SPEED-POST BEFORE THE CENTRAL ELECT RlCITY REGULATORY COMMISSION NEW DELHI

Transcription

1 SPEED-POST BEFORE THE CENTRAL ELECT RlCTY REGULATORY COMMSSON NEW DELH 119 THE MATTER OF: Approval under regulation-86 of CERC (Conduct of Business) Regulations11999, CERC (~erms and Conditions of Tariff) Regulations, 29 and CERC (Terms and Conditions of Tariff) Regulations' 214 for determination of (i) up?ral.;s;.;;ission iafiff for tariff bioc;k and (i i) Transmission tariff for tariff block for 4 kv B/C Vijayawada-Nellore Transmission line, 4 kv D/C Nellore- Sriperumbudur line, New 4 kv Switching station at Nellore, extension of Vijayawada and Sriperumbudur sub-station with associated bays under system strengthening scheme in Southern Region. Power Grid Corporation of ndia Ltd. (Govt. of ndia undertaking) Registered office: B-9, Qutab nstitutional Area, Katwaria Sarai, New Delhi Corporate office: "Saudamini",Plot no.2, Sector-29, Gurgaon ( Haryana) Power Grid Corporation of llndia Ltd., the petitioner in the matter, is filing an application under regulation-86, fcr approval of (i) Truing up Transmission tariff for tariff block and (ii) Transmission tariff for tariff block for the above mentioned transmission system in Southern Region. n terms of Regulation 3(2) of the Central Electricity Regulatory Commission (Procedure for making of application for determination of tariff, publication of the application and other related matters) Regulations, 24, copy of complete tariff application is hereby served to the respondent (beneficiaries of Southern Region), for information and necessary action in,the matter. The tariff application is hereby served through the nodal officers of the respondents for CERC matters, on the addresses as mentioned below: ADDRESSES OF NODAL OFFCERS Karnataka Power Transmission Corporation Ltd., BY SPEED POST (KPTCL), Kaveri Bhavan, Bangalore Represented by its Chairman Transmission Corporation of Andhra Pradesh Ltd., (APTRANSCO), Vidyut Soudha, Hyderabad- 582 Represented by its Chairman

2 Kerala State Electricity Board (KSEB) Vaidyuthi Bhavanam Pattom, Thiruwananthapuram Represented by its Chairman Tamilnadu Electricity Board (TNEB) NPKRR Maaligai, 8, Anna Salai Chennai Represented by its Chairman Electricity Department Government of Goa Vidyuti Bhawan, Panaji Goa 431 Represented by Chief Engineer ( Electrical) Electricity Department Govt of Pondicherry, Pondicherry Represented by its Chief Secretary Eastern Power Distribution Company of Andhra Pradesh Limited (APEPDCL) APEPDCL, P&T Colony, Seethmmadhara, VSHAKHAPATNAM And hra Pradesh, Represented by its Managing Director Southern Power Distribution Company of And hra Pradesh Limited (APSPDCL) Srinivasasa Kalyana Mandapam Backside, Tiruchanoor Road, Kesavayana Gunta, TRLPA , Chittoor District, Andhra Pradesh Represented by ts Managing Director Central Power Distribution Company of Andhra Pradesh limited (APCPDCL) Corporate Office, Mint Compound, HYDERABAD And hra Pradesh Represented by ts Managing Director Northern Power Distribution Company of Andhra Pradesh Limited (APNPDCL) Opp. NT Petrol Pump Chaitanyapuri, Kazipet, WARANGAL Andhra Pradesh Represented by ts Managing Director

3 14 Bangalore Electricity Supply Company Ltd., (BESCOM), Corporate Office, K.R.Circle BANGALORE Karanataka Represented by ts Managing Director a 12 Gulbarga Electricity Supply Company Ltd., (GESCOM) a Station Main Road, GLLBURGA Karnataka Represented by ts Managing Director 13 Hubli Electricity Supply Company Ltd., (HESCOM) Navanagar, PB Road HUBL, Karnataka Represented by ts Managing Director 14 MESCOM Corporate Office, Paradigm Plaza, AB Shetty Circle MANGALORE Karnataka Represented by its Managing Director m 15 Chamundeswari Electricity Supply Corporation Ltd., (CESC) # 927,b J Avenue Ground Floor, New Kantharaj Urs Woad Saraswatipuram, MYSORE KARNATAW Represented by ts Managing Director W Kindly acknowledge the receipt. Gurgaon Dated: Filed by Power Grid Corporation of ndia Ltd. Represented by &p- 'p,~h+.m~ BGM (Commercial)

4 BEFORE THE CENTRAL ELECTR%C'$Y REGULATORY COMM%SSON NEW DELH PE'-TON FOR Approval under regulation46 of CERC (Conduct of Business) Regulations91999 and Regulation-6 of CERC (Terms and Conditions of Tariff) Regulations, 29 and CERC (Terms and Conditions of Tariff) Regulations' 214 for determination of ( Truing up Transmission tariff for tariff block and (ii) Transmission tariff for tariff block for 4 kv DC Vijayawada-Nellore Transmission line, 4 kv DlC Nellore- Ssiperurnbudur line, New 4 kv Switching station at Meliore, extension of Vijayawada and Sriperurnbudur sub-station with associated bays under system strengthening scheme in Southern Region. PETTON NO. :... TARFF BLOCK : * POWER GRD CORPORATON OF NDA LTD. REGSTERED OFFCE B-9, QUKAB BNSTlTUTlONAL AREA, KATWARA SARA, NEW DELH CORPORATE CENTRE "'SALPDAMN19', BLOT NO-2, SECTOR-29, GURGAON-l22 1 (HARYANA) EPABX : TO 719, FAX :

5 BEFORE THE CENTRAL ELECTWiC%TY REGULATORY CQMMSSQN NEW DELH PE'TPON NO.:... N THE MATTER OF Approval under regulation-86 of CERC (Conduct of Business) Regulations31999, CERC (Terms and Conditions of Tariff) Regulations, 29 and CERC (Terms and Conditions of Tarifij Reguiations' 2i4 tor determination of (i) Truing up Transmission tariff for tariff block and (ii) Transmission tariff for tariff block for 4 kv DC Vijayawada-Nellore Transmission line, 4 kv DC Nellore- Sriperumbudur line, New 4 kv Switching station at Nellore, extension of Vijayawada and Sriperurr~budur sub-station with associated bays under system strengthening scheme in Southern Region. Power Grid Corporation of ndia Ltd. Registered office: B-9, Qutab nstitutional Area, Katwaria Sarai, New Delhi Corporate Centre : 'SAUDAMN', Plot No-2, Sector-29, Gurgaon ( Haryana). Karnataka Power Transmission Corporation Ltd. Cauvery Bhavan, Bangalore Represented by its Chairman And Others --- PETTONER RESPONDENTS S!. Description Enclosure Page No. No. No. ndex Letter for registration Memo of Parties Y-d 4 Affidavit - 7-$ 5 Application for determination of Tariff 9 -rc 6 CERC order dated n petition no. Encl.-l for block Tariff Filing Formats (29-14) Encl.- 2 3'4-4s 8 Tariff Filing Formats (214-19) Encl.- 3 Yb- ji) 9 Check List for Encl Check List for Encl Filed by Power Grid Corporation of lndia Ltd. Represented by cz5w' =,==='L S &G' Dy. General ~ana~ei(~ornrnercial) Gurgaon Dated:... /f

6 BEFORE '%HE CENTRAL ELEC'6RCTY REGULATORY COMMSSON. NEW DELH. N THE MATTER OF Approval under regulation-86 of CERC (Conduct of Business) Regulations7999, CERC (Terms and Conditions of Tariff) Regulations, 29 and CERC (Terms and Conditions of Tariff) Regulations' 214 for determination of (i) Truing up Transmission tariff for tariff block and (ii) Transmission tariff for tariff block for 4 kv D/C Vijayawada-Nellore Transmission line, 4 kv DC Nellore- Sriperumbudur line, New 4 kv Switching station at Nellore, extension of Vijayawada and Sriperumbudur sub-station with associated bays under system strengthening scheme in Southern Region. Power Grid Corporation of ndia Ltd. Reqistered office: B-9, Qutab nstitutional Area, Katwaria Sarai, New Delhi Corporate Centre : 'SAUDAMN', Plot No-2, Sector-29, Gurgaon ( Haryana). Karnataka Power Transmission Corporation Ltd. Cauvery Bhavan, Bangalore Represented by its Chairman And Others --- PETTONER RESPONDENTS To The Secretary Central Electricity Regulatory Commission New Delhi 11 1 Sir, The application filed under Regulation 86 of CERC (Conduct of Business) Regulation, 1999 and Regulation -6 of CERC (Terms and Conditions of Tariff) Regulations, 29 and CERC (Terms and Conditions of Tariff) Regulations' 214 for determination of (i) Truing up Transmission tariff for tariff block and (ii) Transmission tariff for tariff block may please be registered. Gurgaon Bated: f l Filed by Power Grid Corporation of lndia Ltd. Represented by fin- (P. W as yerl Dy. General Manager (Commercial)

7 BEFORE THE CENTRAL ELECTRCTY REGULATORY COMMSSON NEW DELH PETTON NO.:... N THE MATTER OF Approval under regulation-86 of CERC (Conduct of Business) Regulations'l999, CERC (Terms and Conditions of Tariff) Regulations, 29 and CERC (Terms and Conditions of Tariff) Regulat~ons' 2i4 for determination of (i) (ii) Truing up Transmission tariff for tariff block and Transmission tariff for tariff block for 4 kv DC Vijayawada-Nellore Transmission line, 4 kv DC Nellore- Sriperumbudur line, New 4 kv Switching station at Nellore, extension of Vijayawada and Sriperumbudur sub-station with associated bays under system strengthening scheme in Southern Region. Power Grid Corporation of ndia Ltd. Registered office: B-9, Qutab nstitutional Area, Katwaria Sarai, New Delhi Corporate Centre : 'SAUDAMN', Plot No-2, Sector-29, Gurgaon ( Haryana). Karnataka Power Transmission Corporation Ltd. Cauvery Bhavan, Bangalore Represented by its Chairman And Others --- PETTONER RESPONDENTS MEMO OF PARTES Power Grid Corporation of lndia Ltd. VERSUS l Karnataka Power Transmission Corporation Ltd., (KPTCL), Kaveri Bhavan, Bangalore Represented by its Chairman --- PETTONER -- RESPONDENTS - 2 Transmission Corporation of And hra Pradesh Ltd., (AQTRANSCO), Vidyut Soudha, Hyderabad- 582 Represented by its Chairman 3 Kerala State Electricity Board (KSEB) Vaidyuthi Bhavanam Pattom, Thiruvananthapuram Represented by its Chairman 4 Tarnil Nadu Generation and Distribution 4 -.

8 Corporation Ltd (Formerly Tamilnadu Electricity Board -TNEB) MPKRR Maaligai, 8, Anna Salai Chennai Represented by its Chairman 5 Electricity Department Govt of Pondicherry, Pondicherry - 65? Represented by its Chief Secretary 6 Eastern Power Distribution Company of Andhra Pradesh Lirr~ited (APEPDCL) APEPDCL, P&T Colony, Seethmmadhara, VSHAKHAPATNAM Andhra Pradesh, Represented by its Managing Director 7 Southern Power Distribution Company of Andhra Pradesh Limited (APSPDCL) Srinivasasa Kalyana Mandapam Backside, Tiruchanoor Road, Kesavayana Gunta, TlRUPA-T , Chittoor District, Andhra Pradesh Represented by ts Managing Director 8 Central Power Distribution Company of Andhra Pradesh limited (APCPDCL) Corporate Office, Mint Compound, HYDERABAD Andhra Pradesh Represented by ts Managing Director g Northern Power Distribution Company of Andhra Pradesh Limited (APNPDCL) Opp. NT Petrol Pump Chaitanyapuri, Kazipet, WARANGAL Andhra Pradesh Represented by ts Managing Director 1 Bangalore Electricity Supply Company Ltd., (BESCOM), Corporate Office, K.R.Circle BANGALORE Maranataka Represented by ts Manqgiqg Director 1 Gulbarga Electricity Supply Company Ltd., (GESCOM) Station Main Road, GULBURGA Karnataka 5..

9 Represented by ts Managing Director 12 Hubli Electricity Supply Company Ltd., (HESCOM) Navanagar, PB Road HUBL, Karnataka Represented by ts Managing Director "1 MESCOM Corporate Office, Paradigm Plaza, AB Shetty Circle MANGALORE Karnataka Represented by ts Managing Director 14 Chamundeswari Electricity Supply Corporation Ltd., (CESC) # 927, L J Avenue Ground Floor, New Kantharaj Urs Road Saraswatipuram, MYSORE KARNATAKA Represented by ts Managing Director 5 Electricity Department Government of Goa Vidyuti Bhawan, Panaji Goa 431 Represented by Chief Engineer ( Electrical) PET'TONER POWER GRD CORPORAK1N OF NDA LTD. REPRESENTEDBY 6-%=- AS@^** / By. General Manager (Commercial) c-

10 m HARWNA BEFORE THE CENTRAL ELECTRCTY REGULATORY C OMMSS~AA NEW DELH PETTON NO.:... N THE MATTER OF Abproval under regulation-86 of CERC (Conduct of Business) Regulations'l999, CERC (Terms and Conditions of Tariff) Regulations, 29 and CERC (Terms and Conditions of Tariff) Regulations' 214 for determination of. (i) Truing up Transmission tariff for tariff block and (ii) Transmission tariff for tariff block f& 4 kv DC Vijayawada-Nellore Transmission line, 4 kv D/C Nellore-Sriperumbudur line, New 4 kv Switching station at Nellore, extension of Vijayawada and Sriperumbudur skb-station with associated bays under system strengthening scheme in Southern Region. 1 Power Grid Corporation of ndia Ltd. Registered office: 5-9, Qutab nstitutional Area, Katwaria Sarai, New Delhi ; Corporate Centre : 'SAUDAMN', Plot No-2, ' ' Sector-29, Gurgaon ( Haryana). Karnataka Power Tran Cauvery Bhavan, Ba Represented by its C? And Others --- PE'TTONER RESPONDENTS 1, /! ~4245 ~ n i anager (Commercial) ia the power rid ~orporati e at B-9, nstitutional

11 Area, Katwaria Sarai, New Delhi-l 1 16, do hereby solemnly affirm and state as under:- 1. That l am the Dy. General Manager (Commercial) of Power Grid Corporation of lndia Ltd., the representative of the Petitioner in the above matter, and am duly authorised to make this affidavit. 2. That the enclosed tariff Petition is being filed for Truing up Transmission tariff for tariff block and determination of tariff for tariff period for 4 kv DC \iinrrnsnrnae hlnlla~n Trnnrrmirrrrinn inn A n 3,\ n/p filnllnvn-crinnw h a #cl, a r 1;-n Rnn., V ~ jayawwaua-~~~~~~l G a1 J JJV 111 G, sv nv vru YGV F; 1 ~G uitivuuul 111 G, WGVW 4 kv Switching station at Nellsre, extension of Vijayawada and Sriperumbudur sub-station with associated bays under system strengthening scheme in Southern Region. 3. That no other tariff Petition except this Petition has been filed directly or indirectly for Truing up Transmission tariff for tariff block and determination of tariff for tariff period for 4 kv DC Vijayawada-Nlellore Transmission line, 4 kv DC Nellore-Sriperumbudur line, New 4 kv Switching station at Nellore, extension of Vijayawada and Sriperumbudur sub-station with associated bays under system strengthening scheme in Southern Region. 4. That the statements made in the tariff Petition herein are based on petitioner company's official records maintained in the ordinary course of business and believe them to be true and correct. 5. The documents attached with the petition are legible copies and duly attested by me VERFCATON 7% g.. Solemnly affirmed at Gurgaon on this.. day of July'214 that the contents of the above affidavit are true to my knowledge and belief and no part of it is false and nothing material has been concealed there from. MAHEWDER S. PUN~A ADVOCATE G MO-JAR~ D;ST~. g'~jrg,t,~;.., 1.'. f ana) ndia

12 BEFORE THE CENTRAL ELECTRCTY REGLlbATORY COMMSSON NEW DELH PETTON NO.:... N THE MATTER OF Approval under regulation-86 of CERC (Conduct of Business) Regulations'1 999, CERC (Terms and Conditions of Tariff) Regulations, 29 and CERC (Terms and Conditions of Tariff) Regulations' 214 for determination of (i) Truing up Transmission tariff for tariff block and (ii) Transmission tariff for tariff block 4 kv DC Vijayawada-Nellore Transmission line, 4 kv DC Nellore- S-ipel-umbudur line, New 4 kv Switching station at Nellore, extension of Vijayawada and Sriperumbudur sub-station with associated bays under system strengthening scheme in Southern Region. Power Grid Corporation of ndia Ltd. Registered office: B-9, Qutab nstitutional Area, Katwaria Sarai, New Delhi. l1 16. Corporate Centre : 'SAUDAMN', Plot No-2, Sector-29, Gurgaon ( Haryana). Karnataka Power Transmission Corporation Ltd. Cauvery Bhavan, Bangalore Represented by its Chairman And Others --- PETTONER RESPONDENTS To The Hon'ble Chairman and his Companion Members of The Hon'ble CERC The humble application filed by the Petitioner MOST RESPECTFLLLY SHOWETH 1. That, Hon'ble Commission have made Central Electricity Regulatory Commission (Terms and Conditions of Tariff) Regulations, 214 and issued vide notification dated These regulations shall remain in force for a period of five (5) years w.e.f , unless reviewed earlier or extended by the Hon'ble Commission. 2. The Petitioner herein, Power Grid Corporation of lndia Ltd. is a Government Company within the meaning of Companies Act, n exercise of powers under sub-section (1) of section 38(1) of the Electricity Act 23, the Government of lndia has declared the Petitioner herein as the Central Transmission Utility (CTU). The petitioner being CTU is deemed to be a transmission licensee under section 14 of the Electricity Act' 23. t,i>- - ',.

13 3. That the petitioner has executed 4 kv DC Vijayawada-Nellore transmission line, 4 kv DC Nellore-Sriperumbudur line, New 4 kv Switching station at Nellore, extension of Vijayawada and Sriperumbudur sub-station with associated bays under system strengthening scheme in Southern Region and the same has been put under commercial operation from That the final Transmission Tariff based on admitted capital cost of Us Lakhs as on & as well as (in view of no add cap during 29-?A) fer a!! the assets ef the said transl?lssien system co\.lered under this petition for the tariff period up to has been approved by the Hon'ble Commission vide its order dated in petition No.: 56121, a copy whereof is attached hereto as Encl.-l, pagelb. to That the Petitioner is required to adjust the yearly impact of MAT as per regulation 6(5) of the amendment to the tariff Regulation period dated in the truing up petition for tariff block. Regulation 6(5) of the amendment to the tariff Regulation 29-14: Quote " Provided further that Annual Fixed Charge with respect to the tax rate applicable to the generating company or the transmission licensee, as the case may be, in line with the provisions of the relevant Finance Acts of the respective year during the tariff period shall be trued up in accordance with Regulation 6 of these regulations." Unquote The truing up exercise is to be done at the time of filing tariff petition for next block, i.e period as per regulation 6(1) of Tariff Regulation Regulation 6(1) of Tariff Regulation 29-14: Quote "The Commission shall carry out truing up exercise aloqg with the tariff petition filed for the next tariff period, with respect to the capital expenditure including additional capital expenditure incurred up to , as admitted by the Commission after prudence check at the time of truing up.". Unquote The MAT rate applicable to the petitioner for the various years as per the Finance Act of the relevant year and the revised grossed up ROE are as giver1 below: Year MAT Rate Grossed up ROE (Base ratel(1 -t)

14 n line with above Regulation the tariff for each year of the tariff period block w.r.% the actual tax rate applicable to the petitioner in line with provisions of the relevant Finance Acts has been trued up. 6. While filing Tariff petition for period the petitioner had prayed for allowing the floating rate of nterest on loan adjustments. As per Hon'ble Commission order dated in petition no , it has been stated that interest on loan was calculated on basis of prevailing rates as on and any change in the rates of interest subsequent to will be considered at the time of truing up. Accordingly in the instant petition, the truing up on account of impact due to change in MAT rate as well as floating rate of interest is being carried out. 7. TRANSMSSON TARFF 7.1 Tariff for period (MATlF%oating) n line with the para 5 & 6 above the revised transmission tariff for block is worked out as follows: Project 4 kv D/C Vijayawada- Nellore transmission line, 4 kv DC Nellore- Sriperumbud ur line, New 4 kv Switching station at Nellore, extension of Vijayawada and Sriperumbud ur sub-station with bays. Annual Fixed Cost approved Revised AFC based on truing up The tariff for block has been worked out as per Appendix-l, Part ll of the tariff regulations for period and the Tariff Filing Formats along with the other relevant information and supporting documentation are attached hereto as Encl.- 2, page 33 to.c. 7.2 Tariff for period That as per regulation 6(l)(i), 2 (3) and regulation 21 of the Central Electricity Regulatory Commission (Terms and Conditions of for transmission of electricity on STS shall comprise for recovery 'i P

15 of annual fixed cost consisting of (a) Return on Equity, (b) nterest on Loan, (c) Depreciation, (d) nterest on Working Capital and (e) Operation and maintenance expenses. The tariff for block has been worked out as per Appendix-l, Part ll of the tariff regulations for period and the Tariff Filing Formats along with the other relevant information and supporting documentation (if any) are attached hereto as Encl.- 3, to.h. -The capital cost admitted by CERC as on is Rs bakhs and same has been considered for computation of tsriff for 29 -?4 R, 2?4-19 period. The tariff from to is summarized below : 1 Period 1 Annual Fixed Cost (Rs. Lakh)# # - While calculating Annual fixed O&M charges, rates as specified in the Tariff Regulation1214 have been considered. However, the petitioner is approaching the Hon'ble Commission through review petition for revision in the O&M rates. Thus the Annual Fixed Cost is subject to the outcome of the said review petition. 7,3 The asset will comp!ete? 2 Yrs. or!?.3.2? 5 anc! thus depreciation during , , and has been calculated based on the remaining depreciable value to be recovered in the balance- useful life as per clause 27 of the CERC Tariff regulations 214. The details have been computed and are provided in Form- l A. at, it is submitted that the petitioner being liable to pay income tax at MAT rate, the E has been % after grossing up the ROE with MAT rate of 2.961% based on the rate prescribed by the Hon'ble Commission as per illustration under regulation 25 (2) (i) of the Central Electricity Regulatory Commission (Terms and Conditions of Tariff) Regulations, 214 during period. That as per clause 25 (3) of the above regulation, the grossed up rate of ROE at the end of every financial year shall be trued up based on actual tax paid together with any additional tax demand including interest thereon duly adjusted for any refund of tax including interest received from the T authorities pertaining to the tariff period to on actual gross income of any financial year. Any under-recovery or overrecovery of grossed up rate on ROE after truing up shall be recovered or refunded to beneficiaries on year to year basis. t is further submitted that adjustment due to any additional tax demand including interest duly adjusted for any refund of tax including interest received from T authorities shall be recoverable ladjustable during 1 after completion of income tax assessment of the financial year. 7.5 That as provided in clause 39 of the Tariff Regulations 29 & clause 49 of the Tariff Regulations 214, the deferred tax liability before shall be recovered from the beneficiaries or the long term same gets materialized. 12,.',.'

16 7.6 Service tax on transmission has been put in the negative list w.e.f and accordingly the Transmission Charges indicated at para 7. 'l & 7.2 above, is exclusive of Service Tax and the same shall be borne and additionally paid by the respondent(s) to the petitioner and the same shall be charged, billed separately by the petitioner if at any time the transmission charges is withdrawn from the negative list. Further, any additional taxes are to be paid by the petitioner on account of demand from Govt 1 Statutory authorities, the same may be allowed to be recovered from the beneficiaries. 7.7 n the tariff calculation for period nterest on Loan has been calculated on the basis of rate prevailing as on The change in lnterest rate due to floating rate of interest applicable, if any, for the project needs to be claimed 1 adjusted over the tariff block of five (5) years directly from with the beneficiaries. However, n tariff calculation for period, lnterest on Loan has been calculated based on actual interest rates for each year. 4 P& For the ur o e of the supporting documents for rate of interest, kindly refer pageyl. to vs(. 6 r affidavit dtd which was filed before the Hon'ble Commission to avoid duplicacylrepeatative submission of voluminous documents in each petition. These documentsldetails are also available on our website The transmission charges at para-7.2 above is inclusive of O&M expenses for the project derived based on the norms for O&M expenditure for Transmission System as specified under regulation 29 (3) (a) of the tariff regulations for block t is the understanding of the petitioner that these norms for O&M expenditure been arrived by the Honibie Commission after considering (i) normalized actual O&M expenses of the petitioner on its various projects in val-ious regions during the year 28-9, 29-1, 21-11, and t is submitted that the wage revision of the employees of the petitioner company is due during and actual impact of wage hike which will be effective from a future date has also not been factored in fixation of the normative O&M rates prescribed for the tariff block The scheme of wage revision applicable to CPSUs being binding on the petitioner, the petitioner reserves the right to approach the Hon'ble Commission for suitable revision in the norms for O&M expenditure for claiming the irr~pact of wage hike, if any, during The application filing fee, expenses incurred on publication of Notices in News papers and License fee may be allowed to be recovered separately from the respondents in terms of Regulation 52 Central Electricity Regulatory Commission (Terms and Conditions of Tariff) Regulations, 214. The fees and charges to be paid by the petitioner as STS licensee (deemed STS licensee) under CERC (Fees and Charges of RLDC and other matters) Regulations as amended from time to time shall also be recoverable from the DlCs as provided under clause 52(2) (a). 7.1 The Transmission Charges and other related Charges indicated at para 7. above, is exclusive of incentive, late payment surcharge, FERV, any statutory taxes, levies, duties, cess, filing fees, license fee, RLDC fees and charges or any other kind of imposition (S) and1 or other surcharges etc. whatsoever imposed 1 charged by any Government (Centrailstate) and or any other local bodies/authorities/reguatory authorities in relation to transmission of electricity, ey"r~mental protection, andlor in respect of any of its installation associated with thediansmlssl~n System and the!c:

17 same shall be borne and additionally paid by the respondent(s) to the petitioner and the same shall be charged, billed separately by the petitioner on the respondents. 8 Sharing of Transmission Charges Tariff for Transmission of Electricity (Annual Fixed Cost) as per para 7. above shall be recovered on nionthly basis in accordance with Regulation 43 of Central Electricity Regulatory Commission (Terms and Conditions of Tariff) Regulations, 274 and sha!! be shared by the benefici~ries, ~ng term trsnsmissi~n custemers in Central Electricity Regulatory Commission (Sharing of nter State Transmission Charges and bosses) Regulations, 21 dated and amendment to these Regulations issued vide order dated or as amended from to time. However, the transmission charges for period upto shall be recovered on monthly basis in accordance with Regulation 23 and shall be shared by the respondents in accordance with regulation 33 of CERC (Terms and Conditions of Tariff) Regulations, n the circumstances mentioned above it will be just and proper that the transmission tariff for the assets covered under this petition be allowed to be charged from the Respondents on the basis set out in para-7. above. The Petitioner submits that the Encl.-l to Encl.-Smay please be treated as integral part of this petition. PRAYER t is respectfully prayed that the Hon'ble Comrr~ission may be pleased to l) Approve the revised Transmission Tariff for 2'9-14 block and transmission tariff for block for the assets covered under this petition, as per pa'ra - 7 above. 2) Allow the petitioner to recover the shortfall or refund the excess Annual Fixed Charges, on account of Return on Equity due to change in applicable Minimum AlternateCorporate ncome Tax rate as per the ncome Tax Act, '1 961 ( as amended from time to time) of the respective financial year directly without making any application before the Commission as provided under clause 25 of the Tariff regulations ) Allow the petitioner to recover the deferred tax liability before from the beneficiaries or the long term customers DlCs as and when the same gets materialized. 4) Allow the Petitioner to approach Hon'ble Commission for suitable revision in the norms for O&M expenditure for claiming the impact of wage hike, if any, during period ) Approve the reimbursement of expenditure by the beneficiaries towards petition filing fee, and expenditure on publishing of notices in newspapers in terms of Regulation 52 Central Electricity Regulatory Commission (Terms and Conditions of Tariff) Regulations, 214, and other expenditure ( if any) in relation to the filing of petition. 6) Allow the petitioner to bill and recover Licepsee fee and RLDC fees and charges,

18 separately from the respondents in terms of Regulation 52 Central Electricity Regulatory Commission (Terms and Conditions of Tariff) Regulations, ) Allow the petitioner to bill and adjust impact on nterest on Loan due to change in nterest rate on account of floating rate of interest applicable during period, if any, from the respondents. (wherever applicable) 8) Allow the Petiti~ner to bill and recover Service tax on Transmission Charges separately from the respondents, if at any time service tax on transmission is withdrawn from negative list at any time in future. Further, any taxes and duties including cess etc. imposed by any statutory/govtlmunicipal authorities shall be allowed to be recovered from the beneficiaries. and pass such other relief as Hon'ble Commission deems fit and appropriate under the circumstances of the case and in the interest of justice. Filed by Power Grid Corporation of ndia Ltd. ( p.sm~ om~ W) Represented by Gurgasn Dated: a By. General Manager (Commercial)

19 CENTRAL ELECTRCTY REGULATORY COMM%SSQN NEW DELH Corarn: 3. Shri V.S.Verma, Member 2, %hp.: &A Rsama R a n s r r l p. ~ L\Ae-krrr e9 W D Y G G U WMY UlMl s W#F;WF; DATE OF HEARNG: ) DATE OF ORDER n the matter of Approval of transmission tariff for 4 kv D/C Vijayawada-Nellore transmission line, 4 kv D/C Nellore-Sriperumbudur line, New 4 kv Switching station at Nellore, extension of Vijayawada and Sriperumbudur sub-station with associated bays under system strengthening scheme in Southern Region for the period from to And in the matter of Power Grid Corporation of ndia Limited, Gurgaon..Petitioner vs 1. Kerala State Electricity Board, Thiruvanathapuram 2. Tamil Nadu Electricity Board, Chennai 3. Electricity Department, Govt. of Pondicherry, Pondicherry 4. Electricity Department, Government of Goa, Panaji 5. Transmission Corporation of Andhra Pradesh Ltd., Hyderabad 6. Northern Power Distribution Company of Andhra Pradesh Limited, Warangal 7. Eastern Power Distribution Company of Andhra Pradesh Limited, Vishakhapatnam 8. Southern Power Distribution Company of Andhra Pradesh Limited, Tirupati 9. Central Power Distribution Company of Andhra Pradesh Limited, Hydera bad 1.Karnataka Power Transmission Corporation Limited, Bangalore 1 1. Bangalore Electricity Supply Company Ltd., Bangalore 12. Gulbarga Electricity Supply Company Ltd. Gulburga 13. Hubli Electricity Supply Company Ltd., Hubli 14. MESCOM Corporate office, Mangalore 15.Chamundeswari Electricity Supply Corporation Ltd., Mysore..Respondents 'The following were present: 1. Shri U.K.Tyagi, PGClL 2. Shri M.M. Mondal, PGClL 3. Shri R.Prasad, PGClL Order in Pet No Page 1 of 18

20 4. Shri R.K.Gupta, PGClL 5. Shri V.Vamsi, PGClL ORDER The petition has been filed seeking approval of tariff 4 kv D/C \!ijaya\.~!ac?a-ne!!or~ Qransmisior!!he, A kv C)!C RJe!!ore-.Ciper~-~mbudvr line; New 4 kv Switching station at Nellore, extension of Vijayawada and Sriperumbudur sub-station with associated bays (collectively referred to as "the transmission assets") under system strengthening scheme (the transmission scheme) in Southern Region for the period to 31-3,214 based on the Central Electricity Regulatory Commission (Terms and Conditions of Tariff) Regulations, 29 (hereinafter referred to as "the 29 regulations"). The petitioner has made the following additional prayers:- (a) To invoke the provision of Regulation 44 of the 29 regulations for relaxation of regulations 15 (3) of the 29 regulations so that grossing up the base rate shall be considering the revised rate of MAT as per the Finance Act, 29 for the year 29-1 and as per the Finance Act, 21 for the year and subsequent years and allow consequential impact on tariff for period accordingly; (b) To approve reimbursement of petition filing fee and publication of notices in the newspaper as per the 29 regulations; (c) Allow to adjust impact on interest on loan due to floating rate of interest applicable during 29-14; (d) Allow to recover the service tax on transmission charges separately from the respondents, if the petitioner is subjected to such service tax; and Order in Pet No Page 2 of 18

21 [e) Allow reimbursement of licence fee separately from the respondents. 2. The investment approval for the transmission scheme was accorded by the Central Government vide letter dated at an estimated cost of lakh, including DC of lakh. The transmission assets were declared under commercial operation The annual transmission charges for the period from to were decided by the Commission in its order dated in Petition No based on admitted capital of including additional capitalization for the period The petitioner has claimed the transmission charges as under: 1 (7 in lakh) Depreciation nterest on Loan Return on Equity nterest on Working Capital & M Ex~enses The details submitted by the petitioner in support of its claim for interest on working capital are given hereunder: Maintenance Spares & M expenses Receivables Total. -. Rate of nterest nterest % % % % % Reply to the petition has been filed by Tamil Nadu Electricity Board (TNEB). No comments or been received from the general Order in Pet No Page 3 of l8

22 public in response to the notices published by the petitioner under section 64 of the Electricity Act, 23. TNEB in its reply has made following submission: (i) To allow reimbursement of impact on tariff on account of change in income tax rates during the tariff period, if any, at the end of tariff: (ii) As such there is no provision in the 29 regulations for reimbursement on account of change in the rate of MATCorporate tax on a yearly basis. However, since a year in the present tariff period has already elapsed, the rates prevailing on the date of petilion be considered in awarding tariff and further variations if any may be allowed to be settled along with truing up exercise at the end of the tariff period without any interest liability on the beneficiaries ; (iii) Under para 6.4 of the petition, the petitioner has prayed that the service tax payable by them be allowed to be recovered from the beneficiaries. As the petition No pertaining to,the issue is to be disposed of by the Commission, therefore, without prejudice to our rights available, the outcome of the said petition No be made applicable in this case also.; (iv) To negate the filing fee claim in line with the decision taken by the Commission vide its order dated in Petition No. l29125 (Suo motu); Order in Pet No Page 4 of 18

23 (v To negate the request for revision of the normative o & M expenses considering the impact of wage revision, effective from 1.l 27 as the regulations does not provide any revision under any circumstances. TNEB has also raised issues of the reimbursement of expenditure towards publishing notices and licence fee. The issues raised by the MPPTCL have been dealt with in the relevant paras of this order 7. The petitioner has filed its rejoinder vide affidavit dated n regard to first and second issues above, the petitioner has submitted that unless the revision in MAT rate is effected in computing the ROE, the cash flow would be adversely affected as tax ~vould have to be paid at revised rate of MAT in accordance with the Finance Act, 29 whereas cash would be generated through ROE based on MAT@ 1%. Finance Act, 21 has increased the MAT Rate to 18%. Revision of rate of pre-tax return on equity with the applicable MAT as per the Finance Act, 29/21 would save both the petitioner and the beneficiaries from an add~.l.ional exercise and also avoid accumulation of arrears in respect of revision of ROE for all the tariff period n regard to service tax, the petitioner has submitted that in the Finance Act 21, transmission service has been exempted from service tax. However, service tax implication, if any, for the period 29-1 shall have to be shared by the beneficiaries. n regard to 8, M the petitioner has submitted that per ckt. km. and per bay & M rates considered are based on the 24 regulations. The petitioner has submitted that the wage revision for the executive levels has already been done, however, for the non-executive Order in Pet No Page 5 of 18

24 levels, the wage revision shall be done shortly and he will approach before the Commission for additional manpower cost on account of wage revision during the period CAPTAL COST 8. As per clause (2) of Regulation 7 of the 29 regulations, the project cost admitted by the Commission for determination of tariff prior to shall form the basis for determination of tariff. 9. The petitioner has claimed the capital expenditure of lakh, which was admitted vide order dated in Petition No The petitioner has not claimed any additional capitalization. 1. Accordingly, gross block of lakh as on has been considered for the purpose of tariff. DEBT- EQUTY RATO 1 1. Clause (2) of Regulation 12 of the 29 regulations inter alia provides "(2) n case of the generating station and the transmission system declared under commercial operation prior to , debt-equity ratio allowed by the Commission for determination of tariff for the period ending shall be considered." 12. The petitioner has claimed tariff based on debt-equity ratio of 83-27:] 6.73 as considered by the Commission in its order dated ibid. The same debt-equity ratio has been considered for the purpose of tariff. Order in Pet No Page 6 of 18

25 RETURN ON EQUTY 13, Regulation 15 of the 29 regulations provides that,- " 15. (1 ) Return on equity shall be computed in rupee terms, on the equity base determined in accordance with regulation 12. (2) Return on equity shall be computed on pre-tax basis at the base rate of 15.5% to be grossed up as per clause (3) of this regulation: Provided that in case of projects commissioned on or after 1st April, 29, an additional returr! of.5% shal! be allowed if such projects are completed within the timeline specified in Appendix-ll: Provided further that the additional return of.5% shall not be admissible if the project is not completed within the timeline specified above for reasons whatsoever. (3) The rate of return on equity shall be computed by grossing up the base rate with the normal tax rate for the year 28-9 applicable to the concerned generating company or the transmission licensee, as the case may be: Provided that return on equity with respect to the actual tax rate applicable to ihe generating company oi the transmission licensee, as the case may be, in line with the provisions of the relevant Finance Acts of the respective year during the tariff period shall be trued up separately for each year of the tariff period along with the tariff petition filed for the next tariff period. (4) Rate of return on equity shall be rounded off to three decimal points and be computed as per the formula given below: Rate of pre-tax return on equity = Base rate l (1 -t] Where t is the applicable tax rate in accordance with clause (3) of this regulation. (i) n case of the generating company or the transmission licensee paying Minimum Alternate Tax % including surcharge and cess: Rate of return on equity = ( ) = % (ii) n case of generating company or the transmission licensee paying normal corporate 33.99% including surcharge and cess: Rate of return on equity = ( ) = %." 14. The petitioner has compufed return on equity on pre-tax basis on % MAT in accordance with tax rate applicable for the year 28-9 and claimed return on equity of lakh each year during the tariff % Order in Pet No Page 7 of 18

26 against the equity base of lakh. This has been found to be in order. Accordingly, the petitioner shall be entitled to return on lakh each year during the tariff period, as claimed. i 5. in regara io MAT, ine ~omrnission viae iis order aaiea in Peiiiion No has already taken a decision to amend the 29 regulations. The relevant portion of the said order is extracted as under: "We are of the view that this issue of 'grossing up the base rate with the normal tax rate for the year 28-9' is generic in nature and therefore, it will be appropriate to make suitable provisions in the 29 regulations to cater to any future changes in the tax rate. Accordingly, we direct the staff of the Commission to prepare and submit draft amendment to the 29 regulations for allowing grossing up of base rate of return with the applicable tax rate as per the Finance Act for the relevant year and direct settlement of tax liab~lity between the generaling company/transmission licensee and the beneficiariesllong term transmission customers on year to year basis. Any underlover recovery on account of direct settlement of tax liability shall be subject to the final adjustment at the time of true up exercise," 16. n view of our above order the prayer of the petitioner will be taken care of after amendment of the regulations. NTEREST ON LOAN 17. Regulation 16 of the 29 regulations provides that,- " 16. (1 ) The loans arrived at in the manner indicated in regulation 12 shall be considered as gross normative loan for calculation of interest on loan. (2) The normative loan outstanding as on shall be worked out by deducting the cumulative repayment as admitted by the Commission up to from the gross normative loan. (3) The repayment for the year of the tariff period shall be deemed to be equal to the depreciation allowed for that year: (4) Notwithstanding any moratorium period availed by the generating company or the transmission licensee, as the case may be the repayment of loan shall be considered from the first year of commercial operation of the Page 8 of l8

27 (5) 'The rate of interest shall be the weighted average rate of interest calculated on the basis of the actual loan portfolio at the beginning of each year applicable to the project: Provided that if there is no actual loan for a particular year but normative loan is still outstanding, the last available weighted average rate of interest shall be considered: ' Provided further that if the generating station or the transmission system, as the case may be, does not have actual loan, then the weighted average rate of interest of the generating company or the transmission licensee as a whole shall be considered. (6) The interest on loan shall be calculated on the normative average loan of the year by applying the weighted average rate of interest. (7) The generating company or the transmission licensee, as the case may be, shall make every effort to re-finance the loan as long as it results in net savings on interest and in that event the costs associated with such re-financing shall be borne by the beneficiaries and the net savings shall be shared between the beneficiaries and the generating company or the transmission licensee, as the case may be, in the ratio of 2: 1. (8) 'The changes to the terms and conditions of the loans shall be reflected from the date of such re-financing. (9) n case of dispute, any of the parties may make an application in accordance with the Central Electricity Regulatory Commission (Conduct of Business) Regulations, 1999, as amended from time to time, including statutory re-enactment thereof for settlement of the dispute: Provided that the beneficiary or the transmission customers shall not withhold any payment on account of the interest claimed by the generating company or the transmission licensee during the pendency of any dispute arising out of re-financing of loan." 18. n our calculation, the interest on loan has been worked out as detailed below: (i) Details of net outstanding loan as on , cumulative repayment up to , rate of interest for Bonds, repayment schedule for the loans. etc. have been taken from the order dated in Petition No for working out weighted average rate of interest Order in Pet No Page 9 of 18

28 [ii) Tariff has been worked out considering normative loan and normative repayments. Depreciation allowed has been taken as normative repayment for the period (iii! Weighted average rate of interest on actual loan worked out as above has been applied on the average loan during the year to arrive at the interest on loan. 19. OBC and PbB-ll loans considered by the petitioner have floating rate of interest. The petilioner has submitted that the change in interest rate due to floating rate of interest applicable, if any needs to be claimed/adjusted over the tariff period directly from the beneficiaries. The interest of loan has been calculated on the basis of interest rates prevailing as on as per the 29 regulations. Based on the above, the year-wise details of interest worked out are given hereunder: Details of loan Gross Normative Loan Cumulative Repayment up to Previous Upto , Net Loan-Opening ( Addition due to Additional The detailed calculations in support of the weighted revised average rate of interest are contained in Annexure attached. Order in Pet No Page 1 of 18

29 DEPRECATON 21. Regulation 17 of the 29 regulations provides for computation of depreciation in the following manner, namely: "17. (1) 'The value base for the purpose of depreciation shall be the capital cost of the asset admitted by the Commission. (2) The salvage value of the asset shall be considered as 1% and depreciation shall be allowed up to maximum of 9% of the capital cost of the asset. (3) Land other than the land held under lease and the land for reservoir in case of hydro generating station shall not be a depreciable asset and its cost shall be excluded from the capital cost while computing depreciable value of the asset. [4) Depreciation shall be calculated annually based on Straight Line Method and at rates specified in Appendix-ll to these regulations for the assets of the generating station and transmission system: Provided that, the remaining depreciable value as on 31st March of the year closing after a period of 12 years from date of commercial operation shall be spread over the balance useful life of the assets. (5) n case of the existing projects, the balance depreciable value as on shall be worked out by deducting the cumulative depreciation as admitted by the Commission up to from the gross depreciable value of the assets. (6) Depreciation shall be chargeable from the first year of commercial operation. n case of commercial operation of the asset for part of the year, depreciation shall be charged on pro rata basis." 22. The depreciation has been worked out on the admitted capital expenditure of lakh as on Cumulative depreciation up to amounting to lakh has been taken as per order dated in Petition No Order in Pet No.56-21

30 23. For the period to the depreciation works out to T lakh each year by applying rate of depreciation of % as shown below: ( T in lakh) Details of Depreciation Upto l l ( Gross block as per order dated Addition during due to ( projected Additional Capitalisation Gross block as on OPERATON $ MANTENANCE EXPENSES 24. n accordance with clause (g) of Regulation 19 the 29 regulations, the following norms for 4 kv D/C Vijaywada-Nellore and 4 kv D/C Nellor- Sriperumbudur lines and new 4 kv Switching station at Plellore, extension of Vijaywada and Sriperumbudur sub-station with associated bays are prescribed for & M expenses: 4 kv D/C transmission line (7 in lakhlkm) 4 kv sub-stationlbays (3 in lakhl bay) Year 'The petitioner has claimed & M expenses for Ckt.km. and 8 bays, which has been allowed. Accordingly, the petitioner's entitlement to & M expenses has been worked out as given hereunder: (7 in lakh) l Year Transmission lines ( km) O&M expenses for 8 bays Order in Pet No l /' /, i - \ Page 12 of 18

31 26. The peliiioner has submitted that transmission charges claimed for the year is inclusive of & M expenses for project derived based on the norms for expenditure as specified under Regulation 19 (g) of the 29 regulation. Accordingly, & M expenses for the transmission assets have been considered as per Regulation 19 (g) of the 29 regulations. The petitioner has further submitted that he reserves the right to approach the Commission for suitable revision in the norms for & M expenditure in case the impact of wage hike w.e.f 1.l 27 is more then 5%. The petitioner has further submitted that & M norms for the period 29-14, the cost associated with license fees had not been captured and the licence fee be allowed to be recovered separately from the respondents. The petitioner has not made any claim towards wage hike and licence fee in the present petition, these issues shall be considered after making the application by the petitioner in this regard. NTEREST ON WORKNG CAPTAL 27. The components of the working capital and the interest thereon are discussed hereunder: (i) Receivables As per Regulation 18(l] (c](i) of the 29 regulations, receivables will be equivalent to two months average billing calculated on target availability level. The petitioner has claimed the receivables on the basis 2 months' transmission charges claimed in the petition. n the tariff being allowed, receivables have been worked out on the basis 2 months' transmission charges. Order in Pet No Page 13 of 18

32 (ii) Maintenance spares Regulation 18(1 )(C)(ii) of the 29 regulations provides for maintenance 15% per annum of the & M expenses from 'The value of maintenance spares works out to lakh as on (iii) & M expenses Regulation 18(1) [c] (iii) of the 29 regulations provides for operation and maintenance expenses for one month as a component of working capital. The petitioner has claimed O&M expenses for 1 month of O&M expenses of the respective year as claimed in the petition. This has been considered in the working capital. (h) Rate of interest on working capital As per Regulation 18(3) of the 29 regulations, rate of interest on working capital shall be on normative basis and shall be equal to the short-term Prime Lending Rate of State Bank of ndia as on or on l st April of the year in which the project or part thereof (as the case may be) is declared under commercial operation, whichever is later. The interest on working capital is payable on normative basis notwithstanding that the transmission licensee has not taken working capital loan from any outside agency. The petitioner has claimed interest on working 12.25% based on SB PLR as on , which is in accordance with the 29 regulations and has been allowed. Order in Pet No Page 14 of 18

33 28. The necessary computations in suppod of interest on working capital are appended hereinbelow: Maintenance Spares & M expenses Receivables Total Rate of nterest nterest , % Q , % , % , % (7 in lakh) , % TRANSMSSON CHARGES 29. The transmission charges being allowed for the transmission asset are summarised below: & M Expenses Total Application fee and the publication expenses 3. 'The petitioner has sought approval for the reimbursement of fee paid by it for filing the petition. n accordance with our decision in order dated 1 1.l 21 in Petition No , the petitioner shall be entitled to recover the filing fee from the beneficiaries. 31. Accordingly, expenses incurred by the petitioner on application filing fees and publication of notices in connection with the present petition shall be directly recovered from the bene.riciaries on pro rata basis. Order in Pet No Page 15 of 18

34 Service Tax 32. Presently, service tax on transmission service has been exempted by Government of ndia vide its notification No. 2/21 dated read with notification No dated Therefore, prayer made by the petitioner for recovery of service tax on transmission charges from the beneficiaries has become infructuous. 33. n addition to the transmission charges, the petitioner shall be entitled to other charges like income-tax, surcharge and other cess and taxes in accordance with the 29 regulations. 34. The transmission charges allowed shall be recovered on monthly basis in accordance with Regulation 23 and shall be shared by the respondents in accordance with Regulation 33 of the 29 regulations. 35. This order disposes of Petition No. 56/2 1. sd/- (M.DEENA DAYALAN) MEMBER sd /- (V.S.VERMA) MEMBER Order in Pet No Page 16 of 18

35 CALCULATlON OF WEGHTED A\ERAGE RATE OF NTEREST ON LOAN 4 Details of Loan BONDS X Gross loan opening Cumulative Repayment up to B in lakh) the date of commercial Order in Pet No _./ L.'.- :-. &... Page 17of 18!,..,. -c//'..'.

36 Order in Pet No Page 18 of 18

37 Jauop!aad ZO'Z9OS 6E8E6 LT'OET tl"tjett ZZ'8EOT S'OZ8T T6'L 8TS Z8'L88 E'TET SZ'TZTT PO'LZZT S'OZ8t LZES P8'6E8 LL'ZET SZ'TZTT t9'ztpt S'OZ8T ZL'OTPS SE't6L LT'EET ST'OZTT. SS'ZbST S'OZ8T LT'S8PS 8Z'TSL 9tr'EET LS'8T 9Ee669T S'OZ8T lew1 a3ueuaau!eyy pue.do (ea!de3 Bu!y~o~ uo *aul Aqnb3 uo u~naau ueol uo asa~aaul uo~epa~daa PT-ETOZ s3e1 U! 'su ET-ZTOZ T-TTOZ TT-OTOZ OT OOZ Bu!aS!x3 s~elnxa~ed - EOOz-leyy-To :uo!ae~ado le!3~au~uo3 4 aaea uo!aeasqns anpnqurn~ad!~~ pue epe~eae[!~ 4 uo!suaaxa 'alollam ae uo!aejs Bu!~~J!Ms A>( OOP MaN 'auy ~npnqun~ad!~~,,3e ajollan 3/a A>( 8 'auy ~ ajollan,,3! epe~ehef!~ 3/a A>( OOP :auaual3 uo!ss!usuejl aya~o auen l WJOd - ajollan - epemae[!a / 9NN3Hl9N3u1S N31SAS 215 :~?ojd (JnpnqunJad!~~ ay% 4 auen N193Y Ntl3HlnOS :uo!za~ auen paa!ru!l e!puljo uo!aeaodlo3 p!~9 JaMod taasuaxg uo!ss!wsuejl aya 4 awen ways AJ~LUU~S - 6 T

38 Calculation of Return on Equity Name of the Transmission Licensee: Power Grid Corporation of ndia Limited Name of the Region: SOUTHERN REGON Name of the Project: SR SYSTEM STRENGTHENNG ( Vijaywada - Nellore - Sriperumbudur) Form OA Name of the Transmission Element: 4 KV D/C Vijayawada 28" Nellore line, 4 KV D/C Nellore i " Sriperumbudur line, New 4 KV Switching station at Nellore, Extension of Vijayawada and Sriperumbudur Substation

39 ) 1 b Details of Transmission Lines and Substations, Communication System l~arne of the Petitioner: Power Grid Corporation of ndia Limited ~ame of the Region: SOUTHERN REGON Name of the Project: SR SYSTEM STRENGTHENNG ( Vijaywada - Nellore - Sriperumbudur) Name of the Transmission element or Communication system: 4 KV DfCVijayawada S " Nellore line, 4 KV D/C Nellore 1E" Sriperurnbudur line, New 4 KV Nellore, Extension of Vijayawada and Sriperurnbudur Substation Date of Commercial Operation: 1-Mar-23 Transmission Lines: S.No. Name of Line 1 2 Vijayawada-Nellore Nellore-Sriperumbudur Type of Line AC/HVDC AC AC SC or D/C DC DC No. of Sub- Conductors 2 2 Voltage level KV 4 KV 4 KV Line Length CKt. KM Line length Date of operation l-mar-3 l-mar-3 Y Y -- Substations: S. No 1 1,:, ,h l Name of Sub-stat~on MADRAS-Madras Bay - MADRAS-Madras Bay -11 NELLORE-Nellore Bay - Type of Substation Voltage level KV No. of Transform ers / Reacotrs/ SVCetc. 765 KV 4 KV No. of Bays 22KV 132 KV & below Date of Commercial operation l-mar-3 l-mar-3 l-mar-3 Covered in the present petition Yes/No Y Y Y f No, petition No NELLORE-Nellore Bay -11 NELLORE-Nellore Bay - NELLORE-Nellore Bay - VJAYAWADA-V~jayawada Bay - VJAYAWADA-V~jayawada Bay -11 Total R l-mar-3 l-mar-3 l-mar-3 l-mar-3 l-mar-3 Y Y Y Y Y Communication System: S. No. Name of Communication System Type of Technical Particulars Number / length Date of Communication System operation

40 L Calculation of ~epreciation Rate Name of the Transmission Licensee: Power Grid Corporation of ndia Limited Name of the Region: SOUTHERN REGON Name of the Project: SR SYSTEM STRENGTHENNG ( Vijaywada - Nellore - Sriperumbudur) Form 1 l Name of the Transmission Element: 4 KV D/C Vijayawada X" Nellore line, 4 KV D/C Nellore S " Sriperumbudur line, New 4 KV Switching station at Nellore, Extension of Vijayawada and Sriperumbudur Substation Date of Commercial Operation: 1-Mar-23 Particulars Depreciable Value Existing Rs, in Lacs Balance useful life of the asset (at the beginning of year) Elapsed life of the asset (at the beginning of the year) Remaining Depreciable Value Depreciation during the year Depreciation upto previous year Cumulative depreciation (incl. of AAD) Net Normative Loan 6 Petitioner

41 Calculation of Depreciation Rate Mame of the Transmission Licensee: Power Grid Corooration of ndia Limited [Mame of the ~egion: SOUTHERN REGON l Mew 4 KV Switching station at Mellore, Extension of Vijayawada and Sriperumbudur Substation. Name of the Project: SR SYSTEM STRENGTHENNG ( Vijaywada - Nellore - Sriperumbudur) Name of the Transmission Element: 4 KV D/C Vijayawada S " Mellore line, 4 KW D/C Nellore d " Sriperumbudur line, Form 11 Date of Commercial Ooeration: 1-Mar-23 Rs. in Lacs S. No. Particulars Gross block at the beginning of the year Add Cap during the year Gross block at the end of the year Average Gross Block Dep. Rate Amount FREEHOLD LAND TR LNE SUB STATON 5 PLCC 6 LEASEHOLD LAND Total Weighted Average Rate of Depreciation l La~sed life

42 Form 111 Calculation of Depreciation Rate Name of the Transmission Licensee: Power Grid Corporation of ndia Limited Name of the Region: SOUTHERN REGON l Name of the Project: SR SYSTEM STRENGTHENNG ( Vijaywada - Nellore - Sriperumbudur) harne of the Transmission Element: 4 KV D/C Vijayawada X" Nellore line, 4 W B/C Nellore l " New 4 KV Switching rtatlnn a? Ne!!~re, Eyterx~ly! ~ lv~~~ybwbc!~ f a d Srper~'rnS~d~~ Suhstetic:: Sriperumbudur line, l ate of Commercial Operation: 1-Mar-23 S. No. Particulars Gross block at the beginning of the year Add Cap during the year l Gross block at the end of the year Average Gross Block Dep. Rate Amount FREEHOLD LAND BULDNG TR LNE SUB STATON PLCC LEASEHOLD LAND Total Weighted Average Rate of Depreciation Laosed life (FREEHOLD LAND 2 BULDNG TR LNE SUB STATON PLCC LEASEHOLD LAND Total l~eiahted Average Rate of De~reciation

43 %+!, Statement of Depreciation - - Name of the Transmission Li&nsee:Pow~~rid Cor~oration of~ndia~imitedl Name of the Region: SOUTHERN REGON Name of the Project: SR SYSTEM STRENGTHENNG ( Vijaywada - Nellore - Sriperumbudur) - a Name of the Transmission Element or Communication System: 4 KV D/C Vijayawada if" Nellore line, 4 KV D/C Nellore S " Siriperumbudur line, New 4 KV Switching station at Nellore, Extension of Vijayawada and Sriperumbudur Substation Date of Commercial O~eration: 1-Mar-23 Particulars opening Capital Cost Closing Capital Cost Average Capital Cost F Rs. in Lacs D, -- (~reehold Land (AV. Cost) h:., - /Balance useful life of the asset (at the beginning of year) 28 Elapsed life of the asset (at the beginning of the year) Remaining Depreciable Value Depreciation during the year ()l Depreciation upto previous year Oi Cumulative depreciation (incl. of BAD) i

44 Calculation of Weighted Average Rate of nterest on Loans [~ame of the Transmission Licensee: Power Grid Corporation of ndia Limited Name of the Region: SOUTHERN REGON Name of the Project: SR SYSTEM STRENGTHENNG ( Vijaywada - Nellore - Sriperumbudur) Form 13 l-,vame of the iialismission ~ i ~ 46 ~ i('d ~ ~ ; ~ ~ v ii 5" j :;de;;ore ~ ~ ;iiie, ~ ~ 4 ~ i<t' 2;~ b ~ ~ siiiieriiiiibiidiii ; i ~ ~ ~!51e, New 4 KV Switching station at Mellore, Extension of Vijayawada and Sriperumbudur Substation :Date of Commercial Oneration: 1-Mar-23 RS. in ~acsl (~articulars BOND X-DOCO- Gross Opening Loan Cumulative Repayments of Loans upto Previous Year Existing Net Loans Opening Add: Drawl(s) during the year Less: Repayment(s) of Loan during the year m Net Closing Loan Average Net Loan Rate of nterest on Loan nterest on Loan BOND X-DOCO- Gross Opening Loan Cumulative Repayments of Loans upto Previous Year Net Loans Opening Add: Drawl(s) during the year

45 Calculation of Weighted Average Rate of nterest on Loans Name of the Transmission Licensee: Power Grid Cor~oration of ndia Limited Name of the Region: SOUTHERN REGON Name of the Project: SR SYSTEM STRENGTHENNG ( Vijaywada - Nellore - Sriperumbudur) Form 13 Name of the Transmission Element: 4 KV D/C Vijayawada " Nellore line, 4 KW D/C Nellore a '' Sriperumbudur jne, New 4 KW Switching station at Nellore, Extension of Vijayawada and Sriperumbudur Substation!Date of Commercial Operation: 1-Mar-23 l Rs. in ~acsl Particulars Existing BOND X-option- -DOCO- Gross Opening Loan Cumulative Repayments of Loans upto Previous Year C Net Loans Opening Add: Drawl(s) during the year Less: Repayment(s) of Loan during the year et Closing Loan Average Net Loan Rate of nterest on Loan nterest on Loan BOND X-DOCO- Gross Opening Loan Cumulative Repayments of Loans upto Previous Year (Net Loans opening ) Add: Drawl(s) during the year Less: Repayment(s) of Loan during 1 the year Net Closing Loan?Average Net Loan Rate of nterest on Loan l nterest on Loan

46 Calculation of Weiahted Averaae Rate of lnte'rest on Loans Name of the Transmission Licensee: Power Grid Corporation of ndia Limited Name of the Region: SOUTHERN REGON Name of the Project: SR SYSTEM STRENGTHENNG ( Vijaywada - Nellore - Sriperumbudur) Form 13 (Name of the Tra~smisslon Element: 4 KV D/C Vijavawada " Nellore line, 4 KV D/C Nellore X''Sriperumbudur Ene, New 4 KV Switching station at Nellore, Extension of Vijayawada and Sriperumbudur Substation!Date of Commercial O~eration: 1-Mar-23 l Particulars BOND - X - Option - -DOCO ( Existing upto Previous Year Net Loans Opening O 1 Add: Drawl(s) during the year l l l Less: Repayment(s) of Loan during the year Net Closing Loan Average Net Loan C Rate of lnterest on Loan nterest on Loan Oriental Bank of commerce-docol l Gross Opening Loan l Cumulative Repayments of Loans ypto Previous Year Net Loans Opening /add: Drawl(r] during the year Less: Repayment(s) of Loan during the year Net Closing Loan Average Net Loan Rate of nterest on Loan nterest on Loan ) 1.22 l , ,/: /-./ c 48.19,.,'

47 P ~- P 1 Form Calculation of Weighted Average Rate of lnterest on Loans Name of the Transmission Licensee: Power Grid Corporation of ndia Limited Name of the Reeion: SOUTHERN REGON Name of the Project: R SYSTEM STRENGTHENNG (Vijaywada - Nellore - Sriperumbudur) -!~ate of ~omrnercial~~eration: 1-Mar-23 Name of the Transmission Element: 4 KV D/C Vijayawada " Nellore line, 4 KV D/C Nellore l " Sriperumbudur line, New 4 KV Switching station at Nellore, Extension of Vijayawada and Sriperumbudur Substation Particulars Punjab National Bank- -DOCO- Existing Rs. in Lacs Gross Opening Loan Cumulative Repayments of Loans upto Previous Year Net Loans Opening Add: Drawl(s) during the year Less: Repayment(s) of Loan during the year Net Closing Loan , Average Net Loan Rate of nterest on Loan ( ) 11.6 nterest on Loan Summary Gross Opening Loan Cumulative Repayments of Loans upto Previous Year l Net Loans Opening Add: Drawl(s) during the year {less: Repayment(s) of Loan during the year Net Closing Loan ' O 1 O1 Ol O 1 l O Average Net Loan Rate of nterest on Loan (nterest on Loan 1 :, - Petitioner

48 ~ ~ ~ p p ~ ~ Calculation of nterest on Normative Loan ~ame of the Transmission Licensee: Power Grid Cor~oration of ndia Limited ~ a iof e the Region: SOUTHERN REGON Name of the Project: SR SYSTEM STRENGTHENNG ( Vijaywada - Nellore - Sriperumbudur] Form 13A Name of the Transmission Element: 4 KV D/C Vijayawada M" Nellore line, 4 KV D/C Nellore d " Sriperumbudur line, New 4 KV Switching station at Neliore, Extension of Vijayawada and Sriperumbudur Substation Date of Commercial Operation: 1-Mar-23 Particulars Existing lf Rs. in Lacs Gross Normative Loan Opening Cumulative Repayments of Normative Loans upto Previous Year ~et Normative Loans O~eninr! ) ) ~lncreate/decrease during the year Less: Repayment(s) of Normative Loan during the year due to ACE Net Closing Normative Loan ( a v e rl a g e Net Normative Loan " j '.', C' '5.15 actual Loans.l.

49 p - - t < Form l3 Calculation of interest on Working Cauital llwcl p p p p p - - Name of the Transmission Licensee: Power Grid Corporation of ndia Limited Name of the Region: SOUTHERN REGON Name of the Project: SR SYSTEM STRENGTHENNG ( Vijaywada - Nellore - Sriperumbudur) Name of the Transmission Element: 4 KV D/C Vijayawada B " Nellore line, 4 KV D/C Nellore B " Sriperumbudur line, New 4 KV Switching station at Nellore, Extension of Vijayawada and Sriperumbudur Substation ~ate of Commercial Oueration: Of-Mar-23 Rs. in Lacs Particulars Op. and Maintenance Maintenance Spares Receivables Total working capital l l ) 1 Rate of nterest l 12.25) ) L p nterest on working capital ) ) Petitioner!,

50 ' L Summarv Sheet Name of the Transmission Licensee: Power Grid Corporation of ndia Limited Name of the Region: SOUTHERN REGON Name of the Project: SR SYSTEM STRENGTHENNG (Vijaywada - Nellore - Sriperumbudur) Name of the Transmission Element or Communication System: 4 KV D/C Vijayawada if" Nellore line, 4 KV D/C Nellore g " Sriperumbudur line, New 4 KV Switching station at Nellore, Extension of Vijayawada and Sriperumbudur Substation Date of Commercial operation : 1-Mar-23 4 Particulars Existing Depreciation-(Form No. 1A) K c651 nterest on Loan-(Form No. 9E) Return on Equity-(Form No. 8) nt. on Working Capital-(Form NO. 11) Op. and Maintenance-(Form No. 2) Total ) ( )

51 -- Formt Details of Transmission Lines and Substations, Communication System Name of the Petitioner: Power Grid Corporation of ndia Limited b m e of the Region: SOUTHERN REGON Name of the Project: SR SYSTEM STRENGTHENNG ( Vijaywada - Nellore - Sriperumbudur) Name of the Transmission element or Communication system: 4 KV D/C Vijayawada i " Nellore line, 4 KV D/C Nellore M" Sriperumbudur line, New 4 KV Nellore, Extension of Vijayawada and Sriperumbudur Substation Date of Commercial Operation: 1-Mar-23 Transmission Lines: S.No. Name of Line 1 2 Vijayawada-Nellore Nellore-Sriperumbudur Type of Line AC/HVDC AC AC SC or D/C DC DC No. of Sub- Conductors 2 2 Voltage level KV 4 KV 4 KV Line Length CKt. KM Line length Date of operation l-mar-3 l-mar-3 Y Y Substations: Communication System: S. No. Name of Communication System Type of Communication System Technical Particulars Number / length Date of operation

52 ('$1 Form 31 Normative parameters considered for tariff computations Name of the Petitioner :: Power Grid Corporation of ndia Limited Name of the Reeion :: SOUTHERN REGON ~ame of the Proiect :: SR SYSTEM STRENGTHENNG [ Viiawada - Nellore - Sri~erumbudurl Name of the Transmission Element or Communication System :: 4 KV B/C Vijayawada B " Nellore line, 4 KV D/C Nellore if" Sriperumbudur line, New 4 KV Switzhing station at Nellore, Extension of Vijayawada and Sriperumbudur Substation /Date of Commerdai Operation: 1-Mar-2W3 Particulars Base Rate of Return of Equity Tax Rate Effective tax rate Grossed up Rate of ROE Target availability - AC System Target availability - HVDC System Unit 114 % % % % % % 15.5%1 15.5%1 15.5%1 15.5%1 15.5%1 15.5% 11.33% 2.96% 2.96% 2.96% 2.96% 2.96% Normative O&M per KM Rs.Lakh ~ouble Circuit [Bundle conductor with four sub-conductors) Rs. Lakh Double Circuit (Single Conductor) Rs. Lakh Double Circuit (Two and Three Conductor) Rs. Lakh Multicircuit with four or more conductors Rs. Lakh Multicircuit with two or three conductors Rs.Lakn Single Circuit (Bundled conductor with four sub-conductors) Single Circuit (Single Conductor) Single Circuit (Six conductor) Single Circuit (Twin and Three conductor) Rs. Lakh Normative O&M aer bav Rs. Lakh Rs. Lakh Rs. Lakh 17.48% 19.61% 98% 96% 132KV Sub-station and below Rs. Lakh OKV Sub-station 1 Rs.Lakh KV GS Substation 4KV Sub-station 765KV Sub-station Balia-Bhiwadi HVDC Bipole Scheme HVDC Back-to Back Stations Rihand-Dadri HVDC Bipole Scheme Talcher-Kolar HVDC Bipole Scheme Rs. Lakh Rs. Lakh Rs. Lakh Rs. Lakh Rs. Lakh Rs. Lakh Rs. Lakh % 98% 96% % 98% 96% % 98% 96% % 98% 96% Spares for WC as % of O&M Receivables in Months for WC Bank Rate as on 1st April, 214 % Months %

53 Form4 Page 1 of 1 stract of admitted parameters for the existing transmission assets/elements under project. me of the Petitioner::Power Grid Corporation of ndia Limited me of the Region::SOUTHERN REGON me of the Project:: SR SYSTEM STRENGTHENNG (Vijaywada - Nellore - Sriperumbudur) me of ihe Transmission Element or Communication system:: 4 KV D/C Vijayawada " Nellore line, 4 KV D/C Nellore " Sriperumbudur ei New 48 KV Switching station at Nellore. Extension of Vijayawada and Sriperumbudur Substation 1 me oft he Assets )CO tition Number - -iff order Date rticulars portioned approved Cost/Revised cost estimates, if any ith reference and date of approval) EEHOLD LAND lldlng LNE B STATON Balance brought forward Asset-l 4 KV D/C l-mar-3 Capital Expenditure admitted Asset-2 Capital Expenditure admitted ~sset-3 Capital Expenditure admitted Rs. n Lakhs Total Capital Expenditure admitted itial Spares* 1 Petitioner....,..

54 Statement of Capital Cost Name of the Transmission Licensee: Power Grid Corporation of ndia Limited Name of the Region: SOUTHERN REGON Name of the Projed: SR SYSTEM STRENGTHENNG ( Vijapuada - Nellore - Sriperumbudur) Form 4A Name of the Transmission Element: 4 KV D/C Vijayawada X" Nellore line, 4 #V D/C Nellore i "Sriperumbudur line, &W 4 KV Switching station at Nellore, Extension of Vijayawada and Sriperumbudur Substation (Date of Commercial Operation: 1-Mar-23 Particulars Existing Rs. in Lacs A. a) Opening Gross Block Amount as per books b) Amount of capital liabilities in A(a) above c) Amount of DC,FC,FERV and Hedging cost included in A(a) above d) Amount of EDC (excluding DC,FC,FERV and Hedging cost) included in A(a) above B. a) Addition in Gross Block Amount during the period b) Amount of capital liabilities in B(a) above c) Amount of DC,FC,FERV and Hedging cost included in B(a) above d) Amount of EDC (excluding DC,FC,FERV and Hedging cost) included in B(a) above C. a) Closing Gross Block Amount as per Books b) Amount of capital liabilities in C(a) above c) Amount of DC,FC,FERV and Hedging cost included in C(a) above l d) Amount of EDC (excluding DC,FC,FERV and Hedging cost) included in C(a) above

55 Financial Package upto COD (Block Year ) irotllr Name of " the ule Transmission 111~mission Licensee: Power Grid Corporation of lndia Limited Name of the Region: SOUTHERN REGON P , t Name of the Project: SR SYSTEM STRENGTHENNG ( Vijaywada - Nellore - Sriperumbudur) Name of the Transmission Eiement or Communication Eiement: 4 i(l' D/C Vij~yawzda SE" Kelloie he, 488 KV D/C?!e!lc:e M" 1 Criperumbudur line, Mew 4 KV Switching station at Nellore, Extension of Vijayawada and Sriperumbudur Substation Date of commercial Operation: 1-Mar-23 Particulars Loans Loans-Domestic Loans-Foreign Total Loans Financial Package as Approved Currency and Amount Financial Package as on COD Currency and Amount pppp-p Rs. n Lakhs As Admitted by COD / NR Currency and Amount Equity Foreign Domestic Notional Total Equity MR Total Capital cost with Addcap (Petitioner) F, /;j / ?,.G" 'D,, 2: ; :-:.?:h i *. :..., '',J, --.D....,..,., 2 ~ ;. T:-\7,

56 - a ; S-5 LA.! Name of the Transmission Licensee: Power Grid Cor~oration of ndia Limited Name of the Region: SOUTHERN REGON Calculation of Return on Equity Name of the Project: SR SYSTEM STRENGTHENNG ( Vijaywada - Nellore - Sriperumbudur) Name of the Transmission Element or Communication System: 4 KV D/C Vijayawada g " Nellore line, 4 KV D/C Nellore S " Sriperumbudur line, New 4 KV Switching station at Nellore, Extension of Vijayawada and Sriperumbudur Substation l~ate of Commercial o~eration: Of-Mar-23 Particulars Existing Opening Equity Notional Equity on Add Cap Total Equity Average Equity Rate of Return on Equity (%) Return on Equity Pro rata Return on Equity 7 'x,.xb e ~ a l c u l a t i oof n Grossed up Rate of ROE.(. p3 of ROE :?"\ "e- ~ine 1n-nti.e Dis-incentive.h$ a% -?t... Fective Rate of ROE MAT Rate Grossed up Rate of ROE PP ' O )

57 riperumbudur line, New 4 KV Switching station at Nellore, Extension of Vijayawada and Sriperumbudur Substation Less: Repayrnent(s) of Loan during the year Net Closing Loan Average Net Loan Rate of nterest on Loan nterest on Loan

58 Sriperurnbudur line, New 4 KW Switching station at Mellore, Extension of Wijayawada and Sriperurnbudur Substation

59 S ' Calculation of Weighted Average Rate of lnterest on Actual Loans Name of the Transmission Licensee: Power Grid Corporation of ndia Limited Name of the Region: SOUTHERN REGON Name of the Project:SR SYSTEM STRENGTHENNG ( Vijaywada - Nellore - Sriperumbudur) Name of the Transmission Element or Communication System: 4 KV D/C Vijayawada S " Nellore line, 4 KV D/C Nellore 86" Sriperumbudur line, New 4 W Switching station at Nellore, Extension of Vijayawada and Sriperumbudur Substation Form 9C Date of Commercial Operation: 1-Mar-23 Particulars Existing Rs. in Lacs Punjab National Bank- -DOCO- Gross Opening Loan Cumulative Repayments of Loans upto Previous Year Net Loans Opening Add: Drawl(s) during the year Less: Repayment(s) of Loan during the year Net Closing Loan Average Net Loan Rate of nterest on Loan nterest on Loan ( Net Closing Loan Average Net Loan Rate of nterest on Loan nterest on Loan ' (Petitioner)

60 L$$ LP' Calculation of nterest on Normative Loan Name of the Transmission Licensee: Power Grid Corporation of ndia Limited Name of the Region: SOUTHERN REGON Name of the Project: SR SYSTEM STRENGTHENNG ( Vijaywada - Nellore - Sriperumbudur) -- Form 9E Name of the Transmission Element or Communication System: 4 KV D/C Vijayawada d " Nellore line, 4 KV D/C Nellore d " Sriperumbudur line, New 4 KV Switching station at Nellore, Extension of Vijayawada and Sriperumbudur Substation l l Date of Commercial O~eration: 1-Mar Particulars Existing Gross Normative Loan Opening Cumulative Repayments of Normative Loans upto Previous Year l ~et~oriative Loans Opening eate/decrease due to ACE during the Net Closing Normative Loan Average Net Normative Loan Rate of nterest on Loan interest on Normative Loan Pro rata nterest on Normative Loan (Petitioner) %

61 v, " \ pj Form 1 Calculation of Depreciation Rate Name of the Transmission Licensee: Power Grid Corporation of ndia Limited Name of the Region: SOUTHERN REGON Name of the Project: SR SYSTEM STRENGTHENNG ( Vijaywada - Nellore - Sriperumbudur) /Name of the Transmission Element or Communication System: 4 KV D/C Vijayawada f" Nellore line, 4 KV D/C Nellore " Sriperumbudur line, New 4 KV Switching station at Nellore, Extension of Vijayawada and Sriperumbudur Substation Date of Commercial Operation: 1-Mar No Particulars FREEHOLD LAND BULDNG TR LNE Gross block at the beginning of the year Add Cap during the year Gross block at the end of the year Average Gross Block Dep. Rate Rs. in Lacs Amount

62 ,%! Form 1A Statement of Depreciation Name of the Transmission Licensee: Power Grid Corooration of ndia Limited Name of the Region: SOUTHERN REGON Name of the Project: SR SYSTEM STRENGTHENNG ( Vijaywada - Nellore - Sriperumbudur) Name of the Transmission Element or Communication System: 4 KV D/C Vijayawada tif" Nellore line, 4 KV D/C Nellore GC" Sriperumbudur line, New 4 KV Switching station at Nellore, Extension of Vijayawada and Sriperumbudur Substation Date of Commercial Operation: 1-Mar-23 Particulars Existing Rs. in Lacs Opening Capital Cost Closing Capital Cost Average Capital Cost Freehold Land (AV. Cost) Rate of Depreciation Depreciable Value Balance useful life of the asset (at the beginning of year) Elapsed life of the asset (at the --.beginning of the year) \ bbu7, Remaining Depreciable Value ~46reciation during the year \,*/iq a ZL- j Depreciation upto previous year l Cumulative depreciation (incl. of ( p- (Petitioner) (

63 3",i ' 1 -.A Form Calculation of nterest on Workinn Ca~ital Name of the Transmission Licensee: Power Grid Corporation of ndia Limited Name of the Region: SOUTHERN REGON Name of the Project: SR SYSTEM STRENGTHENNG ( Vijaywada - Nellore - Sriperumbudur) Name of the Transmission Element: 4 KV D/C Vijayawada it" Nellore line, 4 KV D/C Nellore dcii Sriperumbudur line, New 4 KV Switching station at Nellore, Extension of Vijayawada and Sriperumbudur Substation Date of Commercial Operation: 1-Mar-23 RS. in Lacs' Particulars Existing ] ( i ( ,/<?C,L. - / C/ -"--- OP. and Maintenance Maintenance Spares f Receivables Total working capital Rate of nterest f nterest on working capital Pro rata nterest on working capital (Petitioner)

64 Name of the Company Name of the Project : NDEX CHECK LST PART-111 Power Grid Corporation of ndia Ltd. system strengthening scheme in Southern -, ra.c1.. Form No. FORM- 1 FORM-1A FORM-2 -FORM-3 FORM- 4 FORM-4A FORM-5 FORM-SA FOR%!-55 FORM-5C FORM-5D FORM-6 FORM- 7 FORM- 8 Name of the Transmission Element: 4 kv D/C Wijayawada-Nellore transmission line, 4 kv D/C Nellore-Sriperumbudur line, New 4 kw Switching station at Nellore, ~pvoan~irm.v.. =f Yj=y=pj=& =R& Sripe?.g~h!d~~r -. sub-station with associated bays under system strengthening scheme in Southern Region Checklist of Forms and other information/ documents for tariff filing for Transmission System Tariff Filinq Formats (Transmission) Tick Summary Sheet Yes Calculation of Return on Equity Yes Details of Transmission Lines and Substations Yes Normative Parameters considered for tariff calculations Not applicable and hence not enclosed Details of Foreign loans Not applicable and hence not enclosed Details of Foreign Equity Not applicable and hence not enclosed Abstract of Admitted Cost for the existinq Projects Not applicable and hence not enclose6 Abstract of Project Cost Estimates and Schedule of Commissioning for the new Projects Not applicable and hence not enclosed Element wise Break-up of Project Cost for Transmission System Not applicable and hence not enclosed Break-up of Construction/Supply/Sevice packages Not applicable and hence not enclosed Details of elementwise cost Not applicable and hence not enclosed Financial Package upto COD Not applicable and hence not enclosed Details of Project Specific Loans Not applicable and hence not enclosed Details of Allocation of corporate loans to various transmission 1 elements Not applicable and hence not enclosed FORM-9 Statement of Additional Capitalisation after COD Not applicable and hence not enclosed FORM-9A Statement of capital cost Not applicable and hence not enclosed FORM- 1 Financinq of Additional Capitalisation Not applicable and hence not enclosed FORM- 11 Calculation of Depreciation Rate Yes FORM- 12 Statement of Depreciation Yes FORM- 13 Calculation of Weiqhted Averaqe Rate of nterest on Actual Loans Yes -FORM- 13A Calculation of nterest on Normative Loans Yes FORM Loans in Foreiqn Currency Not applicable and hence not enclosed FORM-13B Calculation of nterest on Workinq Capital Yes Draw down Schedule for Calculation of DC & Financing Charges FORM- 14 Not applicable and hence not enclosed Other nformation/ Documents. No. nformation/document 1 Certificate of incorporation, Certificate for Commencment of Business, Memorandum of Association, & Articles of Association ( For New Station setup by a company making tariff application for the first time to CERC) - E - Not Applicable - 2 Regionwise and Corporate audited Balance Sheet and Profit & Loss Consolidated Balancesheet of 'POWERGRD & Accounts with all the Schedules & annexures for the new Regional Balance Sheet of SR for FY shall Transmission System & for the relevant years. be submitted shortly 3 l~opies of relevant loan Agreements 4 l~opies of the approval of Competent Authority for the Capital cost/ l and Financial packaqe. 5 ]copies of the Equity participation agreements and necessaw approval -Not Applicable - lfor the foreisn equity. 6 lcopies of the BPTA/TSA with the beneficiaries, if any 1 -Not Applicable - Tick 7 Detailed note giving reasons of time and cost over run, if applicable. -Not Applicable - l 8 l~ny other relevant ~nformat~on, (Please specify) -Not Appl~cable -