Section 15(15) in The Maharashtra Electricity Regulatory Commission (Terms and Conditions of Tariff) Regulations, 2005
15.2Forecast of aggregate revenue requirement15.2.1The applicant shall develop the forecast of aggregate revenue requirement using any one of the following two methodologies:(a)Assumptions relating to the behaviour of individual variables that comprise the aggregate revenue requirement during the control period; or(b)Assumptions relating to-(i)percentage annual change in a suitable macro-economic or market index, or combination thereof, to which the aggregate revenue requirement of the applicant is correlated; and(ii)percentage annual reduction in aggregate revenue requirement due to efficiency or productivity gains proposed to be achieved by the applicant during the control period:Provided that applications under this Regulation for the control period commencing from April 1, 2006 shall be accompanied by forecasts developed using the methodology specified in clause (a) above.15.2.2Where, for any control period, the applicant seeks to change the methodology for forecasting the aggregate revenue requirement, either:(a)from the methodology specified in clause (a) of Regulation 15.2.1 to clause(b)of that Regulation; or(b)from the methodology specified in clause (b) of Regulation 15.2.1 to clause (a) of that Regulation, he shall apply to the Commission for approval of change of methodology along with the rationale therefor and such other details as the Commission may require, at least nine (9) months before the commencement of such control period.15.2.3The Commission may, upon scrutiny of such application and after hearing the affected parties, either(a)pass an order approving the change of method, subject to such conditions as it may specify in the said order; or(b)reject the application for reasons to be recorded in writing, if it is not in accordance with the principles contained in Section 61 of the Act or these Regulations.
