Section 2012(5) in The West Bengal Electricity Regulatory Commission (Terms and Conditions of Tariff) Regulations, 2011
5.9Employees Cost. -5.9.1- Employees cost shall also include the share of expenses on account of salaries and wages and staff welfare including Directors remuneration, fees, expenses and other facilities and salaries and wages of corporate office / registered office and shall be shown separately. Employees Cost of own and contracted manpower in regular establishment shall be shown separately.5.9.2- The cost for maintaining terminal benefit fund for the present and past liability shall be shown separately in a separate sub-head. Such cost will be allowed to the extent it satisfies the following conditions :(i)The fund is created under any statutory obligation or under any contractual obligation that has got prior approval from the Commission before the contract has taken place or any contractual obligation that has been already admitted by the Commission;(ii)The fund is audited up-to-date as per the law of the country applicable to the licensee or generating company;(iii)The cost is not passed through the past tariff at any instant of time. An audited certification in this respect is to be submitted and also this is subject to prudence check by the Commission.5.9.3- The licensee or generating company shall provide the break up of employee cost in Form 1.17(h) in Annexure-1.5.9.4- The licensee or generating company shall provide the break up of arrear payment in Form 1.17(i) in Annexure-1 arising out of any wage revision and the period for such arrear is to be mentioned clearly. In case of any wage revision, the licensee or generating company shall also submit the concerned agreement and official order along with the approval of the Board of the generating company or licensee on such wage revision.5.9.5- Performance incentive based on efficiency of operating parameters of the generating company or licensee which is applicable to the employee, if any, must be shown in a separate head in annual accounts and cannot be included under employee cost or any other head. However, the Commission will not allow such cost for production incentive payment to be recovered through tariff except those components of wage which ensures attendance and compliance with job norms of the employees. If required, a special note is to be inserted in the annual accounts or a certificate from the same auditor who has audited the annual accounts has to be furnished to show separately the expenses on head of performance or production incentive.5.9.6- The licensee or generating company shall provide the information under regulation 5.9.3 and 5.9.4 for regular employees and contracted manpower in regular establishment separately.5.9.7- Interest payment to Contributory Provident Fund, General Provident Fund or any statutory retirement benefit fund shall not be considered unless it is explicitly established that inspite of investment of such fund in timely manner there is shortfall in accrued interest to discharge the liability of statutory interest as laid down in concerned laws or there is provision of special dispensation under Section 131 of the Electricity Act 2003.
