BEFORE THE HIMACHAL PRADESH ELECTRICITY REGULATORY COMMISSION, SHIMLA Determination of Average Pooled Purchase Cost for FY 2014-15 Submitted to Himachal Pradesh State Electricity Regulatory Commission Himachal Pradesh State Electricity Board Limited Vidyut Bhawan, Shimla (H.P.) 171 004 HPSEB Limited i
BEFORE THE HIMACHAL PRADESH ELECTRICITY REGULATORY COMMISSION, SHIMLA M.A. No.. Petition No 141/2013 IN THE MATTER OF: Determination of Average Pooled Purchase Cost (APPC) for FY 2014-15 AND IN THE MATTER OF Himachal Pradesh State Electricity Board Limited (hereinafter referred to as "HPSEBL" or "The HPSEBL"), Vidyut Bhawan, Shimla 171004 - Applicant The Applicant respectfully submits as under: - 1. Himachal Pradesh State Electricity Board Limited (HPSEBL) is a deemed licensee under first provision of Section 14 of the Electricity Act 2003 for distribution and supply of electricity in the state of Himachal Pradesh. Consequent to the enactment of the Electricity Act, 2003 (hereinafter referred to as the Act ), the process of approval of proposed tariffs is vested with the State Commission. Based on the provisions of Section 62 of the Act and in compliance with the directives of the Commission on the matter, HPSEBL is filing the current petition, in order to meet its financial requirements. 2. This Petition determines the APPC for FY 2014-15. HPSEB Limited ii
Table of Contents A1: DEFINITIONS... 4 A2: INTRODUCTION... 5 A3: BACKGROUND... 6 A4: DETERMINATION OF APPC RATE FOR FY 2014-15... 7 PROPOSAL FOR APPC RATE FOR FY 2014-15... 7 A5: PRAYER... 12 List Of Tables TABLE 1: APPC RATES... 8 HPSEB Limited iii
A1: DEFINITIONS Distribution Licensee means a licensee authorized to operate and maintain a distribution system for supplying electricity to the consumers in his area of supply as defined in the Act Renewable energy sources means renewable sources such as small hydro, wind, solar including its integration with combined cycle, biomass, bio fuel cogeneration, urban or municipal waste and such other sources as recognized or approved by MNRE; excluding the nuclear power stations and hydel power stations of capacity above 25 MW. Eligible entity means the entity eligible to receive the renewable energy certificates. Pooled Cost of Purchase means the weighted average pooled price at which the distribution licensee has purchased the electricity including cost of self generation, if any, in the previous year from all the energy suppliers long-term and short-term, but excluding those based on renewable energy sources, as the case may be. Preferential Tariff: The tariff fixed / approved by the Hon ble Commission for sale of energy to a distribution licensee from a generating station based on renewable energy sources. HPSEB Limited Page 4
A2: INTRODUCTION The petition pertains to determination of Average Pooled Power Purchase Cost (APPC) for the financial year 2014-15. Regulation 5(1) of the CERC (Terms and Conditions for recognition and issuance of Renewable Energy Certificate for Renewable Energy Generation) Regulations,2010, specifies that- A generating company engaged in generation of electricity from renewable energy sources shall be eligible to apply for registration for issuance of and dealing in Certificates if it fulfils inter alia the following conditions: It sells the electricity generated either (i) (ii) To the distribution licensee of the area in which the eligible entity is located, at a price not exceeding the pooled cost of power purchase of such distribution licensee, To any other licensee or to an open access consumer at a mutually agreed price, or through power exchange at market determined price. HPSEB Limited Page 5
A3: BACKGROUND 3.1 HPSEB Limited likes to submit that while nearly all the components of power purchase cost is determined by CERC & HPERC in advance, the Average Pooled Power Purchase Rate (APPC Rate) is being determined by HPERC on year to year basis. 3.2 HPSEB Limited thus submits its current petition for determination of APPC rates which covers the following: (1) Proposal for APPC Rate for FY 2014-15. HPSEB Limited Page 6
A4: DETERMINATION OF APPC RATE FOR FY 2014-15 4.1 As per CERC Terms and Conditions for recognition and issuance of Renewable Energy Certificate for Renewable Energy Generation Regulations, 2010, Pooled Cost of Power Purchase Cost means: The weighted average pooled price at which the Distribution Licensee has purchased the electricity including cost of self generation, if any, in the previous year from all the energy suppliers, long-term and short-term, but excluding those based on renewable energy sources, as the case may be. 4.2 Thus the definition focuses on the following: (1) The Purchase of Electricity should be from all energy suppliers, (i) (ii) (iii) (iv) which includes long term suppliers which includes short term suppliers which includes own generation which excludes renewable energy sources (2) The Purchase of Electricity should be in the previous year only which in this case is FY 2013-14, Proposal for APPC Rate for FY 2014-15 4.3 Keeping in view of above, the pooled power rate is computed for FY 2013-14 considering factors mentioned below: (1) The provisional purchase (quantum and costs) for FY 2013-14 has been considered as details of bills from some of the ISTS sources is yet to be received. (2) The arrears pertaining to past periods (paid in FY 2013-14) have been excluded as these are not recurring in nature. (3) Unscheduled Interchange (UI) Purchase has also not been included in line with the philosophy approved by the Hon ble Commission in APPC order of 2012-13. HPSEB Limited Page 7
(4) The PGCIL/Transmission Charges/ULDC/Other Charges in line with the philosophy approved by the Hon ble Commission in APPC order of 2012-13. (5) The rates of Own generating stations have been taken from the Annual Performance Review for FY 14 under the 2 nd MYT Control Period dated 27 th April 2013. (6) The Forward (inward) Banking at zero cost has been considered as approved by the commission in previous order. Table 1: APPC Rates Power Purchase Cost (In Crores) PP Cost from HPSEBL Stations Bassi 227.85 93 21.29 Giri 228.27 55 12.49 Bhaba 534.17 44 23.66 Larji 527.23 266 140.33 Total 1517.52 130 197.77 PP Cost from BBMB Stations BBMB Old 43.80 86 3.77 BBMB New 395.50 47 18.72 Dehar 178.65 75 13.43 Pong 51.89 41 2.13 Total 669.84 57 38.04 PP Cost from NTPC Stations Anta(GF) 82.71 415 34.29 Anta(LF) 0.00 0 0.00 Anta (RF) 0.06 1083 0.06 Auraiya(GF) 58.17 518 30.12 Auraiya(LF) 0.00 0 0.00 Auraiya(RF) 0.20 1227 0.25 Dadri(GF) 105.13 450 47.32 Dadri(LF) 0.00 893 0.00 HPSEB Limited Page 8
Dadri(RF) 0.12 834 0.10 Unchahar-I 44.66 387 17.28 Unchahar-II 86.43 382 33.01 Unchahar-III 51.07 439 22.43 Rihand-1 STPS 244.85 231 56.57 Rihand-2 STPS 230.60 239 55.16 Rihand-3 STPS 114.98 341 39.23 Singrauli 49.69 169 8.39 Dadri II TPS 22.67 512 11.60 Jhajjar STPS 36.57 546 19.95 Khalgaon 143.19 405 58.04 Total 1271.10 341 433.80 PP Cost from NHPC Stations Chamera-I 64.72 178 11.54 Chamera-II 60.93 311 18.97 Chamera-III 35.86 445 15.96 Parbati -III 0.28 0 0.00 Salal 32.02 178 5.71 Tanakpur 12.12 253 3.06 Uri 68.10 212 14.44 Uri II 1.39 382 0.53 Dhauli Ganga 13.58 283 3.84 Dulhasti 14.01 663 9.30 Sewa 4.11 525 2.16 Total 307.12 278 85.53 PP Cost from other Stations NAPP 94.42 249 23.50 RAPP 155.75 343 53.45 Nathpa Jhakri SoR 200.99 283 56.87 Nathpa Jhakri Equity 189.67 519 98.38 Shanan BSS 5.26 40 0.21 Shanan Extn 45.00 21 0.93 Yamuna (UJVNL) 481.64 65 31.37 HPSEB Limited Page 9
Khara 56.86 37 2.10 Baspa 1171.01 261 305.54 Tehri I 127.22 396 50.43 Koteshwar 43.59 330 14.39 Total 2571.41 248 637.19 PP Cost of Free Power & Equity Power Baira Suil 29.59 292 8.63 Chamera-I 84.93 292 24.77 Chamera II 86.35 292 25.20 Shanan Share 2.63 292 0.77 Ranjeet Sagar Dam 67.84 292 19.26 Malana - I 57.64 292 16.83 Malana - II 3.93 292 1.14 Baspa II 159.68 292 46.62 Nathpa Jhakri 688.56 292 200.98 Karcham Wangtoo 80.17 292 23.37 Private Micros (Upto 5 MW) 2.28 292 0.67 Private Micros (Above 5 MW) 23.56 292 6.88 Ghanvi 9.12 292 2.66 Baner 5.10 292 1.49 Gaj 5.58 292 1.63 Larji 70.49 292 20.57 Khauli 5.44 292 1.59 AD Hydro 9.31 292 2.71 Chamera III 26.31 292 7.67 Budhil 3.47 292 1.01 Total 1421.98 292 414.435 Upto 25 MW (REC Tariff) 138.11 217 29.97 Total 138.106 217 29.969 PP Cost of Banking, Market and Bilateral Purchase & UI HPSEB Limited Page 10
Banking 357.00 0 0.00 Bilateral Purchase 0.00 0.00 PXI/IEX 113.32 295 33.40 Total 470.32 71 33.40 Grand Total 8367.4 224 1870.13 Proposed APPC Rate (in Paise) 224 4.4 In view of the above, while HPSEB Limited has computed the APPC Rate with Free Power, it would like to request the Commission to kindly: Approve the APPC Rate of 224 paise per unit for FY 2014-15. HPSEB Limited Page 11
A5: PRAYER 5.1 HPSEBL requests the Hon ble Commission to: a) Approve the APPC Rates as proposed. b) To make the APPC rates effective from 01 st April 2014. c) To condone any inadvertent omissions/ errors/ shortcomings and permit the Petitioner to add/ change/ modify/ alter this filing and make further submissions as may be required at a future date d) To allow further submissions, addition and alteration to this Petition as may be necessitating from time to time. e) Treat the filing as complete in view of substantial compliance as also the specific requests for waivers with justification placed on record; f) And pass such other and further orders as are deemed fit and proper in the facts and circumstances of the case. BY APPLICANT HPSEB Limited Page 12