Section 33 in Bihar Electricity Regulatory Commission (Multi Year Distribution Tariff) Regulations, 2015
33. Segregation of Wheeling Business and Retail Supply Business.
- The Distribution Licensee shall maintain separate books of accounts for Wheeling Business and Retail Supply Business. For such period until accounts are segregated and separate books of accounts are maintained, the Commission shall stipulate the ratio of allocation of all expenses and return component, based on data obtained from the Distribution Licensees. The following broad principles shall be followed for allocation of costs towards wheeling business and supply business, out of the total annual Aggregate Revenue Requirements determined:(a)Power purchase cost shall be allocated to the Retail Supply business(b)Operation and Maintenance expenses shall be segregated between wheeling and retail supply businesses in such manner as may be determined by the Commission;(c)Majority of the capital expenditure related expenses, viz., depreciation, interest and return on equity, shall be included under the wheeling business;Note. - The Retail Supply Business would require only a small component of the capital expenditure towards billing and collection activity.Part - VII Norms of Operation
