Section 15 in Chhattisgarh State Electricity Regulatory Commission (Fees and Charges of State Load Despatch Centre and Other Related Matters) Regulations, 2010
15. Operation and Maintenance Expenses (excluding human resource expenses).
(1)Operation and maintenance expenses (excluding human resource expenses) shall be derived on the basis of actual operation and maintenance expenses for the years 2005-06 to 2009-10, based on the audited/unaudited balance sheets. The O & M expenses shall be normalized by excluding abnormal operation and maintenance expenses, donation, loss-in-stock, prior-period adjustments, claims and advances written off, provisions, etc., if any, after prudence check by the Commission.(2)The normalized operation and maintenance expenses, after prudence check, for the years 2005-06 to 2009-10 shall form the basis to arrive at the operation and maintenance expenses for the base year 2010-11. The normalized O&M expenses for the base year will be used for projecting the expenses for each year of the control period.(3)The operation and maintenance expenses for the year 2010-11 shall be escalated at the rate of 5.72% per annum to arrive at permissible operation and maintenance expenses for the subsequent each year of the control period.(4)The O&M expenses for the subsequent control periods shall be computed on above specified principle and methodology.
