99

Panaji, 4th May, 2023 (Vaisakha 14, 1945)

SERIES I No. 5

Reg. No. RNP/GOA/32/2021-2023

RNI No. GOAENG/2002/6410

PUBLISHED BY AUTHORITY

GOVERNMENT OF GOA

Department of Power

Office of the Chief Electrical Engineer

__

Notification

120/03/MYT 22-23 to 24-25/CEE/Tech

The Electricity Department, Government

of Goa, according to the Regulations and as

per the procedures outlined in section 61,

62, & 64 of the Electricity Act, 2003 had filed

Petition for approval of Annual Performance

Review of FY 2022-23, Aggregate Revenue

Requirement (ARR) and Determination of

Retail Tariff for FY 2023-24 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

Suggestions are welcomed on e-mail: dir–[email protected]

SUPPLEMENT

for the state of Goa and Union Territories

has issued the Tariff Order dated 30th

March, 2023 for approval of Annual

Performance

Review

of

FY

2022-23,

Aggregate Revenue Requirement (ARR) and

Determination of Retail Tariff for 2023-24 for

Electricity Department, Government of Goa

which is given herebelow. The said Tariff

Order is effective from 1st April, 2023 and

shall, unless amended or revoked, continue

to be in force till further orders of the

Commission.

The above is hereby brought to the notice

of the public.

By order and in the name of the Governor

of Goa.

Stephen Fernandes, Chief Electrical

Engineer & ex officio Additional Secretary.

Panaji, 26th April, 2023.

OFFICIAL GAZETTE — GOVT. OF GOA

SERIES I No. 5

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4TH MAY, 2023

100

TARIFF ORDER

Approval of Annual Performance Review of FY 2022-23, Aggregate

Revenue Requirements (ARR) and Determination of Retail Tariff for

FY 2023-24

Petition No. 95/2022

for

Electricity Department, Government of Goa (ED-Goa)

30^th March, 2023

JOINT ELECTRICITY REGULATORY COMMISSION

For the State of Goa and Union Territories,

3^rd and 4^th Floor, Plot No. 55-56, Sector -18, Udyog Vihar - Phase IV

Gurugram, (122015) Haryana

Telephone: +91(124) 4684705 Telefax: +91(124) 4684706

Website: www.jercuts.gov.in

E-mail: [email protected]

101

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SERIES I No. 5

(SUPPLEMENT)

4TH MAY, 2023

Table of Contents

1. Chapter 1: Introduction

$ERXW-RLQW(OHFWULFLW\5HJXODWRU\&RPPLVVLRQIRUWKH6WDWHRI*RDDQG87¶V-(5&

1.2. About Goa

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

1.4. Multi Year Tariff Regulations, 2021

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

WKH&RPPLVVLRQ¶V9LHZV

2.1. Regulatory Process

6XJJHVWLRQV2EMHFWLRQV5HVSRQVHRIWKH3HWLWLRQHUDQG&RPPLVVLRQ¶V9LHZV

2.2.1. Public Hearing Notice

2.2.2. Solarisation of a Village

2.2.3. Tariff hike for domestic category

2.2.4. Financial Reporting

2.2.5. Increase in basic power rate

2.2.6. FPPCA charges

2.2.7. Additional Street light duty

2.2.8. Proposed Rate hike

2.2.9. Shutting of power

2.2.10. Demand/Fixed Charges

2.2.11. Public Lighting

2.2.12. Power purchase

2.2.13. Revenue from sale of power

2.2.14. Projections of energy sale

2.2.15. Average Power Purchase Rate

2.2.16. Employee Expenses

2.2.17. HT-Industrial Consumer

2.2.18. Pumped Hydro Storage power

2.2.19. Converting divisions and sub-divisions

2.2.20. Tariff for Agriculture category

2.2.21. Tariff Hike

2.2.22. Revenue Gap

2.2.23. Unnecessary Burden on Industries

2.2.24. Revenue from Industrial category

2.2.25. Tariff hike

2.2.26. Tariff for Agriculture category

2.2.27. Tariff for Railway traction

OFFICIAL GAZETTE — GOVT. OF GOA

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102

2.2.28. Fixed Charges

2.2.29. Tariff Hike

2.2.30. Minimum charges applicable to the closed commercial premises

2.2.31. Tariff for Industrial category

2.2.32. Tariff Hike across categories

2.2.33. Hike in unit price of consumers (HT)

2.2.34. Increase in tariff for Agriculture (Allied Activities),

3. Chapter 3: True-up of the FY 2020-21 and FY 2021-22

3.1. Applicable provisions

3.2. Approach for the True-up of the FY 2020-21 and FY 2021-22

4. Chapter 4: Annual Performance Review of FY 2022-23

4.1. Applicable Provisions and Background

4.2. Approach for the Review for the FY 2022-23

4.3. Energy Sales

4.4. Open Access Sales and Purchase

4.5. Inter-State Transmission Loss

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

4.7. Energy Balance

4.8. Power Purchase Quantum & Cost

4.8.1. Power Purchase Quantum

4.8.2. Power Purchase Cost

4.8.3. Transmission Charges

4.8.4. Total Power Purchase Cost

4.9. Renewable Purchase Obligation

4.10. Operation & Maintenance Expenses

4.10.1. Employee Expenses

4.10.2. Administrative and General (A&G) Expenses

4.10.3. Repair & Maintenance Expenses (R&M)

4.10.4. Summary of O&M Expenses

4.11. Capital Expenditure & Capitalisation

4.12. Capital Structure

4.13. Depreciation

4.14. Interest and Finance Charges

4.15. Return on Equity (RoE)

4.16. Interest on Security Deposits

4.17. Interest on Working Capital

4.18. Provision for Bad & Doubtful Debts

4.19. Income Tax

4.20. Non-Tariff Income

4.21. Aggregate Revenue Requirement (ARR)

4.22. Revenue at existing Retail Tariff

103

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4TH MAY, 2023

4.23. Standalone Revenue Gap/ Surplus for FY 2022-23

5. Chapter 5: Determination of Aggregate Revenue Requirement for the FY 2023-24

5.1. Background

5.2. Approach for determination of ARR for the FY 2023-24

5.3. Projection of Number of consumers, Connected Load and Energy Sales

5.4. Inter-State transmission loss

5.5. Intra-State Transmission & Distribution (T&D) Losses

5.6. Energy Balance

5.7. Power Purchase Quantum & Cost

5.7.1. Power Purchase Quantum

5.7.2. Power Purchase Cost

5.7.3. Transmission Charges

5.7.4. Total power purchase quantum and cost

5.7.5. Net Power Purchase Cost

5.8. Renewable Purchase Obligation

5.9. Operation & Maintenance Expenses

5.9.1. Employee Expenses

5.9.2. Administrative and General (A&G) Expenses

5.9.3. Repair & Maintenance Expenses (R&M)

5.9.4. Summary of O&M Expenses

5.10. Gross Fixed Assets (GFA) and Capitalization

5.11. Capital Structure

5.12. Depreciation

5.13. Interest on Loan

5.14. Return on Equity (RoE)

5.15. Interest on Security Deposits

5.16. Interest on Working Capital

5.17. Income Tax

5.18. Provision for Bad & Doubtful Debts

5.19. Non-Tariff Income (NTI)

5.20. Aggregate Revenue Requirement (ARR)

5.21. Revenue at existing Retail Tariff

5.22. Standalone Revenue Gap/ Surplus for FY 2023-24

6. Chapter 6: Tariff Principles and Design

6.1. Overall Approach

6.2. Applicable Regulations

6.3. Standalone and Consolidated Revenue Gap/ Surplus at existing tariff

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

6.4.1. Tariff Design

6.4.2. Approved Final Tariff Schedule

6.4.3. Revenue from Approved Retail Tariff for FY 2023-24

OFFICIAL GAZETTE — GOVT. OF GOA

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104

6.4.4. Revenue Gap/ (Surplus) at Approved Tariff

6.4.5. Government Budgetary Support

6.4.6. Highlights of the Tariff Structure

7. Chapter 7: Open Access Charges for the FY 2023-24

7.1. Wheeling Charges

7.1.1. Allocation Matrix - Allocation of ARR into Wheeling and Retail Supply of Electricity

7.2. Additional Surcharge

7.3. Cross-Subsidy Surcharge

8. Chapter 8: Fuel and Power Purchase Adjustment Mechanism

8.1. Legal Provisions

8.2. Formula

9. Chapter 9: Directives

9.1. Directives continued in this Order

9.1.1. Annual Statement of Accounts

9.1.2. Preparation of Fixed Asset Register

9.1.3. Energy Audit Reports

9.1.4. Employee Cost / Manpower study

9.1.5. Interest on Consumer Security Deposit

9.1.6. Sub-Divisions as Strategic Business Units

9.1.7. Installation of Pre-Paid Meters

9.1.8. Unbundling of Electricity Department

9.1.9. Renewable Purchase Obligation

9.1.10. Billing and Collection Efficiency

9.1.11. Determination of Category wise/ Voltage wise Cost of supply

9.1.12. Submission of Petition for True up of FY 2016-17, FY 2017-18, FY 2018-19 and FY 2019-20 and APR

of FY 2020-21

9.1.13. Collection of data based on consumer type

9.1.14. kVAh based tariff for LT-Industrial and LT-Commercial categories

10. Chapter 10: Tariff Schedule

10.1. Tariff Schedule

10.2. Applicability

10.3. General Terms and Conditions

10.4. Schedule of Miscellaneous Charges

Annexures

Annexure 1: List of Stakeholders

105

OFFICIAL GAZETTE — GOVT. OF GOA

SERIES I No. 5

(SUPPLEMENT)

4TH MAY, 2023

List of Tables

Table 1: Standalone Revenue Gap/ (Surplus) at existing tariff for the FY 2022-23 (INR Cr.) ..................................

Table 2: Standalone Revenue Gap/ (Surplus) at existing tariff for the FY 2023-24 (INR Cr.) ..................................

Table 3: Standalone Revenue Gap/ (Surplus) at approved tariff for the FY 2023-24 (INR Cr.) ...............................

Table 4: Timelines of the interaction with the Petitioner ............................................................................................

Table 5: Details of Public Notices published by the Commission ................................................................................

Table 6: Details of Public Notices published by the Petitioner ....................................................................................

Table 7: Sales projected by the Petitioner in the APR of FY 2022-23 (MUs) .............................................................

Table 8: Sales approved by the Commission in the APR of FY 2022-23 (MUs) .........................................................

Table 9: Inter-State Transmission Losses projected by Petitioner for FY 2022-23 (%) ............................................

Table 10: Inter-State Transmission Loss approved by the Commission for FY 2022-23 (%)....................................

Table 11: T&D losses approved by the Commission in the 2^nd MYT Control Period vis-à-vis T&D losses achieved

by the Petitioner .............................................................................................................................................................

Table 12: T&D loss trajectory approved by the Commission .......................................................................................

Table 13: Energy Balance (MUs) submitted by Petitioner ...........................................................................................

Table 14: Energy Balance (MU) approved by Commission ..........................................................................................

Table 15: Power Purchase Summary of H1 of FY 2022-23 as submitted by the Petitioner .......................................

Table 16: DSM Power (Over-drawl & Under-drawl) Charges for H1 of FY 2022-23 ..................................................

Table 17: Power Purchase cost submitted by Petitioner for FY 2022-23 (In INR Cr) ...............................................

Table 18: Power Purchase Quantum (MU) and cost (INR Cr) approved by the Commission ...................................

Table 19: RPO plan submitted by the Petitioner for FY 2022-23 (MU) ......................................................................

Table 20: Renewable Purchase Obligation (RPO) approved by the Commission for FY 2022-23 ............................

Table 21: Computation of Base Employee Expenses (INR Cr.) ...................................................................................

Table 22: CPI inflation computed for 3rd Control Period ............................................................................................

Table 23: Manpower plan submitted by the Petitioner for the Control period ..........................................................

Table 24: Employee Expense approved by the Commission for 3^rd Control Period ...................................................

Table 25: Actual A&G Expenses from FY 2018-19 to FY 2020-21 (INR Crore) ..........................................................

Table 26: A&G Expense approved by the Commission for 3^rd Control Period ...........................................................

7DEOHµ.¶FRPSXWDWLRQE\WKH&RPPLVVLRQIRUUG0<7&RQWURO3HULRG ..............................................................

Table 28: WPI inflation computed for 3rd MYT Control Period .................................................................................

Table 29: R&M Expense approved by the Commission for the 3rd MYT Control Period (in INR Cr.) .....................

Table 30: Summary of O&M expenses approved by the Commission for FY 2022-23 (in INR Cr.) .........................

Table 31: Details of capital expenditure and capitalisation submitted by the Petitioner for FY 2022-23 (INR

Crore) ..............................................................................................................................................................................

Table 32: Capitalisation and Capital Expenditure approved by the Commission (In INR Cr) ..................................

Table 33: Opening & Closing GFA for FY 2022-23 ......................................................................................................

Table 34: Opening & Closing GFA (excl. ED and Grant) for FY 2022-23 ...................................................................

Table 35: Capital Structure considered by the Commission for FY 2022-23 (INR Cr.) .............................................

OFFICIAL GAZETTE — GOVT. OF GOA

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Table 36: GFA (including GFA addition through Electricity Duty Fund, Govt. Grants and Consumer

Contribution) considered by the Commission for FY 2022-23 (INR Cr.) ...................................................................

Table 37: GFA (excluding GFA addition through Electricity Duty Fund, Govt. Grants and Consumer

Contribution) considered by the Commission for FY 2022-23 (INR Cr.) ...................................................................

Table 38: Depreciation claimed by the Petitioner in the APR of FY 2022-23 (INR Crore) .......................................

Table 39: Asset-wise depreciation rate considered by the Commission (%) ..............................................................

Table 40: Depreciation approved by Commission (In INR Cr) ...................................................................................

Table 41: Interest on Loan considered by the Commission for FY 2022-23 (INR Cr.) ..............................................

Table 42: Return on Equity considered by the Commission for 3rd Control Period (INR Cr.) .................................

Table 43: Interest on Consumer security considered by the Commission for FY 2022-23 (INR Cr.) .......................

Table 44: Interest on working capital considered by the Commission for FY 2022-23 (INR Cr.) ............................

Table 45: Non-Tariff Income approved by Commission (In INR Cr) ..........................................................................

Table 46: Aggregate Revenue Requirement approved by the Commission for FY 2022-23 (In INR Cr) .................

Table 47: Revenue at existing tariff submitted by the Petitioner for FY 2022-23 (INR Cr.) .....................................

Table 48: Revenue at existing tariff approved by the Commission for FY 2022-23 (INR Cr.) ..................................

Table 49: Standalone Revenue Gap/ (Surplus) at existing tariff approved by Commission for FY 2022-23 (In

INR Cr) ............................................................................................................................................................................

Table 50: Projected No. of consumers, Connected Load and Energy Sales ................................................................

Table 51: Growth in Sales ...............................................................................................................................................

Table 52: Growth in Connected Load ............................................................................................................................

Table 53: Growth in Number of Consumers .................................................................................................................

Table 54: No. of consumers approved by Commission ................................................................................................

Table 55: Connected Load (kW) approved by Commission .........................................................................................

Table 56: Energy Sales (MUs) approved by Commission ............................................................................................

Table 57: Inter-State Transmission Loss submitted by the Petitioner (%) .................................................................

Table 58: Inter-State Transmission Loss approved by the Commission (%) ..............................................................

Table 59: T&D losses approved by the Commission in the 2^nd MYT Control Period vis-à-vis T&D losses achieved

by the Petitioner .............................................................................................................................................................

Table 60: T&D loss trajectory approved by the Commission.......................................................................................

Table 61: Energy Balance (MUs) submitted by Petitioner for FY 2023-24 .................................................................

Table 62: Energy Balance (MUs) approved by Commission........................................................................................

Table 63: Power Purchase Quantum for FY 2023-24...................................................................................................

Table 64: Power Purchase quantum (MU) and Cost (In INR Cr) submitted by Petitioner for FY 2023-24 .............

Table 65: Power Purchase Quantum (MUs) and cost (INR Cr) approved for the FY 2023-24 .................................

Table 66: Net Power Purchase Cost approved by the Commission for FY 2023-24 ..................................................

Table 67: Average Power Purchase Cost (APPC) for the FY 2023-24 .........................................................................

Table 68: RPO plan submitted by the Petitioner for the FY 2023-24 (MU) ...............................................................

Table 69: Renewable Purchase Obligation (RPO) approved by the Commission for FY 2023-24 ............................

Table 70: REC cost approved by the Commission for FY 2023-24 (INR Crore) .......................................................

Table 71: Computation of Base Employee Expenses (INR Cr.) ...................................................................................

107

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Table 72: CPI inflation computed for 3rd Control Period ............................................................................................

Table 73: Manpower plan submitted by the Petitioner for the Control period...........................................................

Table 74: Employee Expense approved by the Commission for 3^rd Control Period ...................................................

Table 75: Actual A&G Expenses from FY 2018-19 to FY 2020-21 (INR Crore) ..........................................................

Table 76: A&G Expense approved by the Commission for 3^rd Control Period............................................................

7DEOHµ.¶FRPSXWDWLRQE\WKH&RPPLVVLRQIRUUG0<7&RQWURO3HULRG ..............................................................

Table 78: WPI inflation computed for 3rd MYT Control Period .................................................................................

Table 79: R&M Expense approved by the Commission for the 3rd MYT Control Period (in INR Cr.) .....................

Table 80: Summary of O&M expenses approved by the Commission for FY 2023-24 (in INR Cr.) .........................

Table 81: Details of capital expenditure and capitalisation submitted by the Petitioner for FY 2023-24 (INR

Crore) ..............................................................................................................................................................................

Table 82: Capital Expenditure & Capitalisation considered by the Commission for the FY 2023-24 (INR Crore) .

Table 83: Opening & Closing GFA for FY 2022-23 ......................................................................................................

Table 84: Capital Structure considered by the Commission for FY 2023-24 (INR Cr.).............................................

Table 85: GFA (including GFA addition through Electricity Duty Fund, Govt. Grants and Consumer

Contribution) considered by the Commission for FY 2023-24 (INR Cr.) ...................................................................

Table 86: GFA (excluding GFA addition through Electricity Duty Fund, Govt. Grants and Consumer

Contribution) considered by the Commission for 3^rd MYT Control Period (INR Cr.) ...............................................

Table 87: Depreciation submitted by the Petitioner for the FY 2023-24 (INR Cr) ....................................................

Table 88: Asset-wise depreciation rate considered by the Commission for weighted average rate for 3rd MYT

Control Period (%) ..........................................................................................................................................................

Table 89: Depreciation considered by the Commission for FY 2023-24 (INR Cr.) ...................................................

Table 90: Interest on Normative Loan submitted by the Petitioner for the FY 2023-24 (INR Cr) ...........................

Table 91: Interest on Loan considered by the Commission for the FY 2023-24 (INR Cr.) ........................................

Table 92: Return on Equity submitted by the Petitioner for the FY 2023-24 (INR Cr) .............................................

Table 93: Return on Equity considered by the Commission for the FY 2023-24 (INR Cr.) ......................................

Table 94: Interest on Security Deposit submitted by the Petitioner for the FY 2023-24 (INR Cr) ...........................

Table 95: Interest on Consumer security considered by the Commission for the FY 2023-24 (INR Cr.) ................

Table 96: Interest on Working Capital submitted by the Petitioner for the FY 2023-24 (INR Cr) ...........................

Table 97: Interest on working capital considered by the Commission for the FY 2023-24 (INR Cr.) ......................

Table 98: Non-Tariff Income considered by the Commission for the FY 2023-24 (INR Cr.) ...................................

Table 99: ARR submitted by the Petitioner for the FY 2023-24 (INR Cr.) .................................................................

Table 100: ARR approved by the Commission for the FY 2023-24 (INR Cr.) ............................................................

Table 101: Revenue at existing tariff submitted by the Petitioner for FY 2023-24 (INR Cr.) ....................................

Table 102: Revenue at existing tariff approved by the Commission for FY 2023-24 (INR Cr.) ................................

Table 103: Standalone Revenue Gap/ (Surplus) at existing tariff approved by Commission for FY 2023-24 (In

INR Cr) ............................................................................................................................................................................

Table 104: Standalone Revenue Gap/ (Surplus) submitted by Petitioner for FY 2023-24 (In Rs Cr) ......................

Table 105: Standalone Revenue Gap/ (Surplus) at existing tariff approved by Commission for FY 2023-24 (In

INR Cr) ............................................................................................................................................................................

Table 106: Tariff Schedule proposed by the Petitioner for FY 2023-24 ......................................................................

OFFICIAL GAZETTE — GOVT. OF GOA

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108

Table 107: Existing and approved tariff ........................................................................................................................

Table 108: Revenue from approved retail tariff determined by Commission (In INR Cr) ........................................

Table 109: Tariff increase approved by Commission ...................................................................................................

Table 110: Revenue Gap/ (Surplus) approved by Commission for FY 2023-24 (In INR Cr).....................................

Table 111: Allocation matrix as submitted by the Petitioner ........................................................................................

Table 112: Wheeling Charge calculation as submitted by Petitioner ...........................................................................

Table 113: Allocation matrix approved by Commission ...............................................................................................

Table 114: Parameters assumed for voltage wise allocation of wheeling costs ...........................................................

Table 115: Allocation of costs based on voltage level ....................................................................................................

Table 116: Wheeling Charges approved by Commission ..............................................................................................

Table 117: Additional Surcharge calculation as submitted by Petitioner ....................................................................

Table 118: Additional Surcharge approved by Commission ........................................................................................

Table 119: Cross-Subsidy Surcharge as proposed by the Petitioner ............................................................................

Table 120: Voltage wise losses assumed by Commission .............................................................................................

Table 121: Energy Input at each voltage level (MU) .....................................................................................................

Table 122: Parameters used for allocation of fixed costs .............................................................................................

Table 123: Voltage Wise Cost of Supply (VCoS) ...........................................................................................................

Table 124: Cross-Subsidy Surcharge approved by Commission (INR/kWh) .............................................................

Table 125: Rapproved determined by Commission for FY 2023-24 ...........................................................................

Table 126: Tariff Schedule ..............................................................................................................................................

Table 127: Applicability of Tariff Schedule ...................................................................................................................

Table 128: Applicability of ToD Tariff ...........................................................................................................................

Table 129: Schedule of Miscellaneous Charges .............................................................................................................

Table 130: List of participants in Public Hearing .........................................................................................................

109

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List of abbreviations

Abbreviation

Full Form

A&G

Administrative and General

ACoS

Average Cost of Supply

Act

The Electricity Act, 2003

AMR

Automatic Meter Reading

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

CC

Current Consumption

CEA

Central Electricity Authority

CERC

Central Electricity Regulatory Commission

CGRF

Consumer Grievance Redressal Forum

CGS

Central Generating Stations

COD

Commercial Operation Date

Cr

Crores

DDUGJY

Deen Dayal Upadhyaya Gram Jyoti Yojana

Discom

Distribution Company

DSM

Deviation Settlement Mechanism

DT

Distribution Transformer

ED

Electricity Department

EHT

Extra High Tension

ERP

Enterprise Resource Planning

FPPCA

Fuel and Power Purchase Cost Adjustment

FY

Financial Year

GFA

Gross Fixed Assets

HT

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

KSEB

Kerala State Electricity Board Limited

LT

Low Tension

OFFICIAL GAZETTE — GOVT. OF GOA

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110

Abbreviation

Full Form

MCLR

Marginal Cost of funds based Lending Rate

MOD

Merit Order Despatch

MU

Million Units

MYT

Multi-Year Tariff

NFA

Net Fixed Assets

NTI

Non-Tariff Income

NTPC

NTPC Ltd.

OHOB

One Hut One Bulb

O&M

Operation and Maintenance

PLF

Plant Load Factor

PLR

Prime Lending Rate

PSDF

Power System Development Fund

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

SBI PLR

SBI Prime Lending Rate

SERC

State Electricity Regulatory Commission

SLDC

State Load Despatch Center

SOP

Standard of Performance

T&D

Transmission & Distribution

TVS

Technical Validation Session

UI

Unscheduled Interchange

UT

Union Territory

111

OFFICIAL GAZETTE — GOVT. OF GOA

SERIES I No. 5

(SUPPLEMENT)

4TH MAY, 2023

Before the

Joint Electricity Regulatory Commission

For the State of Goa and Union Territories, Gurugram

QUORUM

Smt. Jyoti Prasad, Member (Law)

Petition No. 95/2022

In the matter of

Approval of Annual Performance Review of FY 2022-23, Aggregate Revenue Requirements (ARR) and

Determination of Retail Tariff for FY 2023-24.

And in the matter of

Electricity Department, Government of Goa (ED-Goa) ««««««««««««««««««««««««Petitioner

ORDER

1)

This Order is passed in respect of the Petition filed by the Electricity Department, Government of Goa

(ED-Goa)KHUHLQDIWHUUHIHUUHGWRDV³7KH3HWLWLRQHU´RU³ED-Goa´RU³7KH/LFHQVHH´for Approval of

Annual Performance Review (APR) for FY 2022-23 and Aggregate Revenue Requirement (ARR)and

determination of Retail Tariff for the FY 2023-24before the Joint Electricity Regulatory Commission

KHUHLQDIWHUUHIHUUHGWRDV³7KH&RPPLVVLRQ´RU³-(5&´.

2)

The Commission scrutinised the said Petition and generally found it in order. The Commission

admitted the Petition on 26^thDecember 2022. The Commission thereafter requisitioned further

information/clarifications on the data gaps observed to take a prudent view of the said Petition. The

Commission also held a Technical Validation Session to determine sufficiency of data and the veracity

of the information submitted. The Public Hearing was held on 15^thFebruary 2023, and all the

Stakeholders/Electricity Consumers present in the Public Hearing were heard. Further, suggestions/

comments/views and objections were invited from the Stakeholders and Electricity Consumers.

3)

7KH&RPPLVVLRQEDVHGRQWKH3HWLWLRQHU¶VVXEPLVVLRQUHOHYDQW JERC MYT Regulations, facts of the

matter, rules and provisions of the Electricity Act, 2003 and after proper due diligenceand prudence

check, has approved the Annual Performance Review (APR) for FY 2022-23, Aggregate Revenue

Requirement (ARR) and determination of Retail Tariff for the FY 2023-24.

4)

A Summary has been provided as follows:

(a)

The following table provides ARR, Revenue and Standalone Gap/ (Surplus) at existing tariff as

submitted by the Petitioner and approved by the Commission in the APR of the FY 2022-23:

Table 1: Standalone Revenue Gap/ (Surplus) at existing tariff for the FY 2022-23 (INR Cr.)

S.

No.

Particulars

3HWLWLRQHUV¶

Submission

Now Approved

1

Net Revenue Requirement

2,864.12

2,863.28

2

Revenue from Retail Sales at Existing Tariff

2,565.79

2,517.89

3

Net Revenue Gap/ (Surplus)

298.33

345.38

OFFICIAL GAZETTE — GOVT. OF GOA

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112

(b)

The following table provides ARR, Revenue and Standalone Gap/ (Surplus) at existing tariff as

submitted by the Petitioner and approved by the Commission for the FY 2023-24:

Table 2: Standalone Revenue Gap/ (Surplus) at existing tariff or the FY2023-24(INR Cr.)

S.

No.

Particulars

3HWLWLRQHUV¶

Submission

Now Approved

1

Net Revenue Requirement

2,734.25

2,682.53

2

Revenue from Retail Sales at Existing Tariff

2,250.60

2,189.60

3

Net Revenue Gap/ (Surplus)

483.65

492.93

(c)

The following table provides ARR, Revenue and Standalone Gap/ (Surplus) at approved tariff

as approved by the Commission for the FY 2023-24:

Table 3: Standalone Revenue Gap/ (Surplus) at approved tariff for the FY 2023-24 (INR Cr.)

S. No.

Particulars

3HWLWLRQHUV¶

Submission

Now Approved

1

Net Revenue Requirement

2,734.25

2,682.53

2

Revenue from Retail Sales at Approved Tariff

2385.56

2,303.14

3

Gap / (Surplus) for the year

348.69

379.39

4

Upfront assurance of Budgetary support from

Govt.

348.69

379.39

5

Net Revenue Gap/ (Surplus)

0.00

0.00

(d)

The Petitioner has proposed a tariff hike of 6% in the tariff schedule of FY 2023-24.

(e)

The Commission has approved an average tariff hike of 5.19% to further reduce the reliance of

the Petitioner on budgetary support from the Govt. of Goa. The Commission has approved the

Average Billing Rate (ABR) of INR 5.04/kWh against the approved Average Cost of Supply

(ACoS) of INR 5.87/kWh. The entire revenue gap shall be met through the budgetary support

as per assurance letter of the Govt. of Goa dated 24^thJanuary, 2023. The Commission

acknowledges this letter of assurance from the Government of Goa towards meeting any

prospective revenue gap for FY 2023-24, and hence the revenue gap for FY 2023-24 has been

considered as NIL.

(f)

The Commission has rationalised the tariff levels for cross-subsidized categories by marginally

higher than the average hike and has reduced/maintained the tariff levels at lower than average

tariff hike for cross-subsidizing categories.

(g)

The ABR without the Government Budgetary support has been calculated considering the per

unit gap of INR 0.83/kWh (difference between ACoS and ABR at Approved Tariff with Govt.

Budgetary Support). However, the Commission would like to highlight that in case this gap had

to be entirely fulfilled by revenue from consumers then it would have demanded an additional

average tariff increase of 16.47%.

5)

This Order shall come into force with effect from 1^st April 2023 and shall, unless amended or revoked,

continue to be in force till further orders of the Commission.

6)

The licensee shall publish the Tariff Schedule and salient features of Tariff as determined by the

Commission in this Order within one week of receipt of the Order in three daily newspapers in the

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

areas of supply and also upload the Tariff Order on its website.

113

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7)

The attached documents giving detailed reasons, grounds and conditions are the Integral part of this

Order.

8)

Ordered accordingly.

Sd/-

(Jyoti Prasad)

Member (Law)

Place: Gurugram

Date: 30^th March, 2023

Certified Copy

(S. D. Sharma)

Secretary (I/c), JERC

OFFICIAL GAZETTE — GOVT. OF GOA

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114

1. Chapter 1: Introduction

1.1. About Joint Electricity Regulatory Commission for the State

RI*RDDQG87¶V-(5&

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

(OHFWULFLW\ 5HJXODWRU\ &RPPLVVLRQ IRU DOO WKH 8QLRQ 7HUULWRULHV H[FHSW 'HOKL WR EH NQRZQ DV ³-RLQW

(OHFWULFLW\5HJXODWRU\&RPPLVVLRQIRUWKH8QLRQ7HUULWRULHV´YLGHQRWLILFDWLRQQR-R&R dated

2^ndMay 2005. /DWHU ZLWK WKH MRLQLQJ RI WKH 6WDWH RI *RD WKH &RPPLVVLRQ FDPH WR EH NQRZQ DV ³-RLQW

(OHFWULFLW\5HJXODWRU\&RPPLVVLRQIRUWKH6WDWHRI*RDDQG8QLRQ7HUULWRULHV´KHUHLQDIWHUUHIHUUHGWRDV

³-(5&´RU³WKH&RPPLVVLRQ´YLGHQRWLILFDWLRQQR-R&R (Vol. II) dated 30^thMay, 2008.

JERC is a statutory body responsible for regulation of the Power Sector in the State of Goa and Union

Territories of Andaman & Nicobar Islands, Lakshadweep, Chandigarh, Dadra & Nagar Haveli, Daman & Diu

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 Goa

Goa is a state on the southwestern coast of India within the

region known as the Konkan, and geographically separated

from the Deccan highlands by the Western Ghats. It is

surrounded by the Indian states of Maharashtra to the north

and Karnataka to the east and south, with the Arabian Sea

forming its western coast. It is India's smallest state by area

and the fourth-smallest by population. The state is divided

into two districts: North Goa and South Goa. North Goa is

divided into three subdivisions ² Panaji, Mapusa, and

Bicholim and further into five talukas (subdistricts). South

Goa is divided into five subdivisions ² Ponda, Mormugao-

Vasco, Margao, Quepem, and Dharbandora and further into

seven talukas (subdistricts).

Goa has the highest GDP per capita among all Indian states,

two and a half times that of the country. The state of Goa is

famous for its excellent beaches, churches, and temples.

Tourism is Goa's primary industry, it gets 12% of foreign

tourist arrivals in India. The state is also rich in minerals and

ores, and mining forms the second largest industry. Iron,

bauxite, manganese, clays, limestone, and silica are mined

extensively in Goa.

Goa is often described as a fusion between Eastern and Western culture with Portuguese culture having a

dominant position in the state in its architectural, cultural or social settings.

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

The Electricity Department, Government of Goa (hereinafter reIHUUHG WR DV ³('-*RD´ RU ³('*´ or

µ3HWLWLRQHU¶) is a deemed Distribution Licensee within the meaning of Section 2 (17) of Electricity Act, 2003

and pursuant to the Section 14 of the Electricity Act. Further, Section 42 and 43 of the Electricity Act, 2003

prescribes the following duties of the deemed Distribution Licensee:

115

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x

To develop and maintain an efficient, coordinated and economical distribution system;

x

To supply electricity on an application by any person, in accordance with the provisions specified in

the Electricity Act 2003;

x

To provide non-discriminatory open access to the consumers;

x

To establish a forum for redressal of grievances of the consumers.

The primary objective of EDG is to undertake the transmission, distribution and retail supply of electricity

in its license area and for this purpose plan, construct, and manage the power system network in all its

aspects. EDG is further responsible for carrying out the business of purchasing and selling of electricity

along with activities such as billing and collection in the area.

1.4. Multi Year Tariff Regulations, 2021

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

Territories (Generation, Transmission and Distribution Multi Year Tariff) Regulations, 2021 (hereinafter

referred to as JERC MYT Regulations, 2021) on 22^nd March, 2021. These Regulations are applicable in the

3^rdMYT Control Period comprising of three financial years from FY 2022-23 to FY 2024-25. These

Regulations are applicable to all the generation companies, transmission and distribution licensees in the

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

Diu, Dadra & Nagar Haveli and Puducherry.

1.5. Filing and Admission of the Present Petition

The present Petition was admitted on 26^th December 2022 and marked as Petition No. 95 of 2022.The

Commission and the Petitioner subsequently uploaded the Petition on their respective websites.

1.6. Interaction with the Petitioner

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

Accordingly, discrepancy notes were issued to the Petitioner. Further, additional information/clarifications

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 retail sales, revenue from retail tariff,

capitalization, tariff proposal etc. The Petitioner submitted its response to the issues through various

letters/emails.

7KH&RPPLVVLRQFRQGXFWHGWKH7HFKQLFDO9DOLGDWLRQ6HVVLRQ796ZLWKWKH3HWLWLRQHUDWWKH&RPPLVVLRQ¶V

office in Gurugram, during which the discrepancies in the Petition were conveyed and additional

information required by the Commission was sought. Subsequently, the Petitioner submitted replies to the

issues raised in this session and provided documentary evidence to substantiate its claims regarding various

submissions. The following table provides the list of interactions with the Petitioner along with the dates:

Table 4: Timelines of the interaction with the Petitioner

S. No

Subject

Date

1

Issue of First Deficiency Note

2^nd February 2023

2

Issue of Second Deficiency Note

14^th February 2023

3

Public Hearing

15^th February 2023

4

Reply received from Petitioner in respect of First Deficiency Note

21^stFebruary 2023

5

Technical Validation Session

3^rd March 2023

6

Replies received from Petitioner in respect of Second Deficiency

Note

6^th March 2023

7

Issue of TVS Queries

6^th March 2023

8

Replies received from Petitioner in respect of Second Deficiency

Note & TVS

10^th March 2023 &

13^thMarch 2023

OFFICIAL GAZETTE — GOVT. OF GOA

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116

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. These notices were also uploDGHGRQWKH&RPPLVVLRQ¶VZHEVLWH

Table 5: Details of Public Notices published by the Commission

Sl.

No.

Date

Name of Newspaper

Language

Place of

Circulation

1

7^th February 2023 & 13^th

February 2023

Gomantak

Marathi

Goa

2

The Times of India

English

Goa

3

The Navhind times

English

Goa

4

oHeraldo

English

Goa

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

suggestionsfrom the stakeholders on the Tariff Petition:

Table 6: Details of Public Notices published by the Petitioner

S.

No.

Date

Name of Newspaper

Language

Place of

Circulation

1

13^th January 2023

Herald

English

Goa

2

The Times of India

English

Goa

3

Gomantak

Marathi

Goa

4

Bhaangar Bhuin

Konkani

Goa

1.8. Public Hearing

The Public Hearing was held on 15^thFebruary2023 to discuss the issues, if any, 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 Public Hearing have been examined by the Commission. The names of the stakeholders who

attended the Public Hearing are provided in Annexure-I. The major issues discussed, the responses of the

Petitioner thereon and the views of the Commission have been summarized in Chapter 2 of this Order.

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2. Chapter 2: Summary of

Suggestions/Objections received,

Response from the Petitioner and the

&RPPLVVLRQ¶V9LHZV

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 JERC MYT

Regulations, 2021.

The Public Hearing was held on 15^th February 2023 to discuss the issues, if any, 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

Public Hearing have been examined by the Commission. The names of the stakeholders who attended the

Public Hearing are provided in Annexure-I.

2.2. Suggestions/Objections,

Response

of

the

Petitioner

and

&RPPLVVLRQ¶V9LHZV

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. Public Hearing Notice

6WDNHKROGHU¶V&RPPHQW

The stakeholder has raised objection to the hurried conduct of this public hearing with a very short notice. Also,

this hearing should have been held at a time of convenience to the consumer. This is a working day, working

hours. Do we expect consumers to avail leave of absence to attend this hearing? The Commission should

seriously consider holding it on a weekend.

3HWLWLRQHU¶V5HVSRQVH

The Petitioner has submitted that, the advertisement and notice of public hearing was widely circulated in 4

nos. of local dailies (2-English, 1-Marathi & 1-Konkani) on 06/0)XUWKHULWLVWRLQIRUPWKDW+RQ¶EOH

JERC is a quasi-Judicial Authority and functions like Court. These hearing are always taken in the working day,

however the decision regarding holding of Public Hearing on weekend will be suitably addressed by HRQ¶EOH

Commission.

&RPPLVVLRQ¶V9LHZ

The Commission appreciates the suggestion of the stakeholders and will take it into account while conducting

public hearings in the future.

2.2.2. Solarisation of a Village

6WDNHKROGHU¶V&RPPHQW

ED-Goa may adopt a village and solarise to make it as a model village and the same shall be implemented in

other villages as well.

OFFICIAL GAZETTE — GOVT. OF GOA

SERIES I No. 5

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118

3HWLWLRQHU¶V5HVSRQVH

The Petitioner has submitted that the department has noted the crucial suggestion and will make its best efforts

in exploring the villages for solarisation.

&RPPLVVLRQ¶V9LHZ

The Commission appreciates the suggestion of the stakeholders and directs the Petitioner to submit an action

plan for the same.

2.2.3. Tariff hike for domestic category

6WDNHKROGHU¶V&RPPHQW

The stakeholder has objected to the hike in domestic power tariff, especially because of its timing when inflation

is high, job losses are high. It will further burden the average household. Further this hike will hardly have any

impact on the net Financials of the electricity dept. Instead, the commercial and industrial tariff could be

considered for proportionate increase to make up the shortfall, since the gap between domestic and commercial

tariff in Goa is much narrower than any other State, especially in this southwestern region.

3HWLWLRQHU¶V5HVSRQVH

The Petitioner has submitted that the 7DULIILVGHWHUPLQHGE\WKH+RQ¶EOH-(5&DVSHUWKH3HWLWLRQVXEPLWWHGE\

the EDG. Comparing to the neighbouring states the Tariff of Goa is less. The Government of Goa has not

LQFUHDVHGWKH7DULIIDQGFRQWLQXHGWROHY\WKH7DULII$SSURYHG%<+RQ¶EOH&RPPLVVLRQLQ)<-20 for FY

2020-21 & FY 2021-22 allowing the consumers to revive from Covid-19 pandemic. The Petitioner has submitted

that the increase in tariff by overall 6% has been proposed by ED-*RDDQG+RQ¶EOH&RPPLVVLRQZLOOVXLWDEO\

decide on such hike after considering all objection/suggestions and prudent check of entire petition submitted

by ED-Goa.

&RPPLVVLRQ¶V9LHZ

The Commission has noWHGWKHFRQFHUQRIWKHVWDNHKROGHU¶VDQGWKHVDPHLVGLVFXVVHGLQWKHSULQFLSOHVDGRSWHG

for approving the Tariff in Chapter 6 of the Tariff Order.

2.2.4. Financial Reporting

6WDNHKROGHU¶V&RPPHQW

The electricity department is guilty of poor financial reporting. Unless every rupee spent, in capital expenditure

or otherwise is put through a double-entry accounting process, this department has no moral authority to

propose a tariff hike for any category of consumers.

3HWLWLRQHU¶V5HVSRQVH

The Petitioner has submitted that EDG functions as department under the control of Government of Goa. It is

to inform that all the departments functioning under Government of Goa are following single entry system of

Accounting. Accordingly, ED Goa also follows single entry system of Accounting.

&RPPLVVLRQ¶V9LHZ

7KHVWDNHKROGHUPD\QRWHWKH3HWLWLRQHU¶VVXEPLVVLRQLQWKLVUHJDUG)XUWKHUWKH3HWLWLRQHUis advised to follow

prudent accounting norms for booking of entries and finalization of accounts.

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2.2.5. Increase in basic power rate

6WDNHKROGHU¶V&RPPHQW

The stakeholder has submitted that From April 2022 the basic power rate increased by 7%.

3HWLWLRQHU¶V5HVSRQVH

The Petitioner has submitted that, from FY 2018-2019 till FY 2021-22 (4 years) the tariff was maintained same

even though JERC had given tariff hike for FY 2020-21 and FY 2021-22. This was done by way of Cabinet

Decision due to Covid -19 Pandemic. JERC approved a Tariff hike of 1.58% for FY 2022-23 over FY 2021-22.

The tariff approved is very nominal for FY 2022-23.

&RPPLVVLRQ¶V9LHZ

7KH&RPPLVVLRQKDVQRWHGWKHFRQFHUQRIWKHVWDNHKROGHU¶VDQGWKHVDPHLVGLVFXVVHGLQWKHSULQFLSOHVDGRSWHG

for approving the Tariff in Chapter 6 of the Tariff Order.

2.2.6. FPPCA charges

6WDNHKROGHU¶V&RPPHQW

The stakeholder has submitted that from April FPPCA charges have increased from 0.39/kwh in Jan 2022 to

1.69/kwh in Sept 2022 which has resulted in power bill increase by 20%.

3HWLWLRQHU¶V5HVSRQVH

The Petitioner has submitted that FPPCA charges levied to consumer are computed based on the formula

DSSURYHG E\+RQ¶EOH&RPPLVVLRQ 7KH &RPPLVVLRQ KDVPDGHWKH SURYLVLRQWRUHFRYHUDQ\LQFUHDVHLQ)XHO

charge to be recovered based on the said formula every quarterly.

7KHUHDVRQVIRUWKHVWHHSLQFUHDVHRI)33&$FKDUJHVIURP5V.ZKLQ-DQ¶WR5V.ZKLQ6HSW

µDUHJLYHQEHORZ-

1.

+RQ¶EOH &HQWUDO (OHFWULFLW\ 5HJXODWRU\ &RPPLVVLRQ &(5& KDV LVVXHG WDULII RUGHUV RI   YDULRXV

stations of NTPC viz Korba Stage I & II, Sipat I & II, Kawas, Gandhar & Vindhychal I & II towards

revision of tariff for the period from 01/04/2014 to 31/03/2019 & approval of tariff for the period

01/04/2019 to 31/03/2024. Subsequent to issuance of tariff orders, Goa has paid a differential

amount on account of revision in capacity charges of the stations mentioned above to the extent of

Rs. 41.145 Crores.

2. Due to shortage of domestic coal in India and hence blending of imported coal with domestic coal, the

Energy rates of NTPC stations have increased by almost 20-30%. Hence the Energy charges of

various NTPC stations have increased to multifolds.

3. From the month of April-22, the rate on the Indian Energy Exchange during peak Hours was Rs.

12/kWh since all India demand had increased.

4. The differential Bill-IRUWKHSHULRG-DQXDU\¶WR0DUFK¶ KDVEHen raised by M/s CTUIL,

Gurgaon LQWKHPRQWKRI-XO\¶WRWKHWXQHRI5V&URUHV0V3*&,/:5KDVUDLVHG$UUHDUV

bill towards ULDC SCADA charges for the period October-16 to June-22 to the tune of Rs. 4.76

Crores.

5. M/s NTPC vide petition No.205/MP/2021 had filed petition in CERC towards recovery of additional

expenditure incurred due to Ash transportation charges consequent to Ministry of Environment and

forest & Climate change *RYHUQPHQWRI,QGLDQRWLILFDWLRQ+RQ¶EOH&(5&KDVDGPLWWHGWKHVDLGFODLP

and has directed NTPC to recover same from the beneficiaries for the period 2019-20 to 21-22 along

OFFICIAL GAZETTE — GOVT. OF GOA

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120

with applicable interest. The amount towards recovery of ash transportation charges for the period

2019-20 to 2021-22 for Goa is to the tune of Rs.10.56 Crores. Further M/s NTPC has also recovered

Ash transportation charges to the tune of Rs. 8.32 crores for the period April-22 to September-22.

The total Ash transportation charges claimed was to the tune of Rs. 18.88 Crores.

6. M/s CTUIL(WR/SR) has claimed following Differential Bills:

a) Differential Bill (Bill-2) for the period April-22 to June-22 along with arrears bill for the

period July-11 to March-22.

b) Differential Bill (Bill-2) for the period July-22 to September-22 along with arrears bill for

the period July-11 to June-22 in this quarter.

&RPPLVVLRQ¶V9LHZ

The Commission would like to highlight that the FPPCA is a mechanism that allows the utilities to

recover/refund the variation in the power purchase cost over and above the cost approved in the Tariff Order

mainly on account of increase/decrease in the power purchase cost. The mechanism ensures timely recovery of

the additional cost instead of accounting it at the time of true-up which otherwise may lead to attribution of

additional cost in the form of carrying cost which will have impact of enhanced tariffs in the ensuing years.

2.2.7. Additional Street light duty

6WDNHKROGHU¶V&RPPHQW

The stakeholder has submitted that an additional street light duty of 0.08/kWh has been introduced adding

another 1%

3HWLWLRQHU¶V5HVSRQVH

The Petitioner has submitted that Public Lighting Duty is basically the State Government tax levied by ED Goa

as per Public Lighting Duty Act 2021. The Government of Goa collects Public Lighting Duty from all the

Consumers of ED-Goa, through the electricity bill of the Consumers. Funds collected are utilised towards

Streetlight Repairs and maintenance, improvement and development of Public Lighting infrastructure.

ComPLVVLRQ¶V9LHZ

7KHVWDNHKROGHUVPD\QRWHWKH3HWLWLRQHU¶VVXEPLVVLRQLQWKLVUHJDUG

2.2.8. Proposed Rate hike

6WDNHKROGHU¶V&RPPHQW

The stakeholder has submitted that proposed rate hike from 4.8 to 4.9 from April 2023, will add another 2 % &

will increase basic rate to 9% overall within a span of one year.

3HWLWLRQHU¶V5HVSRQVH

The Petitioner has submitted that the increase of 10 paisa per unit has been proposed by ED-*RDDQG+RQ¶EOH

Commission will suitably decide on such hike after considering all objection/suggestions and prudent check of

entire petition submitted by ED-Goa.

&RPPLVVLRQ¶V9LHZ

7KH&RPPLVVLRQKDVQRWHGWKHFRQFHUQRIWKHVWDNHKROGHU¶VDQGWKHVDPHLVGLVFXVVHGLQWKHSULQFLSOHVDGRSWHG

for approving the Tariff in Chapter 6 of the Tariff Order.

121

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2.2.9. Shutting of power

6WDNHKROGHU¶V&RPPHQW

The stakeholder has submitted that during peak tourist season the department restricts the electricity shutting

of power at night time. This forces us to use Diesel generator for extended periods causing increased production

costs. During last season in the months of May and June we were given an option to opt for Additional charge in

order to get supply. Although this is cheaper than Generator but somewhat we feel like the department is taking

advantage to make extra revenue. It also means that Department is able to give a normal supply electricity

despite being in Peak Season. Should there not be reimbursements if there is interruption of supply?

3HWLWLRQHU¶V5HVSRQVH

The Petitioner has submitted that for April - June of FY 2022 there was huge crises of Power due to the surge in

demand as such rates of the exchange had gone as high as Rs. 20/ unit, however after intervention of CERC

there was capping of Rs. 12 per unit for purchase of power through open market. This was unexpected and all of

sudden. For this situation EDG was not prepared and could not clear on exchange platform the quantum of

power that was required. Hence as per the request of Industries the power was purchased at the rate of Rs.12

per unit in April-0D\µDQGZDVUHFRYHUHGWKURXJKWKHP+RZHYHULWLVWRLQIRUPWKDWIRU&XUUHQW)<-

24, EDG has planned in advance for procurement of additional power which will be required to meet the

summer demand of April-0D\¶

&RPPLVVLRQ¶V9Lew:

The Petitioner is advised to be more prepared for such type of situation and should proactively plan the power

requirement at optimal cost. Further, the Petitioner is directed to ensure compliance of supply in line with

JERC (Standards of Performance) Regulations.

2.2.10. Demand/Fixed Charges

6WDNHKROGHU¶V&RPPHQW

The stakeholder has submitted that we are charged Demand/Fixed Charges every month these charges itself are

high. Why should this be increased?

3HWLWLRQHU¶V5HVSRQVH

The Petitioner has submitted that the 7DULIILVGHWHUPLQHGE\WKH+RQ¶EOH-(5&DVSHUWKH3HWLWLRQVXEPLWWHGE\

the EDG. In the Tariff there are two components Fixed Charges and Energy Charge. Fixed charge is the amount

collected from the consumer to recover the Capital Expenditure invested and overheads of the department. ED-

Goa also pays fixed charged to its generators even if they are on shut downs/ overhauling/maintenance. The

variable charge is to recover the cost of energy supplied to the Consumer. Comparing to the neighbouring states

the Industrial Tariff of Goa is less.

&RPPLVVLRQ¶V9LHZ

7KH&RPPLVVLRQKDVQRWHGWKHFRQFHUQRIWKHVWDNHKROGHU¶VDQGWKHVDPHLVGLVFXVVHGLQWKHSULQFLSOHVDGRSWHG

for approving the Tariff in Chapter 6 of the Tariff Order. Further, the Commission would like to highlight that

the fixed charges supposed to reflect the fixed cost incurred by the department, however, at the approved tariff

fixed cost coverage is only ~23%.

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2.2.11. Public Lighting

6WDNHKROGHU¶V&RPPHQW

The stakeholder has submitted that Goa Industries provide all year-round revenue generation and Government

should support the industries stronger in such instances. Why is Public Lighting charged to Industries? Our

Industrial Estate in Pilerne is most of the time in darkness.

3HWLWLRQHU¶VResponse:

The Petitioner has submitted that that Public Lighting Duty is basically the State Government tax levied by ED-

Goa as per Public Lighting Duty Act 2021. The Government of Goa collects Public Lighting Duty from all the

Consumers of ED-Goa, through the electricity bill of the Consumers. Funds collected are utilised for

improvement and development of Public Lighting infrastructure. In specific case of Pilerne Industrial Estate it

is found that no street lights are installed by Industrial Development Cooperation (IDC) which otherwise IDC

was providing in all Industrial Estates of Goa before taking over of street light by Electricity Department.

However, necessary action will be taken by department in providing streetlight in Pilerne Industrial Estate.

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7KHVWDNHKROGHUVPD\QRWHWKH3HWLWLRQHU¶VVXEPLVVLRQLQWKLVUHJDUG Further, the Petitioner may take up the

issue of providing streetlight in Pilerne Industrial Estate with the concerned department.

2.2.12. Power purchase

6WDNHKROGHU¶VComment:

The stakeholder has submitted that EDG has under-estimated for FY 2022-23, Power purchase quantum and

cost 4726.31 MU and Rs 1839.54cr but revised is 4998.19 MU and Rs 2230.19 cr. (table 4.12). The energy

estimation is less by approximately 5% but cost is less by 21%. This clearly indicates that the estimates of cost of

power purchase is too much away from target.

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The Petitioner has submitted that the Power purchase quantum and cost approved in MYT order dated 31

March 2022 for FY 22-23 is 4726.31 MU and Rs 1839.54 cr respectively. However, keeping in mind, the load

growth EDG has increased its power purchase quantum so as to take care of increasing load. Due Care is taken

to estimate proper costing by incorporating the recent increase in the Power Purchase Cost of NTPC Stations

due to low availability of domestic coal and thereby blending with costly imported coal.

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The Commission has noted the concern of the stakeholders and the same is discussed while approving the

power purchase cost in Chapter 5 of the Tariff Order.

2.2.13. Revenue from sale of power

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The stakeholder has submitted that Revenue from sale of power was estimated INR 2024 crore and revised

upwards to INR 2565.79 crore.

123

OFFICIAL GAZETTE — GOVT. OF GOA

SERIES I No. 5

(SUPPLEMENT)

4TH MAY, 2023

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The Petitioner has submitted that Revenue from sale of power was estimated as INR 2024 crore E\WKH+RQ¶EOH

Commission. However, since the sales has been increased by ED Goa in current petition the revenue has been

revised upwards.

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The Commission has noted the concern of the stakeholders and the same is discussed while approving the

energy sales and revenue in Chapter 5 of the Tariff Order.

2.2.14. Projections of energy sale

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The stakeholder has submitted the projections of energy sale has been considered on the basis of previous years

(table 5.6). The power demand and energy sale is expected to be higher than pre-pandemic (doubling in ten

years) due to following reasons:

a. Commissioning of Zuari Bridge,

b. Commissioning of green field second international airport at Mopa

c.

Completion of NH 66;

d. Exponential increase in EV population (8 KW average) charging power requirement,

e. Goa has established as second home apart from first class tourism destination,

f.

High end malls and shopping complexes are being added (ref GST collection highest in India)

g. Air conditioning load is likely to increase due to upward mobility of economy,

h. High Power demanding industry (for eg. Binani group is expected to set up a 50 MW demand facility) in

Colvale

i.

Restarting of mining industry etc and

j.

By release of suppressed demand due to improvement in Distribution infrastructure. Presently demand is

suppressed by under voltage conditions at Verna, Calangute, Candolim, etc.

k. There are pockets in Sanquelim, Tuem, Colem etc where the power reliability is poor (more than 800 hrs

of no power). This is expected to improve because of the underground cabling program. EDG may be

directed to revise upwardly its demand forecast and energy sale estimation.

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The Petitioner has submitted that the sales projected for FY 23-24 has been estimated considering the above

load growth. The entire load shown above may not come in FY- 23-24 hence the balance load growth will be

assessed by ED-Goa and will be suitably incorporated in future years petition

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The Commission has noted the concern of the stakeholders and the same is discussed while approving the

energy sales in Chapter 5 of the Tariff Order.

2.2.15. Average Power Purchase Rate

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The Average Power Purchase rate is Rs 4.06 per unit which is all time high. Traditionally Goa has been sourcing

power at very economical rates. The practise of purchasing power from open market at energy exchanges may

be limited to some percentage of peak power requirements. Buying peak power fully from energy exchanges will

strain consumers. Considering the increasing power demand, EDG should resort to tendering at the least for

125 MW power.