Section 18(5) in Tamil Nadu Electricity Regulatory Commission (Terms and Conditions for Determination of Tariff) Regulations, 2005
(5)The capital cost shall include capitalised initial spares subject to the following ceiling norms:(i)In case of coal based / lignite fired Generating Stations - 2.5% of original project cost as on the cut off date;(ii)In case of Gas Turbine / Combined cycle Generating Stations -4.0% of original project cost as on the cut off date.;(iii)In case of Hydro generating stations - 1.5% of the original project cost as on the cut off date;(iv)In case of Transmission and Distribution licensees - 1.5% of original project cost as on the cut off date.
