Section 28 in The Maharashtra Electricity Regulatory Commission (Terms and Conditions of Tariff) Regulations, 2005
28. Components of tariff.
- 28.1 Tariff for sale of electricity from a thermal power generating station shall comprise of two parts, namely, the recovery of annual fixed charges and energy charges.28.2Tariff for sale of electricity from a hydro power generating station shall comprise of two-parts, namely, recovery of annual capacity charge and energy charges.Provided that the annual capacity charges for a hydro power generating station shall be computed in accordance with the following formula:Annual Capacity Charges = (Annual Fixed Charge-Energy Charge)Provided further that the Energy Charge shall not exceed the Annual Fixed Charge under these Regulations.28.3The annual fixed charges of a thermal generating station or of a hydro power generating station, as the case may be, shall consist of recovery of the following:(a)Return on equity capital;(b)Income-tax;(c)Interest on loan capital;(d)Depreciation, including Advance Against Depreciation, and a mortization of intangible assets;(e)Operation and maintenance expenses; and(f)Interest on working capital.28.4The energy charges, in case of thermal generating station, shall cover fuel cost and shall be computed as specified in Regulation 35.128.5The energy charges, in case of hydro generating station, shall be computed as specified in Regulation 35.2
