Section 10(10) in Jammu and Kashmir State Electricity Regulatory Commission (Mini Grid Renewable Energy Generation and Supply) Regulations, 2016
10.1Costs, Revenues and Pricing Mechanism.-The cost structure of Mini -Grid Project and tariff has to be market driven and is to be mutually agreed by the Consumer and Mini Grid Operator. It will have the following elements :-(a)Fixed costs include cost of project development, generation plant, storage systems (batteries), inverters, distribution network, cost of availing debt including interest charges, fixed taxes and fees. Further fixed cost may also include management cost, overhead and transaction costs.(b)Variable costs is the running charges for operation, maintenance and management as under-(i)Operating cost include charges for operating the plant, billing and collecting money from consumers, maintenance and cleaning, guarding the plant, fixed technical losses like self consumption of inverters, storage devices, and losses in transformers etc ;(ii)Customer relationship costs are allocated to resolve customer grievances etc.
