Section 32 in Bihar Electricity Regulatory Commission (Multi Year Distribution Tariff) Regulations, 2015
32. Treatment of Regulatory Assets.
(a)Regulatory assets shall not normally be created against cost/loss incurred in normal course of business.(b)The amortization schedule corresponding to the regulatory asset shall be approved by the Commission and put in effect along with creation of the regulatory asset. The amortization schedule shall normally provide for recovery of the regulatory asset within a period not exceeding three years.(c)The carrying cost of the regulatory asset shall be in line with the State Bank Advance Rate (SBAR) for the tenure for which regulatory asset has been created.(d)There shall not be a long gap in truing up of accounts of the Distribution Licensee so as to prevent the need for creation of the regulatory asset.Part - VI Wheeling and Retail Supply Business
