KARNATAKA ELECTRICITY REGULATORY COMMISSION TARIFF ORDER 2018 BESCOM ANNUAL PERFORMANCE REVIEW FOR FY17

Transcription

1 KARNATAKA ELECTRICITY REGULATORY COMMISSION TARIFF ORDER 2018 OF BESCOM ANNUAL PERFORMANCE REVIEW FOR FY17 & REVISION OF ANNUAL REVENUE REQUIREMENT FOR FY19 & REVISION OF RETAIL SUPPLY TARIFF FOR FY19 14 th May, 2018 No. 16 C-1, Miller Tank Bed Area, Vasanthanagar, Bengaluru Phone: / / Fax: / Website: kerc-ka@nic.in

2 C O N T E N T S CHAPTER Page No. 1.0 Introduction Bangalore Electricity Supply Company Ltd BESCOM at a Glance Number of Consumers, Sales in MU to various 5 categories of Consumers and details of Revenue for FY-17 as per audited accounts of BESCOM 2.0 Summary of tiling and Tariff determination process 2.0 Back ground for Current Filing Preliminary Observations of the Commission Public hearing Process Consultation with the Advisory Committee of the 9 Commission. 3 Public Consultation-Suggestions/Objections and 10 Replies 3.1 List of Persons who have filed written objections List of Persons who have made oral Submissions 3.3 Additional points made during Public hearing 11 4 Annual Performance Review for FY BESCOM s Application for APR for FY BESCOM s Submission BESCOM S Financial Performance as per 16 Audited Accounts for FY Sales for FY Distribution Losses for FY Power Purchase for FY RPO Compliance for FY Operation and Maintenance Expenses Depreciation Capital Expenditure for FY Interest and Finance Charges Other Debits Return on Equity Treatment of Regulatory Asset and carrying cost Other Income Fund towards Consumer Relations/Consumer 57 Education Revenue Demand for FY Subsidy for FY Abstract of Approved ARR for FY Gap in Revenue for FY Revised Annual Revenue Requirement for FY Annual Performance Review for FY ii

3 5.2 Revised Annual Revenue Requirement for FY Capital investments for FY Sales Forecast for FY Distribution Losses for FY Power Purchase for FY RPO Target for FY O & M Expenses for FY Depreciation Interest on Capital Loans Interest on Working Capital Interest on Consumer Security Deposit Other Interest & Finance Charges Interest & other expenses capitalised Return on Equity Other Income Fund towards Consumer Relations/Consumer 100 Education 5.3 Abstract of Revised ARR for FY Segregation of ARR into ARR for Distribution 101 Business and ARR for Retail Supply Business 5.5 Gap in Revenue for FY Revision of Retail Supply Tariff for FY18- BESCOM s 105 Proposals and Commission s Decisions. 6.1 Tariff Application Statutory provisions guiding determination of 105 Tariff 6.3 Factors considered for Tariff setting New Tariff proposals by BESCOM Revenue at existing tariff and deficit for FY Category-wise existing, proposed and approved 125 Tariff 6.7 Wheeling and Banking charges BESCOM s proposal Wheeling within BESCOM Area Wheeling of Energy using Transmission Network or Network of more than one Licensee Charges for wheeling of Energy by RE 166 Sources(NON-REC ROUTE) to Consumers in the State Charges for wheeling Energy by RE Sources 166 wheeling energy from the State to a Consumer/Others outside the State and for those opting for Renewable Energy Certificate(REC) Banking Charges and Additional Surcharge Cross SUBSIDY Surcharge(CSS) Other issues Cross Subsidy Levels for FY Effect of Revised Tariff Summary of the Tariff Order 174 iii

4 Commission s Order 176 Appendix Appendix LIST OF ANNEXURES ANNEXURE DETAILS OF ANNEXURES Page No. NO. I ESCOMs Total Approved Power Purchase for 249 FY19 II BESCOM s Approved Power Purchase for FY III BESCOM s Proposed and Approved Revenue 257 Realization and level of Cross Subsidy for FY19 IV Electricity Tariff iv

5 LIST OF TABLES Table No. Content Page No. 4.1 APR for FY17-BESCOM s Submission Financial Performance of BESCOM for FY BESCOM s Accumulated Profits/Losses Sales FY17 Approved & Actuals Power Purchase for FY17 Approved and Actuals Short-fall in supply from KPCL Hydel Stations BESCOM s RPO Compliance for FY Compliance of Non-solar RPO for FY Compliance of Sales RPO for FY BESCOM s O & M Expenses for FY Normative O & M Expenses BESCOM s submission Approved O & M Expenses for FY17 as per Tariff Order 33 dated Allowable Inflation for FY Allowable O & M Expenses for FY Depreciation for FY17 BESCOM s submission Allowable Depreciation for FY Capital expenditure of the BESCOM for FY Details of E & I works for FY Interest on Capital Loans BESCOM s submission Allowable Interest on Capital Loans-FY Interest on Working Capital BESCOM s submission Allowable Interest on Working Capital for FY Interest on consumer security deposits for FY Allowable Interest and Finance Charges Other Debits-BESCOM s Submission Return on Equity BESCOM S Submission Status of Debt Equity Ratio for FY Allowable Return on Equity Return on equity for the additional equity received 51 during FY Recovery of Regulatory Asset Other Income-BESCOM s Submission Allowable Other Income for FY Approved ARR for FY17 as per APR Revised ARR for FY19-BESCOM s Submission Capital for FY-19 BESCOM s Submission Capital expenditure in FY Details of consumption of BJ/KJ Installations Projection of IP-set Consumption Format of furnishing IP set consumption Approved Sales for FY Approved and Actual Distribution Losses FY12 to FY Approved Distribution Losses for FY19 79 v

6 5.10 Energy Projection and P.P. cost of BESCOM FY BESCOM S Approved Power Purchase for FY Normative O & M Expenses for FY19-BESCOM s 85 submission 5.13 Revised O & M Expenses for FY19- BESCOM S Proposal Approved O & M Expenses for FY 19 as per Tariff Order 86 dated 30 th March Approved O & M expenses for FY Depreciation for FY19-BESCOM s submission Approved Depreciation for FY Interest on Capital Loan- BESCOM s Proposal Approved Interest on Loans for FY Interest on Working Capital for FY19 BESCOM s 93 Submission 5.21 Approved Interest on Working Capital for FY Interest on Consumer Security Deposits-BESCOM s 94 Submission 5.23 Approved Interest on Consumers Security Deposits for 95 FY Approved Interest and finance charges for FY Return on Equity BESCOM s Submission Status of Debt Equity Ratio for FY Approved Return on Equity for FY Abstract of Approved ARR of BESCOM for FY Approved Segregation of ARR FY Approved Revised ARR for Distribution Business FY Approved ARR for Retail Supply Business FY Revenue gap for FY vi

7 ABT A & G ARR ATE BBMP BDA BST BWSSB CAPEX CERC CEA CESC CPI CWIP DA DCB DPR EA EC ERC ESAAR ESCOMs FA FKCCI FR FoR FY GESCOM GFA GoI GoK GRIDCO HESCOM HP HRIS ICAI IFC IW IP SETS KASSIA KER Act ABBREVIATIONS Availability Based Tariff Administrative & General Expenses Annual Revenue Requirement Appellate Tribunal for Electricity Bruhut Bangalore Mahanagara Palike Bangalore Development Authority Bulk Supply Tariff Bangalore Water Supply & Sewerage Board Capital Expenditure Central Electricity Regulatory Commission Central Electricity Authority Chamundeshwari Electricity Supply Corporation Consumer Price Index Capital Work in Progress Dearness Allowance Demand Collection & Balance Detailed Project Report Electricity Act Energy Charges Expected Revenue From Charges Electricity Supply Annual Accounting Rules Electricity Supply Companies Financial Adviser Federation of Karnataka Chamber of Commerce & Industry Feasibility Report Forum of Regulators Financial Year Gulbarga Electricity Supply Company Gross Fixed Assets Government Of India Government Of Karnataka Grid Corporation Hubli Electricity Supply Company Horse Power Human Resource Information System Institute of Chartered Accountants of India Interest and Finance Charges Industrial Worker Irrigation Pump Sets Karnataka Small Scale Industries Association Karnataka Electricity Reform Act vii

8 KM/Km KPCL KPTCL kv kva kw kwh LDC MAT MD MESCOM MFA MIS MoP MU MVA MW MYT NFA NLC NCP NTP O&M P & L PLR PPA PRDC REL R & M ROE ROR ROW RPO SBI SCADA SERCs SLDC SRLDC STU TAC TCC T&D TCs TR WPI WC Kilometre Karnataka Power Corporation Limited Karnataka Power Transmission Corporation Limited Kilo Volts Kilo Volt Ampere Kilo Watt Kilo Watt Hour Load Despatch Centre Minimum Alternate Tax Managing Director Mangalore Electricity Supply Company Miscellaneous First Appeal Management Information System Ministry of Power Million Units Mega Volt Ampere Mega Watt Multi Year Tariff Net Fixed Assets Neyveli Lignite Corporation Non Coincident Peak National Tariff Policy Operation & Maintenance Profit & Loss Account Prime Lending Rate Power Purchase Agreement Power Research & Development Consultants Reliance Energy Limited Repairs and Maintenance Return on Equity Rate of Return Right of Way Renewable Purchase Obligation State Bank of India Supervisory Control and Data Acquisition System State Electricity Regulatory Commissions State Load Despatch Centre Southern Regional Load Dispatch Centre State Transmission Utility Technical Advisory Committee Total Contracted Capacity Transmission & Distribution Transformer Centres Transmission Rate Wholesale Price Index Working Capital viii

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