Section 9 in Bihar Electricity Regulatory Commission (Multi Year Distribution Tariff) Regulations, 2015
9. Controllable and uncontrollable factors.
- 9.1 The "uncontrollable factors" shall comprise the following factors which are beyond the control of, and could not be mitigated by the applicant:(a)Force Majeure events, such as acts of war, fire and natural calamities.(b)Change in law;(c)Taxes and Duties;(d)Variation in sales; if the Distribution Licensee has adequate power availability.(e)Supply availability beyond the control of Distribution Licensee, subject to prudence check and finding of the Commission during True-up exercise.(f)Variation in the cost of power generation and/or power purchase due to the circumstances specified in regulations 19 (d) and 20 of these Regulations.9.2Some illustrative variations or expected variations in the performance of the applicant, which may be attributed by the Commission to controllable factors include, but are not limited to the following:(a)Variations in capital expenditure on account of time and/or cost overruns/ efficiencies in the implementation of a capital expenditure project not attributable to an approved change in scope of such project, change in statutory levies or force majeure events;(b)Variations in distribution losses which shall be measured as the difference between the units input into the distribution system and the units billed for the same year.(c)Variations in Return on Equity (RoE), depreciation and working capital requirements; However, if the Commission is satisfied that the variation in the working capital requirement is attributable to any uncontrollable factors, the same may be considered as uncontrollable factor.(d)Failure to meet the standards specified in the Standards of Performance Regulations, except where exempted;(e)Variation in operation & maintenance expenses, except those attributable to directions of the Commission or to change in Government policy/law(f)Variation in Wires Availability and Supply Availability, within the control of Distribution Licensee.
