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State of Tamilnadu - Section

Section 25 in Tamil Nadu Electricity Regulatory Commission (Terms and Conditions for Determination of Tariff for Transmission/Distribution of Electricity Under MYT Framework) Regulations, 2009

25. Aggregate Technical and Commercial loss (AT & C).

- The Commission shall fix benchmarks for reduction of losses and the licensee shall achieve the target fixed for each year of the control period.The AT & C loss is a controllable item and the financial loss, if any, on account of failure to achieve the target shall be borne by the Distribution licensee. The gains, if any, on account of achieving the loss below the targeted level shall be shared with the consumers.The Distribution licensee may arrange for third party verification of energy audit results for different areas / localities. They may propose to impose area / locality specific surcharge for greater AT & C loss levels which could generate local consensus for effective action for better governance.The Distribution licensee may introduce local area based incentive and disincentive schemes to it's staff, linked to reduction in losses.