- II

80.19

10.46

12.70

1.48

24.64

Mouda

7.16

6.79

2.02

(1.13)

7.68

Supplementary

charges inclusive of

rebate

1.82

RGPPL

13.94

8.71

(0.13)

8.58

III

NPCIL

200.21

51.98

(1.18)

50.80

KAPS

117.98

28.34

(0.65)

27.69

TAPS

82.23

23.64

(0.53)

23.11

Unscheduled

Interchange/Sale

of Surplus Power/

Trading

32.34

12.58

UI Over-drawal

107.02

24.19

Less: UI

Underdrawal/

Income from sale of

Surplus

Power/Trading

74.68

11.61

Within State

Generations

189.42

164.00

Co-Generation

74.03

17.54

0.00

17.54

Goa Energy Private

Limited

67.65

16.08

0.00

16.08

Goa Sponge &

Power Limited

6.37

1.46

0.00

1.46

IPP

115.39

146.46

0.00

146.46

Reliance Infra

115.39

146.46

0.00

146.46

Other Charges

120.79

PGCIL

Transmission

Charges, Wheeling

& Other Charges

120.79

Total

3616.94

241.72

665.59

159.53

1066.85

OFFICIAL GAZETTE — GOVT. OF GOA

SERIES I No. 2

(EXTRAORDINARY No. 2)

18TH APRIL, 2018

The Commission approves power purchase quantum of 3616.94 MU and cost of Rs 1066.85

Cr in the True-up of the FY 2013-14.

3.6.

Renewable Purchase Obligation (RPO)

As per Clause 1, sub-clause (1) of the JERC for the State of Goa and UTs (Procurement of

Renewable Energy) Regulations, 2010

“Each distribution licensee shall purchase electricity (in kWh) from renewable energy sources,

at a defined minimum percentage of the total consumption of all the consumers in its area during

a year.”

The Commission, in its Business Plan Order dated 22^nd December, 2015 issued in the Petition

No. 186/2015, had reiterated that all the pending RPOs upto the FY 2015-16 must be fulfilled by

the Petitioner by 31^st March, 2016 and no backlog would be allowed to be carried forward to the

MYT Control Period from FY 2016-17 to FY 2018-19.

The Petitioner for FY 2013-14 has not incurred any costs towards compliance of RPOs as

mentioned in the previous section. The Petitioner has further submitted that it has completely

fulfilled its RPO (both solar and non-solar) target till FY 2015-16 partly by way of purchase of

physical power and partly by RECs.

The Petitioner had made the similar submission before the Commission in the True-up of FY

2011-12 and FY 2012-13 in the previous Tariff Order. The Commission at that time had not

accounted for any cost or disincentive towards non-compliance of RPO till FY 2012-13. The

Commission believed that since the actual cost towards compliance has been incurred only in

FY 2015-16, therefore, the same shall be accounted for in the True-up for FY 2015-16.

In view of the above and keeping similar approach as adopted by the Commission towards

RPO Compliance in True-up of FY 2011-12 and FY 2013-14, the Commission has not considered

any cost towards RPO compliance in the FY 2013-14. The same shall be considered at the time

of True-up of the FY 2015-16.

3.7.

Energy Balance

Petitioner’s submission

The Petitioner has submitted the energy balance as shown in the following table.

Table 10: Energy Balance (MU) submitted by Petitioner

No.

Particulars

Petitioner’s

Submission

Energy Input at Goa Periphery

3267.02

Total Power Scheduled/Purchased at Goa Periphery

Total Schedule Billed Drawal - CGS

3395.17

Add: Over-drawal

107.02

Add: Power purchase from NVVN/Banking

Add: Power purchase from Traders/Open Market

Less: Underdrawal

74.68

Add: Renewable Power

Less: Power diverted to Exchange

Total

3427.52

PGCIL Losses - MUs

160.50

PGCIL Losses - %

4.68%

OFFICIAL GAZETTE — GOVT. OF GOA

SERIES I No. 2

(EXTRAORDINARY No. 2)

18TH APRIL, 2018

Total Power Purchased within Goa State

Add: Co-generation

74.03

Add: Independent Power Producers (IPP)

115.39

Total

189.42

Total Power Purchase availability after PGCIL Losses

3456.44

Less: Retail Sales to Consumers

3070.56

Distribution Losses - MUs

385.88

Distribution Losses - %

11.16%

Commission’s analysis

The information submitted by the Petitioner on power purchase quantum, UI over/under

drawl, IEX/Bilateral purchase etc. has been examined and accordingly the energy balance for

FY 2013-14 has been derived. The Commission has determined the energy balance at the

Periphery of the State of Goa. The following table provides the energy balance approved in the

APR of FY 2013-14, the Petitioner’s submission and now trued-up by the Commission.

Table 11: Energy Balance (MU) approved by Commission at State Periphery

S. No.

Particulars

Approved in

APR Order

Petitioner's

Submission

Trued-up by

Commission

Energy Requirement

Energy sales within the State/UT

2961.80

3070.56

Distribution losses

12.00%

11.16%

385.72

Energy required at State Periphery

3365.68

3456.28

Energy Transactions at Periphery

Energy Availability from CGS stations

3313.76

3423.93

(a)

Total availability from sources outside State

3225.74

3234.51

(b)

Total availability from sources within State

88.02

189.42

UI Over drawal

77.75

107.02

UI/Under drawal

33.58

74.68

Banking Arrangement

7.75

Total Availability at State Periphery

(1+2-3+4)

3365.68

3456.28

3.8.

Operation & Maintenance (O&M) Expenses

The Operation & Maintenance Expenses comprise of the Employee Expenses, Administrative

and General Expenses (A&G) and the Repair & Maintenance Expenses (R&M). The O&M

Expenses have been approved in accordance with the Tariff Regulations, 2009 and the audited

accounts submitted by the Petitioner for FY 2013-14.

3.8.1.

Employee Expenses

Petitioner’s submission

The Petitioner has incurred actual employee expenses of Rs 170.07 Cr against the approved

expenses of Rs 144.21 Cr in the APR of FY 2013-14.

The following table provides the employee expenses as submitted by the Petitioner:

OFFICIAL GAZETTE — GOVT. OF GOA

SERIES I No. 2

(EXTRAORDINARY No. 2)

18TH APRIL, 2018

Table 12: Employee Expenses submitted by the Petitioner (In Rs Cr)

S. No.

Particulars

Petitioner’s Submission

Salary

170.07

Wages

Stipend

Transport Allowance

Overtime allowance

Total

170.07

Less: Add/Deduct share of others

Total

170.07

Less: Amount capitalized

Net amount

170.07

Add: Pension/DA and other Provision

Total Employee Expenses

170.07

The Petitioner further submitted that the Employee Expenses for FY 2013-14 are on the

higher side, on account of increase in Dearness Allowance, HRA and travel allowance, out of

which the Dearness Allowance is an uncontrollable factor. The Dearness Allowance accounts

to approx. 35% to 40% of the total employee expenses.

Commission’s analysis

The Commission observes that the employee expenses approved in the past were based on

the estimates prepared on cash basis and not accrual basis. The Petitioner had submitted and

prepared the audited accounts prepared on commercial principles for the first time in the

previous Tariff Order while undertaking the True-up of FY 2011-12 and FY 2012-13.

Since, the Base Employee Expenses considered while projecting the Employee Expenses for

FY 2013-14 in the APR of FY 2013-14 were determined differently, the Commission finds it

appropriate to consider the actual employee costs as available in the audited accounts for the

purpose of the True-up of the FY 2013-14.

Further, the Petitioner has considered an expense towards CGRF of Rs 0.33 Cr separately in

the ARR. The Commission, for the purpose of True-up, has considered this expense along with

the Employee Expenses due to its inherent nature.

The table below provides the employee expenses approved in the APR Order, submitted by

the Petitioner and now approved by the Commission.

Table 13: Employee Expenses approved by Commission (In Rs Cr)

S. No.

Particulars

Approved in APR

Order

Petitioner's

Submission

Trued-up by

Commission

Employee Expenses

144.21

170.07

Expense towards CGRF

0.33

Total Employee Expenses

144.21

170.07

170.40

OFFICIAL GAZETTE — GOVT. OF GOA

SERIES I No. 2

(EXTRAORDINARY No. 2)

18TH APRIL, 2018

The Commission approves Employee Expenses of Rs 170.40 Cr in the True-up of FY 2013-14.

3.8.2.

Administrative and General (A&G) Expenses

Petitioner’s submission

The Petitioner has incurred A&G expenses of Rs 18.54 Cr against the approved expenses of Rs

9.08 Cr in the APR Order.

The following table provides the A&G expenses as submitted by the Petitioner:

Table 14: A&G Expenses submitted by Petitioner (In Rs Cr)

S. No.

Particulars

Petitioner’s

Submission

Travelling Expenses

0.39

Office Expenses

13.51

Regulatory Expenses (License + Petition Fees)

0.00

Petrol, Oil, Lubricant (P.O.L.)

0.00

Rent, Rates & Taxes

0.29

Advertisement & Publicity

0.26

Professional & Special Services

0.97

Other A&G Charges

1.46

Overtime Allowance

0.00

Minor Works

1.66

Legal, Professional & Special Service Charges

0.00

Total A&G Expenses

18.54

Commission’s analysis

Similar to the approach followed while approving the Employee Expenses, the Commission

approves the A&G Expenses as per the audited accounts for the purpose of True-up of the FY

2013-14. The table below provides the A&G Expenses approved in the APR of FY 2013-14, the

Petitioner’s submission and the expenses now approved by the Commission.

Table 15: A&G Expenses approved by Commission (In Rs Cr)

S. No.

Particulars

Approved in APR

Order

Petitioner's

Submission

Trued-up by

Commission

Administration & General

Expenses (A&G)

9.08

18.54

The Commission approves the Administrative & General (A&G) expenses of Rs 18.54 Cr in

the True-up of FY 2013-14.

3.8.3.

Repair & Maintenance Expenses (R&M)

Petitioner’s submission

The Petitioner has incurred R&M expenses of Rs 21.45 Cr against the approved expenses of Rs

19.61 Cr in the APR Order. The Petitioner submitted that it has been undertaking various R&M

activities as a step towards improvement of systems, reduction in breakdowns, and reduction

in response time and increasing preventive maintenance. R&M expenses are necessary for

maintenance of infrastructure and for ensuring proper Standards of Performance of the

Petitioner.

OFFICIAL GAZETTE — GOVT. OF GOA

SERIES I No. 2

(EXTRAORDINARY No. 2)

18TH APRIL, 2018

Commission’s analysis

Similar to the approach followed while approving the Employee expenses and A&G expenses

above, the Commission approves the R&M Expenses as per actual audited accounts of FY 2013-

14:

Table 16: R&M Expenses approved by Commission (In Rs Cr)

S. No.

Particulars

Approved in APR

Order

Petitioner's

Submission

Trued-up by

Commission

Repair & Maintenance

Expenses (R&M)

19.61

21.45

The Commission approves the Repair & Maintenance (R&M) expenses of Rs 21.45 Cr in the

True-up of FY 2013-14.

3.8.4.

Total Operation and Maintenance Expenses (O&M)

The following table provides the O&M Expenses approved in the APR of FY 2013-14,

Petitioner’s submission and O&M now trued-up by the Commission.

Table 17: O&M Expenses approved by Commission (In Rs Cr)

S. No.

Particulars

Approved in APR

Order

Petitioner's

Submission

Trued-up by

Commission

Employee Expenses

144.21

170.07

170.40

Administrative & General

Expenses (A&G)

9.08

18.54

Repair & Maintenance

Expenses

19.61

21.45

Total Operation &

Maintenance Expenses

172.90

210.06

210.39

The Commission approves the Operation & Maintenance (O&M) expenses of Rs 210.39 Cr in

the True-up of FY 2013-14.

3.9.

Capitalisation

Petitioner’s submission

The Petitioner submitted the actual capitalisation for the FY 2013-14 as Rs 66.35 Cr against an

approved capitalization of Rs 191.44 Cr

Commission’s analysis:

The Commission with regards to capitalisation submitted by the Petitioner, sought details of

the assets created out of Loan/Equity/Govt. Grant/Consumer Contribution etc. In reply, the

Petitioner submitted that majority of capital assets are created out of the equity contribution

from Govt. of Goa and the actual borrowing of loan is only to the extent of the R-APDRP

scheme. The capitalization is inclusive of assets created out of the Electricity Development

Fund which is treated as Government Grant. The Petitioner further submitted that no assets

have been created out of Consumer Contribution.

It is observed that the capital expenditure and capitalisation achieved by the Petitioner is much

lower than approved by the Commission in the APR Order. Lower capital expenditure signifies

that enough efforts have not been undertaken in enhancing the reliability of supply to

consumers. It also signifies that sufficient measures aren’t being taken to provide electricity

OFFICIAL GAZETTE — GOVT. OF GOA

SERIES I No. 2

(EXTRAORDINARY No. 2)

18TH APRIL, 2018

supply to un-electrified areas and equipping the distribution infrastructure with the growing

demand. Accordingly, the Commission directs the Petitioner to increase its efforts towards

undertaking capital expenditure activities necessary for improving the service quality and

targeting 24x7 supply to all consumers.

The Commission has examined the Fixed Asset Register (FAR) as submitted by the Petitioner

in detail and accordingly approves the capitalisation as shown in the following table.

Table 18: Capitalisation approved by Commission (In Rs Cr)

S. No.

Particulars

Approved in APR

Order

Petitioner's

Submission

Trued-up by

Commission

RAPDRP Scheme

10.06

Electricity Development

Fund (EDF)

20.00

Other Plan Schemes

36.29

Total Capitalisation

191.44

66.35

The Commission approves Capitalisation of Rs 66.35 Cr in the True-up of FY 2013-14.

3.10. Depreciation

Petitioner’s submission

The Petitioner has submitted the actual depreciation of assets as per the audited annual

accounts of FY 2013-14. The depreciation is arrived in annual accounts for FY 2013-14 based on

the rates specified by the Commission in the Tariff Regulations, 2009.

The depreciation as claimed by the Petitioner has been tabulated in the table below:

Table 19: Depreciation submitted by Petitioner (In Rs Cr)

S. No

Particulars

Petitioner's Submission

Opening Gross Fixed Assets

816.84

Addition During the FY

66.35

Adjustment/Retirement during the FY

0.00

Closing Gross Fixed Assets

883.20

Depreciation

39.57

Commission’s analysis

In respect of depreciation, the Commission has followed Regulation 26 of the Tariff Regulations,

2009, as under:

“26. Depreciation

(1) For the purpose of tariff, depreciation shall be computed in the following manner:

(i) The value base for the purpose of depreciation shall be the historical cost of the assets, that is

actual expenses limited to approved capital cost where such capital cost has been approved by

the Commission:

Provided that land is not a depreciable asset and its cost shall be excluded from the capital cost

while computing depreciation.

(ii) The historical cost of the asset shall include additional capitalization.

OFFICIAL GAZETTE — GOVT. OF GOA

SERIES I No. 2

(EXTRAORDINARY No. 2)

18TH APRIL, 2018

(iii) The historical cost shall include foreign currency funding converted into equivalent rupees at

the exchange rate prevalent on the date when foreign currency was actually availed but not

later than the date of commercial operation.

(iv) Depreciation for generation and transmission assets shall be calculated annually as per

straight-line method over the useful life of the asset at the rate of depreciation specified by the

Central Electricity Regulatory Commission from time to time.

As per the norms specified in the Tariff Regulations, 2009 the Commission has verified the

asset wise capitalisation of the Petitioner and has accordingly derived the weighted average

rate of depreciation based on the asset wise depreciation rate prescribed in the CERC Tariff

Regulations, 2009, given in the following table:

Table 20: Depreciation Rate (%)

Description

Rate

Plant & Machinery

5.28%

SCADA Centre

5.28%

Testing & Measuring Equipment

5.28%

Lines & Cables

5.28%

Buildings

3.34%

Vehicles

9.50%

Furniture & Fixtures

6.33%

Office Equipment

6.33%

Computers & Others

15.00%

Land

0.00%

Based on the above depreciation rates and the actual asset addition during the year the

weighted average depreciation rate is computed as 5.27% against a rate of 5.28% approved in

the APR Order. The Commission has not considered depreciation on assets created from the

Electricity Duty Fund as the same has been treated as a Grant from the Government of Goa.

The Commission has calculated the depreciation on average Gross Fixed Assets (GFA) with

the opening GFA considered equivalent to the closing GFA as approved in the True-Up of FY

2012-13, in the Order dated 23^rd May, 2017. It is pertinent to mention here that the Commission

had revised the GFA value in accordance with the Fixed Asset Register (FAR) of FY 2011-12

and FY 2012-13 while undertaking the True-up of the respective years. Accordingly, the

Commission approves the GFA and Depreciation as per the revised opening balance of FY

2013-14. The following table provides the calculation of depreciation during the FY 2013-14:

Table 21: Depreciation approved by Commission (In Rs Cr)

No.

Particulars

Approved in APR

Order

Petitioner's

Submission

Trued-up by

Commission

Opening Gross Fixed Assets

207.30

816.84

Addition During the FY

191.44

66.35

Less: Addition on account of EDF/

Grant

0.00

20.00

Closing Gross Fixed Assets

398.74

883.20

863.19

Average Gross Fixed Assets

303.02

840.02

Weighted average Rate of

Depreciation (%)

5.28%

5.27%

Depreciation

16.00

39.57

44.29

OFFICIAL GAZETTE — GOVT. OF GOA

SERIES I No. 2

(EXTRAORDINARY No. 2)

18TH APRIL, 2018

The Commission approves depreciation of Rs 44.29 Cr in the True-up of FY 2013-14.

3.11. Interest and Finance Charges

Petitioner’s submission

The Petitioner submitted that majority of capital assets are created out of the equity

contribution from the Government of Goa. Interest on Loan has been estimated based on the

normative loan calculation whereby 70% of the opening GFA and the capitalization during the

year have been considered as normative debt. The Interest expense arrived is based on

normative loan considered to the extent of capitalization during the year after deducting the

Electricity Duty available as Grant.

Opening balance of normative loan for FY 2013-14 considered as per the approved normative

loan in truing up of FY 2012-13. Further, the rate of interest has been considered as State Bank

of India Prime Lending Rate (SBI PLR) of 14.45% (rate as on 1^st April, 2013).

In addition to the above, the Petitioner has also claimed certain financial charges related to

bank charges, LC charges, etc.

Commission’s analysis:

Regulation 25 of the Tariff Regulations, 2009 states:

“ 1) For existing loan capital interest and finance charges on loan capital shall be computed on

the outstanding loans, duly taking into account the rate of interest and schedule of repayment as

per the terms and conditions of relevant agreements.

2) Interest and finance charges on loan capital for new investments shall be computed on the

loans, duly taking into account the rate of interest and the schedule of repayment as per the

terms and conditions of relevant agreements. The rate of interest shall, however, be restricted to

the prevailing Prime Lending Rate of the State Bank of India.’’ (Read SBI Advance Rate)

Further as per Regulation 23 of the said Tariff Regulations, 2009:

“23. Debt-Equity Ratio

1) For the purpose of determination of tariff, debt-equity ratio in case of existing, ongoing as well

as new projects commencing after the date of notification of these Regulations shall be 70:30.

Where equity employed is more than 30%, the amount of equity for the purpose of tariff shall be

limited to 30% and the balance amount shall be considered as loan. Where actual equity

employed is less than 30%, the actual debt and equity shall be considered for determination of

tariff:

2) Provided that the Commission may, in appropriate cases, consider equity higher than 30% for

the purpose of determination of tariff, where the generating company or the licensee is able to

establish to the satisfaction of the Commission that deployment of equity more than 30% is in the

interest of the general public.

3) The debt and equity amounts arrived at in accordance with sub-regulation (1) above shall be

used for all purposes including for determining interest on loan, return on equity, Advance

against Depreciation and Foreign Exchange Rate Variation:

4) Provided that in the case of an Integrated Utility, till the time it remains Integrated Utility, it

shall be entitled to return on its capital base as per Schedule VI to the repealed Electricity

(Supply) Act, 1948.”

Accordingly, the Commission for the purpose of funding of the capitalisation has considered the

normative debt-equity ratio of 70:30. The addition in loan has been considered with respect to

OFFICIAL GAZETTE — GOVT. OF GOA

SERIES I No. 2

(EXTRAORDINARY No. 2)

18TH APRIL, 2018

the total capitalization during the year excluding the assets created out of the Electricity Duty

Fund.

The Commission for the purpose of calculation of Interest on Loan has considered an interest

rate equivalent to the SBI PLR @ 14.45%, as on 1^st April, 2013. The interest has been calculated

on the average loan during the year with the opening loan considered equivalent to the closing

loan approved in the True-Up of FY 2012-13. Repayment of the loan has been considered at 10%

of the opening loan amount. Additionally, the Commission also allows expenditure towards

financing charges as per actuals as reflected in the annual accounts.

The following table provides the Interest and Finance charges as approved by the Commission:

Table 22: Interest and Finance charges approved by Commission (In Rs Cr)

No.

Particulars

Approved in

APR Order

Petitioner's

Submission

Trued-up by

Commission

Opening Normative Loan

136.29

148.07

Add: Normative Loan during the year

134.01

28.22

32.45

Less: Normative Repayment

equivalent to 10% of opening

normative loan

13.63

14.81

Closing Normative Loan

256.67

161.48

165.71

Average Normative Loan

196.48

154.78

156.89

Rate of Interest (%)

7.99%

14.45%

Interest on Loan

15.70

22.37

22.67

Financing Charges

1.00

1.48

Interest and Finance Charges

16.70

23.84

24.15

The Commission approves Interest and Finance Charges of Rs 24.15 Cr in the True-up of the

FY 2013-14

3.12. Return on Capital Base

Petitioner’s submission

The Petitioner has calculated the return on capital base at 3%. The return is calculated on the

Net Fixed Assets (NFA) considering Gross Block inclusive of Capital Works in Progress (CWiP)

and thereby deducting the accumulated depreciation.

Commission’s analysis:

Regulation 24 (1) of the JERC Tariff Regulations, 2009 with regards to Return in Equity specifies

the following:

“Subject to the proviso to Regulation 23(2), Return on Equity shall be computed on the paid up

equity capital determined in accordance with Regulation 23 and shall be guided by the Central

Electricity Regulatory Commission (Terms and Conditions of Tariff) Regulations, 2004 as

amended by the CERC from time to time. The same principles will apply for distribution business

also as far as possible.”

The Commission, similar to the methodology adopted in the True-ups of FY 2011-12 and FY

2012-13 in the Tariff Order of last year, has determined the Return on Capital Base based on the

Gross Fixed Assets as approved above and the Opening Cumulative Depreciation as on

1^st April, 2013, as reflected in the audited annual accounts. The table below shows the

computation of the Return on Capital Base as approved in the APR Order, the Petitioner’s

submission and the Return now approved by the Commission.

OFFICIAL GAZETTE — GOVT. OF GOA

SERIES I No. 2

(EXTRAORDINARY No. 2)

18TH APRIL, 2018

Return on Capital Base approved by Commission (In Rs Cr)

No.

Particulars

Approved in APR

Order

Petitioner's

Submission

Now Approved by

Commission

Gross Fixed Assets at the

beginning of FY

207.30

1304.08

816.84

Less: Opening accumulated

depreciation as per annual audited

accounts

12.13

217.42

Net Fixed Assets

195.17

1086.66

599.42

Return at 3% of NFA

5.86

32.60

17.98

The Commission approves a Return on Capital Base as Rs 17.98 Cr in the True-up of FY

2013-14.

3.13. Interest on Security Deposits

Petitioner’s submission

The Interest on Security Deposit calculated by the Petitioner on normative basis has been

shown in the table below:

Table 23: Interest on Consumer Security Deposits submitted by Petitioner (In Rs Cr)

S. No.

Particulars

Petitioner's Submission

Opening Security Deposit

17.17

Add: Deposits During the year

8.26

Less: Deposits refunded

4.33

Closing Security Deposit

21.09

Average Security Deposit

19.13

Rate of Interest (%)

8.50%

Interest on Security Deposit

1.63

Interest paid to consumers

0.00

The Petitioner has determined the Interest on Security Deposits on normative basis as per Tariff

Regulations, 2009 but has not considered the same in the ARR as no interest has been paid to

consumers in the FY 2013-14.

Commission’s analysis:

As the Petitioner has not paid any Interest on Security Deposit to consumers, the Commission

does not approve any Interest on Security Deposit in FY 2013-14. The following table provides

the interest on security deposit as approved in the APR of FY 2013-14, the Petitioner’s

submission and the interest now approved by the Commission:

Table 24: Interest on Consumer Security Deposits approved by Commission (In Rs Cr)

No.

Particulars

Approved in APR

Order

Petitioner's

Submission

Trued-up by

Commission

Interest on Security Deposit

5.42

0.00

The Commission approves Interest on Security Deposit as nil in the True-up of FY 2013-14.

OFFICIAL GAZETTE — GOVT. OF GOA

SERIES I No. 2

(EXTRAORDINARY No. 2)

18TH APRIL, 2018

3.14. Interest on Working Capital

Petitioner’s submission

The Petitioner has determined the Interest on Working Capital on normative basis considering

sum of the following:

a. Power purchase cost.

b. Employees cost.

c. Administration & general expenses.

d. Repair & Maintenance expenses.

e. Sum of two months requirement for meeting Fuel cost.

The Interest Rate has been considered as SBI PLR as on 1^stApril, 2013.

Commission’s analysis:

As per Regulation 29 of the Tariff Regulations, 2009:

“(3) Subject to prudence check, the working capital for integrated utility shall be the sum of one

month requirement for meeting:

a. Power purchase cost.

b. Employees cost.

c. Administration & general expenses.

d. Repair & Maintenance expenses.

e. Sum of two month requirement for meeting Fuel cost.

5) The rate of interest on working capital shall be equal to the short term Prime Lending Rate of

State Bank of India on the 1st April of the relevant financial year. The interest on working capital

shall be payable on normative basis notwithstanding that the generating company/licensee has

not taken working capital loan from any outside agency or has exceeded the working capital

loan amount worked out on the normative figures.”

The Commission has considered the calculation of the different components of the Working

Capital on the basis of the stipulated norms. The Commission has deducted average consumer

security deposit from the Working Capital requirement as reflected in the audited annual

accounts of FY 2013-14. The Commission has considered the SBI PLR as applicable on 1^st April,

2013. Accordingly, the Interest on Working Capital has been calculated, as shown in the table

below:

Table 25: Interest on Working Capital approved by Commission (In Rs Cr)

No.

Particulars

Approved in

APR Order

Petitioner's

Submission

Now Approved

by Commission

Power Purchase Cost for one month

77.09

89.87

88.90

Employee Cost for 1 month

12.02

14.17

14.20

A&G Cost for 1 month

0.76

1.55

R&M Cost for 1 month

1.63

1.79

Total Working Capital for 1 month

91.50

107.38

106.44

Average Security Deposit

64.95

17.17

19.13

Total Working Capital considered for 1 month

26.55

90.21

87.31

SBI PLR

14.45%

Interest on Working Capital

3.84

13.04

12.62

The Commission approves the Interest on Working Capital as 12.62 Cr in the True-up of FY

2013-14.

OFFICIAL GAZETTE — GOVT. OF GOA

SERIES I No. 2

(EXTRAORDINARY No. 2)

18TH APRIL, 2018

3.15. Provision for Bad & Doubtful Debts

Petitioner’s submission

The Petitioner submitted that it has created a provision of Rs 2.96 Cr towards Bad and Doubtful

Debts in the annual accounts of FY 2013-14.

Commission’s analysis:

As specified in Regulation 28 of the Tariff Regulations, 2009 (to be read with the format):

“The Commission may, after the generating company/licensee gets the receivables audited,

allow a provision for bad debts up to 1% of receivables in the revenue requirement of the

generating company/licensee.”

It is observed that as per the audited accounts, the licensee has not written off any amount in

the FY 2013-14. Therefore, the Commission does not approve any amount under the provision

for bad and doubtful debts.

The Commission approves nil provision of Bad & Doubtful Debts in the True-up of

FY 2013-14.

3.16. Non-Tariff Income (NTI)

Petitioner’s submission

The Petitioner submitted NTI of Rs 17.02 Cr in the True-Up of FY 2013-14 against Rs 22.55 Cr

approved by the Commission in the ARR for FY 2013-14. The Non–Tariff Income as submitted

by the Petitioner has been shown in the table below:

Table 26: Non-Tariff Income as submitted by Petitioner (In Rs Cr)

S. No.

Particulars

Petitioner's Submission

Meter Rent

3.81

Revenue from Power Exchange

0.75

Misc./Other Receipts

11.94

Income from trading of Power

0.52

Total

17.02

Commission’s analysis:

The Commission has authenticated the submission of the Petitioner from the audited accounts

and found the same to be correct. Further, the Commission as discussed while truing up the

Power Purchase Cost had considered the revenue from Trading of Power and Power Exchange

as part of the Power Purchase Cost. Accordingly, the Commission approves the same

remaining NTI as submitted by the Petitioner. The NTI approved in the APR Order, Petitioner’s

submission and now approved by the Commission is shown in the table below:

Table 27: Non-Tariff Income approved by Commission (In Rs Cr)

S. No

Particulars

Approved in

APR Order

Petitioner's

Submission

Trued-up by

Commission

Meter Rent

3.81

Revenue from Power Exchange

0.75

Misc./Other Receipts

11.94

Income from trading of Power

0.52

Total

23.22

17.02

15.76

The Commission approves Non-Tariff Income of Rs 15.76 Cr in the True-up of FY 2013-14.

OFFICIAL GAZETTE — GOVT. OF GOA

SERIES I No. 2

(EXTRAORDINARY No. 2)

18TH APRIL, 2018

3.17. Revenue from Sale of Surplus Power

Petitioner’s submission

The Petitioner has earned a revenue of Rs 10.34 Cr from sale of surplus power/UI Underdrawal.

Commission’s analysis:

The Commission as discussed while approving the Power Purchase Cost has considered the

revenue from sale of surplus power/UI Underdrawal along with the Total Power Purchase Cost

due to its inherent nature.

The revenue from sale of surplus power/UI Underdrawal as approved in the APR Order,

Petitioner’s submission and now trued-up by the Commission is shown in the following table:

Table 28: Non-Tariff Income approved by Commission (In Rs Cr)

S. No.

Particulars

Approved in

APR Order

Petitioner's

Submission

Trued-up by

Commission

Revenue from sale of surplus

power/UI Underdrawal

8.38

10.34

The Commission approves Rs 10.34 as revenue from sale of surplus power/ UI Overdrawal

and has considered the same along with the Total Power Purchase cost approved in the

True-up of FY 2013-14.

3.18. Aggregate Revenue Requirement (ARR)

Petitioner’s submission

Based on the expenses as detailed above, the net aggregate revenue requirement of Rs 1373.50

Cr is submitted for approval in the True-up of FY 2013-14.

Commission’s analysis

The Commission on the basis of the detailed analysis of the cost parameters of the ARR has

considered and approved the revenue requirement in the True-up of FY 2013-14 as given in the

following table:

Table 29: Aggregate Revenue Requirement approved by Commission for FY 2013-14 (In Rs Cr)

Particulars

Approved in

APR Order

Petitioner's

Submission

Now Approved

by Commission

Power Purchase Cost

933.41

1078.46

1066.85

Provision for RPO Compliance

29.42

Operation & Maintenance Expenses

172.90

210.06

210.39

Depreciation

16.00

39.57

44.29

Interest and Finance charges

16.70

23.84

24.15

Interest on Working Capital

3.84

13.04

12.62

Interest on Security Deposit

5.42

0.00

Return on Equity

5.86

32.60

17.98

Provision for Bad Debt

0.00

2.96

0.00

Other Expenses

0.56

0.33

0.00

Total Revenue Requirement

1184.11

1400.86

1376.27

Less: Non-Tariff Income

22.55

17.02

15.76

Revenue from sale of surplus power/UI

Overdrawal

8.38

10.34

Net Revenue Requirement

1153.17

1373.50

1360.51

*Adjusted in Power Purchase Cost

OFFICIAL GAZETTE — GOVT. OF GOA

SERIES I No. 2

(EXTRAORDINARY No. 2)

18TH APRIL, 2018

The Commission approves net Aggregate Revenue Requirement of Rs 1360.51 Cr in the

True-up of FY 2013-14.

3.19. Revenue at existing Retail Tariff

Petitioner’s submission

The Petitioner has submitted the net actual revenue for the FY 2013-14 as Rs 1060.29 Cr against

revenue of 990.86 Cr approved by the Commission in the APR Order. The table below provides

the revenue at existing tariff as submitted by the Petitioner:

Table 30: Revenue at existing tariff submitted by the Petitioner for FY 2013-14 (In Rs Cr)

Category

Sales (MU)

Total Revenue

(Rs Cr)

ABR (Rs/kwh)

A. LOW TENSION SUPPLY

LTD/Domestic

844.23

172.74

2.05

LTD/L.I.G.

8.26

1.15

1.39

LTD Domestic Mixed

5.00

1.67

3.34

LTC/Commercial

280.97

119.86

4.27

LTP/Motive Power

74.41

26.85

3.61

LTP Mixed (Hotel Industries)

4.73

2.62

5.54

LTP Ice Manufacturing

8.00

2.60

3.25

LTAG/Agriculture

17.76

3.20

1.80

LTPL ( Public lighting )

37.23

13.39

3.60

LTPWW/Public Water works

2.08

0.99

4.78

LT Temporary

17.89

13.33

7.45

Sub-Total

1300.57

358.39

2.76

B. HIGH TENSION SUPPLY

HT ( Mixed )

117.88

52.15

4.42

HTI (Industrial) Ferro Metallurgical/

/Steel Melting/Power Intensive

517.37

193.00

3.73

HTI Industrial

619.33

239.96

3.87

HTAG ( Agriculture)

6.09

1.35

2.22

EHTI ( Industrial )

142.55

56.82

3.99

HT P.W.W. & Sewage system

138.12

69.50

5.03

HT. M.E.'s Defence Estt.

26.66

9.70

3.64

HTI ( Steel Rolling )

69.02

28.04

4.06

HTI/IT High Tech

66.23

24.43

3.69

HTI/Ice Manufacturing

0.85

0.33

3.87

Sale from EDG to GSPL (Div. VII)

8.70

3.61

4.15

HTI Hotel Industry

57.11

22.93

4.01

HT Temporary

0.06

0.08

11.56

Sub-Total

1769.99

701.90

3.97

Total

3070.56

1060.29

3.45

OFFICIAL GAZETTE — GOVT. OF GOA

SERIES I No. 2

(EXTRAORDINARY No. 2)

18TH APRIL, 2018

Commission’s analysis

The Commission has verified revenue from the sale of power within the State in the FY 2013-14

from the audited accounts.

The category-wise revenue as approved in the APR Order, the Petitioner’s submission and the

revenue now Trued-up by the Commission is shown in the following table:

Table 31: Revenue at existing tariff approved by Commission for FY 2013-14 (In Rs Cr)

No.

Category

Approved in

APR Order

Petitioner's

Submission

Now Approved

by Commission

A. LOW TENSION SUPPLY

LTD/Domestic

152.00

172.74

LTD/L.I.G.

0.73

1.15

LTD Domestic Mixed

2.00

1.67

LTC/Commercial

100.00

119.86

LTP/Motive Power

33.00

26.85

LTP Mixed (Hotel Industries)

1.99

2.62

LTP Ice Manufacturing

2.50

2.60

LTAG/Agriculture

2.71

3.20

LTPL ( Public lighting )

6.61

13.39

LTPWW/Public Water works

1.47

0.99

LT Temporary

9.11

13.33

Sub-Total

312.12

358.39

B. HIGH TENSION SUPPLY

HT ( Mixed )

47.14

52.15

HTI (Industrial) Ferro Metallurgical/

Steel Melting/Power Intensive.

188.00

193.00

HTI Industrial

262.36

239.96

HTAG ( Agriculture)

0.89

1.35

EHTI ( Industrial )

70.48

56.82

HT P.W.W. & Sewage system

48.47

69.50

HT. M.E.'s Defence Estt.

8.86

9.70

HTI ( Steel Rolling )

29.00

28.04

HTI/IT High Tech

23.25

24.43

HTI/Ice Manufacturing

0.21

0.33

Sale from EDG to GSPL (Div. VII)

3.61

HTI Hotel Industry

22.93

HT Temporary

0.08

Sub-Total

678.74

701.90

Total

990.86

1060.29

OFFICIAL GAZETTE — GOVT. OF GOA

SERIES I No. 2

(EXTRAORDINARY No. 2)

18TH APRIL, 2018

The Commission approves the revenue from the sale of power as Rs 1060.29 Cr in the

True-up of the FY 2013-14.

3.20. Standalone Revenue Gap/Surplus

Petitioner’s submission

Based on the ARR submitted and the revenue from retail tariff, the standalone revenue gap of

Rs 313.21 Cr is arrived at in the True-up of FY 2013-14.

Commission’s analysis

The Commission, based on the approved ARR and the retail tariff has arrived at the Revenue

Gap/Surplus as follows:

Table 32: Standalone Revenue Gap/Surplus approved by Commission for FY 2013-14

(In Rs Cr)

S. No

Particulars

Approved in APR

Order

Petitioner's

Submission

Trued-up by

Commission

Net Revenue Requirement

1153.17

1373.50

1360.51

Total Revenue

1014.05*

1060.29

Net Gap/(Surplus)

139.12

313.21

300.22

*Inclusive of FPPCA of Rs. 23.19 Cr.

The Commission, in the True-up of FY 2013-14 approves a standalone gap of Rs 300.22 Cr.

The Petitioner has submitted that the entire gap for the FY 2013-14 is committed to be

funded by the Government of Goa by way of budgetary support. The Petitioner in this

regard had submitted the letter dated 1^st March, 2013 from the Government of Goa wherein

the Govt. had assured that it would provide the requisite budgetary support to meet the

deficit at the existing tariff for the FY 2013-14. In view of the budgetary support for the FY

2013-14 from the Government of Goa, the Commission approves Nil net revenue gap in the

True-up for the FY 2013-14.

4. Chapter 4: True-up of the FY 2014-15, FY 2015-16 and FY 2016-17

4.1. Applicable provisions of JERC for the State of Goa and Union Territories (Terms and

Conditions for Determination of Tariff) Regulations, 2009

The True-ups of FY 2014-15 and FY 2015-16 are to be carried out as per Regulation 8 (2) of the

Tariff Regulations, 2009:

(2) (i) After audited accounts of a year are made available, the Commission shall undertake

similar exercise as above with reference to the final actual figures as per the audited accounts.

This exercise with reference to audited accounts shall be called ‘Truing Up’.

(ii) The Truing Up for any year will ordinarily not be considered after more than one year of

‘Review’.

(3) The revenue gap of the ensuing year shall be adjusted as a result of review and truing up

exercises.

(4) While approving such expenses/revenues to be adjusted in the future years as arising out of

the Review and/or Truing up exercises, the Commission may allow the carrying costs as

determined by the Commission of such expenses/revenues. Carrying costs shall be limited to the

interest rate approved for working capital borrowings.

OFFICIAL GAZETTE — GOVT. OF GOA

SERIES I No. 2

(EXTRAORDINARY No. 2)

18TH APRIL, 2018

(5) For any revision in approvals, the licensee would be required to satisfy the Commission that

the revision is necessary due to conditions beyond its control.

(6) In case additional supply is required to be made to any particular category, the licensee may,

any time during the year make an application to the Commission for its approval. The

application will demonstrate the need for such change of consumer mix and additional supply of

power and also indicate the manner in which the licensee proposes to meet the cost for such

change of consumer mix and additional supply of power.

(7) The Commission may consider granting approval to such proposals provided the cost of

additional supply is ordinarily met by the beneficiary category.”

The True-up of FY 2016-17 the 1^st year of the MYT Control Period, is to be carried out as per

Regulation 8 (2) of the MYT Regulations, 2014:

“8. Annual Review of Performance and True-up

(2) After audited accounts of a year are made available, the Commission shall undertake similar

exercise as above with reference to the final actual figures or the provisional actual accounts as

available as per the audited accounts. This exercise with reference to audited accounts shall be

called 'Truing Up'.

The Truing Up for any year will ordinarily not be considered after more than one year of 'Review'.

(3) The revenue gap/surplus, if any, of the ensuing year shall be adjusted as a result of review

and truing up exercises.

(4) While approving such expenses/revenue to be adjusted in the future years as arising out of

the Review and/or Truing up exercises, the Commission may allow the carrying costs as

determined by the Commission of such expenses/revenue. Carrying costs shall be limited to the

interest rate approved for working capital borrowings.

(5) For any revision in approvals, the licensee would be required to satisfy the Commission that

the revision is due to conditions beyond its control.

(6) In case additional supply is required to be made to any particular category, the licensee may,

any time during the year make an application to the Commission for its approval. The

application will demonstrate the need for such additional supply of power and also indicate the

manner in which the licensee proposes to meet the cost for such additional supply of power.

4.2.

Approach for the True-up of the FY 2014-15 and FY 2015-16 and FY 2016-17

Petitioner’s submission:

The Petitioner submitted that the finalization of audited accounts for the FY 2014-15 and FY

2015-16 is in process and the Commission shall be approached for truing-up at a later date

when the audited accounts are available. Further, the provisional figures are available for FY

2016-17 and the finalization of accounts is under process. Based on the provisional accounts,

the Petitioner has requested to approve the provisional actual figures of the FY 2016-17 for

determination of ARR & Revenue gap and treatment thereof.

Commission’s analysis:

The Commission notes that the Petitioner has not submitted the audited accounts prepared on

commercial principles for the FY 2014-15, FY 2015-16 and FY 2016-17. The Commission in its

previous Orders had stressed upon the requirement of the audited accounts to bring in more

accuracy in the estimates made by the Commission. The Tariff Regulations, 2009 and MYT

Regulations, 2014 also require the licensee to file the True up along with the audited accounts

in the filing.

OFFICIAL GAZETTE — GOVT. OF GOA

SERIES I No. 2

(EXTRAORDINARY No. 2)

18TH APRIL, 2018

The Commission now directs the Petitioner to prepare and submit the audited accounts from

the FY 2014-15 onwards based on commercial principles along with the True-up Petitions by

30^th November 2018.

The True-up would therefore be taken up only after submission of the audited accounts.

Accordingly, the Commission has decided not to consider True-up for the FY 2014-15, FY

2015-16 and FY 2016-17 in the current Order.

5. Chapter 5: Annual Performance Review of FY 2017-18

5.1.

Background

The Tariff Order for the FY 2017-18 was issued by the Commission on 23^rd May, 2017 approving

the Aggregate Revenue Requirement (ARR) and tariff for the FY 2017-18. The Annual

Performance Review for the FY 2017-18 is to be carried out in accordance with the Regulation 8

of the JERC for the State of Goa and Union Territories (except Delhi) (Multi-Year Distribution

Tariff) Regulations, 2014:

“(1) The Commission shall undertake a review along with the next Tariff Order of the expenses

and revenue approved by the Commission in the Tariff Order. While doing so, the Commission

shall consider variations between approvals and revised estimates/actuals of sale of electricity,

income and expenditure for the relevant year and permit necessary adjustments/changes in case

such variations are for adequate and justifiable reasons. Such an exercise shall be called

‘Review’.

……(3) The revenue gap/surplus, if any, of the ensuing year shall be adjusted as a result of

review and truing up exercises.

(4) While approving such expenses/revenue to be adjusted in the future years as arising out of

the Review and/or Truing-up exercises, the Commission may allow the carrying costs as

determined by the Commission of such expenses/revenue. Carrying costs shall be limited to the

interest rate approved for working capital borrowings.

(5) For any revision in approvals, the licensee would be required to satisfy the Commission that

the revision is due to conditions beyond its control.

(6) In case additional supply is required to be made to any particular category, the licensee may,

any time during the year make an application to the Commission for its approval.

The application will demonstrate the need for such additional supply of power and also indicate

the manner in which the licensee proposes to meet the cost for such additional supply of

power.”

5.2.

Approach for the Review for the FY 2017-18

Petitioner’s submission:

The Petitioner has submitted the APR of FY 2017-18 based on the actual performance during

the H1 (April-September 2017) of the year and the revised estimates for H2 (October 2017-

-March 2018) of the year. The projections for H2 of FY 2017-18 are arrived at by expected

escalation over performance of H1.

Commission’s analysis:

The Commission for the purpose of estimating the energy demand of the State sought the

information of historical sales, number of consumers and connected load of the previous 5 years

till FY 2017-18 (till December 2017) from the Petitioner. The Petitioner was also asked to provide

OFFICIAL GAZETTE — GOVT. OF GOA

SERIES I No. 2

(EXTRAORDINARY No. 2)

18TH APRIL, 2018

month on month information for the last 3 years from FY 2014-15 to FY 2016-17. Various

anomalies and gaps are observed in the data provided, which are listed as follows:

● Data on Energy Sales, Number of Consumers and Connected Load for FY 2015-16 was

not submitted.

● Overall Energy Sales were reducing by almost 26% in March 2017 vis-à-vis February

2017.

● Energy sales for Domestic category were submitted as 0.49 MU in March 2017 vis-à-vis

average of ~65 MU in earlier months.

● Energy Sales submitted for FY 2014-15 were observed to be higher than FY 2016-17 by

almost ~400 MU.

From the various discrepancies as shown above, it is evident that the base data for projecting

the energy sales for FY 2017-18 is not reliable.

In the Technical Validation Session (TVS) held at the Commission’s office, the Petitioner was

asked to submit justifications for these discrepancies. The Petitioner submitted that there were

issues related to billing of energy to consumers for a few months in H2 of FY 2015-16 due to

changeover of the billing agencies and the transition period thereof. The primary problem was

non-billing in certain months of FY 2015-16 and adjustment of the same in FY 2016-17 resulting

in lower billing than what should have been in FY 2015-16 and higher billing in FY 2016-17. The

Petitioner further submitted that the meter reading and billing was maintained by different

agencies separately in each division, and each agency had its separate logic for bill calculation

and bill generation. However, now a common agency has taken over all the billing and

collection data for HT and LT consumers and a common process is followed for all the divisions

to avoid ambiguity in the process and data. While the process is streamlined, a lot of errors in

the legacy data have been discovered and the error rectification process is going on.

The Petitioner was asked to provide the segregated quantum of month on month sales,

however, the Petitioner expressed its inability to provide this segregated information at this

stage as the information is present in the form of software dump and the analysis and

segregation of the information will take considerable time.

The Commission is of the view that due to this distortion observed in energy sales, it is not

possible to project the energy sales for FY 2017-18 as no definite trends can be observed. It is

not prudent to approve the revised power purchase requirement and revenue from retail sale

on the basis of the unreliable information presently available. Therefore, the Commission shall

consider the actual performance at the time of the True-up of the FY 2017-18 once the audited

accounts are submitted by the Petitioner.

Accordingly, the Commission has decided not to consider the Annual Performance Review of

the FY 2017-18.

Chapter 6: Determination of Aggregate Revenue Requirement for the FY 2018-19

6.1 Background

The ARR for FY 2018-19 was approved in the MYT Order issued for the 1^st Control Period (FY

2016-17 to FY 2018-19). In this Chapter the Commission determines the Aggregate Revenue

Requirement (ARR) for the FY 2018-19 based on the actual information available for the

previous years and the various norms defined in the MYT Order. The determination of

Aggregate Revenue Requirement for the FY 2018-19 is to be carried out as per the following

provisions of Regulation 6 of the JERC for the State of Goa and Union Territories (except Delhi)

(Multi-Year Distribution Tariff) Regulations, 2014:

OFFICIAL GAZETTE — GOVT. OF GOA

SERIES I No. 2

(EXTRAORDINARY No. 2)

18TH APRIL, 2018

“6. ARR Forecast

6.1 The applicant shall, based on the Business Plan as approved by the Commission by Order,

submit the forecast of Aggregate Revenue Requirement and expected revenue from tariff, for the

Control Period by a Petition in accordance with the JERC (Terms & Condition for determination

of Tariff) Regulations, 2009 by 30^th November of the year prior to the commencement of the

Control Period and accompanied by such fee payable, as specified in the JERC (Conduct of

Business) Regulations, 2009.

6.2 The forecast of Aggregate Revenue Requirement shall be developed using the assumptions

relating to the behaviour of individual variables that comprise the Aggregate Revenue

Requirement during the Control Period.

6.3 The forecast of expected revenue from tariff and charges shall be developed based on the

following:

(a) Estimates of quantum of electricity to be supplied to consumers and wheeled on behalf of

Distribution System Users for each financial year within the Control Period; and

(b) Prevailing tariff as at the date of making the application.”

6.2. Approach for determination of ARR for the FY 2018-19

The Petitioner has submitted the same ARR for the FY 2018-19 as approved in the MYT Order

dated 18^th April, 2016 along with an additional provision of Interest on Security Deposit. The

Petitioner has computed revenue from the sale of power on the basis of the Retail Tariff

approved by the Commission in the Tariff Order for FY 2017-18. As the Commission is not

undertaking any review for the FY 2017-18 for the reasons detailed in the previous chapter,

the Commission is retaining the projections and consequently costs for the FY 2018-19 at

the same level as approved in the MYT Order dated 18^th April, 2016 excluding the power

purchase cost.

The Commission believes that the projections of Power Purchase Quantum and Cost approved

in the MYT Order were based on historical trends and figures. Since the majority of the power

procured by the Petitioner is from Central Generating Stations, it is prudent to revise the Power

Purchase Cost based on the latest Tariff Orders issued by the Central Electricity Regulatory

Commission (CERC) for the Control Period FY 2014-15 to FY 2018-19. Accordingly, the

Commission has determined the revised Power Purchase Cost based on the same energy sales

and Intra-State T&D loss as approved in the MYT Order for FY 2018-19. Resultantly, the

Commission has also determined the Renewable Purchase Obligation (RPO) and the Interest on

Working Capital which are dependent on the Power Purchase Cost. The Commission has

determined the revenue from sale of power based on the approved energy sales, number of

consumers and connected load in the MYT Order for FY 2018-19 to calculate the revenue gap

for the year.

6.3. Projection of Number of consumers, Connected Load and Energy Sales Petitioner’s

Submission

The Petitioner has considered the same number of consumers, connected load and energy sales

as approved in the MYT Order.

Commission’s Analysis

The Commission for the reasons as discussed above approves the same number of consumers,

connected load and energy sales as approved in the MYT Order.

OFFICIAL GAZETTE — GOVT. OF GOA

SERIES I No. 2

(EXTRAORDINARY No. 2)

18TH APRIL, 2018

Table 33: No. of Consumer, Connected Load and Energy Sales approved by Commission

Description

No. of Consumers

Connected Load

(kW/kVA)

Energy Sales

(MU)

LTD/Domestic

496725

1429336

984.51

LT-LIG/Low Income Group

3049

338

1.10

Low Tension-DM/LT-DM

4399

13044

14.84

LTC/Commercial

92869

282941

325.42

LTI/Industrial

6466

115580

137.42

LT Mixed/LT-P Hotel Industries

233

4285

5.31

Low Tension-AG/LT-AGP (Pump

Sets/Irrigation)

10821

34481

23.86

LT Temporary

2581

1098

22.08

HTD Domestic

193

0.28

HTC Commercial

117

42567

79.05

HTI Industrial

651

417220

1398.09

High Tension-Ferro/SM/PI/SR

114756

582.70

High Tension-AG/HT-AGP (Pump

Sets/Irrigation)

8378

6.08

Military Engineering Services/defense

Establishments

7080

26.89

Public Lighting

2740

9598

36.95

Hoardings/Signboards

104

0.35

Total

620848

2480929

3644.93

The Commission approves Number of consumers as 620847, Connected Load as 2480929

kW/kVA and Energy Sales as 3644.93 MU in the ARR of FY 2018-19

6.4. Energy savings under Domestic Efficiency Lamp Programme (DELP)

Petitioner’s Submission

The Petitioner has considered the same energy savings under DELP as approved by the

Commission in the MYT Order.

Commission’s analysis

The Commission in the ARR of FY 2018-19 considers the same energy savings as approved in

the MYT Order.

Table 34: Energy Savings under DELP (MU)

No.

Particulars

Approved in MYT

Order

Petitioner's

Submission

Now Approved by

Commission

Energy savings under DELP

78.60

The Commission approves Energy Savings of 78.60 MU in the ARR of FY 2018-19.

6.5. Inter-State Transmission Loss

Petitioner’s Submission

The Petitioner has considered the same Inter-State Transmission Loss as approved in the MYT

Order.

OFFICIAL GAZETTE — GOVT. OF GOA

SERIES I No. 2

(EXTRAORDINARY No. 2)

18TH APRIL, 2018

Commission’s analysis

The Commission in the ARR of FY 2018-19 considers the Inter-State Transmission loss levels

same as approved in the MYT Order.

Table 35: Inter-State Transmission Loss (%)

No.

Particulars

Approved in

MYT Order

Petitioner’s

Submission

Now Approved by

Commission

For Stations in Western Region (WRPC)

3.66%

For Stations in Southern Region (SRPC)

7.50%

The Commission approves Inter–State Transmission Loss of 3.66% for power received from

stations of Western Region and 7.50% for power received from stations of Southern Region

in the ARR of FY 2018-19.

6.6. Intra-State Transmission and Distribution (T&D) loss

Petitioner’s Submission

The Petitioner has considered the same Intra-State T&D Loss as approved in the MYT Order.

Commission’s analysis

The Commission approves the Intra-State T&D loss at the same level as approved in the MYT

Order.

The following table provides the Intra-State T&D loss approved in the MYT Order, the

Petitioners submission and T&D Loss now approved by the Commission.

Table 36: Intra-State T&D loss (%)

S. No.

Particulars

Approved in MYT

Order

Petitioner’s

Submission

Now Approved

by Commission

Intra-State distribution loss

10.75%

The Commission approves Intra-State T&D loss of 10.75% in the ARR of FY 2018-19.

6.7. Power Purchase Quantum & Cost

Petitioner’s Submission

The Petitioner has considered the same power purchase cost as approved by the Commission

in the MYT Order for FY 2018-19.

Commission’s Analysis

The Commission has projected the power purchase quantum and cost for FY 2018-19 based on

the actual monthly power purchase data for 9 months of FY 2017-18 and 12 months data for FY

2016-17, FY 2015-16 and FY 2014-15, as submitted by the Petitioner. For projecting availability

of power, firm allocation from various generating stations has been considered. The source

wise methodology followed for projecting the quantum and cost of power procurement has

been detailed below:

OFFICIAL GAZETTE — GOVT. OF GOA

SERIES I No. 2

(EXTRAORDINARY No. 2)

18TH APRIL, 2018

6.7.1. Availability of power

Availability of energy from NTPC and NPCIL stations:

● The energy availability from all the NTPC and NPCIL stations have been done based on

average Plant Load Factor (PLF) of the respective stations in the last 4-5 years

depending on the status of operation of the plant during the year.

● The energy availability from Kawas Gas Power Plant (KGPP) and Jhanor-Gandhar Power

Plant (JGPP) has been estimated based on the average PLF of the plant during first 9

months of FY 2017-18.

● No energy has been projected from Kakrapara Atomic Power Station (KAPS) as no

energy has been scheduled from April-December 2017 as the plant is shutdown for

maintenance.

Availability of energy from Co-Generation Plants:

● The energy availability from all the Co-Generation plants namely Vedanta Plant-1,

Vedanta Plant-2 and Goa Sponge Pvt. Ltd. has been considered the same as in

FY 2016-17 based on the provisional data submitted by the Petitioner.

Availability of energy from Renewable Energy Stations:

● The energy availability from Renewable Energy Plants namely NVVNL Hydro, SECI, and

NVVNL Solar have been estimated based on the average PLF achieved by the plants in

the first 9 months of FY 2017-18.

Availability from Ratnagiri Gas Power Plant (RGPPL):

● The State of Maharashtra (which has 95% share allocation from RGPPL) is not

scheduling power because of non-availability of natural gas and hence non-availability

of technical minimum schedule to run the plant. For the period from April-December

2017, no power was purchased. Therefore, the Commission has not considered any

availability of power from this station.

Availability of energy from New Stations

● It is expected that the Kameng Hydro Electric Plant (HEP) of NEEPCO will achieve COD

by the starting of FY 2018-19. Accordingly, the Commission has considered the energy

availability from this station based on parameters notified in the CERC Tariff

Regulations, 2014.

Availability of energy from Open Market/Unscheduled Interchange

● The energy deficit/surplus for the FY 2018-19, as discussed in the section on energy

balance later in the Order, has been assumed to be purchased/sold in the open market.

● No power has been projected under UI Under-drawal/Over-drawal.

6.7.2. Power Purchase Cost

Variable Charges:

● The per unit variable costs have been computed by taking the average of the actual per

unit variable cost during the months of October-December 2017 for all the stations.

OFFICIAL GAZETTE — GOVT. OF GOA

SERIES I No. 2

(EXTRAORDINARY No. 2)

18TH APRIL, 2018

● For procurement of power from the Open Market, the Average Round the Clock (RTC)

rate for the Western Region during the calendar year 2017 has been considered.

Fixed Charges:

● The fixed costs for CGS have been considered based on the Tariff Orders issued by the

CERC for the respective Central Generating Stations.

● For Cogeneration and Renewable Energy Stations, the tariff has been considered as per

the PPA’s and Tariff Orders of respective stations.

● The fixed cost has been apportioned on the basis of the Petitioner’s share in each

station and the average annual plant availability factor achieved during the last five

years by the plant.

● For new stations, since no source specifying the tariff is available in the public domain,

the Commission has considered an average rate of Rs 5.00/kwh.

Other Charges:

No other charges have been considered for the FY 2018-19.

6.7.3. Transmission Charges

The Commission has projected the transmission charges payable to PGCIL based on the total

capacity of the transmission network allocated to the Petitioner.

The transmission charges are determined based on the latest quarterly Point of Connection

(PoC) rates approved by the Central Electricity Regulatory Commission (CERC) in accordance

with Regulation 17(2) of the Central Electricity Regulatory Commission (Sharing of Inter-State

Transmission Charges and Losses) Regulations, 2010.

6.7.4. Total Power Purchase Quantum and Cost

The following table provides the Power Purchase Quantum and cost approved by the

Commission for FY 2018-19:

Table 37: Power Purchase Quantum (MU) and cost (Rs Cr) approved by Commission

Details of the stations

Power

Purchase at

Generator

Periphery

(MU)

Power Purchase

at UT periphery

(after adjusting

ISTS Losses)

(MU)

Fixed

Charges

(Rs Cr)

Variable

Charges

(Rs Cr)

Total

(Rs Cr)

Avg. Rate

(@ State

Periphery)

(Rs/kwh)

NTPC

KSTPS

1579.30

1521.49

101.50

183.72

285.22

1.87

VSTPS - I

257.32

247.90

21.90

38.25

60.15

2.43

VSTPS - II

95.62

92.12

6.83

13.31

20.15

2.19

VSTPS - III

81.96

78.96

8.84

11.41

20.25

2.56

VSTPS - IV

95.62

92.12

15.47

13.35

28.82

3.13

VSTPS - V

45.08

43.43

7.70

6.33

14.03

3.23

KGPP

46.71

45.00

7.68

15.21

22.89

5.09

GGPP

60.92

58.69

9.74

20.90

30.63

5.22

SIPAT - I

177.86

171.35

23.35

20.69

44.04

2.57

KSTPS - III

46.40

44.70

6.11

5.31

11.42

2.55

OFFICIAL GAZETTE — GOVT. OF GOA

SERIES I No. 2

(EXTRAORDINARY No. 2)

18TH APRIL, 2018

RSTPS

724.88

670.51

50.53

172.30

222.84

3.32

SIPAT- II

83.51

80.46

10.38

9.97

20.34

2.53

Mouda II

44.72

43.08

14.46

11.00

25.46

5.91

Mouda

34.85

33.57

18.48

8.78

27.26

8.12

Solapur

81.49

78.50

17.47

23.51

40.98

5.22

Sub Total – NTPC

3456.23

3301.90

320.43

554.05

874.48

2.65

RGPPL

0.00

NPCIL

KAPS

0.00

TAPS

87.33

84.14

25.59

3.04

Sub Total NPCIL

87.33

84.14

25.59

3.04

Within State

Generations

Vedanta Plant-1- Co-Gen

96.28

23.11

2.40

Vedanta Plant-2- Co-Gen

75.21

18.05

2.40

Goa Sponge and Private

Limited

5.82

1.40

2.40

Sub Total – Within State

Generation

177.31

42.55

2.40

RPO

NVVNL Solar

10.98

10.57

8.45

7.99

SECI Solar

49.52

47.71

26.24

5.50

Solar-REC

11.46

Non Solar-REC

28.89

Sub Total – RPO

60.49

58.28

75.04

NVVNL Hydro (Non

Solar)

89.24

85.97

38.60

4.49

New Station- Kameng

HEP-NEEPCO

20.25

19.51

9.76

5.00

Total Power from firm

sources

3890.85

3727.11

320.43

745.58

1066.01

2.86

Traders

Open Market

268.78

79.83

2.97

Sub Total – Open

Market

268.78

79.83

2.97

Total

4159.64

3995.89

320.43

825.41

1145.84

2.87

Transmission Charges

PGCIL Charges

183.84

Total

4159.64

3995.89

320.43

825.41

1329.68

3.33

OFFICIAL GAZETTE — GOVT. OF GOA

SERIES I No. 2

(EXTRAORDINARY No. 2)

18TH APRIL, 2018

The Commission approves the quantum of power purchase for the FY 2018-19 as 3995.89

MU at the State Periphery with a total cost of Rs 1329.68 Cr.

6.8. Renewable Purchase Obligation (RPO)

Petitioner’s Submission

The Petitioner has considered the same cost towards RPO, as approved by the Commission, in

the MYT Order.

Commission’s analysis:

As per Clause 1, Sub-clause (1) of the JERC for the State of Goa and UTs (Procurement of

Renewable Energy) Regulations, 2010

“Each distribution licensee shall purchase electricity (in kWh) from renewable energy sources, at

a defined minimum percentage of the total consumption of all the consumers in its area during a

year.”

The Commission notified the JERC (Procurement of Renewable Energy), (Third Amendment)

Regulations, 2016 on 22^nd August 2016 and approved the revised RPO targets, as per which the

Petitioner has to purchase 9.00% of its total consumption (including 3.60% from Solar) from

renewable sources for the FY 2018-19. Further, the Regulation states that the obligation has to

be calculated on the mix of consumption excluding power from hydropower sources.

Accordingly, the Commission has determined the RPO on revised energy sales as shown in the

table below.

The Petitioner is procuring physical power from solar and hydro plants. However, the physical

power is not enough to fulfill the standalone RPO for FY 2018-19. Therefore, the Commission

has considered the remaining RPO to be fulfilled by the purchase of Renewable Energy

Certificate (REC). The Commission has assumed the rate of purchase for both solar and

non-solar REC as Rs 1.50/ kWh (IEX Average Clearing Price Rate) due to non –availability of

solar REC’s in the market. The total cost towards RPO compliance has been considered in the

total power purchase cost approved earlier.

In accordance with the JERC for the State of Goa and UTs (Procurement of Renewable Energy)

Regulations, 2010 the Commission has determined the following Renewable Purchase

Obligation for the Petitioner for FY 2018-19:

Table 38: Summary of Renewable Purchase Obligation (RPO) (MU)

Description

FY 2018-19

Sales within State (MU)

3644.93

Percentage of hydropower (NVVNL Hydro) in total power purchase quantum at Ex-bus

2.15%

Resultant Energy Sales for calculation of RPO (after adjustment of power from hydro

sources) (MU)

3566.73

RPO obligation (in %)

9.00%

Solar

3.60%

Non-Solar

5.40%

RPO obligation for the year (in MU)

321.01

Solar

128.40

Non-Solar

192.60

RPO compliance (Physical Power available at Consumer Periphery after adjusting

Inter-State Transmission of 3.66% and Intra-State T&D Loss of 10.75%)

52.01

OFFICIAL GAZETTE — GOVT. OF GOA

SERIES I No. 2

(EXTRAORDINARY No. 2)

18TH APRIL, 2018

Solar

52.01

Non-Solar

0.00

RPO compliance (REC certificates to be purchased)

268.99

Solar

76.39

Non-Solar

192.60

The cost towards compliance of RPO computed by the Commission has been shown in the

following table.

Table 39: Cost towards compliance of Renewable Purchase Obligation (RPO) (In Rs Cr)

Description

RPO (MU)

Total Cost (Rs Cr)

Avg. Rate (Rs/kWh)

NVVNL Solar

9.44

8.45

8.95

SECI Solar

42.58

26.24

6.16

Solar-REC

76.39

11.46

1.50

Non Solar- REC

192.60

28.89

1.50

Total RPO

321.01

75.04

2.34

The cost towards RPO has already been considered in the total power purchase cost approved

by the Commission in the previous section.

6.9. Energy Balance

Commission’s analysis

Based on the approved energy sales and the revised estimates of the Power purchase quantum,

the Commission approves the energy balance as shown in the following table:

Table 40: Energy Balance (MU) approved by Commission

Particulars

Approved in

MYT Order

Petitioner’s

Submission

Now Approved by

Commission

Energy Requirement

Energy sales within the State/UT

3644.93

Open Access Sales

0.00

Less: Energy Savings

78.60

Total Sales within the State/UT

3566.33

Distribution losses

10.75%

429.56

Energy required at State Periphery

3995.89

Energy Transactions at Periphery

Add: Sales in Unscheduled

Interchange

0.00

Add: Sales in Power Exchanges

0.00

Less: Purchase under UI (MU)

0.00

Less: Open Access Purchase (MU)

0.00

Total energy scheduled at State

Periphery (MU)

3995.89

Energy Available at State Periphery

from firm sources

3995.89

3727.11

Deficit/(Surplus) (5-6)

0.00

268.78

OFFICIAL GAZETTE — GOVT. OF GOA

SERIES I No. 2

(EXTRAORDINARY No. 2)

18TH APRIL, 2018

The Commission approves an energy deficit of 268.78 MU in FY 2018-19. The Commission

directs the Petitioner to purchase this deficit power from open market or other cheaper

sources rather than from costlier power stations. The Commission has considered the cost

towards this shortfall along with the Power Purchase Cost as approved earlier.

6.10. Operation & Maintenance (O&M) Expenses

Petitioner’s Submission

The Petitioner has considered the same O&M Expenses as approved in the MYT Order.

Commission’s analysis

The following table provides the O&M expenses approved in the MYT Order, Petitioner’s

submission and now approved by the Commission.

Table 41: O&M Expenses approved by Commission (In Rs Cr)

S. No.

Particulars

Approved in MYT

Order

Petitioner’s

Submission

Now Approved by

Commission

Employee Expenses

270.41

Administrative & General

Expenses (A&G)

10.81

Repair & Maintenance

Expenses

45.60

Total Operation &

Maintenance Expenses

326.82

The Commission approves the Operation & Maintenance (O&M) expenses of Rs 326.82 Cr in

the ARR of FY 2018-19.

6.11. Capitalisation

Petitioner’s Submission

The Petitioner has considered the same Capitalization as approved in the MYT Order.

Commission’s analysis:

The Commission approves the same Capitalization as approved in the MYT Order.

Table 42: Capitalisation approved by the Commission (In Rs Cr)

S. No.

Particulars

Approved in MYT

Order

Petitioner’s

Submission

Now Approved by

Commission

Capitalisation

685.27

The Commission approves Capitalization of Rs 685.27 Cr in the ARR of FY 2018-19.

6.12. Depreciation

Petitioner’s Submission

The Petitioner has considered the same depreciation as approved in the MYT Order.

Commission’s analysis:

The Commission approves the same depreciation as approved in the MYT Order.

OFFICIAL GAZETTE — GOVT. OF GOA

SERIES I No. 2

(EXTRAORDINARY No. 2)

18TH APRIL, 2018

Table 43: Depreciation approved by Commission (In Rs Cr)

S. No.

Particulars

Approved in MYT

Order

Petitioner’s

Submission

Now Approved by

Commission

Opening Gross Fixed Assets

1454.96

Addition During the FY

685.27

Less: Capitalization through grants in

Business Plan Order

125.77

Closing Gross Fixed Assets

2014.46

Average Gross Fixed Assets

1734.71

Weighted Average Depreciation rate (%)

5.28%

Depreciation

91.59

The Commission approves depreciation of Rs 91.59 Cr in the ARR of FY 2018-19.

6.13. Interest and Finance Charges

Petitioner’s Submission

The Petitioner has considered the same Interest and Finance Charges as approved in the

MYT Order.

Commission’s analysis:

The Commission also approves the same Interest and Finance Charges as approved in the MYT

Order.

Table 44: Interest and Finance Charges approved by Commission (In Rs Cr)

S. No.

Particulars

Approved in

MYT Order

Petitioner’s

Submission

Now Approved

by Commission

Opening Normative Loan

773.99

Add: Normative Loan during the year

391.65

Less: Normative Repayment equivalent to

Depreciation

91.59

Closing Normative Loan

1074.05

Average Normative Loan

924.02

Rate of Interest (%)

11.60%

Interest and Finance Charges

107.19

The Commission approves Interest and Finance Charges as Rs 107.19 Cr in the ARR of FY

2018-19.

6.14. Return on Equity (RoE)

Petitioner’s submission

The Petitioner has considered the same RoE as approved in the MYT Order.

Commission’s analysis:

The Commission, similar to above, approves the same RoE as approved in the MYT Order.

OFFICIAL GAZETTE — GOVT. OF GOA

SERIES I No. 2

(EXTRAORDINARY No. 2)

18TH APRIL, 2018

Table 45: RoE approved by Commission (In Rs Cr)

No.

Particulars

Approved in

MYT Order

Petitioner’s

Submission

Now Approved

by Commission

Opening Equity

436.49

Additions on account of new Capitalization

167.85

Closing Equity

604.34

Average Equity

520.41

Rate of Return on Equity (%)

16.00%

Return on Equity

83.27

The Commission approves Return on Equity of Rs 83.27 Cr in the ARR of FY 2018-19.

6.15. Interest on Security Deposits

Petitioner’s submission:

The Petitioner has considered the same Interest of Security Deposit as approved in the MYT

Order. Further, the Petitioner has requested the Commission to allow the provision of unpaid

security deposit of Rs 9.15 Cr to be included in the total revenue gap to be recovered in the

FY 2018-19.

Commission’s analysis:

The Commission has considered the same Interest on Security Deposit as approved in the MYT

Order. The Commission has not considered any provision for unpaid Interest on the Consumer

Security Deposit. The Commission will consider the interest paid on consumer security

deposits for the previous years as and when the same is paid to consumers on actual basis as

per the audited accounts.

Table 46: Interest on Security Deposits approved by Commission (In Rs Cr)

S. No

Particulars

Approved in MYT

Order

Petitioner’s

Submission

Now Approved

by Commission

Opening Security Deposit

90.57

Add: Deposits During the year

1.16

Less: Deposits refunded

0.00

Closing Security Deposit

91.73

Average Security Deposit

91.15

Rate of Interest (%)

7.75%

Interest on Security Deposit

7.02

Additional provision of unpaid

security deposit

9.15

Total Interest on Security Deposit

7.02

16.17

7.02

The Commission approves Interest on Security Deposit as Rs 7.02 Cr in the ARR of FY

2018-19.

6.16. Demand Side Management (DSM) Expenses

Petitioner’s submission

The Petitioner has considered the expenses towards DSM as approved in the MYT Order.

OFFICIAL GAZETTE — GOVT. OF GOA

SERIES I No. 2

(EXTRAORDINARY No. 2)

18TH APRIL, 2018

100

Commission’s analysis:

The Commission approves the same DSM expenses as approved in the MYT Order.

Table 47: DSM Expenses as approved by Commission (In Rs Cr)

S. No.

Particulars

Approved in MYT

Order

Petitioner’s

Submission

Now Approved by

Commission

DSM Expenses

3.03

The Commission approves DSM Expenses as Rs 3.03 Cr in the ARR of FY 2018-19.

6.17. Interest on Working Capital

Petitioner’s Submission

The Petitioner has considered the same Interest on Working Capital as approved in the MYT

Order.

Commission’s analysis:

Since the Power purchase cost has been revised, the same has an impact on the Interest and

Working Capital. The Interest on Working Capital has been calculated based on the normative

principles outlined in the JERC (Multi-Year Distribution Tariff) Regulations, 2014. Regulation 25

of the MYT Regulations, 2014 states the following:

Working capital for retail supply activity of the licensee shall consist of:

(i) Receivables of two months of billing

(ii) Less power purchase cost of one month

(iii) Less consumer security deposit but excluding Bank Guarantee/Fixed Deposit Receipt

(iv) Inventory for two months based on annual requirement for previous year.

The rate of interest on working capital shall be equal to the base rate for the State Bank of India

on the 1^st April of the relevant financial year. The interest on working capital shall be payable on

normative basis notwithstanding that the licensee has not taken working capital loan from any

outside agency or has exceeded the working capital loan worked out on the normative figures.”

The Commission has determined the Interest on Working Capital in accordance with the

Regulation as cited above. The Interest Rate has been considered as the prevailing SBI Base

rate. The table below provides the Interest in Working Capital as approved in the MYT Order

and now approved by the Commission:

Table 48: Interest on Working Capital approved by Commission (In Rs Cr)

S. No.

Particulars

Approved in

MYT Order

Petitioner’s

Submission

Now Approved

by Commission

Receivables of two months of billing

342.94

325.42

Less: Power Purchase Cost for one month

119.42

110.81

Inventory Based on Annual Requirement for

Previous FY for 2 months

0.00

Total Working Capital Requirement

223.52

214.62

Less: Average Security Deposit excluding

BG/FDR

90.57

91.15

Net Working Capital

132.94

123.47

Rate of Interest (%)

9.30%

8.65%

Interest on Working Capital

12.36

10.68

The Commission now approves the Interest on Working Capital as Rs 10.68 Cr in the ARR of

FY 2018-19.

OFFICIAL GAZETTE — GOVT. OF GOA

SERIES I No. 2

(EXTRAORDINARY No. 2)

18TH APRIL, 2018

101

6.18. Non-Tariff Income (NTI)

Petitioner’s submission

The Petitioner has considered the same NTI as approved in the MYT Order.

Commission’s analysis:

The Commission also approves the same NTI as approved in the MYT Order.

Table 49: Non –tariff Income approved by Commission (In Rs Cr)

S. No.

Particulars

Approved in

MYT Order

Petitioner’s

Submission

Now Approved by

Commission

Non-Tariff Income

6.74

The Commission approves Non-Tariff Income of Rs 6.74 Cr in the ARR of FY 2018-19.

6.19. Aggregate Revenue Requirement (ARR)

Petitioner’s submission

The Petitioner has considered the same ARR for FY 2018-19 as approved in the MYT Order

along with an additional provision of Interest on Security Deposit.

Commission’s analysis

On the basis of the above, the Commission approves the revenue requirement for the

FY 2018-19 as shown in the table below:

Table 50: Aggregate Revenue Requirement approved by Commission

for FY 2018-19 (In Rs Cr)

S. No.

Particulars

Approved in

MYT Order

Petitioner’s

Submission

Now Approved by

Commission

Power Purchase Cost (inclusive of RPO Cost)

1433.09

1329.68

Operation & Maintenance Expenses

326.82

Depreciation

91.59

Interest and Finance charges

107.19

Interest on Working Capital

12.36

10.68

Interest on Security Deposit

7.02

16.17

7.02

Return on Equity

83.27

Provision for Bad Debt

0.00

Income Tax

0.00

Payment towards DSM

3.03

Total Revenue Requirement

2064.37

2073.52

1959.28

Less: Non-Tariff Income

6.74

Net Revenue Requirement

2057.63

2066.78

1952.54

The Commission approves net ARR of Rs 1952.54 Cr for the FY 2018-19.

6.20. Revenue at existing Retail Tariff

Petitioner’s submission

The Petitioner has submitted the revenue from sale of power at existing tariff as Rs 1593.75 Cr

based on the approved energy sales, connected load and number of consumers in the MYT

OFFICIAL GAZETTE — GOVT. OF GOA

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(EXTRAORDINARY No. 2)

18TH APRIL, 2018

102

Order. The revenue for FY 2018-19 has been computed based on the retail tariff notified by the

Commission in the Tariff Order for the FY 2017-18 dated 23^rd May 2017. The table below

provides the category wise revenue computed by the Petitioner for FY 2018-19.

Table 51: Revenue submitted by Petitioner (In Rs Cr)

S. No.

Category

Sales

(MU)

Fixed

Charges

(Rs Cr)

Energy

Charges

(Rs Cr)

Total

Charges

(Rs Cr)

ABR

(Rs

/kWh)

Low Tension Supply

Tariff LTD/Domestic and Non-

Commercial

984.51

16.49

272.07

288.56

2.93

1(a)

0-100 units

89.28

5.09

11.61

16.69

1.87

1(b)

101-200 units

205.24

3.18

38.99

42.18

2.06

1(c)

201 to 300 units

174.49

3.65

41.88

45.53

2.61

1(d)

301 to 400 units

119.79

1.78

37.14

38.91

3.25

1(e)

Above 400 units

395.72

2.79

142.46

145.25

3.67

Tariff LTD/Low Income Group

1.10

0.11

1.00

Tariff-LTC/Commercial

340.26

5.84

126.41

132.24

3.89

0-20 KW/Commercial Consumers

268.67

5.72

99.66

105.38

3.92

1-100 Units

114.26

2.94

37.13

40.07

3.51

101-200 units

99.42

2.67

38.77

41.45

4.17

201-400 Units

52.41

0.11

22.53

22.65

4.32

Above 400 units

2.59

0.00

1.22

4.71

>20-90Kw Commercial Consumers

71.59

0.11

26.75

26.86

3.75

1-100 Units

28.04

0.05

9.11

9.17

3.27

101-200 units

28.04

0.05

10.94

10.99

3.92

201-400 Units

14.78

0.00

6.36

4.30

Above 400 units

0.73

0.00

0.34

4.70

LTI-Industry

137.42

4.16

47.81

51.97

3.78

0-500 Units

7.21

0.22

2.24

2.45

3.40

Above 500 units

130.21

3.94

45.57

49.52

3.80

Tariff-LTP/Mixed (Hotel Industries)

5.31

0.15

2.39

2.54

4.79

LT-Agriculture

23.86

0.56

3.13

3.69

1.54

Tariff-LTAG/Agriculture (Pump

Sets/Irrigation) (A)

23.03

0.40

2.99

3.40

1.48

Tariff-LTAG/Agriculture Allied (B)

0.83

0.16

0.13

0.29

3.48

Tariff-LTPL/Public Lighting

36.95

0.46

14.41

14.87

4.02

Tariff-LT Hoarding and Signboards

0.35

0.00

0.35

9.97

High Tension Supply

Tariff HTD/Domestic

0.28

0.03

0.12

0.16

5.64

Tariff HT-Commercial

79.05

12.77

43.48

56.25

7.12

Tariff HTI/Industrial

1398.09

125.17

599.70

724.87

5.18

Connected at 11/33 kV

1250.34

103.90

537.64

641.55

5.13

Connected at 110 kV

147.75

21.27

62.06

83.32

5.64

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H.T.Industrial (Ferro Mettallurgical/

Steel Melting/Power Intensive)

582.70

34.43

250.56

284.99

4.89

HT-Agriculture

6.08

0.37

0.98

1.34

2.21

Tariff-HTAG/Agriculture (Pump

Sets/Irrigation) (A)

2.95

0.32

0.41

0.73

2.48

Tariff-HTAG/Agriculture (Allied

Activities) (B)

3.13

0.05

0.56

0.61

1.96

H.T. MES/Defence Establishments

26.89

1.49

13.45

14.93

5.55

Temporary Supply

Tariff-LT/Temporary Domestic

17.47

0.06

12.23

12.29

7.03

Tariff-LT/Temporary Commercial

4.61

0.03

4.57

4.60

Tariff-HTTS/Temporary Supply

Single Point Supply

Residential Complexes

Commercial Complexes

Industrial Complexes

Total

3644.93

202.11

1391.64

1593.75

4.37

Commission’s analysis

The category wise/sub-category wise and slab wise revenue at retail tariff is determined as per

the applicable tariff rates. The revenue from demand charges and the energy charges have

been projected for each category/sub-category and slab. The revenue from LT-AG-Allied

Activities, HT-AG-Allied activities, HT Temporary and Single Point Supply categories has not

been computed due to non-availability of data on energy sales, connected load and number of

consumers for these categories. The category/sub-category/slab wise revenue as computed by

the Commission for FY 2018-19 has been shown in the following table:

Table 52: Revenue from existing retail tariff for FY 2018-19 (In Rs Cr)

S. No.

Category

Sales

(Mus)

Demand

Charges

(Rs Cr)

Energy

charges

(Rs Cr)

Total

Charges

(Rs Cr)

ABR

(Rs/unit)

DOMESTIC

1000.73

15.53

228.58

244.11

2.44

(i)

LT-D Domestic

999.35

15.38

228.46

243.84

2.44

0-100 units

276.28

6.08

35.92

42.00

1.52

101-200 units

251.76

3.05

47.83

50.88

2.02

201-300 units

164.13

3.16

39.39

42.55

2.59

301-400 units

105.43

1.43

32.68

34.11

3.24

Above 400 units

201.75

1.67

72.63

74.30

3.68

(ii)

Low Income Group

1.10

0.11

1.00

(iii)

HT-D Domestic

0.28

0.03

0.12

0.16

5.64

COMMERCIAL

404.47

28.88

184.73

213.61

5.28

(i)

LT-C Commercial

325.42

16.11

141.25

157.36

4.84

0-100 units

49.14

3.33

15.97

19.30

3.93

101-200 units

31.05

0.81

12.11

12.92

4.16

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201-400 units

52.14

1.69

22.42

24.11

4.62

Above 400 units

193.08

10.29

90.75

101.03

5.23

(ii)

HT-C Commercial

79.05

12.77

43.48

56.25

7.12

INDUSTRIAL

2123.52

124.01

899.10

1023.11

4.82

(i)

LT-I Industrial

137.42

4.16

47.30

51.46

3.74

0-500 units

19.96

1.95

6.19

8.14

4.08

Above 500 units

117.46

2.21

41.11

43.32

3.69

(ii)

Low Tension-Mixed/LT-P

(Hotel Industries)

5.31

0.15

2.39

2.54

4.79

(iii)

High Tension-I/HT-I

1398.09

93.87

598.85

692.73

4.95

Connected at 11/33 kV

1165.47

85.19

501.15

586.34

5.03

Connected at 110 kV

232.62

8.69

97.70

106.39

4.57

(iv)

High Tension-

Ferro/SM/PI/SR

582.70

25.82

250.56

276.38

4.74

AGRICULTURE

29.94

0.85

3.95

4.80

1.60

(i)

Low Tension-AG/LT-AGP

(Pump Sets/Irrigation)

23.86

0.50

3.10

3.60

1.51

(ii)

Low Tension-AG/LT-AGA

(Allied Activities)

(iii)

High Tension-AG/HT-AGP

(Pump Sets/Irrigation)

6.08

0.35

0.85

1.20

1.98

(iv)

High Tension-AG/HT-AG

(Allied Activities)

MILITARY ENGINEERING

SERVICES/DEFENSE

ESTABLISHMENTS

26.89

1.49

13.45

14.93

5.55

PUBLIC LIGHTING

36.95

0.46

14.41

14.87

4.02

HOARDINGS/SIGNBOARDS

0.35

0.00

0.35

9.97

TEMPORARY

22.08

0.13

21.06

21.19

9.60

(i)

22.08

0.13

21.06

21.19

9.60

LT Domestic

2.74

0.01

1.92

1.93

7.03

LT Commercial

19.34

0.12

19.14

19.26

9.96

(ii)

TOTAL

3644.93

171.34

1365.63

1536.97

4.22

The Commission has determined revenue from sale of power at existing tariff as Rs 1536.97

Cr for FY 2018-19.

6.21. Standalone Revenue Gap/Surplus

Petitioner’s submission

Based on the ARR submitted and the revenue from retail tariff, a standalone revenue gap of

Rs. 473.03 Cr has been determined by the Petitioner for FY 2018-19.

Commission analysis

Based on the approved ARR and existing retail tariff, the following Revenue Gap/Surplus is

arrived at for the FY 2018-19:

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Table 53: Standalone Revenue Gap/Surplus approved by Commission (In Rs Cr)

S. No.

Particulars

Approved in MYT

Order

Petitioner’s

Submission

Now Approved

by Commission

Net Revenue Requirement

2057.63

2066.78

1952.54

Revenue from Retail Sales at

Existing Tariff

1593.75

1536.97

Net Gap /(Surplus)

473.03

415.57

The standalone gap at existing retail tariff is Rs 415.57 Cr for FY 2018-19. The estimated gap

is considered while determining the retail tariff for FY 2018-19, as discussed in the

subsequent Chapter.

7. Chapter 7: Tariff Principles and Design

7.1.

Overall Approach

The Commission while designing retail tariffs for FY 2018-19 has kept in view the principles of

determination of tariff set out in the Electricity Act, 2003 (EA, 2003), Tariff Policy, 2016 and the

MYT Regulations, 2014.

The Commission in this Tariff Order, has tried to meet the objectives of the EA 2003, as set out

in its Preamble, including the protection of the interest of consumers, the supply of electricity to

all areas and the rationalisation of tariffs. The EA, 2003 also directs to maintain a healthy

balance between the interests of the Utilities and the reasonableness of the cost of power

being supplied to consumers. The Commission has also taken into consideration the Licensees

submissions as well as the public responses in these proceedings.

The supply of electricity to all the people is an essential driver for development, and also

influences social and economic change. Since, the majority of the energy sales within the

Licensees jurisdiction is of industrial nature, the Commission has attempted to ensure that,

while industries and commerce are promoted, it is not at the cost of other segments of society.

7.2.

Applicable Regulations

Regulation 36 of the MYT Regulations, 2014 states the following:

“a. The Commission shall gradually move towards reduction of cross subsidy in accordance with

Electricity Act, Tariff Policy and such other guidelines of the government as applicable.

b. The Distribution Licensee shall compute the consumer category-wise cost of supply as per the

methodology elaborated below.

c. Allocation of Cost: The Cost to serve shall be allocated to the consumer categories in the

following manner:

Step 1: Functional Demarcation of Cost – Total cost shall be divided on the basis of functions

performed such as power purchase, distribution etc.

Step 2: Classification of Cost –Each of the functionalized costs shall be further classified, based

on its intrinsic nature into Demand related cost, Energy related cost and Customer related cost.

Demand related costs shall generally be of fixed nature, related to capacity creation and shall

include interest on capital borrowing, depreciation etc. Energy cost shall be related to quantum

of electricity consumption of consumer, such as fuel cost, interest on working capital, etc.

Consumer related cost shall include operating expenses associated with meter reading, billing

and accounting.

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Step 3: Allocation of Cost

(i) Allocation of Demand Costs: Demand costs of all three functions shall be allocated among

consumer categories on the basis of average coincident peak demand of the tariff

categories (average of past 12 months). To facilitate determination of average coincident

peak demand for the various tariff categories, load research shall be made an integral part

of the operations of the DISCOMs and systematic load research exercises shall be initiated.

(ii) Allocation of Energy Costs: Energy related costs of Distribution functions shall be

allocated to consumer categories on the basis of ratio of electricity consumption of each

consumer category to the total electricity consumption under the purview of the

Distribution Licensee. Energy related costs of Power purchase shall be allocated to various

tariff categories on the basis of block approach on merit order dispatch and incremental

principle, where each tariff category shall be allocated the incremental (energy related)

power purchase cost on the basis of their respective share in the incremental power

purchase. For the purpose of operationalizing the block approach and incremental

principle, the Commission shall identify and notify a suitable year as the “base year”.

(iii) Allocation of Customer Costs: Customer related costs shall be allocated to consumer

categories on the basis of the ratio of number of consumers in each category to total

number of consumers under the purview of the Distribution Licensee.

d. Summation of allocated Demand cost, Energy cost and Customer cost across functions shall be

total Cost to serve for respective consumer categories. Cost to serve reduced by revenue from a

consumer category shall give total subsidy for that category. Total subsidy for a consumer

category reduced by Government subsidy, if any, shall be cross-subsidy for that consumer

category.

e. The consumers below poverty line who consume power below a specified level, say 30 units

per month, shall receive a special support through cross subsidy.

f. Cross-subsidy surcharge and additional surcharge in Open Access

(i) The amount received or to be received by the licensee on account of cross-subsidy

surcharge and additional surcharge, as approved by the Commission from time to time in

accordance with the Regulations specified by the Commission, shall be shown separately

against the consumer category that is permitted open access as per the phasing plan.

(ii) Cross-subsidy surcharge and additional surcharge shall be shown as revenue from the

tariff from the consumer categories who have been permitted open access and such

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

and fixed costs of the Distribution Licensee arising out of his obligation to supply. Provided

that the licensee shall provide such details in its annual filings.

g. Tariff Design

(i) The Commission shall be guided by the objective that the tariff progressively reflects the

efficient and prudent cost of supply of electricity.

(ii) After the costs have been allocated based on the method specified in clauses I and (d)

above, tariffs for different consumer categories shall be designed with due regard to

factors provided under section 62(3) of the Act.

(iii) The time of day tariff would be structured across three time slabs to denote normal, peak

and off-peak periods. The time-periods would vary according to different seasons of the

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year i.e. summer, winter and the monsoon season. The peak tariff would be 10%-20%

higher than the normal tariff and the off-peak tariff would be priced 5%-10% lower than

the normal tariff.

(iv) Time of Day tariff may be introduced in a phased manner, wherein in phase 1 it would be

for HT Consumers, in phase 2 – for LT consumers consuming more than 25 KW and in

phase 3 for LT consumers consuming more than 10 KW.”

7.3.

Revenue Gap/Surplus at existing tariff

Petitioner’s Submission

The Petitioner has proposed a standalone revenue gap of Rs 473.03 in FY 2018-19. The

Petitioner has submitted that the cumulative revenue gap from FY 2014-15 to FY 2017-18 is not

being claimed, the same shall be submitted once the audited annual accounts are prepared for

respective years. The standalone revenue gap as submitted by the Petitioner has been

tabulated below:

Table 54: Standalone Revenue Gap/Surplus submitted by Petitioner (In Rs Cr)

Particulars

FY 2018-19

Net Revenue Requirement

2066.78

Revenue from Retail Sales at Existing Tariff inclusive of Regulatory

Surcharge applicable in FY 2017-18

1593.75

Standalone Gap /(Surplus) for the year

473.03

Commission’s analysis

The Commission in the True-up of FY 2013-14 approved the revenue gap/surplus as nil. Further,

the Commission has not approved any revenue gap for FY 2014-15 to FY 2016-17 due to non–

availability of audited annual accounts and for FY 2017-18 due to unreliable data. Therefore, the

Commission approves the standalone revenue gap for FY 2018-19 as follows:

Table 55: Standalone Revenue Gap/ Surplus determined by Commission (In Rs Cr)

Particulars

FY 2018-19

Net Revenue Requirement

1952.54

Revenue from Retail Sales at Existing Tariff

1536.97

Standalone Gap /(Surplus) for the year

415.57

The Commission has computed a standalone revenue gap of Rs 415.57 Cr in the FY 2018-19

at the existing tariff.

7.4.

Treatment of the Revenue Gap/ Surplus and Tariff Design

The revenue gap of Rs 415.57 Cr, signifies that the revenue from the existing tariff is not

commensurate with the costs incurred by the Petitioner. Therefore, in order to fulfill this

revenue deficit and to be financially sustainable, the retail consumer tariffs are required to be

increased. The Commission has accordingly dealt with this gap in the following section.

7.4.1.

Tariff Proposal

Petitioner’s Submission

The Petitioner has proposed to recover the revenue gap of Rs 473.03 Cr, partly from proposed

tariff increase and partly from budgetary support from the Govt. of Goa. The Petitioner has

proposed an average tariff hike of 4.95% that will earn an additional revenue of Rs 78.94 Cr. The

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remaining gap of Rs 394.09 Cr is proposed to be met from the budgetary support from the

Government.

The category wise existing and proposed tariff submitted by the Petitioner is as under:

Table 56: Retail Tariff proposed by Petitioner

S. No.

Category

Existing Tariff

Proposed Tariff

Fixed Charges

Energy

Charges

(Paisa/kWh)

Fixed Charges

Energy

Charges

(Paisa/kWh)

Domestic

Low Tension-D/LT-D

0-100 units

Single Phase Rs

20/Connection/Month

Three Phase Rs

45/Connection/Month

130

Single Phase Rs

25/Connection/Month

Three Phase Rs

80/Connection/Month

140

101-200 units

190

200

201 to 300 units

240

260

301 to 400 units

310

330

Above 400 units

360

380

Low Tension-LIG/LT-LIG

30/Connection/Month

40/Connection/Month

High Tension-D/HT-D

All Units

Rs 150/kVA/Month

440

Rs 160/kVA/Month

460

Commercial

Low Tension-C/LT-C

0-100 units

0-20 kW - Rs

50/Conn/Month

Above 20kW-90 kW

Rs 50/Conn/month +

additional Rs 55/kW

for every kW increase

above 20 kW

325

0-20 kW - Rs

60/Conn/Month

Above 20kW-90 kW

Rs 90/Conn/month

330

101-200 units

390

400

201 units- 400 units

430

480

Above 400 units

470

520

High Tension-C/HT-C

All Units

Rs 250/kVA/month

550

Rs 250/kVA/month

550

Industrial

Low Tension-I/LT-I

0-500 units

Rs 30/HP/Month

310

Rs 35/HP/Month

330

Above 500 units

Rs 30/HP/Month

350

Rs 35/HP/Month

380

Low Tension-Mixed/LT-

P (Hotel Industries)

All Units

Rs 30/kW/Month

450

Rs 35/kW/Month

460

High Tension-I/HT-I

Connected at 11/33 kV

Rs 250/kVA/Month

430

Rs 250/kVA/Month

450

Connected at 110 kV

Rs 250/kVA/Month

420

Rs 250/kVA/Month

450

High Tension-

Ferro/SM/PI/SR

All Units

Rs 250/kVA/Month

430

Rs 250/kVA/Month

450

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Agricultural

Low Tension-AG/LT-

AGP (Pump

Sets/Irrigation)

All Units

Rs 12/HP/Month

130

Rs 15/HP/Month

150

Low Tension-AG/LT-

AGA (Allied Activities)

All Units

Rs. 20/HP/Month

160

Rs. 20/HP/Month

180

High Tension-AG/HT-

AGP (Pump

Sets/Irrigation)

All Units

Rs. 35/kVA/Month

140

Rs. 35/kVA/Month

150

High Tension-AG/HT-AG

(Allied Activities)

All Units

Rs. 50/kVA/Month

180

Rs. 60/kVA/Month

200

Military Engineering

Services/Defense

Establishments

All Units

Rs. 175/kVA/Month

500

Rs. 175/kVA/Month

500

Public Lighting

All Units

Rs. 40/kW/Month

390

Rs. 40/kW/Month

390

Hoardings/Signboards

All Units

Rs. 60/kVA/Month

990

Rs. 60/kVA/Month

990

Temporary Supply

LT Temporary Domestic

Rs. 60 per kW per

month or part thereof

subject to a minimum

of Rs. 300/- per

connection per month

or part thereof

700

Rs. 60 per kW per

month or part thereof

subject to a minimum

of Rs. 300/- per

connection per month

or part thereof

720

LT Temporary

Commercial

Rs. 100 per kVA per

month or part thereof

subject to a minimum

of Rs. 500/- per

connection per month

or part thereof

990

Rs. 120 per kVA per

month or part thereof

subject to a minimum

of Rs. 500/- per

connection per month

or part thereof

990

HT Temporary

Rs 120 per kVA per

month or part thereof

990

Rs. 120 per kVA per

month or part thereof

990

Single Point Supply

Residential Complexes

Rs. 100 per kVA per

month or part thereof

310

Rs. 100 per kVA per

month or part thereof

330

Commercial Complexes

Rs. 200 per kVA per

month or part thereof

430

Rs. 200 per kVA per

month or part thereof

430

Industrial Complexes

Rs. 200 per kVA per

month or part thereof

390

Rs. 200 per kVA per

month or part thereof

410

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Commission‘s analysis

As discussed above, the Commission has determined the retail tariff for the FY 2018-19 in

accordance with the principles stated in the Electricity Act, 2003 Tariff Policy, 2016, and the

MYT Regulations, 2014.

Tariff design in general is guided by the following principles:

1. Cost reflective: The tariffs determined should efficiently reflect the cost of supply for each

consumer category.

2. Progressive tariffs: Ensuring progressivity among tariffs by having telescopic tariff slab

within a consumer category which encourages efficient consumption and at the same time

promotes intra-category cross-subsidy by way of charging higher tariff for higher

consumption to subsidise the lower consumption consumers.

3. Revenue neutrality: There should be no impact on the utility’s yearly revenue due to

rationalization of tariffs i.e. the overall status quo should be maintained.

4. Revenue stability: Utilities should ensure adequate fixed cost recovery from fixed/demand

charges.

5. Affordability: Assessing affordability of electricity for Domestic & Commercial consumers

for defining slab ranges and setting tariffs.

6. Avoiding tariff shocks: Tariff shocks should be prevented and consumers should be kept

informed about the future trends in tariffs.

7. Demand management and grid stability: Demand management and grid stability should be

ensured with demand-based tariffs.

8. Simplified tariff structure: Tariff structure should be simplified to make it easily

administrable by the utility and easy to understand for the consumer.

9. Smart tariff design: Tariff rate design should take into consideration trends in electric power

such as small scale renewable generation by consumers, energy efficiency, electric vehicle

charging, etc.

Keeping in view the above principles and the Petitioner’s submission the Commission has

determined and modified the Retail Tariff for FY 2018-19 as per the following:

1. The Commission in accordance with the Petitioner’ submission has limited the average

tariff hike with the remaining gap to be recovered from Govt’s budgetary support as

discussed in subsequent sections. A relatively higher tariff increase has been done for

cross-subsidized categories such as Domestic and Agriculture than cross-subsidizing

categories such as Commercial and Industrial category in order to ensure that tariffs

progressively reflect the cost of supply.

2. The consumers under the Commercial category having connected load between 20-90

kW used to pay a monthly Demand charge based on both per connection basis as well

as on connected load basis. The Commission in this Order has done away with the

monthly fixed charge on per connection basis and approved a fixed charge only on the

basis of connected load.

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7.4.2.

Tariff Increase and Schedule:

As described earlier, the current tariff is not covering the entire cost of the Petitioner for FY

2018-19 necessitating an increase in Retail Tariff. The existing retail tariff and tariff now

approved by the Commission for each consumer category has been shown in the table below:

Table 57: Existing and approved tariff

Category

Existing Tariff

Approved Tariff

Fixed Charges

Energy

Charges

(Rs/kWh)

Fixed Charges

Energy

Charges

(Rs/kWh)

1 Domestic

A Low Tension-D/LT-D

0-100 units

Single Phase Rs

20/Con/Month

Three Phase Rs

45/Con/Month

1.30

Single Phase Rs

25/Con/Month

Three Phase Rs

60/Con/Month

1.40

101-200 units

1.90

2.10

201 to 300 units

2.40

2.65

301 to 400 units

3.10

3.45

Above 400 units

3.60

4.00

B Low Tension-LIG/LT-LIG

Rs 30/Con/Month

Rs 40/Con/Month

C High Tension-D/HT-D

All Units

Rs 150/kVA/Month

4.40

Rs 100/kVA/Month

3.45

2 Commercial

A Low Tension-C/LT-C

0-100 units

0-20 kW - Rs

50/Con/Month

Above 20kW-90 kW

Rs 50/Con/Month +

additional Rs 55/kW

for every kW

increase above 20

3.25

For consumers with

Load upto – Rs

50/Con/Month

For consumers with

Load more than 20

kW and upto 90 kW-

Rs 55/kW/Month

3.40

101-200 units

3.90

4.10

201 units- 400 units

4.30

4.60

Above 400 units

4.70

5.00

B High Tension-C/HT-C

All Units

Rs 250/kVA/month

5.50

Rs 250/kVA/month

5.50

3 Industrial

A Low Tension-I/LT-I

0-500 units

Rs 30/HP/Month

3.10

Rs 35/HP/Month

3.30

Above 500 units

Rs 30/HP/Month

3.50

Rs 35/HP/Month

3.80

B ^{Low Tension-Mixed/LT-P}

(Hotel Industries)

All Units

Rs 30/kW/Month

4.50

Rs 40/kW/Month

4.70

C High Tension-I/HT-I

Connected at 11/33 kV

Rs 250/kVA/Month

4.30

Rs 250/kVA/Month

4.50

Connected at 110 kV

Rs 250/kVA/Month

4.20

Rs 250/kVA/Month

4.40

D ^{High Tension- Ferro/SM/PI/}

All Units

Rs 250/kVA/Month

4.30

Rs 250/kVA/Month

4.50

4 Agricultural

A ^{Low Tension-AG/LT-AGP}

(Pump Sets/Irrigation)

All Units

Rs 12/HP/Month

1.30

Rs 15/HP/Month

1.40

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B ^{Low Tension-AG/LT-AGA}

(Allied Activities)

All Units

Rs 20/HP/Month

1.60

Rs 20/HP/Month

1.70

C ^{High Tension-AG/HT-AGP}

(Pump Sets/Irrigation)

All Units

Rs 35/kVA/Month

1.40

Rs 35/kVA/Month

1.50

D ^{High Tension-AG/HT-AG}

(Allied Activities)

All Units

Rs 50/kVA/Month

1.80

Rs 60/kVA/Month

1.90

Military Engineering

Services/Defense

Establishments

All Units

Rs 175/kVA/Month

5.00

Rs 175/kVA/Month

5.00

6 Public Lighting

All Units

Rs 40/kW/Month

3.90

Rs 50/kW/Month

4.10

7 Hoardings/Signboards

All Units

Rs 60/kVA/Month

9.90

Rs 60/kVA/Month

9.90

8 Temporary Supply

A LT Temporary Domestic

Rs 60 per kW per

month or part

thereof subject to a

minimum of Rs 300/-

per connection per

month or part

thereof

7.00

Rs 60 per kW per

month or part

thereof subject to a

minimum of Rs 300/-

per connection per

month or part

thereof

7.20

B LT Temporary Commercial

Rs 100 per kVA per

month or part

thereof subject to a

minimum of Rs 500/-

per connection per

month or part

thereof

9.90

Rs 120 per kVA per

month or part

thereof subject to a

minimum of Rs 600/-

per connection per

month or part

thereof

9.90

C HT Temporary

Rs 120 per kVA per

month or part

thereof

9.90

Rs 120 per kVA per

month or part

thereof

9.90

9 Single Point Supply

A Residential Complexes

Rs 100 per kVA per

month or part

thereof

3.10

Rs 100 per kVA per

month or part

thereof

3.45

B Commercial Complexes

Rs 200 per kVA per

month or part

thereof

4.30

Rs 200 per kVA per

month or part

thereof

4.60

C Industrial Complexes

Rs 200 per kVA per

month or part

thereof

3.90

Rs 200 per kVA per

month or part

thereof

4.20

Further, the Petitioner has submitted a proposal for recovery of service charge from consumers

availing power from MSEDCL. The Commission is of the view that schedule of miscellaneous

charges have already been approved by the Commission for various services. The Petitioner is

directed to submit a separate proposal along with citations of relevant regulations/judgements

for determination of charges and information on the consumer number, connected load and

energy sales for these type of consumers.

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7.4.3.

Revenue from Approved Retail Tariff for FY 2018-19

Based on the retail tariff approved above, the Revenue from approved tariff is shown in the

table below. The revenue from LT-AG-Allied Activities, HT-AG-Allied Activities, HT Temporary

and Single Point Supply has been not been computed due to non-availability of data on energy

sales, connected load and number of consumers for these categories.

Table 58: Revenue from approved retail tariff (In Rs Cr)

No.

Category

Sales

(MUs)

Demand

Charges

(Rs Cr)

Energy

Charges

(Rs Cr)

Total

Charges

(Rs Cr)

ABR

(Rs/kWh)

Factor

DOMESTIC

1000.73

19.92

252.21

272.13

2.72

0.61

(i)

LT-D Domestic

999.35

19.75

252.12

271.87

2.72

0.61

0-100 units

276.28

7.60

38.68

46.28

1.68

0.37

101-200 units

251.76

3.81

52.87

56.68

2.25

0.50

201-300 units

164.13

4.22

43.50

47.71

2.91

0.65

301-400 units

105.43

1.90

36.37

38.27

3.63

0.81

Above 400 units

201.75

2.22

80.70

82.92

4.11

0.92

(ii)

Low Income Group

1.10

0.15

1.33

(iii)

HT-D Domestic

0.28

0.02

0.10

0.12

4.28

0.95

COMMERCIAL

404.47

28.39

193.44

221.83

5.48

(i)

LT-C Commercial

325.42

15.62

149.97

165.58

5.09

1.13

0-100 units

49.14

3.33

16.71

20.04

4.08

0.91

101-200 units

31.05

0.81

12.73

13.54

4.36

0.97

201-400 units

52.14

1.98

23.99

25.97

4.98

1.11

Above 400 units

193.08

9.50

96.54

106.04

5.49

1.22

(ii)

HT-C Commercial

79.05

12.77

43.48

56.25

7.12

1.59

INDUSTRIAL

2123.52

140.71

942.75

1083.46

5.10

(i)

LT-I Industrial

137.42

4.85

51.22

56.08

4.08

0.91

0-500 units

19.96

2.28

6.59

8.87

4.44

0.99

Above 500 units

117.46

2.58

44.63

47.21

4.02

0.90

(ii)

Low Tension-Mixed/LT-P

(Hotel Industries)

5.31

0.21

2.50

2.70

5.09

1.13

(iii)

High Tension-I/HT-I

1398.09

106.39

626.81

733.21

5.24

1.17

Connected at 11/33 kV

1165.47

96.54

524.46

621.01

5.33

1.19

Connected at 110 kV

232.62

9.85

102.35

112.20

4.82

1.08

(iv)

High Tension-

Ferro/SM/PI/SR

582.70

29.26

262.22

291.48

5.00

1.12

AGRICULTURE

29.94

0.97

4.25

5.22

1.75

(i)

Low Tension-AG/LT-AGP

(Pump Sets/Irrigation)

23.86

0.62

3.34

3.96

1.66

(ii)

Low Tension-AG/LT-AGA

(Allied Activities)

(iii)

High Tension-AG/HT-AGP

(Pump Sets/Irrigation)

6.08

0.35

0.91

1.26

2.08

(iv)

High Tension-AG/HT-AG

(Allied Activities)

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Military Engineering

Services/Defense

Establishments

26.89

1.49

13.45

14.93

5.55

1.24

PUBLIC LIGHTING

36.95

0.58

15.15

15.73

4.26

0.95

HOARDINGS/SIGNBOARDS

0.35

0.00

0.35

9.97

2.22

TEMPORARY

22.08

0.15

21.12

21.27

9.63

2.15

(i)

22.08

0.15

21.12

21.27

9.63

2.15

LT Domestic

2.74

0.01

1.97

1.98

7.23

1.61

LT Commercial

19.34

0.14

19.14

19.28

9.97

2.22

TOTAL

3644.93

192.21

1442.72

1634.92

4.49

The Commission approves revenue from approved Retail Tariff of Rs 1634.92 Cr for the FY

2018-19.

The average increase in the retail tariff now approved by the Commission vis-à-vis the

prevailing tariff is 6.37%. The table below provides the category wise Average Cost of Supply

(ACoS), Existing Average Billing Rate (ABR), Approved ABR and the existing and approved

recovery vis-à-vis the (ACoS).

Table 59: Tariff increase approved by Commission

Category

ACoS

(Rs/kwh)

ABR at Existing

Tariff

(Rs/kwh)

ABR at Approved

Tariff

(Rs/kwh)

Increase

(%)

Domestic

5.36

2.44

2.72

11.48%

Commercial

5.36

5.28

5.48

3.85%

Industrial

5.36

4.82

5.10

5.90%

Agriculture

5.36

1.60

1.75

8.82%

Military Engineering Services

5.36

5.55

0.00%

Public Lighting

5.36

4.02

4.26

5.74%

Hoardings/Signboards

5.36

9.97

0.00%

Temporary

5.36

9.60

9.63

0.37%

Total

5.36

4.22

4.49

6.37%

7.4.4.

Revised Revenue Gap/Surplus

The Govt. of Goa through its letter No. 1/14/2017-Fin/(Bud)/dated 14th December, 2017 has

conveyed its consent for providing the required budgetary support to meet the revenue gap for

the year as may be approved by the Commission.

In view of above, the Commission approves the revenue gap as follows:

Table 60: Revised Revenue Gap/Surplus approved by Commission (In Rs Cr)

S. No.

Particulars

FY 2018-19

Net Revenue Requirement

1952.54

Revenue from Retail Sales at Existing Tariff

1536.97

Revenue from Retail Sales at Approved Tariff

1634.92

Revenue Gap/(Surplus) at Existing Tariff

415.27

Revenue Gap/(Surplus) at Approved Tariff

317.61

Gap/(Surplus) for the previous year

0.00

Total Gap/(Surplus)

317.61

Budgetary support from Govt. of Goa

317.61

Final Gap/(Surplus) for FY 2018-19

0.00

The Commission approves Final Revenue gap for the FY 2018-19 as nil.

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7.4.5.

Government Budgetary Support

The Commission has approved an overall revenue gap of Rs 415.27 Cr at existing tariff in FY

2018-19. This gap is recovered partly by increase in retail tariff and partly by budgetary support

from Govt. of Goa. In case this gap had to be entirely fulfilled by revenue from consumers then

it would have demanded an overall average increase of 27.04%. The Commission, in FY 2018-19,

has approved an average tariff increase of 6.37%. In case the Govt. had not provided the

budgetary support, then an average increase of 19.43% over and above the approved tariff

increase would have been required which would have led to a tariff shock to consumers.

It is observed that the Govt. of Goa has been providing budgetary assistance to the Petitioner

during the past few years. The Commission in this matter would like to point out the over

reliance of the Petitioner on Govt.’s budgetary support. The Petitioner should prepare itself of

the repercussions in case the Govt. withdraws the support in the future.

The table below provides the average tariff increase and ABR with and without Govt.

budgetary support. The ABR without the Government Budgetary support has been calculated

considering the same per unit Gap of Rs 0.87/kWh (Difference between ACoS and ABR at

Approved Tariff with Govt. Budgetary Support) is loaded equally among all consumer

categories.

Table 61: Cost of Supply and tariff increase with and without Govt. Budgetary support

Category

ACoS

(Rs/kwh)

ABR at Approved

Tariff with Govt.

Budgetary

Support

(Rs/kwh)

Increase with

Budgetary

Support

(%)

ABR

without Govt.

Budgetary

Support

(Rs/kwh)

Additional

Increase

without

Budgetary

Support

(%)

Domestic

5.36

2.72

11.48%

3.59

32.04%

Commercial

5.36

5.48

3.85%

6.36

15.89%

Industrial

5.36

5.10

5.90%

5.97

17.08%

Agriculture

5.36

1.75

8.82%

2.62

49.93%

Military

Engineering

Services

5.36

5.55

0.00%

6.42

15.69%

Public Lighting

5.36

4.26

5.74%

5.13

20.48%

Hoardings/

Signboards

5.36

9.97

0.00%

10.84

8.74%

Temporary

5.36

9.63

0.37%

10.50

9.05%

Total

5.36

4.49

6.37%

5.36

19.43%

8. Chapter 8. Open Access Charges for the FY 2018-19

8.1.

Wheeling Charges

8.1.1.

Allocation Matrix - Allocation of ARR into Wheeling and Retail Supply of Electricity

Petitioner’s submission:

The Petitioner has bifurcated the ARR into Wheeling and Retail Supply Charges based on the

methodology adopted by the Commission in the Tariff Order of FY 2017-18. The Petitioner has

submitted the Wheeling Charges as shown in the table below:

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Table 62: Wheeling Charge calculation as submitted by Petitioner

Particulars

Unit

Formula

FY 2018-19

Wheeling Cost

Rs Cr

477.21

Wheeling Cost at HT/EHT network

Rs Cr

B=A*54.36%

259.40

Input required for sales at 11 kV and above

2172.07

Wheeling Charges for HT/EHT network usage

Rs/kWh

D=B/C*10

1.19

Wheeling Cost for LT network

Rs Cr

E=A*45.64%

217.81

Input required for sales at LT level

1757.50

Wheeling Charges for LT network usage

Rs/kWh

G=E/F*10

1.24

Commission’s analysis:

The Commission feels that there has to be a proper bifurcation of all expenses between the

functions of the wheeling business (wire business) and the retail supply business. The

Commission for the purpose of bifurcation of wheeling and retail ARR, is guided by the Staff

Paper on “Operationalisation of Open Access in the State of Goa and UT’s”. The allocation

between wheeling and retail supply business for the FY 2018-19 as per the ARR approved in

this Order is provided in the table below:

Table 63: Allocation matrix approved by Commission

Particulars

Allocation (%)

FY 2018-19

Wheeling

Supply

Wheeling

Supply

Total

Cost of power purchase for full year

100%

0.00

1329.68

Employee costs

70%

30%

189.29

81.12

270.41

Administration and General Expenses

50%

6.92

13.84

Repair and Maintenance Expenses

90%

10%

41.04

4.56

45.60

Depreciation

90%

10%

82.43

9.16

91.59

Interest and Finance charges

90%

10%

96.47

10.72

107.19

Interest on Working Capital

22%

78%

2.35

8.33

10.68

Interest on consumer security deposit

22%

78%

1.54

5.48

7.02

Return on NFA/Equity

90%

10%

74.94

8.33

83.27

Provision of Bad & Doubtful Debt

100%

0.00

Income Tax

90%

10%

0.00

Total Revenue Requirement

494.99

1464.29

1959.28

Less: Non-Tariff Income

100%

0.00

6.74

Net Revenue Requirement

494.99

1457.55

1952.54

To determine the wheeling charges, the wheeling costs are allocated on the basis of voltage

levels. The wheeling charges are levied for the distribution network utilized by the Open

Access consumers and primarily comprises of O&M Expenses and other costs as provided in

the table above.

The methodology adopted for allocating the derived wheeling costs at respective voltage levels

has been elaborated as follows:

● O&M Expenses consisting of Employee, A&G and R&M expenses are allocated to each

voltage level on the basis of number of consumers

● All expenses other than the O&M expenses are allocated to each voltage level on the

basis of voltage wise asset allocation. The Petitioner in this regard was directed to submit

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the voltage wise asset allocation but has failed to submit the desired information and in

the absence of such information, the Commission has assumed the voltage wise asset

allocation.

● The resultant cost at HT/EHT voltage level derived after performing the above steps is

then divided between LT and HT/EHT voltage level on the basis of input energy at

respective voltage levels, since the HT/EHT network is used by consumers of both

HT/EHT and LT voltage levels.

The energy input has been determined assuming the cumulative loss level of HT/EHT

voltage as 3.64%, which is the same as approved in the Tariff Order of FY 2017-18. The

Petitioner in this regard has failed to submit the voltage wise losses. The resultant losses

have been loaded to the LT voltage level in order to maintain the overall Intra-State T&D

loss at 10.75% as approved in the ARR of FY 2018-19.

Table 64: Parameters assumed for voltage wise allocation of wheeling costs

Category

Consumers

Asset

Allocation

(%)

Sales

(MU)

Cumulative

Voltage wise

Losses (%)

Low Tension (LT)

Level

619987

60.00%

1551.84

18.83%

High Tension (HT)/

Extra High

Tension(EHT) Level

860

40.00%

2093.09

3.64%

Total

620847

100.00%

3644.93

10.75%

Accordingly, the Commission approves the Wheeling Charges as shown in the table below:

Table 65: Wheeling Charges approved by Commission

Category

O&M

Others

Total

Sales

(MU)

Wheeling

Charges

(Rs/kWh)

Low Tension (LT) Level

237.07

202.90

439.98

1551.84

2.84

High Tension (HT)/

Extra High

Tension(EHT) Level

0.17

54.83

55.01

2093.09

0.26

Total

237.25

257.74

494.99

3644.93

The Commission approves wheeling charge of Rs 2.84/ kWh at LT voltage level and

Rs. 0.26/kWh at HT/EHT voltage level

8.2.

Additional Surcharge

Petitioner’s submission:

The Petitioner has not proposed any additional surcharge in the Petition for approval.

Commission’s analysis:

The Commission has notified the Joint Electricity Regulatory Commission for the State of Goa

and Union Territories (Connectivity and Open Access in Intra-State Transmission and

Distribution) Regulations, 2017. The Regulation 4.5 (1) of the said Regulations states the

following:

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“An Open Access Consumer, receiving supply of electricity from a person other than the

Distribution Licensee of his area of supply, shall pay to the Distribution Licensee an additional

surcharge in addition to wheeling charges and cross-subsidy surcharge, to meet the fixed cost of

such Distribution Licensee arising out of his obligation to supply as provided under sub-section

(4) of Section 42 of the Act:

Provided that such additional surcharge shall not be levied in case Open Access is provided to a

person who has established a captive generation plant for carrying the electricity to the

destination of his own use.”

Regulation 4.5 (2) of the said Regulations stipulates:

This additional surcharge shall become applicable only if the obligation of the Licensee in terms

of power purchase commitments has been and continues to be stranded or there is an

unavoidable obligation and incidence to bear fixed costs by the Licensee consequent to such a

contract. However, the fixed costs related to network assets would be recovered through

wheeling charges.

Further, Regulation 5.2 (1) (b) states the following:

The quantum of drawal of electricity by a partial Open Access Consumer from the Distribution

Licensee during any Time Block of a Day should not exceed the “Admissible Drawl of Electricity

by the Open Access Consumer” which is the difference of Contract Demand and maximum

quantum of Open Access for which approval has been granted by the Nodal Agency.

[Illustration: If an Open Access Consumer with a Contract Demand of 10 MW has been given an

approval for a maximum Open Access quantum of 6MW for a period of 3 Months, the Admissible

Drawl of Electricity from the Distribution Licensee during any Time Block shall be 4 MW for any

Day during a period of 3 Months.]”

Therefore, in accordance with the above Regulations, the Commission has determined the

Additional Surcharge as per the following:

Table 66: Additional Surcharge approved by Commission

Particulars

FY 2018-19

Total Power Purchase cost approved

1329.68

Fixed Cost component in Power Purchase Cost (excluding

Transmission Charges)

320.43

Energy Sales (MU)

3644.93

Additional Surcharge (Rs/kWh)

0.88

Earlier, a consumer availing Open Access was required to pay fixed charges on the

contracted load even when the load was drawn partially from the Distribution Licensee.

In addition, the consumer was also required to pay wheeling charges, additional surcharge

and the cross-subsidy surcharge. As per the Open Access Regulations, 2017, a consumer

now is only required to pay fixed charges on Admissible Drawal rather than on the total

contracted load.

The Commission approves an Additional Surcharge of Rs 0.88/kwh for FY 2018-19.

The Commission directs the Petitioner to submit quarterly details of the power stranded on

account of consumers opting for open access alongwith the Additional Surcharge recovered

from these consumers. The Commission will analyse the information and change the applicable

Additional Surcharge, if required.

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8.3.

Cross-Subsidy Surcharge

Petitioner’s submission:

As per the National Electricity Policy, a surcharge is to be levied by the respective State

Commission on consumers switching to alternate supplies under the open access. This is to

compensate the host distribution licensee serving such consumers who are permitted Open

Access under Section 42 (2) of the Electricity Act, for loss of cross-subsidy element built into

the tariff of such consumers. An additional surcharge may also be levied under sub-section (4)

of Section 42 of the said Act for meeting the fixed cost of the distribution licensee arising out of

its obligation to supply in cases where consumers are allowed open access.

Cross-subsidy surcharge (CSS) has been determined in accordance with the formula specified

in the Tariff Policy, 2016.

The category-wise CSS applicable arrived on consideration of the components ABR, C, L & D as

proposed by the Petitioner is as follows:

Table 67: Cross-Subsidy Surcharge as proposed by the Petitioner

Particulars

Unit

HT/EHT

T (Tariff payable by the relevant category of consumers, including

reflecting the Renewable Purchase Obligation)

Rs/kWh

5.37

C ( per unit weighted average cost of power purchase by the Licensee,

including meeting the Renewable Purchase Obligations)

Rs/kWh

3.58

D (aggregate of transmission, distribution and wheeling charge applicable

to the relevant voltage level)

Rs/kWh

1.19

L (aggregate of transmission, distribution and commercial losses,

expressed as a percentage applicable to the relevant voltage level)

3.64%

Surcharge

Rs/kWh

0.59

Commission’s analysis:

The Commission in this Order has calculated the cross-subsidy surcharge with respect to

voltage wise cost of supply. The following approach has been adopted to determine the voltage

wise cost of supply:

● Voltage Wise losses are assumed for HT/EHT voltage level. The remaining losses are

adjusted in the LT voltage level in order to maintain the Intra-State T&D losses at 10.75%,

as approved in the ARR for FY 2018-19. Voltage wise losses assumed at each level have

been shown in the table below:

Table 68: Voltage wise losses assumed by Commission

Category

Voltage Level Loss

(%)

Cumulative Losses upto

that voltage level

(%)

Low Tension (LT) Level

15.76%

18.83%

High Tension (HT)/Extra High Tension (EHT) Level

3.64%

Total

10.75%

Using these losses the energy input at each voltage level is determined based on the energy

sales. The table below shows the energy input at each voltage level

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Table 69: Energy Input at each voltage level (MU)

Category

Energy Sales

(MU)

Cumulative Losses

(%)

Energy Input

(MU)

Low Tension (LT) Level

1551.84

18.83%

1911.80

High Tension (HT)/Extra High

Tension(EHT) Level

2093.09

3.64%

2172.16

Total

3644.93

10.75%

4083.96

Now the overall ARR approved for FY 2018-19 is divided into variable and fixed ARR with

variable ARR comprising of variable component of the power purchase cost and fixed ARR

comprising of all the other costs.

The fixed component comprising of fixed cost of power purchase, O&M etc. is further allocated

to each voltage category as per the following principles:

● The fixed cost of power purchase is assigned to each voltage level on the basis of energy

input at respective voltage levels.

● The O&M expenses are allocated to each voltage level on the basis of the number of

consumers. The resultant cost allocated to HT/EHT level is then further allocated between

HT/EHT and LT level on the basis of input energy, as the HT/EHT network is utilized by

both LT and HT/EHT network consumers.

● The remaining fixed costs are allocated on the basis of voltage wise asset allocation

assumed earlier and further allocated to respective voltage levels on the basis of input

energy.

Table 70: Parameters used for allocation of fixed costs

Category

Energy Input

(MU)

Voltage wise Asset

Allocation

(%)

Number of

Consumers

Low Tension (LT) Level

1911.80

60.00%

619987

High Tension (HT)/ Extra High Tension

(EHT) Level

2172.16

40.00%

860

Total

4083.96

100.00%

620847

The Variable component of the Power purchase cost is allocated on the basis of energy input.

The Voltage wise cost of supply (VCoS) is then determined on the basis of energy sales of

respective categories.

Accordingly, the VCoS is determined as shown in the table below:

Table 71: Voltage Wise Cost of Supply (VCoS)

Category

Allocated

Fixed Cost

(Rs Cr)

Allocated

Variable Cost

(Rs Cr)

Total Cost

(Rs Cr)

Energy Sales

(MU)

VCoS

(Rs/kwh)

Low Tension (LT) Level

796.34

386.39

1182.73

1551.84

7.62

High Tension (HT)/

Extra High

Tension(EHT) Level

330.79

439.02

769.81

2093.09

3.68

Total

1127.13

825.41

1952.54

3644.93

This, VCoS is then used to determine the Cross-Subsidy Surcharge at each voltage level.

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Table 72: Cross-Subsidy Surcharge approved by Commission (Rs/kWh)

Category

VCoS

(Rs/kWh)

ABR

(Rs/kWh)

Cross-Subsidy

(Rs/kWh)

Low Tension (LT) Level

7.62

3.46

(4.16)

High Tension (HT)/Extra High Tension(EHT) Level

3.68

5.24

1.56

The Commission approves nil Cross-Subsidy Surcharge at LT Voltage level and Rs 1.56/kWh

at HT/EHT Voltage level, in FY 2018-19.

9. Chapter 9: Tariff Schedule

9.1.

Tariff Schedule

Table 73: Tariff Schedule

S. No.

Category

Approved Tariff

Fixed Charges

Energy Charges

(Rs/kWh)

DOMESTIC

Low Tension-D/LT-D

0-100 units

Single Phase Rs

25/Con/Month

Three Phase Rs

60/Con/Month

1.40

101-200 units

2.10

201 to 300 units

2.65

301 to 400 units

3.45

Above 400 units

4.00

Low Tension-LIG/LT-LIG

Rs 40/Con/Month

High Tension-D/HT-D

All Units

Rs 100/kVA/Month

3.45

COMMERCIAL

Low Tension-C/LT-C

0-100 units

For consumers with Load

upto – Rs 50/Con/Month

For consumers with Load

more than 20 kW and upto

90 kW- Rs 55/kW/Month

3.40

101-200 units

4.10

201 units- 400 units

4.60

Above 400 units

5.00

High Tension-C/HT-C

All Units

Rs 250/kVA/month

5.50

INDUSTRIAL

Low Tension-I/LT-I

0-500 units

Rs 35/HP/Month

3.30

Above 500 units

Rs 35/HP/Month

3.80

Low Tension-Mixed/LT-P (Hotel Industries)

All Units

Rs 40/kW/Month

4.70

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High Tension-I/HT-I

Connected at 11/33 kV

Rs 250/kVA/Month

4.50

Connected at 110 kV

Rs 250/kVA/Month

4.40

High Tension-Ferro/SM/PI/SR

All Units

Rs 250/kVA/Month

4.50

AGRICULTURAL

Low Tension-AG/LT-AGP (Pump

Sets/Irrigation)

All Units

Rs 15/HP/Month

1.40

Low Tension-AG/LT-AGA (Allied Activities)

All Units

Rs 20/HP/Month

1.70

High Tension-AG/HT-AGP (Pump

Sets/Irrigation)

All Units

Rs 35/kVA/Month

1.50

High Tension-AG/HT-AG (Allied Activities)

All Units

Rs 60/kVA/Month

1.90

MILITARY ENGINEERING

SERVICES/DEFENSE ESTABLISHMENTS

All Units

Rs 175/kVA/Month

5.00

PUBLIC LIGHTING

All Units

Rs 50/kW/Month

4.10

HOARDINGS/SIGNBOARDS

All Units

Rs 60/kVA/Month

9.90

TEMPORARY SUPPLY

LT Temporary Domestic

Rs. 60 per kW per month

or part thereof subject to a

minimum of Rs 300/- per

connection per month or

part thereof

7.20

LT Temporary Commercial

Rs. 120 per kVA per month

or part thereof subject to a

minimum of Rs 600/- per

connection per month or

part thereof

9.90

HT Temporary

Rs. 120 per kVA per month

or part thereof

9.90

SINGLE POINT SUPPLY

Residential Complexes

Rs. 100 per kVA per month

or part thereof

3.45

Commercial Complexes

Rs. 200 per kVA per month

or part thereof

4.60

Industrial Complexes

Rs. 200 per kVA per month

or part thereof

4.20

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9.2.

Applicability

Low Tension Category - Applicable to Power Supply of Voltages at 230V and 440V Voltages

when the Sanctioned Load is below 100 KVA/90 KW/120 HP and power is supplied at single/

/three phase.

High Tension/Extra High Tension Category-Applicable to Power Supply of Voltages at

11KV/33KV/110KV and above i.e. High/Extra High Voltages when the Contracted Demand is

above 100 KVA/ 90 KW/120 HP and power is supplied at three phase.

Table 74: Applicability of Tariff Schedule

Category

Applicability

Point of Supply/Notes

1. LT Domestic

This schedule shall apply to private

residential houses, government residential

quarters, charitable institutions or

educational institutions aided by State/

/Central Board, colleges aided by Goa

University and religious institutions etc for

consumption of energy using normal

domestic appliances.

The Professionals i.e. individuals engaged in

those activities involving services based on

professional skills, like Lawyers, Doctors {only

those using OPD/consultancy}, Professional

Engineers, Chartered Accountants, etc. may

utilize the domestic connection at their

residence for carrying out their professional

work in the nature of consultancy without

attracting commercial tariff for the electricity

consumed, provided the area used for

professional activity does not exceed the area

permitted to be used for such activity in

residential area as per the prevailing

laws/notifications issued by Town and

Country Planning Department/other

concerned departments of Government of Goa

in this regard.

a. For the premises or flats

which are closed or locked for

a continuous period of more

than three months and having

sanctioned /connected load

more than 10 kW, the monthly

minimum charges would be

Rs1000/-.

2. HT Domestic

This schedule shall apply to individual

residential consumers of Bungalows, Villas,

Cottages, etc. using normal domestic

appliances and whose contract demand falls

within the threshold limit of HT category.

3. Low Income

Group

This schedule shall apply to consumers of

Low Income Group who have a sanctioned

load of up to 0.1 kW (primarily 2 points with 2

x 40 watts) and who consume up to 30 units

per month only.

The applicability of the Low

Income Group category will be

assessed at the end of each

month and in case the

consumption exceeds 30 units

per month, the entire

consumption would be billed

at the rate of LTD-/Domestic

for that particular month.

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Category

Applicability

Point of Supply/Notes

4. Commercial – LT

and HT

This tariff is applicable to any activity not

specifically covered in any other consumer

categories, or although covered in another

activity, the use is made for a commercial

category. It would include electricity used in

all non-residential, non-industrial premises

and/or commercial premises for commercial

consumption meant for operating various

appliances. It would include the following

categories but not limited to:

●

Houses with rent back facilities

●

Government hospitals

●

Professionals not covered in domestic

category.

●

Commercial Complexes and Business

premises, including Shopping malls/show

rooms, offices/shops;

●

Combined lighting and power services for

Entertainment including film studios,

cinemas and theatres, including

multiplexes, Race Course, Meeting/Town

Halls, Clubs, all types of Guest houses;

●

Offices including Government Offices,

Commercial Establishments;

●

Marriage Halls (including halls attached

to religious places), Hotels/Restaurants

(without boarding facilities), Ice-cream

parlours, Bakeries, Coffee Shops, private

educational institutions, private

hospitals, private messes, Internet/Cyber

Cafes, Mobile Towers, Microwave

Towers, Satellite Antennas used for

telecommunication activity, Telephone

Booths, Fax/Xerox Shops, X-ray

installations, bars and cold drink houses,

Tailoring Shops, Computer Training

Schools, Typing Institutes, Photo

Laboratories, Photo Studios, Laundries,

Beauty Parlours and Saloons, dry cleaners

etc

●

Automobile and any other type of repair

centers, Retail Gas Filling stations, Petrol

Pumps and Service Stations including

Garages, Tyre Vulcanizing units, Battery

Charging Units, Tyre vulcanizing centres

etc;

●

Banks, Telephone Exchanges, TV Station,

Micro Wave Stations, All India Radio

(AIR) Stations, ATM Centres etc;

●

For common facilities, like Water

Pumping/Street Lighting/Lifts/Fire

Fighting Pumps/Premises (Security)

Lighting, etc. in Commercial Complexes;

●

Sports Clubs, Health Clubs, Gymnasium,

Cold Storages which are solely

attached to Agriculture and its

allied activities shall be

charged tariff of Agriculture

Allied activities. All other cold

storages which are partly or

not attached with Agriculture

and Allied activities shall be

charged commercial tariff.

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Category

Applicability

Point of Supply/Notes

Swimming Pools;

●

Research and Development units situated

outside Industrial premises;

●

Airports, Railways, Railway Stations, Bus

stands of KTC etc;

5. LT Industrial

This tariff shall apply to industrial units

engaged in industrial activities,

manufacturing process etc. It would include

the following categories but not limited to:

●

Flour Mills, wet grinding, Dal Mills, Rice

Mills, Poha Mills, Masala Mills, Saw Mills,

Power looms including other allied

activities like Warping, Doubling,

Twisting, etc.

●

Ice Factories, Ice Cream Manufacturing

units/Plants, Dairy Testing Process, Milk

Dairies, Milk Processing/Chilling Plants

(Dairy) etc;

●

Engineering workshops, Engineering

Goods Manufacturing units, Printing

Presses, Transformer repairing

Workshops, Tyre retreading units, Motive

Power Loads etc;

●

Mining, Quarry and Stone Crushing units

etc;

●

Garment Manufacturing units,

●

LPG/CNG Bottling plants etc;

●

Sewage Water Treatment Plants/

Common Effluent Treatment Plants

owned, operated and managed by

Industrial Associations and situated

within industrial area.

●

Pumping of water for public water

supply, Sewage Treatment Plants,

activities related with public water

Supply Schemes and Sewage Pumping

Stations.

●

Use of electricity/power supply for

activities/facilities exclusively meant for

employees of the industry within the

premises of the Industry.

●

IT Industry, IT parks etc.

The above mentioned tariff is

based on the supply being

given through a single

delivery and metering point

and at a single voltage.

6. LT Mixed –

Hotel Industries

This schedule shall apply to Hotels/

restaurants with lodging and boarding

facilities.

Hotel Industry consumers

intending to avail the facility

of this tariff should produce a

certificate from the Tourism

Department stating that the

intending applicant is

registered under Goa

Registration of Tourist Trade

Act, 1982 and in the Hotel

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Category

Applicability

Point of Supply/Notes

business on a regular basis.

On receipt of the certificate,

such tariff shall be made

effective from the date of

original validity of the

certificate. In case of failure to

produce the certificate, the

same shall be considered

under Commercial category.

7. HT Industrial

This schedule shall apply to consumers

taking electricity supply for Industrial

purpose. It shall also include the following

categories:

●

Bulk Supply of power at 11 KV, 33 kV /110

KV and above for industries, factories and

other industrial purposes.

●

Bulk supply of power at 11 KV and above

for educational institutions owned or

aided by Government, non-industrial

establishments,

●

Industrial units engaged in Ice

Manufacturing Units;

●

Hotels with lodging and boarding

facilities etc

●

Use of electricity/power supply by an

establishment such as IT Industries, IT

Parks, IT Units

●

Pumping of water, public water supply,

public water treatment plant, activities

related with Supply Schemes and

Sewage Treatment Plants, Sewage

Pumping Stations etc

8. HT Ferro

Metallurgical

/Steel

Rolling/Steel

Melting/Power

Intensive

This schedule shall apply to supply of power

having a Contract Demand from 100 KVA up

to 1000 KVA at 11 KV and above 1000 KVA at

33 KV for Steel rolling industry and Metal

Alloy, Steel Melting, Ferro Alloy, and Ferro

metallurgical industries where melting is

involved using electric power.

9. LT and HT

Agriculture

Pump sets

This schedule shall apply to establishments

for Irrigation pumping, De-watering and Lift

Irrigation for cultivation of food crops such as

cereals, pulses, vegetables and fruits etc and

Cane crusher and/or fodder cutter for self-use

for Agricultural purposes.

This tariff shall be applicable

from the date of production of

a certificate from the

Directorate of Animal

Husbandry or Agriculture

Department of Government of

Goa to the effect that the

consumer carried on the said

activity on regular basis. In

10. LT and HT

Agriculture

Allied Activities

This schedule shall apply to establishments

for other allied activities related to

Agriculture and shall include but not limited

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Category

Applicability

Point of Supply/Notes

to:

●

Poultry farms, Livestock farms,

Combination of livestock farms with

dairy, Piggery etc

●

Horticulture, Green Houses, Plantations,

all types of nurseries etc.

●

Fish farms including ornamental fish

farms, prawn farms, other aqua farms etc

●

Tissue culture, Mushroom activities,

Aquaculture, Floriculture, Fisheries,

Sericulture, Floricultural nurseries,

hatcheries etc

●

Any other agricultural activity not falling

under HT-Agriculture (A) shall be

covered under this category

case of failure to produce the

certificate, the same shall be

considered under Commercial

category.

Cold Storages which are solely

attached to Agriculture and its

allied activities shall be

charged tariff of Agriculture

allied activities. All other cold

storages which are partly or

not attached with Agriculture

and Allied activities shall be

charged Commercial Tariff.

11. MES/Defense

Establishments

This schedule shall apply to supply of power

for defense installation establishments,

having mixed load with predominantly

lighting or non-industrial load of more than

50% of connected load.

12. LT Public

Lighting

This schedule shall apply to public lighting

systems. It would include the following

categories but not limited to:

●

Market Places, Roads, Pathways and

Parking Lighting belonging to local

authorities such as Municipality/

Panchayats/Government;

●

Lighting in Public Gardens;

●

Traffic Signals and Traffic Islands;

●

State Transport Bus Shelters;

●

Public Sanitary Conveniences; and

●

Public Water Fountains and such other

Public Places open for general public free

of charge.

●

Street lighting in the colony of a factory

which is situated separately from the

main factory.

●

This shall also be applicable to public

lighting of Government/Semi

Government Establishments but shall

not be applicable in case of private

establishments

13. LT Hoardings/

Sign Boards

This schedule shall apply to lighting

advertisements, hoardings and displays at

departmental stores, malls, multiplexes,

theatres, clubs, hotels, bus shelters, Railway

Stations etc. and shall be separately metered

and charged at the tariff applicable for

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Category

Applicability

Point of Supply/Notes

“Hoardings/Sign Board” category. However

use of electricity for displays for the purpose

of indicating/displaying the name and other

details of the shop, on commercial premises

itself, shall be covered under the prevailing

tariff for such shops or commercial premises.

14. LT Temporary

Supply

a) LT Temporary Domestic: This schedule

shall apply to usage of electricity for all

religious purposes or public functions for

non-commercial purposes. It shall also

apply for construction of own house by

an individual with single tenement

b) LT Temporary Commercial: This

schedule shall apply to usage of

electricity for any of the activities not

covered under LT Temporary Domestic.

It would include but not be limited to:

● All other Constructions including

renovation, of all type of structures/

infrastructure, including buildings,

bridges, flyovers, dams, power stations,

roads, aerodromes, tunnels for laying of

pipe lines for all purposes

i. The temporary connection

shall be released through a

proper meter

ii. These temporary tariffs are

applicable for temporary

supply for a period not

exceeding three months

which may be extended

beyond that period only

with the prior permission of

the Chief Electrical

Engineer, up to a maximum

period of six months for

general purpose and two

years for construction

activities.

iii. Security deposit shall be

collected in advance for an

assessed 3 months billing.

15. HT Temporary

Supply

This schedule shall apply to usage of

electricity for all temporary purposes.

16. HT SPS Single

Point Supply

This schedule shall apply to a group of

consumers who desire to take a HT

connection at single point for consumption of

energy within a Residential Complex – Group

Housing Societies, Residential Housing

Colonies, Cooperative Group Housing

Societies, Township Areas; Commercial

Complexes, including Malls; Industrial

Complexes, including IT Parks, Bio-Parks or

other entities classified as industries by the

Government of Goa.

In case of a dispute on

whether the complex can be

classified as an industrial

complex, a certificate from

Industries Department,

Government of Goa will be

required.

The following shall be the

different combinations for SPS

in a defined area:

i. All LT consumer mix area

ii. All HT consumer mix area

iii. HT+LT consumer mix area

a. The General Conditions,

Miscellaneous and

General Charges would

also be applicable for all

SPS categories.

b. Based on technical and

administrative feasibility,

the ED-Goa may consider

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Category

Applicability

Point of Supply/Notes

providing SPS power

supply at HV/EHV level to

a complex at a mutually

agreed injection point.

c. The SPS arrangement

would be applicable for

the application received

from a Residential

complex/Association of

Persons (AOP)/Developer

of the complex or any

other such similar person.

d. The SPS arrangement

would be considered by

ED-Goa only if the

minimum sanctioned

cumulative contracted

demand of the complex

(group of consumers) is

1.15 MVA/1 MW.

e. The complete cost of

erection and O&M for the

sub-transmission and

distribution infrastructure

within such complex

would need to be borne by

the said SPS applicant.

The SPS applicant would

be required to develop and

maintain an efficient,

co-ordinated and quality

sub-transmission and

distribution system in its

area of electricity supply.

Further, the applicant

would be responsible to

comply with Standards of

Performance and Supply

Code Regulation as laid

down under JERC

Regulations and

guidelines of Goa

Electricity Department, if

any. The network within

the complex will need to

be certified by the Chief

Electrical Inspector.

g. For Residential

Complexes, SPS

application shall be

entertained for groups of

LT consumers only. The

loads of common

amenities for such group

may include pumps for

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Category

Applicability

Point of Supply/Notes

pumping water supply,

lifts and lighting of

common area. However,

the consumption of energy

for common services shall

be separately metered

with meters installed by

the consumer and tested

and sealed by licensee.

The consumption of such

energy over and above

10% of the total

consumption of energy

shall be billed at LT

Commercial Tariff. The

user shall inform the

details of every non-

domestic activity within

the residential complex,

such as commercial

complex, industrial

activity, and recreation

club, along with the

connected load to the

licensee at the time of

seeking the connection or

at the time of

enhancement in contract

demand, and shall seek a

separate connection for

the same in case the

common load is more than

10%.

h. Individual Domestic HT

consumers in a residential

complex that opt for SPS

shall need to apply

separately under HT

Domestic category.

The SPS applicant shall

not charge tariff to the

downstream consumers

higher than stipulated.

The applicant shall be

obliged to pay the total

tariff (total billed amount)

due to ED-Goa, as

measured at HT end of

SPS. However, to cover

energy transformation

losses and other O&M

expenses, such applicant

would be eligible to get

rebates from ED-Goa on

full bill payment, within

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Category

Applicability

Point of Supply/Notes

the due time:

i. 5% on the overall billed

amount in all cases of

LT and HT consumers

ii. Any other loss would

be to the account of

the applicant.

k. For CC and IC applicant,

any LT/HT Consumer in

the area should have

minimum 80% pre-

dominant load of their

appropriate category i.e.

mix load is allowed only

upto 20%. For e.g. If a HT/

/LT Industry Consumer

has Factory, Residential

Colony for its workers and

also some Commercial

facilities for his staff and

the total of Residential and

Commercial load is say

around 30%, then separate

Individual SPD connection

may be taken for each

such group as per activity.

The implementation of SPS

arrangement should be in

accordance with the

Electricity Act, 2003 and

APTEL judgement dated

11th July 2011 in appeal

No. 155 and 156 of 2010 in

this regard.

9.3.

General Terms and Conditions

1) These tariffs are proposed to be made applicable from 1st April 2018 and shall remain valid

till further Orders of the Commission.

Tariffs are subject to revision and/or surcharge that may be levied by ED-Goa from time to

time as per the directives of the Commission.

2) The tariffs are exclusive of electricity duty and taxes levied by the Government or other

competent authority from time to time which are payable by the consumers in addition to

the charges levied as per the tariffs.

3) Unless otherwise agreed to, these tariffs for power supply are applicable for supply at one

point only.

4) Unless specifically stated to the contrary the figures of energy charges relate to rupee per

unit (kWh) charge for energy consumed and fixed charge relates to a month.

5) If the energy supplied for a specific purpose under a particular tariff is used for a different

purpose not contemplated in the contract for supply and/or for which a higher tariff is

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applicable, it shall be deemed as unauthorized use of electricity and shall be assessed

under the provisions of section 126 of the Electricity Act, 2003 and Supply Code Regulation

2010 notified by the JERC.

6) If connected load of a domestic category is found to be at variance with the

sanctioned/contracted load as a result of replacement of appliances such as lamps, fans,

fuses, switches, low voltage domestic appliances, fittings, it shall not fall under Section 126

and Section 135 of the EA 2003.

7) Fixed charges, wherever applicable, will be charged on pro-rata basis from the date of

release of connection. These shall be double in case bi-monthly billing is carried out and

shall be proportionately calculated as per the number of days of billing, Similarly slabs of

energy consumption shall also be considered accordingly in case of bi-monthly or periodic

billing.

8) The consumption for factory lighting/pump house lighting shall be billed as per respective

main tariff category. A separate energy meter for recording energy consumed towards

factory lighting for new installation need not be provided. For the existing installations, till

the factory lighting meter's mains are shifted to main meter, the total energy consumption

shall be arrived at by adding the energy consumption of the main energy meter and the

factory lighting meter.

9) Supply of power in all cases shall be subject to the execution of Agreement between the

Electricity Department, Goa and consumers and as per the JERC (Electricity Supply Code)

Regulation 2010. The other conditions, definitions etc. shall be applicable as per the

Electricity Act 2003 and various JERC Regulations, such as Standards of Performance,

Supply Code, Conditions of Supply, Distribution Code etc., issued from time to time.

10) Billing of Demand in excess of Contracted Demand

The billing shall be on the maximum demand recorded during the month or 85% of

contracted demand whichever is higher. If in any month, the recorded maximum demand of

the consumer exceeds its contracted demand, that portion of the demand in excess of the

contracted demand shall be billed at double the normal rate. Similarly, energy consumption

corresponding to excess demand shall also be billed at double the normal energy rate.

The definition of the maximum demand would be in accordance with the provisions of the

JERC (Electricity Supply Code) Regulations, 2010. If such over-drawal is more than 20% of

the contracted demand then the connection shall be disconnected immediately.

Explanation:

Assuming the contract demand as 100 kVA, maximum demand at 120 kVA and total energy

consumption as 12000 units, then the consumption corresponding to the contract demand

will be 10,000 units (12000 X 100/120) and consumption corresponding to the excess

demand will be 2000 units. This excess demand of 20 kVA and excess consumption of 2000

units will be billed at twice the respective normal rate. e.g. in case of HTI/Industrial

category, excess demand and consumption will be billed at the rate of Rs 500 per kVA per

month and Rs 9.00/kWh respectively. Connections drawing more than 120 kVA shall be

disconnected immediately.

11) The adjustment because of Fuel and Power Purchase Cost variation shall be calculated in

accordance with the FPPCA formula separately notified by the Commission under the

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Regulation. Such charges shall be recovered/refunded in accordance with the terms and

conditions specified in the FPPCA formula.

12) The values of the ‘K’ factor applicable for the different consumer categories for use in the

FPPCA formula shall be as specified in Section 7.4.3 of this Tariff Order.

13) Power Factor Charges for HT and EHT

a) ‘Power Factor’ means, the average monthly power factor and shall be the ratio

expressed as a percentage of the total kilowatt hours to the total kilovolt ampere

hours supplied during the month; the ratio being rounded off to two decimal figures.

b) The consumer shall maintain the monthly average power factor of the supply not

less than 90% (lagging). If the monthly average power factor of (a) consumer falls

below 90% (0.9 lagging), such consumer shall pay a surcharge in addition to his

normal tariff @ 1% on billed demand and energy charges for each fall of 1% in power

factor upto 70%(lagging).

c) In case the monthly average power factor of the consumer is more than 95% (95%

lagging), a power factor incentive @ 1% on demand and energy charges shall be

given for each increase of 1% in power factor above 95% (lagging).

d) If the average power factor falls below 70% (lagging) consecutively for 3 months, the

licensee reserves the right to disconnect the consumer's service connection without

prejudice for the levy of the surcharge.

14) For staff quarters, rest/guest houses, street lighting in the colony of a factory which is

situated separately from the main factory and for distribution lines, service lines, etc.

permitted to be owned and maintained by the HT consumer owning the factory, there shall

be a separate connection and such energy consumed shall be charged under Single Point

Supply.

15) Advance Payment Rebate: If payment is made in advance well before commencement of

the consumption period for which the bill is prepared, a rebate @ 1% per month shall be

given on the amount (excluding security deposit, taxes and duties) which remains with the

licensee at the end of the month. Such rebate, after adjusting any amount payable to the

licensee, shall be credited to the account of the consumer.

If payment is made in advance along with prior declaration of premises to be closed for a

certain period of time, a rebate of 1% per month shall be given on the amount (excluding

security deposit, taxes and duties) which remains with the licensee at the end of the month.

Such rebate, after adjusting any amount payable to the licensee, shall be credited to the

account of the consumer.

16) Prompt Payment Rebate: If payment is made at least 7 days in advance of the due date of

payment a rebate for prompt payment @ 0.25 % of the bill amount (excluding taxes and

duties) shall be given. Those consumers having arrears shall not be entitled for such rebate

and the amount paid will first be used to set off past liabilities.

17) Delayed Payment Charges (DPC): In case the electricity bills are not paid within the due

date mentioned on the bill, delayed payment charges of two percent (2%) (computed on a

daily basis on the outstanding bill from the due date till the date of payment) shall be levied

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on the bill amount. However, if a consumer makes part payment of a bill (in exceptional

circumstances, with prior approval of the Chief Electrical Engineer), within the due date,

then the delayed payment charges shall be applicable only on the amount which was not

paid within the due date.

Such surcharge shall be rounded off to the nearest multiple of one rupee. Amount less than

50 paise shall be ignored and amount of 50 paise or more shall be rounded off to the next

rupee.

If the consumer fails to pay the energy bill presented to him by the due date the department

shall have the right to disconnect the supply after giving 15 days' notice as per provision of

the Electricity Act 2003 and Supply Code Regulations 2010 of JERC as amended from time

to time.

In case of non-realization of payment through Cheque, a penalty of 5% of the cheque

amount in addition to the Delayed Payment Charges (DPC) will be levied on the

consumers.

18) Time of Day Tariff (ToD ):

i. Under the Time of Day (ToD) Tariff, electricity consumption and maximum demand

in respect of HT/EHT consumers for different periods of the day, i.e. normal period,

peak load period and off peak load period, shall be recorded by installing a ToD

meter.

ii. The maximum demand and consumption recorded in different periods shall be billed at

the following rates on the tariff applicable to the consumer.

Table 75: Applicability of ToD Tariff

Time of use

Demand Charges

Energy Charges

Normal period (7:00 a.m. to 6:00 p.m)

Normal Rate

Normal rate of energy charges

Evening peak load period (6:00 p.m to

11.00 p.m)

Normal Rate

120% of normal rate of energy

charges

Off-peak load period (11:00 p.m to

7:00 a.m)

Normal Rate

90% of normal rate of energy

charges

iii.

Applicability and Terms and Conditions of TOD tariff:

TOD tariff is mandatory for HT/EHT consumers and shall be optional for LT

industrial and commercial consumers

The facility of aforesaid TOD tariff shall not be available to HT/EHT consumers

having captive power plants and/or availing supply from sources other than

ED-Goa through wheeling of power.

The HT/EHT industrial consumers who have installed standby generating plants

shall also be eligible for the aforesaid TOD tariff.

In the event of applicability of TOD tariff to a consumer, all other terms and

conditions of the applicable tariff shall continue to apply.

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9.4.

Schedule of Miscellaneous Charges

Table 76: Schedule of Miscellaneous Charges

Description

Approved Charges

Monthly Meter Rental Charges (as per provisions of Regulation 7.3 (1) of JERC [Electricity Supply

Code] Regulations 2010)

Single Phase LT meter

Rs 10/month

Three Phase LT meter

Rs 20/month

Three Phase LT meter with CTs

Rs 50/month

LT Meter with MD Indicator

Rs 30/month

Tri-vector Meter

Rs 1000/month

Temporary Supply

Shall be twice as applicable in

above meter types

Changing or moving a Meter board

Actual Cost + 15%

Note:

a. For all domestic and other LT loads less than 50 kW loads in Urban and Rural areas-Static single

phase/three phase meters

b. For LT (contracted load ≥ 50 KW)/HT/EHT consumer–Static, 3 Phase Tri-vector meters with MDI

(MD Display)

Reconnection Charges (as per provisions of Regulation 9.3 (c) of JERC [Electricity Supply Code]

Regulations 2010)

LT Services – At Cut outs

●

Single Phase

Rs. 25/-

●

Three Phase

Rs. 50/-

LT Services – At Overhead Mains

●

Single Phase

Rs. 30/-

●

Three Phase

Rs. 50/-

LT Services – At Underground Mains

●

Single Phase

Rs. 75/-

●

Three Phase

Rs. 125/-

HT Services

Rs. 200/-

Note: If the same consumer seeks reconnection within 12 months from the date of reconnection or

disconnection, 50% will be added to above charges

Re-Rating of Installations

Lighting Installation

Rs. 25/-

Motive Power Installation

Rs. 50/-

Testing Fee for Various Metering Equipments (as per provisions of Regulation 7.4 of JERC

(Electricity Supply Code) Regulations 2010

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Description

Approved Charges

Single phase LT

Rs. 25/energy meter

Poly Phase LT without CT

Rs. 50/energy meter

L.T. meter with CTs/Demand or Special Type Meters

Rs. 150/energy meter

H.T and E.H.T. metering equipment

Rs. 10000/- at site

Transformer Oil

Rs. 200/- per sample

3 – Ø Phase Tri-vector Meter Industrial LT Consumer

Rs. 1000/- for laboratory testing

3 – Ø Phase Tri-vector Meter 11 KV and 33kV HT Consumer

Rs. 5000/- at site

Three Phase Tri-Vector Meter 110 KV EHT Consumers

Rs. 1000/- at site

Combined CTPT Unit for 11kV and 33kV Consumer

Rs. 2500/-

110KV CT/PT Unit

Rs. 10000/-

Single Phase CT

Rs. 150/unit

Three Phase TT Block

Rs. 500/unit

Distribution Transformer Testing (HT con.)

Rs. 6000

Power Transformer Testing ( EHT consumer)

Rs. 20000

Service Connection Charges (as per provisions of Regulation 3.3 (3) of JERC (Electricity Supply

Code) Regulations 2010

Single Phase 1 ф

Rs. 250

Three Phase 3 ф

Rs. 500 to Rs 1200

HT (First 500 KVA)

Rs. 10000

HT (Beyond 500 KVA)

Rs. 20000

Extra Length for 1 ф (beyond 30 meters)

Rs. 50/meter

Extra Length for 1 ф for agricultural consumers (beyond 300

meters)

Rs. 25/meter

Extra Length for 3 ф (beyond 30 meters)

Rs. 100/meter

Extra Length for 3 ф for agricultural consumers (beyond 300

meters)

Rs. 50/meter

Testing Consumer’s installation (as per provisions of Regulation 4.10 (6) of JERC (Electricity

Supply Code) Regulations 2010

For first test of the new installation on or off an extension to an

existing installation if the installation is found to be defective.

NIL

For Subsequent test of the new installation or of an existing

installation if the installation is found to be defective

•

Single phase LT

Rs 100/-

•

Three phase

Rs 200/-

•

MS/BS loads upto 70kW

Rs 4000 + ST

•

LS/BS/RT (loads Above 70kW)

Rs 8000 + ST

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Description

Approved Charges

Changing the Meter or its position in the same premises at the request of the consumer when no

additional material is required (as per provisions of Regulation 6.3 c) of JERC (Electricity Supply

Code) Regulations 2010

Single phase

Rs. 100/-

3-phase without C.Ts

Rs. 200/-

L.T. meter with C.T.s

Rs. 500/-

H.T and E.H.T. metering equipment

Rs. 8000 + ST

Re-sealing charges irrespective of the number of seals involved against each item below and

where seals found to have been broken by the consumer

Meter cupboard/Meter Cubical/Box

Rs. 50/-

Where cut-out is independently sealed

Rs. 50/-

Meter cover or Meter Terminal cover

Rs. 50/-

Meter cover of Meter Terminal cover (3 phase).

Rs. 50/-

Maximum demand Indicator or C.T.s chamber

Rs. 50/-

Service Charges

General Supply

•

Single Phase

Rs. 10/-

•

Three phase below 70kW

Rs. 20/-

•

Three phase above 70kW

Rs. 50/-

Industrial/bulk/agriculture/Street Lightning Supply

• Upto70kW

Rs. 25/-

• Above 70kW

Rs. 50/-

Replacement of broken glass

Replacement of broken glass of meter cupboard (When there is

default on Consumer Side)

Rs. 50/-

Replacement of broken Glass of single phase meter if the consumer

has broken or tamper and with meter.

Rs. 50/-

Replacement of broken Glass of three phase meter if the consumer

has broken or tamper and with meter

Rs. 50/-

Supply of duplicate copies of electricity bills

Domestic Consumers

Rs. 5 per bill or Rs. 10 per

statement

Non Domestic consumers

LT Industrial upto 20kW and AP Consumer

H.T Industrial and Bulk supply consumer

Rs. 5 per bill or Rs. 10 per

statement

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10. Chapter 10. Fuel and Power Purchase Adjustment Mechanism

The State of Goa and Union Territories of Andaman & Nicobar Islands, Lakshadweep Island,

Chandigarh, Daman & Diu, Dadra & Nagar Haveli and Puducherry receive power from the

Central Generating Stations, State Generating Stations, Independent Power Producer’s (IPP’s)

through the long-term power purchase agreements and short-term purchases – through

exchange, bilateral purchases etc. The distribution licensees procure power from various

available sources and supply power to the consumers at retail tariffs determined by the

Commission. Power purchase cost accounts for more than 80% of the Annual Revenue

Requirements (ARR) of the distribution licensees and includes the cost paid for procurement of

power, transmission charges, Deviation Settlement Mechanism (DSM) charges, State Load

Despatch Center (SLDC)/Regional Load Despatch Center (RLDC) charges and is netted off with

revenue earned from the sale of surplus power.

The cost of the long-term power being procured by the distribution licensees is fixed by the

Central Electricity Regulatory Commission (CERC) for plants supplying power to more than one

State/UT (for example NTPC, NHPC etc.) and by the JERC for plants located within the region

(for IPP’s, licensees own generation and other State generating sources). Charges for the Over-

drawal/Under-drawal from the Grid and the Inter-State Transmission charges, RLDC charges

are fixed by the CERC, while Intra-State Transmission charges and SLDC charges are fixed by

the JERC. Short term purchase/sale of power is done through traders, bilateral contracts,

banking and power exchanges at market-determined prices.

While determining retail tariff for any year, the Commission first determines the ARR based on

the projection of various cost elements including power purchase cost. Power purchase cost of

the distribution licensee is derived from the power purchase quantum and per unit power

purchase cost. Quantum of power purchase depends upon the energy sales to the retail

consumer and distribution losses, out of which energy sales is not under the control of the

distribution licensee. There is also variation in actual per unit power purchase cost vis-a-vis

projected per unit power purchase cost due to change in fuel cost, change in power purchase

mix i.e. thermal/hydel/renewable mix, long term/short term power mix etc. This makes power

purchase cost uncontrollable in nature.

The Commission undertakes the truing up exercise for the variation in the cost and revenue

once the audited accounts of the distribution licensee are available. For example, True-up of FY

2016-17 will be undertaken by the Commission once the audited accounts of FY 2016-17 are

available. If the audited accounts for FY 2016-17 are prepared timely, the impact of true-up of

various cost and revenue items is allowed in the tariff of FY 2018-19, along with the carrying

cost for 2 years as the power purchase cost is the major cost element of the ARR of the

distribution licensee, adjustment due to change in power purchase cost at regular intervals is

important in order to avoid the burden of carrying cost on the additional power purchase cost

incurred during the year.

10.1. Legal Provisions

The relevant provisions of the Electricity Act, Regulations, Policy document and the ATE

judgments, which enable the Commission to devise, adopt and implement a power purchase/

fuel price adjustment mechanism are as follows:-

(a) Indian Electricity Act, 2003- Section 62 (4)

“No tariff or part of any tariff may ordinarily be amended more frequently than once in any

financial year, except in respect of any changes expressly permitted under the terms of any

fuel surcharge formula as may be specified.”

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(b) Tariff Policy, 2016, clause 5.11 – sub-clause (h-4)

“Uncontrollable costs should be recovered speedily to ensure that future consumers are not

burdened with past costs. Uncontrollable costs would include (but not limited to) fuel

costs, costs on account of inflation, taxes and cess, variations in power purchase unit costs

including on account of adverse natural events.”

(c) Tariff Policy, 2016, clause 8.2– sub-clause 8.2.1-(1)

“8.2 Framework for revenue requirements and costs

Actual level of retail sales should be grossed up by normative level of T&D losses as

indicated in MYT trajectory for allowing power purchase cost subject to justifiable power

purchase mix variation (for example, more energy may be purchased from thermal

generation in the event of poor rainfall) and fuel surcharge adjustment as per regulations

of the SERC.”

(d) Hon’ble ATE judgement in OP1 of 2011 dated 11 November, 2011

The Hon’ble ATE directed the SERCs to develop a power purchase cost adjustment

mechanism within six months of the date of the Order. The relevant excerpt of the Order

is shown as follows:

“(vi)Fuel and Power Purchase cost is a major expense of the distribution Company which is

uncontrollable. Every State Commission must have in place a mechanism for Fuel and

Power Purchase cost in terms of Section 62 (4) of the Act. The Fuel and Power Purchase

cost adjustment should preferably be on monthly basis on the lines of the Central

Commission’s Regulations for the generating companies but in no case exceeding a

quarter. Any State Commission which does not already have such formula/mechanism in

place must within 6 months of the date of this Order must put in place such

formula/mechanism.”

10.2. Existing formula

The Commission first introduced the provision for adjustment of fuel surcharge in the Joint

Electricity Regulatory Commission for the State of Goa and UT’s (Terms and conditions for

determination of tariff) Regulations, 2009 notified on 08 February 2010. The relevant Clause 7 of

the Regulations is provided below:

“7. Fuel Surcharge Formula

(1) The fuel cost revisions for the generating companies/units owned by the licensee that are due

to reasons beyond the control of the generating companies/the licensee be in accordance with

the fuel surcharge formula as may be decided by the Commission from time to time.

(2) The generating company or the licensee may determine such charge in accordance with the

specified formula and recover the same from such categories of consumers or the licensees, as the

case may be after following procedure and the terms and conditions attached thereto.”

The Commission subsequently notified the Joint Electricity Regulatory Commission for the

State of Goa and UT’s (Terms and conditions for determination of tariff) (First Amendment)

Regulations, 2009 on 27 June, 2012 prescribing the methodology for determination and the

recovery mechanism of Fuel & Power Purchase Cost Adjustment (FPPCA) formula.

Subsequently on 18 January, 2013, the Commission issued a Corrigendum correcting the

calculations of the FPPCA for certain consumer categories.

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On 30 June, 2014 the Commission notified the Joint Electricity Regulatory Commission for the

State of Goa and Union Territories (except Delhi) (Multi-Year Distribution Tariff) Regulations,

2014 wherein the Commission proposed to adopt the same methodology as prescribed in the

Joint Electricity Regulatory Commission for the State of Goa and UT’s (Terms and conditions for

determination of tariff) (First Amendment) Regulations, 2009 in the MYT Period. Clause 19 of

the Regulations is shown as follows

“19. Treatment of Incremental Power procurement cost

The Distribution Licensee shall recover the incremental cost on account of fuel & power purchase

adjustment in accordance with FPPCA formula provided in JERC Terms & Condition for

determination of Tariff (first amendment) Regulations, 2009.”

On 19 October, 2016 JERC notified the Joint Electricity Regulatory Commission for the State of

Goa and UT’s (Multi-Year Distribution Tariff) (Second Amendment) Regulations, 2016 according

to which the Fuel and Power Purchase cost adjustment charge shall be levied by distribution

licensees on consumer electricity bills on account of the incremental power purchase cost

incurred by the licensees and the Transmission charge recovery was also added to the formula.

The relevant amendment to the Regulation has been shown as follows:

“1. Recovery Periodicity (Cycle)

The licensee shall compute fuel and power procurement cost variations on quarterly basis

and adjustment shall be made in consumers bills starting after a month following the end

of the quarter on units billed in the month under consideration. For example, Fuel &

Power Purchase Cost Adjustment (FPPCA) for the quarter April-May-June shall be made

in the month of July and shall be reflected in the consumer bills raised in the months of

August-September and October on the units billed for the respective months. The formula

shall be applicable prospectively for the purpose of consideration of Fuel and Power

Purchase Cost Adjustment. FPPCA shall be done for all consumer categories except

Below Poverty Line (BPL) and Agriculture consumers

2. Formula

The formula for determination of per unit Fuel & Power Purchase Cost Adjustment

(“FPPCA”) is as under:

Per Unit FPPCA (Paisa/unit) = Per Unit Actual cost of Power Purchase - Per Unit

Approved Cost of Power Purchase in Tariff Order

Where

Where:

● : Actual cost of power purchased during the quarter (excluding purchase

from unapproved bilateral and other unapproved sources) includes transmission

charges of PGCIL but excludes SLDC charges, RLDC charges and reactive energy

charges (Rs crores).

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● : Actual Revenue recognized from Sale of power to persons other than

consumers of the licensee during the quarter (Rs crores).

● : Approved per unit cost of power purchase for use in the FPPCA

formula as given in the Tariff Order of the Licensee (Paisa per unit).

● : Actual Energy units (kWh) procured during the quarter in consideration

excluding unapproved sources (million units).

● : Actual Energy Units (kWh) procured during the quarter in consideration (million

units) from power exchanges, power generation within the periphery of the licensee

& used by licensee and units overdrawn from the grid.

● : Approved inter-state transmission losses for the year in consideration

as provided in the Tariff Order (%).

● : Approved T&D losses for the year in consideration as provided in the

Tariff Order (%).

● : Actual Sale of power to persons other than the utility consumers (million units)

during the quarter.

● : Actual energy units billed for BPL and Agriculture category consumers (million

units).

3. Other Terms and conditions

For the purpose of Fuel and Power Purchase Cost Adjustment, all the bills admitted

and credits, if any, received by the distribution licensee during the period in

consideration, irrespective of the period to which they pertain shall be considered.

However, the bills or credits of earlier period received by the distribution licensee

earlier than the period under consideration will not be considered for the purpose of

FPPCA.

The variation in fuel and power purchase cost adjustment with respect to the

approved per unit power purchase cost, as per the formula specified above shall be

recoverable/payable based on units billed for each category of consumers except

BPL & Agriculture.

Per unit rate of FPPCA to be billed to consumers is worked out in Paisa after

rounding off to the next lower integer in case of fraction less than 0.5 and to the

next higher integer in case of fraction equal to or greater than 0.5.

The per unit FPPCA so worked out is charged differentially as per the approved

retail tariff of the consumers. The determination of differential per unit FPPCA is

mentioned below:

● Step 1: Determination of Value of K

The value of K for different consumer category or sub category for the year in

consideration is considered as per the respective Tariff Order.

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● Step 2: Determination of proportionate FPPCA (Paisa/unit) consumer category/sub-

category wise

FPPCA to be billed for the consumers category or sub-category (Paisa/unit) =

4. Duties of the licensees and Designated officer

Every distribution licensee shall appoint a designated officer not below the rank of

Executive Engineer with Name, Designation, Telephone No. & Fax and Place of

Posting, who shall compute, certify and post the PPCA calculations, PPCA

chargeable & related data summary on the licensees website and clarify to

consumers query, if any.

The Designated Officer shall send certified copy of FPPCA calculations immediately

to Joint Electricity Regulatory Commission.”

10.3. Need to review the existing mechanism

JERC has been amongst the first few Electricity Regulatory Commission’s in India to introduce

the concept of adjustment of variation in the power purchase cost in the end consumer tariffs

through Fuel and Power Purchase Cost Adjustment (FPPCA) mechanism in 2012.

The Indian Power Sector is very dynamic and has changed a lot since 2012. Further, there have

been changes in the methodology for determination and recovery of generation and

transmission tariff, transmission pricing mechanism, fuel mix with emergence of renewable

energy etc. Other State Electricity Regulatory Commissions (SERCs) have also introduced the

concept of the FPPCA wherein the Fuel and Power Purchase cost variations are passed through

to the consumer either monthly, bi-monthly or quarterly. In between, the Commission has also

received representation from various consumer groups and the distribution licensees seeking

clarity and simplicity in the FPPCA mechanism adopted by the Commission. In light of the

above and the experiences gained during these years, the Commission has decided to examine

the FPPCA mechanism followed in other States vis-à-vis the FPPCA mechanism adopted by the

Commission and identify the best practices.

A detailed examination of the methodology followed across other States for calculation of

variations in the Fuel and Power Purchase Cost Adjustment revealed the following

observations:

•

Every State has a different formula for determination of the FPPCA charges. However

the fundamental objective of all of them remains the same i.e. to pass on the incremental

cost of power procurement to the consumers.

•

FPPCA charges are composed of different elements in different States with power

purchase cost from approved and long term sources being the only element common

across all States.

•

FPPCA charges are mostly determined on the Discom Periphery across all the States.

•

Power purchase cost considered as base for calculation of FPPCA charges is determined

in the Tariff Order.

•

For States, procuring power from own generation plants, the Station Heat Rate and

other components such as Auxiliary consumption, losses etc. are considered as base as

approved in the Tariff Order for calculating the variations in the power purchase costs.

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The key takeaways with respect to certain parameters of the formula are provided in the table

below:

Table 77: Key Takeaways

S. No.

Parameter

Takeaways

Time Period

• Time period for levy of the FPPCA is quarterly in most of the

States except in Chhattisgarh and Bihar where recovery is on

bi-monthly and monthly basis respectively.

Approval Process

• Some of the SERC’s allow the Discoms to recover FPPCA

charges upto a certain limit via automatic route (without

approval

the

Commission)

thereby

reducing

the

administrative burden. However, in most of the States like

Maharashtra, Kerala, Madhya Pradesh etc. prior approval from

the Commission is required.

Elements included while

determining FPPCA

charges

• In all the States, power purchase cost from long term

approved sources is considered while calculating the FPPCA

charges;

• Central Transmission charges are considered in the States of

Gujarat, Maharashtra, Delhi and Uttar Pradesh;

• Adjustments (Under-recovery/Over-recovery) due to previous

FPPCA period is considered in the States like Bihar,

Karnataka, Kerala and Maharashtra;

• Power Purchase cost from short term sale/purchase, bilateral

exchange, IEX etc. is considered in the States of Gujarat,

Maharashtra and Uttar Pradesh;

• In States like Karnataka and Madhya Pradesh, only variable

cost of power purchase is considered while calculating the

FPPCA charges;

• In Uttar Pradesh (UP) any kind of arrears/refunds etc. in the

period are also considered.

Elements excluded while

determining FPPCA

charges

• Short term power procurement cost is excluded while

calculating FPPCA in most of the States except Gujarat,

Maharashtra and Uttar Pradesh.

• In UP, power purchase cost from unapproved plants is

excluded.

• DSM charges are excluded in most of the States.

• In Bihar, the Regulations categorically define exclusion of any

kind of penalties due to delayed payment, while calculating

FPPCA charges.

• In Chhattisgarh power purchase cost from renewable sources

is excluded.

• In the NCT of Delhi, past arrear/credits are not considered

unlike UP where they are considered.

Categories excluded

• Almost all categories are covered under the ambit of the

FPPCA charges except in the State of Kerala where the

domestic consumers upto a certain consumption limit are not

levied FPPCA charges.

• In Gujarat State, the FPPCA charges for the Agriculture

category are subsidized by the State Government.

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S. No.

Parameter

Takeaways

T&D losses considered for

determination

• In most of the States, the T&D losses approved in the Tariff

Order are considered for calculation of gross units; however,

in Gujarat and Bihar, the approved or actual losses whichever

are lower are considered

• In Maharashtra, the actual T&D losses are considered.

Notification via

Regulations/Tariff Order

• In most of the States like Delhi, Maharashtra, Madhya Pradesh

etc., the FPPCA methodology is defined in the Tariff

regulations except in Karnataka and Kerala where individual

regulations are notified.

Ceiling within a month

(%) for recovery

• In States like Maharashtra, Gujarat, Bihar and Karnataka, the

upper ceiling of the FPPCA charges is provided which is

applicable to all categories.

Ceiling within a month

for a category

• Ceiling of the FPPCA charges in a quarter for categories such

as Domestic and Agriculture in Chhattisgarh State.

10.

Recovery Mechanism

• FPPCA charges are recovered from the consumers and are

part of their electricity bills

• In some States like Gujarat and Madhya Pradesh, a uniform

FPPCA charge is recovered depending on the billed units

while in States like Maharashtra and UP, the category wise

FPPCA charges based on the category ABR is determined

The existing FPPCA mechanism notified by the Commission is in the form of an amendment in

the existing Regulation - Joint Electricity Regulatory Commission for the State of Goa and UT’s

(Multi-Year Distribution Tariff) (Second Amendment) Regulations, 2016. These Regulations are

sub-legislations and making any changes in the Regulation involves legal process which is

cumbersome and time consuming. The Commission, therefore, proposes to repeal the Joint

Electricity Regulatory Commission for the State of Goa and Union Territories (except Delhi)

(Multi-Year Distribution Tariff) (Second Amendment) Regulations, 2016 and going forward

provide formula for the FPPCA mechanism in the Tariff Order issued by the Commission.

In the section below, the Commission has discussed the proposed FPPCA formula for inclusion

in the Tariff Order for the FY 2018-19.

10.4. New formula

Based on the review of the existing formula and examination of the formulas and the best

practices adopted by the various SERC’s, the Commission proposes the following mechanism

for calculation and passing on of variations in the Fuel and Power Purchase Cost Adjustment

(FPPCA) in the end consumer tariff, which shall come into force w.e.f. 1^st April 2018 (i.e. Power

Purchased by the Licensee from 1^st April 2018 onwards). For power purchased by the Licensee

for the period from 1^st January 2018 till 31^st March 2018, the FPPCA will be calculated based on

the earlier formula.

1. Periodicity for recovery (Cycle)

The licensee shall compute the fuel and power procurement cost variations on a quarterly

basis. The adjustment shall be made in the consumers bills starting after a month following

the end of the quarter on the units billed in the months following the quarter.

For example, FPPCA for the quarter April-June shall be done in the month of July and shall

be reflected in the consumer bills raised in the months of August, September and October

on the units billed for the months of July, August and September respectively.

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2. Chargeability

FPPCA charges shall be levied on all consumer categories excluding Below Poverty Line

(BPL) and Agriculture category consumers on per unit basis on monthly/bi-monthly

consumption depending on the billing cycle.

3. Formula

The FPPCA formula shall contain the following three components:

1. Power Purchase Cost adjustments which shall contain the following elements:

•

Variation in the Power Purchased from long term/firm sources viz. CGS, IPP’s,

State, Own generation etc. This may consist of fixed cost, variable costs, arrears,

other charges but excluding any kind of penalties.

•

Variation in Short term power purchase cost through IEX, Bilateral etc. (shall be

allowed upto a certain ceiling rate as may be fixed in the Tariff Order by the

Commission).

•

Variation on account of Deviation Settlement Mechanism – Shall be allowed, but

the incentive/penalty shall be excluded.

2. Transmission cost adjustments which shall contain the following elements:

•

Variation on account of Central Transmission Charges including arrears/revisions.

•

Variation on account of State Transmission charges including arrears/revisions.

3. Other Charges which shall contain all the other elements not forming part of the above

two components for example:

•

Any adjustments/reversals due to over recovery of charges

•

Any adjustments due to under recovery of charges in case the Commission decides

to limit the FPPCA charges in previous quarters to avoid tariff shock or other

reasons

•

Any other adjustments on account of factors not envisaged at the time of tariff

fixation

4. Less any revenue from Additional Surcharge collected from Open Access consumer

towards the stranded power purchase cost.

Based on the components as defined above, the new FPPCA formula can be represented as

follows:

Where:

● Actual Power purchase cost inclusive of fixed cost, variable costs,

arrears, and other charges excluding any kind of penalties incurred in the quarter. This

shall include:

o Cost of procurement from sources outside the State,

o Cost of procurement from sources within the State,

o Cost of DSM excluding any penal charges,

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o Cost of procurement from the Bilateral/exchange etc.

o Less: Revenue from sale of surplus power/DSM

● Actual Transmission cost inclusive of any kind of arrears, other charges

etc. and excluding any kind of penalties incurred in the quarter. This shall include:

o Inter-State transmission cost (PGCIL charges),

o Intra-State transmission cost

● Adjustments from the previous FPPCA quarter on account of over/

under recovery and any other incidental costs not accounted for at the time of retail tariff

fixation

● Revenue from Additional Surcharge collected from Open Access

consumer towards the stranded power purchase cost

● Quantum of power purchased in the quarter from sources outside

State/ Union Territory

● Approved Inter-State transmission losses for the year in consideration as

provided in the relevant Tariff Order

● Quantum of power purchased in the quarter from sources within

State/Union Territory, Bilateral/Exchange and Over-drawal under the DSM

● Actual quantum of sale of surplus power/under-drawal under the DSM

in the quarter

● Approved T&D losses for the year in consideration as provided in the

relevant Tariff Order

● Actual energy sales for agriculture and BPL category consumers in the

quarter

● : Total power purchase cost approved in the Tariff Order for a quarter

inclusive of fixed costs, variable costs etc. and containing the following elements:

o Cost of procurement from sources outside the State,

o Cost of procurement from sources within the State,

o Cost of procurement from the Bilateral/exchange etc.

o Less: Revenue from sale of surplus power

● : Total transmission charges approved in the Tariff Order for a quarter

consisting of the following elements:

o Inter-State transmission charges (PGCIL charges),

o Intra-State transmission charges

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● Quantum of power to be procured from sources outside State/Union

Territory in a quarter as approved in the Tariff Order.

● Approved Inter- State transmission losses for the year in consideration as

provided in the relevant Tariff Order.

● Quantum of power to be procured from sources within the State,

bilateral/exchange in a quarter as approved in the Tariff Order.

● Approved T&D losses for the year in consideration as provided in the

Tariff Order.

● Quantum of sale of surplus power approved in the Tariff Order for a

quarter.

● Sales for agriculture and BPL category consumers for a quarter as

approved in the relevant Tariff Order.

4. Other Terms and conditions

1. For the purpose of the Fuel and Power Purchase Cost Adjustment, the Commission

suggests that all the bills admitted and credits, if any, received by the distribution

licensee during the period in consideration, irrespective of the period to which they

pertain, may be considered.

2. The FPPCA charges determined as per the formula above may be recovered from the

consumers of all categories based on their billed units excluding the BPL and the

agriculture category consumers.

3. The FPPCA charges for a quarter shall be limited to 10% of the ABR for a consumer

category. The distribution licensee shall be allowed to collect the FPPCA without

obtaining approval from the Commission. However, the distribution licensee shall be

required to submit the FPPCA calculation to the Commission atleast one week before

levying the same on the consumers.

4. The per unit FPPCA so worked out is charged differentially as per the approved retail

tariff of the consumers. The determination of differential per unit FPPCA is mentioned

below:

● Step 1: Determination of Value of K

The value of K for different consumer category or sub-category for the year in

consideration is considered as approved in this Tariff Order.

● Step 2: Determination of proportionate FPPCA (Rs/unit) consumer category/sub-

category wise

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5. The Petitioner shall compute the fuel and power procurement cost variations, and

adjustments shall be made in the consumer bills based on the FPPCA formula as

approved by the Commission in this Order.

For the purpose of calculation, the approved per unit cost of power purchase

(Rapproved) shall be taken as Rs 3.76/kWh for the FY 2018-19.

Table 78: Rapproved determined by Commission for FY 2018-19

Particulars

Amount

Total Power Purchase Cost (Rs Cr ), Papp

1,145.84

Transmission Charges (Rs Cr), Tapp

183.84

Power Purchase Quantum from CGS Stations at

Generator Periphery (NTPC, NPCIL, NEEPCO) (MU),

PPOapp

3,713.55

Approved Weighted Average Inter-State Transmission

Loss (%), TLapp

4.41%

Power Purchase Quantum from sources within State/

Open Market (Co-Gen and Open Market) (MU), PPIapp

446.09

Quantum of Sale of Surplus Power (MU), PSOapp

Approved Intra-State T&D Loss (%), DLapp

10.75%

Energy Sales for LIG and Agriculture consumer category

(MU), Zapp (MU)

31.04

Rapp (Rs/kWh)

3.76

11. Chapter 11: Directives

Over the years, the Commission has issued various directives to the Petitioner for necessary

action at its end. It has been observed that the Petitioner is not fully complying with many

of the directives issued by the Commission. In order to strengthen the effective monitoring

and ensure timely implementation of all the directives in true spirit, the Commission

hereby directs that the Petitioner shall now submit:

● The detailed action plan for compliance of all the directives within 1 month of the

issuance of this Order.

● The quarterly progress report as per the detailed action plan for all the directives

issued in the subsequent sections within 10 days of the end of each quarter of the

calendar year.

11.1. Directives continued in this Order

While examining the compliance note and supporting documents submitted by the Petitioner in

the present Petition, it is observed that some of the directives issued in the previous Tariff

Orders have not been fully complied with by the Petitioner.

The Commission is of the view that substantial time has already been given to the utility for

compliance with these directions. Thus, the Commission hereby directs the utility to comply

with the directions mentioned below in the given timeframe, failing which the Commission

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shall be constrained to initiate necessary action under Section 142 of the Electricity Act, 2003

read with other provisions of the Act, and Regulations made there under.

11.1.1. Annual Statement of Accounts

Originally Issued in Tariff Order dated 27^thJune, 2012

Commission’s Latest Directive in Tariff Order dated 23^rd May, 2017

The Commission appreciates the effort undertaken by the Petitioner for the preparation of

audited accounts on commercial principles. However, the Commission is of the view that while

the Commission has undertaken the True-up for the FY 2011-12 and FY 2012-13 in this Order,

in normal course and as per the provisions of Tariff Regulations, 2009, the True-up upto FY

2015-16 should have been done in this Order.

The Commission has taken a serious note of this and directs the Petitioner to undertake

necessary actions on priority so as to ensure that all the True-ups of FY 2013-14 to FY 2016-17

(along with audited accounts) are submitted with the Tariff Petition of FY 2018-19.

The Commission shall be constrained to take appropriate action against the Petitioner in case

of further non-compliance.

Petitioner’s Response in the Present Tariff Petition

The status of Audited reports for the previous years is as follows:

● Financial statements for FY 2013-14 are completed and audit has been undertaken.

Awaiting for CAG Certificate.

● Financial statements for FY 2014-15 are completed and submitted to CAG for conducting

Audit.

● Preparation of Financial Statements for FY 2015-16 and 2016-17, are under process.

Commission’s Response

The Commission has undertaken the True-up for the FY 2013-14 in this Order, even though in

normal course and as per the provisions of Tariff Regulations, 2009 and MYT Regulations,

2014, the True-up upto FY 2016-17 should have been done in this Order.

The Commission has taken a serious note of this and directs the Petitioner to undertake

necessary action on priority so as to ensure that all the True-ups of FY 2014-15 to FY 2017-18

(along with audited accounts) are filed along with the next Tariff Petition submitted to the

Commission.

The Commission shall be constrained to take appropriate action against the Petitioner in case

of further non-compliance.

11.1.2. Preparation of Fixed Asset Register

Originally Issued in Tariff Order dated 27^thJune, 2012

Commission’s Latest Directive in Tariff Order dated 23^rd May, 2017

The Commission has noted with serious concern that the Petitioner is yet to submit the Fixed

Asset and Depreciation Register. In previous year’s submission also, the Petitioner had

communicated the following:

“GIS mapping of the assets will be completed as the part of RAPDRP Part A by 31st March,

2016”.

Further, the Petitioner has not given any reason for delay in completion of GIS Mapping. The

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Commission would like the Petitioner to take note of the fact that such submissions without

any justifications are not appreciated by the Commission.

The Commission now direct the Petitioner to submit action plan along with timelines for

preparation of Fixed Assets and Depreciation Register for previous years within 1 month of

issuance of this Order. The Commission will be constrained to take appropriate action in case

of further non-compliance by the Petitioner.

Petitioner’s Response in the Present Tariff Petition

The status of FAR for the previous years is as follows:

● FAR for FY 2013-14 and 2014-15 have been completed.

● FAR for FY 2015-16 and FY 2016-17, are under process.

Commission’s Response

The Commission has noted with serious concern that the Petitioner is yet to submit the Fixed

Asset Register. The Petitioner is directed to submit the FAR upto FY 2017-18 along with the

next tariff petition.

11.1.3. Energy Audit Reports

Originally Issued in Tariff Order dated 27^thJune, 2012

Commission’s Latest Directive in Tariff Order dated 23^rd May, 2017

The Commission has noted with serious concern that the Petitioner is yet to submit the Energy

Audit Reports for previous years.

The Commission now direct the Petitioner to submit action plan along with timelines for

preparation of Energy Audit Report within 1 month of issuance of this Order. The Commission

will be constrained to take appropriate action in case of further non-compliance by the

Petitioner.

Petitioner’s Response in the Present Tariff Petition

DT metering is not yet completed and still in progress. Only on completion of the same, the

Energy Audit Report will be initiated.

Commission’s Response

The Commission has noted with serious concern that the Petitioner is yet to submit the Energy

Audit Reports for previous years.

The Commission directs the Petitioner to expedite the process of DT and Feeder metering and

complete the Energy Audit of the State on priority.

11.1.4. Employee Cost/Manpower study

Originally Issued in Tariff Order dated 27^thJune, 2012

Commission’s Latest Directive in Tariff Order dated 23^rd May, 2017

The Commission has noted with serious concern that the Petitioner is yet to submit a

systematic manpower study report with a specific focus on manpower rationalization.

The Commission now direct the Petitioner to submit action plan along with timelines for

preparation of a systematic manpower study report with a specific focus on manpower

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rationalization within 2 months of issuance of this Order. The Commission will be constrained

to take appropriate action in case of further non-compliance by the Petitioner.

Petitioner’s Response in the Present Tariff Petition

The report has been furnished by the consultant. However EDG is required to scrutinise

further and subsequently will be submitted to State Government for decision. Post decision

from State Government, the report will be submitted to the Hon’ble Commission.

Commission’s Response

The Commission has noted with serious concern that the Petitioner is yet to submit a

systematic manpower study report with a specific focus on manpower rationalization.

The Commission directs the Petitioner to finalise the report prepared by the appointed

consultant and submit the same for the decision of the State Govt.

11.1.5. Interest on Consumer Security Deposit

Originally Issued in Tariff Order dated 31^stMarch, 2013

Commission’s Latest Directive in Tariff Order dated 23^rd May, 2017

The Commission directs the Petitioner to pay the interest on consumer security deposit in the

bills of as per the provisions of JERC Supply Code Regulations, 2009.

The Commission observes that while the Petitioner has undertaken some efforts towards

compliance of this directive, still substantial payment is yet to be done by the Petitioner. The

Commission is of the view that substantial time has already been given to the Petitioner. The

Commission now directs the Petitioner to compute the quantum of backlog and ensure

payment of balance security deposit pertaining to previous years before 31^st August, 2017. No

further extension will be entertained by the Commission in this matter and in case of further

non-compliance, the Commission will be constrained to take appropriate action under Section

142 of the Electricity Act, 2003.

Petitioner’s Response in the Present Tariff Petition

● As on date an amount of Rs 14.79 Cr was allotted for payment of interest on consumer

security deposit, out of which an amount of Rs 8.58 Cr has been credited to consumer

account and the balance amount will be credited before the end of the financial year.

● Further, for FY 2018-19 an amount of Rs 6.47 Cr has been proposed for allotment.

Commission’s Response

The Commission observes that while the Petitioner has undertaken some efforts towards

compliance of this directive, a substantial payment is yet to be credited to the consumers. The

Commission is of the view that substantial time has already been given to the Petitioner. The

Commission now directs the Petitioner to compute the quantum of backlog and ensure

payment of balance interest on security deposit pertaining to previous years before 31^st

August, 2018.

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11.1.6. Sub Divisions as Strategic Business Units

Originally Issued in Tariff Order dated 06^thApril, 2015

Commission’s Latest Directive in Tariff Order dated 23^rd May, 2017

The Commission directs the Petitioner to submit the sub-division wise status report of

readiness of all the sub-divisions towards introduction of the system of Cost-Revenue Centre

Oriented Sub-Divisions within 2 months of issuance of this Order.

Petitioner’s Response in the Present Tariff Petition

As a pilot project, one of the sub-division under Division VI, Mapusa has been taken for that

purpose.

Commission’s Response

The Commission has noted the submission of the Petitioner. The Commission directs the

Petitioner to submit the report of this pilot project along with the sub-division wise status

report of readiness of all the sub-divisions towards introduction of the system of Cost-Revenue

Centre Oriented Sub-Divisions within 1 month of issuance of this Order.

11.1.7. Installation of Pre Paid Meters

Originally Issued in Tariff Order dated 06^thApril, 2015

Commission’s Latest Directive in Tariff Order dated 23^rd May, 2017

The Commission would like to highlight the Petitioner has long history of issues related to

billing and collection. The pre-paid meters, though being costly as compared to conventional

meters, will be cost effective in longer run. Further, GoI is already focusing on installation of

smart meters.

Thus, the Commission now directs the Petitioner to finalize and submit a proposal for

installation of smart meters for following consumers:

1. All HT and EHT Consumers.

2. LT Industries and Hotel Industries.

3. All Government Connections.

4. All connections whose premises remain locked for 3 or more months in a year.

The Petitioner is directed to submit this proposal within 4 months of issuance of this Order

failing which the Commission will be constrained to take appropriate action against the

Petitioner.

Petitioner’s Response in the Present Tariff Petition

As a pilot project under smart city mission, Government has considered installation of Smart

Meters for Panaji and surrounding areas at a cost of Rs 70 Crores.

Thereafter as directed, the Smart meters will be taken up for

(1) All HT and EHT Consumers.

(2) LT Industries and Hotel Industries.

(3) All Government connections.

(4) All Connections whose premise remain locked for 3 or more months in a year.

Commission’s Response

The Commission directs the Petitioner to expedite the process of installation of prepaid meters

and submit a compliance report along with the filing of the next tariff petition.

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11.1.8. Unbundling of Electricity Department

Originally Issued in Tariff Order dated 06^thApril, 2015

Commission’s Latest Directive in Tariff Order dated 23^rd May, 2017

The Commission has noted the submission of the Petitioner. The Commission directs the

Petitioner to actively pursue the unbundling of the Department with the Government of Goa

and submit quarterly progress reports in this regard.

Petitioner’s Response in the Present Tariff Petition

It is requested to the Hon’ble Commission that there is no specific directive for unbundling of

EDG from the State Government and therefore the said directive may be dropped.

Commission’s Response

The Commission directs the Petitioner to submit the proposal to the State Govt. by June 30^th

2018. Till such time a decision is taken by the State Govt. ring fencing of the transmission

functions should be initiated. Further, it is directed that the Petitioner should increase its

efforts towards making the State Load Dispatch Center (SLDC) fully operational.

11.1.9. Renewable Energy Obligation

Originally Issued in Tariff Order dated 06^thApril, 2015

Commission’s Latest Directive in Tariff Order dated 23^rd May, 2017

The Commission directs the Petitioner to submit the status of finalization of Solar Policy within

1 month of issuance of this Order.

Petitioner’s Response in the Present Tariff Petition

Solar Policy has been approved by Government of Goa and the same is being put in Public

domain.

Commission’s Response

The Commission has noted the submission of the Petitioner. The Solar policy may be utilized

for increasing the solar installations in the State. Efforts should be made to purchase physical

power instead of REC’s.

11.1.10. Billing and Collection Efficiency

Originally Issued in Tariff Order dated 06^thApril, 2015

Commission’s Latest Directive in Tariff Order dated 23^rd May, 2017

The Commission notes with serious concern the state of affairs of operation of the department.

The Commission directs the Petitioner to take all necessary actions on priority so as to resolve

all the issues pertaining to billing and collection and report the status along with next Tariff

Filing.

Petitioner’s Response in the Present Tariff Petition

Presently billing and collection efficiency is above 80%.

Commission’s Response

The Commission notes with serious concern that the billing and collection efficiency in the

State is very low. The Commission in the MYT Order had approved the collection efficiency of

100% for FY 2018-19 and AT&C loss level of 10.75%. The Commission directs the Petitioner to

take all necessary actions on priority so as to resolve all the issues pertaining to billing and

collection and report the status along with next Tariff Filing.

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11.2. New Directives issued in this Order

11.2.1. Creation of SLDC

Currently, the functions of scheduling of power is being performed by the EDG itself. The

Commission directs the Petitioner to fully operationalize a separate SLDC which is ring fenced

from the EDG. The Petitioner is directed to deploy suitable employees dedicated for the SLDC

functions.

11.2.2. kVAh based tariff

The Petitioner in the proceedings of this Tariff Order failed to submit the requisite data such as

Power factor, kVAh readings etc. to implement kVAh based energy charges for HT/EHT

consumers. The Petitioner is hereby directed to submit the status of technological readiness of

these high voltage consumers and the requisite information of incentive/disincentive on

account of power factor rebate/penalty, power factor for different categories and kVAh based

readings of FY 2017-18 along with the filing of the next tariff petition.

11.3. Directives dropped in this Order

While examining the compliance note and supporting documents submitted by the Petitioner in

the present Petition, it has been observed that some of the directives issued in previous Tariff

Orders are no longer required.

The Commission is of the view that since these directions have been complied with

satisfactorily, these directions are no longer required in the present context and are required to

be dropped or replaced with new directions. No further compliance/status is required to be

submitted by the Petitioner for the following directives:

11.3.1. Management Information System (MIS) and Database Management System (DBMS)

Originally Issued in Tariff Order dated 06^thApril, 2015

Commission’s Latest Directive in Tariff Order dated 23^rd May, 2017

The Commission now directs the Petitioner to submit action plan along with timelines for

implementation of MIS and DBMS within 2 months of issuance of this Order.

Petitioner’s Response in the Present Tariff Petition

Management Information System (MIS) and Database Management System DBMS has been

implemented under APDRP Part A Project.

Commission’s Response

The Commission observes that the objectives of implementation of MIS and DBMS have been

achieved, therefore the Commission decides to drop this directive.

11.3.2. Street Lights switching ‘on’ and ‘off’

Originally Issued in Tariff Order dated 06^thApril, 2015

Commission’s Latest Directive in Tariff Order dated 23^rd May, 2017

The Commission has noted the submission of the Petitioner and directs it to submit quarterly

progress reports to the Commission.

Petitioner’s Response in the Present Tariff Petition

The Centralised Control and Monitoring system is in process of installation and is expected to

be completed by end of FY 2017-18.

Commission’s Response

The Commission observes that the Petitioner is submitting quarterly progress reports and is in

process of installation of CCMS. The Commission, therefore, in accordance with the Petitioner’s

submission decides to drop this directive.

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Annexure 3: List of Stakeholders

The following is the list of the stakeholders who have submitted objections/suggestions:

Table 79: List of Stakeholders

S. No.

List of Stakeholder

Sh. Owen Braganza

Ms. Nancy Fernandes

Sh. Martin Rodrigues

Sh. Porfiro Fernandes

Ms. Mamta Srivastava

Sh. Prashant K. Anvekar

Dr. Kurade

Sh. Agnelo D’Silva

Ramona Almeida

10. Lorna Fernandes

11. Jose M. Miranda

12. Sh. Mayur Chaudhari

13. Olga Netto

14. Nicladina F. D’Mello

15. George Gravier

16. Vivian Alheida

17. Roland Martins

18. Gerand D’Mello

19. John Diniz

20. Porfiro Fernandes

21. Cipriana Fernandes

22. Ashish Gaundalhan

23. Silvestre Niassso

24. B.L. Biyani

25. Dishant Parab

26. Atish Tulaskan

27. Pratik Parab

28. Xavier Fernandes

29. Hector Colaco

S. No.

List of Stakeholder

30. Vasu R. Patel

31. Rajesh Shet

32. Abhay Keny

33. S.V. Purohit

34. P.K. Umadathan

35. Anthony Fernandes

36. Lira Matu

37. Aditya Bidre

38. Lorna Fernandes

39. Neet De Soya

40. Camil Pinto

41. Josephine Pinto

42. Prakash Lotlikar

43. Raghee Billava

44. Maria Magdalena Almeida

45. Ashley Vales

46. Nilesh Panehwadkor

47. Rolance Coutinho

48. Ratika Naik

49. Uttam Gaonkar

50. Rupesh

51. Confederation of Indian Industries, Goa

52. Alloys and Steels

53. Zuary Foods and Tropical Mushroom

54. Verna Industries Association

55. Gram Sabha

56. Aldona Civic and Consumer Forum

57. Charao Civic and Consumer Forum

58. Raia Civic and Consumer Forum

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