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State of Maharashtra - Section

Section 35 in The Maharashtra Electricity Regulatory Commission (Terms and Conditions of Tariff) Regulations, 2005

35. Energy charges.

- 35.1 Thermal generating stations(a)Energy charges shall cover fuel costs and shall be worked out on the basis of ex-bus energy sent out corresponding to scheduled generation as per the following formula:Energy Charges (Rs) = Rate of Energy Charges in Rs/kWh X Ex-bus energy sent out corresponding to scheduled generation for the month in kWhWhere,Rate of Energy Charges (REC) shall be the sum of the cost of normative quantities of primary and secondary fuel for one-kWh of ex-bus energy sent out corresponding to scheduled generation and shall be computed as under:
REC =| 100 {Ppx (Qp)n+ Psx (Qs)n }(100-(AUXn))| (Rs/K Wh)
Where, Pp = Landed cost of primary fuel namely coal or lignite or gas or liquid fuel in Rs/Kg or Rs/cubic-metre (m3) or Rs./litre, as the case may be(Qp)n = Quantity of primary fuel required for generation of one kWh of electricity at generator terminals in Kg or litre or m3, as the case may be, and shall be computed on the basis of normative Gross Station Heat Rate (less heat contributed by secondary fuel oil for coal/lignite based generating stations) and gross calorific value of coal/lignite or gas or liquid fuel as firedPs = Landed cost of Secondary fuel oil in Rs./ml(Qs)n = Normative Quantity of Secondary fuel oil in ml/kWh as per Regulation 33.1.4, as the case may be, andAUXn = Normative Auxiliary Energy Consumption as percentage of gross generation as per Regulation 33.1.2, as the case may be.(b)Adjustment of rate of energy charge (REC) on account of variation in price or heat value of fuels : Initially, gross calorific value of coal/lignite or gas or liquid fuel shall be taken as per actuals of the preceding three months. Any variation shall be adjusted on month to month basis on the basis of gross calorific value of coal/lignite or gas or liquid fuel received and burnt and landed cost incurred by the Generating Company for procurement of coal/lignite, oil, or gas or liquid fuel, as the case may be. In case of any dispute, an appropriate application in accordance with the Conduct of Business Regulations shall be made before the Commission.(c)Landed Cost of fuel : The landed cost of fuel shall include price of fuel corresponding to the grade/quality of fuel inclusive of royalty, taxes and duties as applicable, transportation cost by rail/road/pipeline or any other means, and, for the purpose of calculation of energy charges, shall be arrived at after considering transit losses as per Regulation 33.1.6
35.2Hydro power generating stations
35.2.1Energy Charges
(a)Energy charges shall be worked out on the basis of paise per kWh rate on exbus energy scheduled to be sent out from the hydro power generating station.
(b)The energy rate for a hydro power generating station shall be such rate as may be notified by the Commission from time to time, based on the price/variable cost of the least-cost available alternative source of power if such hydro power generating station was not to be despatched in accordance with the final despatch schedule of the State Load Despatch Centre.
(c)The energy charge shall be computed in accordance with the following formula
Energy Charge = Saleable Energy x Energy Rate