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Union of India - Section

Section 35 in Central Electricity Regulatory Commission (Terms and Conditions of Tariff) Regulations, 2019

35. Operation and Maintenance Expenses.

- (1) Thermal Generating Station: Normative Operation and Maintenance expenses of thermal generating stations shall be as follows:
(1)Coal based and lignite fired (including those based on Circulating Fluidised Bed Combustion (CFBC) technology) generating stations, other than the generating stations or units referred to in clauses (2), (4) and (5) of this Regulation:(in Rs Lakh/MW)
Year 200/210/ 250 MW Series 300/330/ 350 MW Series 500 MW Series 600 MW Series 800 MW Series and above
FY 2019-20 32.96 27.74 22.51 20.26 18.23
FY 2020-21 34.12 28.71 23.3 20.97 18.87
FY 2021-22 35.31 29.72 24.12 21.71 19.54
FY 2022-23 36.56 30.76 24.97 22.47 20.22
FY 2023-24 37.84 31.84 25.84 23.26 20.93
Provided that where the date of commercial operation of any additional unit(s)of a generating station after first four units occurs on or after 1.4.2019, the O&M expenses of such additional unit(s) shall be admissible at 90% of the operation and maintenance expenses as specified above;Provided further that operation and maintenance expenses of generating station and the transmission system of Bhakra Beas Management Board (BBMB) and Sardar Sarovar Project (SSP) shall be determined after taking into account provisions of the Punjab Reorganization Act, 1996 and Narmada Water Scheme, 1980 under Section 6-A of the Inter-State Water Disputes Act, 1956 respectively;Provided also that operation and maintenance expenses of generating station having unit size of less than 200 MW not covered above shall be determined on case to case basis.
(2)Talcher Thermal Power Station (TPS), Tanda TPS and Chandrapura TPS Unit 3 and Durgapur TPS Unit 1 of DVC:(in Rs Lakh/MW)
Year Talcher TPS Chandrapura TPS (Unit 3), Tanda TPS, DurgapurTPS(Unit 1)
FY 2019-20 to FY 2023-24 56.34 46.16
(3)Open Cycle Gas Turbine/Combined Cycle generating stations:(in Rs Lakh/MW)
Year Gas Turbine/ Combined Cycle generatingstations other than small gas turbine power generating stations Small gas turbine power generating stations Agartala GPS Advance F Class Machines
FY 2019-20 17.58 36.21 42.85 26.34
FY 2020-21 18.2 37.48 44.35 27.27
FY 2021-22 18.84 38.8 45.91 28.23
FY 2022-23 19.50 40.16 47.52 29.22
FY 2023-24 20.19 41.57 49.19 30.24
(4)Lignite-fired generating stations:(in Rs Lakh/MW)
Year 125 MW Sets TPS-I of NLC
FY 2019-20 31.15 42.91
FY 2020-21 32.24 44.42
FY 2021-22 33.37 45.98
FY 2022-23 34.54 47.59
FY 2023-24 35.76 49.26
(5)Generating Stations based on coal rejects:(in Rs Lakh/MW)
Year O&M Expenses
FY 2019-20 31.15
FY 2020-21 32.24
FY 2021-22 33.37
FY 2022-23 34.54
FY 2023-24 35.76
(6)The Water Charges, Security Expenses and Capital Spares for thermal generating stations shall be allowed separately after prudence check:Provided that water charges shall be allowed based on water consumption depending upon type of plant and type of cooling water system, subject to prudence check. The details regarding the same shall be furnished along with the petition;Provided further that the generating station shall submit the assessment of the security requirement and estimated expenses;Provided also that the generating station shall submit the details of year-wise actual capital spares consumed at the time of truing up with appropriate justification for incurring the same and substantiating that the same is not funded through compensatory allowance as per Regulation 17 of Central Electricity Regulatory Commission (Terms and Conditions of Tariff) Regulations, 2014 or Special Allowance or claimed as a part of additional capitalisation or consumption of stores and spares and renovation and modernization.
(7)The additional operation and maintenance expenses on account of implementation of revised emission standards shall be notified separately:Provided that till the norms are notified, the Commission shall decide the additional O&M expenses on case to case basis.
(2)Hydro Generating Station: (a) Following operations and maintenance expense norms shall be applicable for hydro generating stations which have been operational for three or more years as on 1.4.2019:(in Rs Lakh)
Particulars FY 2019-20 FY 2020-21 FY 2021-22 FY 2022-23 FY 2023-24
THDC Stage I 27788.87 29113.44 30501.14 31955 33478.15
KHEP 13452.46 14093.68 14765.46 15469.26 16206.61
Bairasul 8292.11 8687.36 9101.45 9535.28 9989.78
Loktak 9538.27 9992.91 10469.23 10968.25 11491.06
Salal 19207.75 20123.29 21082.48 22087.39 23140.19
Tanakpur 10520.33 11021.79 11547.15 12097.55 12674.18
Chamera-I 11773.57 12334.77 12922.71 13538.68 14184
Uri I 9865.77 10336.03 10828.7 11344.85 11885.61
Rangit 5336.17 5590.53 5857 6136.18 6428.66
Chamera-II 10670.68 11179.3 11712.17 12270.44 12855.31
Dhauliganga 8813.4 9233.5 9673.61 10134.71 10617.79
Dulhasti 18563.04 19447.85 20374.84 21346.02 22363.49
Teesta-V 12186.58 12767.46 13376.02 14013.6 14681.56
Sewa-II 7079.34 7416.78 7770.31 8140.68 8528.71
TLDP III 7539.76 7899.14 8275.66 8670.12 9083.39
Chamera III 9078.72 9511.46 9964.83 10439.81 10937.43
Chutak 3536.67 3705.25 3881.86 4066.89 4260.74
Nimmo Bazgo 3527.43 3695.57 3871.72 4056.27 4249.61
Uri II 7058.82 7395.28 7747.78 8117.08 8503.99
Parbati III 6618.29 6933.76 7264.26 7610.51 7973.27
Indira Sagar 11728.4 12287.44 12873.12 13486.73 14129.58
Omkareshwar 7198.97 7542.12 7901.62 8278.25 8672.84
Naptha Jhakari 33326.11 34914.62 36578.84 38322.39 40149.04
Rampur 12267.22 12851.94 13464.54 14106.33 14778.72
Koldam 12659.94 13263.39 13895.59 14557.93 15251.84
Karcham Wangtoo 11710.14 12268.31 12853.09 13465.74 14107.59
Kopili-I 9044.47 9475.58 9927.24 10400.43 10896.17
Kopili-II 1130.56 1184.45 1240.9 1300.05 1362.02
Khandong 2261.12 2368.9 2481.81 2600.11 2724.04
Doyang 5654.57 5924.1 6206.47 6502.31 6812.24
Ranganadi 12095.88 12672.44 13276.47 13909.3 14572.3
Maithon 2892.4 3030.26 3174.7 3326.03 3484.56
Panchet 2191.37 2295.83 2405.26 2519.9 2640.02
Tilaiya 900.17 943.08 988.03 1035.13 1084.47
Note. - The impact in respect of revision of minimum wage, pay revision and GST, if any, will be considered at the time of determination of tariff.
(b)In case of the hydro generating stations declared under commercial operation on or after 1.4.2019, operation and maintenance expenses of first year shall be fixed at 3.5% and 5.0% of the original project cost (excluding cost of rehabilitation & resettlement works, IDC and IEDC) for stations with installed capacity exceeding 200 MW and for stations with installed capacity less than 200 MW, respectively.
(c)In case of hydro generating stations which have not completed a period of three years as on 1.4.2019, operation and maintenance expenses for 2019-20 shall be worked out by applying escalation rate of 4.77% on the applicable operation and maintenance expenses as on 31.3.2019. The operation and maintenance expenses for subsequent years of the tariff period shall be worked out by applying escalation rate of 4.77% per annum.
(c)The Security Expenses and Capital Spares for hydro generating stations shall be allowed separately after prudence check:
Provided further that the generating station shall submit the assessment of the security requirement and estimated expenses, the details of year-wise actual capital spares consumed at the time of truing up with appropriate justification.
(3)Transmission system: (a) The following normative operation and maintenance expenses shall be admissible for the transmission system:
Particulars 2019-20 2020-21 2021-22 2022-23 2023-24
Norms for sub-station Bays (Rs Lakh per bay)
765 kV 45.01 46.6 48.23 49.93 51.68
400 kV 32.15 33.28 34.45 35.66 36.91
220 kV 22.51 23.3 24.12 24.96 25.84
132 kV and below 16.08 16.64 17.23 17.83 18.46
Norms for Transformers (Rs Lakh per MVA)
765 kV 0.491 0.508 0.526 0.545 0.564
400 kV 0.358 0.371 0.384 0.398 0.411
220 kV 0.245 0.254 0.263 0.272 0.282
132 kV and below 0.245 0.254 0.263 0.272 0.282
Norms for A C and HVDC lines (Rs Lakh per km)
Single Circuit (Bundled Conductor with six ormore sub-conductors) 0.881 0.912 0.944 0.977 1.011
Single Circuit (Bundled conductor with foursub-conductors) 0.755 0.781 0.809 0.837 0.867
Single Circuit (Twin & Triple Conductor) 0.503 0.521 0.539 0.558 0.578
Single Circuit (Single Conductor) 0.252 0.260 0.270 0.279 0.289
Double Circuit (Bundled conductor with four ormore sub-conductors) 1.322 1.368 1.416 1.466 1.517
Double Circuit (Twin & Triple Conductor) 0.881 0.912 0.944 0.977 1.011
Double Circuit (Single Conductor) 0.377 0.391 0.404 0.419 0.433
Multi Circuit (Bundled Conductor with four ormore sub-conductor) 2.319 2.401 2.485 2.572 2.662
Multi Circuit (Twin & Triple Conductor) 1.544 1.598 1.654 1.713 1.773
Norms for HVDC stations
HVDC Back-to-Back stations (Rs Lakh per 500 MW)(Except Gazuwaka BTB) 834 864 894 925 958
Gazuwaka HVDC Back-to-Back station (Rs. Lakh per500 MW) 1,666 1,725 1,785 1,848 1,913
500 kV Rihand-Dadri HVDC bipole scheme (Rs Lakh)(1500 MW) 2,252 2,331 2,413 2,498 2,586
±500 kV Talcher- Kolar HVDC bipole scheme(Rs Lakh) (2000 MW) 2,468 2,555 2,645 2,738 2,834
±500 kV Bhiwadi-Balia HVDC bipole scheme(Rs Lakh) (2500 MW) 1,696 1,756 1,817 1,881 1,947
±800 kV, Bishwanath-Agra HVDC bipolescheme (Rs Lakh) (3000 MW) 2,563 2,653 2,746 2,842 2,942
Provided that the O&M expenses for the GIS bays shall be allowed as worked out by multiplying 0.70 of the O&M expenses of the normative O&M expenses for bays;Provided further that:
(i)the operation and maintenance expenses for new HVDC bi-pole schemes commissioned after 1.4.2019 for a particular year shall be allowed pro-rata on the basis of normative rate of operation and maintenance expenses of similar HVDC bi-pole scheme for the corresponding year of the tariff period;
(ii)the O&M expenses norms for HVDC bi-pole line shall be considered as Double Circuit quad AC line;
(iii)the O&M expenses of ±500 kV Mundra-Mohindergarh HVDC bipole scheme (2500 MW)shall be allowed as worked out by multiplying 0.80 of the normative O&M expenses for ±500 kV Talchar-Kolar HVDC bipole scheme (2000 MW);
(iv)the O&M expenses of ±800 kV Champa-Kurukshetra HVDC bi-pole scheme (3000 MW) shall be on the basis of the normative O&M expenses for ±800 kV, Bishwanath-Agra HVDC bi-pole scheme;
(v)the O&M expenses of ±800 kV, Alipurduar-Agra HVDC bi-pole scheme (3000 MW)shall be allowed as worked out by multiplying 0.80 of the normative O&M expenses for ±800 kV, Bishwanath-Agra HVDC bi-pole scheme; and
(v)the O&M expenses of Static Synchronous Compensator and Static Var Compensator shall be worked at 1.5% of original project cost as on commercial operation which shall be escalated at the rate of 3.51% to work out the O&M expenses during the tariff period. The O&M expenses of Static Synchronous Compensator and Static Var Compensator, if required, may be reviewed after three years.
(b)The total allowable operation and maintenance expenses for the transmission system shall be calculated by multiplying the number of sub-station bays, transformer capacity of the transformer (in MVA) and km of line length with the applicable norms for the operation and maintenance expenses per bay, per MVA and per km respectively.
(c)The Security Expenses and Capital Spares for transmission system shall be allowed separately after prudence check:
Provided that the transmission licensee shall submit the assessment of the security requirement and estimated security expenses, the details of year-wise actual capital spares consumed at the time of truing up with appropriate justification.
(4)Communication system: The operation and maintenance expenses for the communication system shall be worked out at 2.0% of the original project cost related to such communication system. The transmission licensee shall submit the actual operation and maintenance expenses for truing up.Chapter - 9 Computation of Input Price of Coal and LigniteFrom Integrated Mine