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Tariff and other Terms for Supply of Electricity from Renewable Energy Sources and non-fossil fuel based Co-generating Stations-Fifth Amendment - 2016..

uerc-regulation-FY17-003
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Logo of the Uttarakhand Electricity Regulatory Commission, featuring a stylized diamond shape with a sun-like symbol inside, and wavy lines below it.

सरकारी गजट, उत्तराखण्ड

उत्तराखण्ड सरकार द्वारा प्रकाशित

रुड़की, शनिवार, दिनांक 30 अप्रैल, 2016 ई0 (बैशाख 10, 1938 शक सम्बत्)

भाग 1-क

नियम, कार्य-विधियां, आझाएं, विज्ञप्तियां इत्यादि जिनको उत्तराखण्ड के राज्यपाल महोदय, विभिन्न विभागों के अध्यक्ष तथा राजस्व परिषद् ने जारी किया

UTTARAKHAND ELECTRICITY REGULATORY COMMISSION

'Vidyut Niyamak Bhawan', Near I.S.B.T., P.O.-Majra, Dehradun-248171

Notification

April 29, 2016

No. F9(21)(V)/RG/UERC/2016/162: In exercise of powers conferred under section 181(2)(zp) read with Section 86(1)(e) of the Electricity Act, 2003, and all other powers enabling it in this behalf, and after previous publication, the Uttarakhand Electricity Regulatory Commission hereby makes the following amendments in the UERC (Tariff and Other Terms for Supply of Electricity from Renewable Energy Sources and non-fossil fuel based Co-generating Stations) Regulations, 2013 (Principal Regulations) and subsequent amendment made in the same, namely:

1. Short Title, Commencement and Interpretation:

  • (1) These Regulations may be called the UERC (Tariff and Other Terms for Supply of Electricity from Renewable Energy Sources and non-fossil fuel based Co-generating Stations) (Fifth Amendment) Regulations, 2016.
  • (2) These Regulations shall come into force from the date of notification.

2. Amendment of Regulation 2 of the Principal Regulation: First and second provisos of Regulation 2(1) of Principal Regulations shall be substituted as under:

"Provided that in cases of Wind, Small Hydro projects, Biomass power based on Rankine cycle, Non-Fossil Fuel based cogeneration projects, Solar PV, Canal Bank & Canal Top solar PV, Solar Thermal power projects, Grid Interactive Roof Top and Small Solar PV plants, Biomass gasifier and Biogas, Municipal Solid Waste and Refuse Derived Fuel based power project these Regulations shall apply subject to the fulfillment of eligibility criteria specified in Regulation 4 of these Regulations.

Provided further that Regulations in Chapter 4 & 5 shall not be applicable for generating stations commissioned prior to coming into effect of these Regulations and their present tariffs shall continue to be applicable except the Fuel Cost (Variable Charges) specified in Regulation 29(1), Regulation 30(2), Regulation 31(2) and Regulation 32(2) of these Regulations shall be applicable to the corresponding generating plants. However, these generating plants shall have to make an application seeking applicability of relevant Regulations in this regard. However, provision of normative levelised tariff of 12 paise/unit, over and above the generic tariff, for solar thermal/PV generating stations as specified in Regulation 15(1)(b) shall also be applicable to such stations commissioned prior to coming into effect of these Regulations. Provisions other than those in Chapter 4 and 5 shall apply to other generating stations located in the State of Uttarakhand, which are based on Renewable Sources of Energy including non-fossil fuel based Co-generation and which transmit and/or supply electricity to any person other than the distribution licensee of the State utilizing State Transmission and/or Distribution System."

3. Amendment of Regulation 2 of the Principal Regulation: Regulation 2(3) of Principal Regulations shall be substituted as under:

"(3) The generic tariff specified for Solar PV, Solar Thermal power projects under these Regulations shall be the maximum tariff and the distribution licensee shall invite bids from generators/developers for procurement of power from these generators/ developers. The distribution licensee shall enter into a PPA with the generators/developers bidding lower tariff.

Provided, implementation of Canal Bank and Canal Top Solar PV Plants by the eligible government organization (as specified by MNRE) may also be done through tariff based bidding process. In such cases PPA for sale of power from these plants, implemented through tariff based bidding process, shall be signed with distribution licensee at a tariff which shall be 10% higher than the tariff quoted by L-1 bidder"

Provided, in no case PPA for purchase of power by the distribution licensee shall be executed at a tariff exceeding the ceiling tariff as specified by the Commission in accordance with the regulations."

4. Amendment of Regulation 3 of the Principal Regulation:

4.1 Following definition shall be substituted under Regulation 3(1)(v):

"(v) 'Inter-connection Point' in respect of all the RE based generating stations, except Grid interactive Roof Top and Small Solar PV Power Projects, shall mean interface point of renewable energy generating facility with the transmission system or distribution system which shall be line isolator on outgoing feeder on HV side of generator transformer;

However, in respect of Grid interactive Roof Top and Small Solar PV Power Projects, Inter-connection Point shall mean the interface of solar power generation facility under net metering arrangement with the network of licensee and shall normally be the point where export/import meter is installed to measure the energy transfer between the licensee and the eligible consumer."

4.2 Following definition shall be inserted after Regulation 3(1)(w) as under:

"(w1) 'Municipal solid waste' means and includes commercial and residential wastes generated in a municipal or notified areas in either solid or semi-solid form excluding industrial hazardous wastes but including treated bio-medical wastes."

4.3 Following definition shall be inserted after Regulation 3(1)(dd) as under:

"(ee1) 'Refuse Derived Fuel' means segregated combustible fraction of solid waste other than chlorinated plastics in the form of pellets or sluff produced by drying, de-stoning, shredding, dehydrating, and compacting combustible components of solid waste that can be used as fuel;"

4.4 Following definition shall be inserted after Regulation 3(1)(ii) as under:

"(ii1) 'Solar PV power plants on Canal Bank' means the Solar PV power plants installed on the banks of the canals.

(ii2) 'Solar PV Power Plants on Canal Top' means the Solar PV power plants installed on the top of the canals."

4.5 Regulation 3(1)(nn) (ii) shall be substituted as under:

"(ii) Biomass power project including Municipal Solid Waste (MSW) and Refuse Derived Fuel (RDF) based power projects with rankine cycle technology. — 20 years"

4.6 Regulation 3(1)(nn) (v) shall be substituted as under:

"(v) Solar PV/Solar thermal/grid interactive roof top and small Solar PV plants /Solar PV power plants on Canal bank/Canal top. — 25 years"

5. Amendment in Regulation 4 of the Principal Regulations:

5.1 Regulation 4(2)(c) of the Principal Regulations shall be substituted and shall be read as:

"(c) Solar PV, Canal bank & Canal top Solar PV, Solar Thermal and Grid interactive Roof Top and Small Solar PV Power Projects – Based on Technologies approved by MNRE."

5.2 Following shall be inserted after Regulation 4(2)(g) of Principal Regulations:

"(h) Municipal solid waste based power projects – The project shall qualify to be termed as a Municipal solid waste based power project, if it is using new plant and machinery based on Rankine cycle technology and using Municipal solid waste as fuel sources."

5.3 Following shall be inserted after Regulation 4 (2) (h) of Principal Regulations:

"(i) Refuse derived fuel based power projects – The project shall qualify to be termed as a Refuse derived fuel based power project, if it is using new plant and machinery based on Rankine cycle technology and using Refuse derived fuel as fuel sources."

  1. Amendment in Regulation 11 of the Principal Regulations:

First Proviso of Regulation 11(1) of Principal Regulations shall be substituted as under:

"Provided that the benchmark capital cost of Solar PV, Canal Bank & Canal Top Solar PV, Solar Thermal, Municipal solid waste based power projects, Refuse Derived Fuel based power projects and Grid interactive Roof Top and Small Solar PV projects may be reviewed annually by the Commission."

  1. Amendment in Regulation 19 of the Principal Regulations:

In 1st line of sub-Regulation (1) of Regulation 19 of Principal Regulation after word "Solar PV" the following words shall be inserted:

"Canal Bank & Canal Top Solar PV"

In 1st line of sub Regulation (2) of Regulation 19 of Principal Regulation after word "biomass power projects" the following words shall be inserted:

"municipal solid waste based power projects, refuse derived fuel based power projects"

  1. Insertion of a new Regulation 33(A) after Regulation 33 of the Principal Regulations:

"33(A) Canal bank Solar PV Power Plants and Canal top Solar PV Power Plants Norms for canal bank Solar PV Power Plants and canal top Solar PV Power Plants under these Regulations shall be applicable for grid connected PV systems that directly convert solar energy into electricity and are based on the technology specific parameters for determination of generic tariffs for such power projects shall be as below:

Projects Commissioned on or after date as mentioned sub-Regulation 1(2)

Type Solar PV Plant Capital Cost O&M Expenses for Capacity
(Rs. Lakh/ MW) year of commissioning utilization
(Rs. Lakh/MW) Factor
Canal Bank Solar PV Plant 6.85 11.63 19%
Canal Top Solar PV Plant 7.05 11.63 19%

9. Insertion of a new Regulation 36(A) after Regulation 36 of the Principal Regulations:

"36(A) Municipal solid waste based projects

  • (1) The norms for tariff determination specified hereunder are for power projects which use municipal solid waste and refuse derived fuel and are based on Rankine cycle technology application, combustion or incineration, Bio-methanation, Pyrolysis and High end gasifier technologies. Norms regarding Capital Cost, Plant Load Factor, Auxiliary Consumption etc. shall be as below:

Projects Commissioned on or after date as mentioned sub-regulation 2(1)

Project Capital Cost O&M Expenses for year of commissioning Plant Load Factor Auxiliary Consumption Station Heat Rate Calorific value
(Rs. Lakh/ MW) (Rs Lakh/ MW) kcal/ kWh kcal/ kg
MSW 1500 6% of the project cost for 1 st year and shall be escalated @ 5.72% per annum 65% during stabilisation & first year. 15% 4200 -
75% from second year onwards
RDF 900 6% of the project cost for 1 st year and shall be escalated @ 5.72% per annum 65% during stabilisation & first year. 15% 4200 2500
75% from second year onwards

NOTE:

(a) No fuel cost shall be considered for determination of tariff for the power projects using municipal solid waste.

(b) RDF Fuel Price (P) for the first year after notification of these amendment Regulations shall be taken as Rs. 1800/MT, which shall be indexed for different years of tariff period based on annual inflation rate for fuel handling (WPI), Indexed Energy Charge Component (IRC) and transportation cost (price for high speed diesel: Pd) with 20%, 60% and 20% respective weightages as per following formula:

$$(P(n)) = P(n-1) * (0.2 * (WPI(n)/WPI(n-1)) + 0.6 * (1+IRC)(n-1) + 0.2 * (Pd(n)/Pd(n-1)))$$

(c) However, as the indices for nth year would be known only after close of nth year, the generating company shall be allowed to raise fuel cost bills for nth year based on normative escalation factor of 5% on previous year's fuel cost, which shall be adjusted based on actual index for the nth year

(d) Alternatively, for each subsequent year of the Tariff Period, the normative escalation factor of 5% per annum shall be applicable at the option of the biomass project developer.

Provided that the generating company has to give his option for normative or indexed fuel cost to the distribution licensee at least 3 months in advance of date of commissioning or one month after the date

of issuance of these Regulations, whichever is later. The option once exercised shall not be allowed to be changed during the validity period of the PPA.

The fuel cost component of the tariff for $n$ th year shall be calculated as follows:

$$\text{Rate of Variable Charge (Rs./kWh)} \text{ VCn} = \frac{\text{Gross Station Heat Rate (GSHR)} \times \text{Pn} \times 10}{\text{Gross Calorific Value (GCV)} \times (100 - \text{AUX})}$$

10. Amendment of Form 2.1 appended to the Principal Regulations:

Title of Form 2.1 appended to the Principal Regulations shall be substituted as under:-

"Form-2.1: Form Template for (Biomass Power, municipal solid waste, refuse derived fuel or Non-fossil fuel based Cogen) Parameter Assumptions."

11. Amendment of Form 2.1 appended to the Principal Regulations:

Row 6 of Form 2.1 appended to the Principal Regulations shall be substituted as under:-

Assumption Head Sub-Head Sub-Head (2) Unit Values
Fuel related assumptions Station Heat Rate During stabilization Kcal/kWh
Post stabilization Kcal/kWh
Fuel types & mix Biomass fuel type-1 %
Biomass fuel type-2 %
Municipal Solid Waste fuel %
Refuse Derived Fuel %
Fossil fuel (coal) %
GCV of Biomass fuel type-1 kCal/kg
GCV of Biomass fuel type-2 kCal/kg
GCV of fossil fuel (coal) kCal/kg
Biomass Price (fuel type-1):yr-1 Rs./MT
Biomass Price (fuel type-2):yr-1 Rs./MT
Fossil fuel price (coal) : yr-1 Rs./MT
Fuel price escalation factor % p.a.

12. Amendment of Form 2.2 appended to the Principal Regulations:

Title of Form 2.2 appended to the Principal Regulations shall be substituted as under:-

"Form-2.2: Form Template for (Biomass Power, municipal solid waste, refuse derived fuel or Non-fossil fuel based Cogen: Determination of Tariff Components."

13. Amendment of Form 2.2 appended to the Principal Regulations:

Table for "Tariff Components (Variable Charge)" of Form 2.2 appended to the Principal Regulations shall be substituted as under:-

Tariff Components
(Rs. per kWh)
Year
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20
Biomass fuel type-1 Rs. Lakh
Biomass fuel type-2 Rs. Lakh
Municipal Solid Waste Rs. Lakh
Refuse Derived Fuel Rs. Lakh
Fossil fuel (coal) Rs. Lakh
Sub-total (Fuel Costs) Rs. Lakh
Fuel cost allocable to power %
Total Fuel Cost Rs. Lakh

14. Amendment of Annexure-1 of the Principal Regulations:

  • (i) Insert S.No. 2A after S.No. 2 of Annexure-1 of Principal Regulation as following:

"2A. "Levelling Rate of Fixed Charges (RFC) in Rs./kWh for Municipal Solid Waste (MSW) based Power Projects:

Particulars Rate of Fixed Charges for MSW based projects (Rs./kWh)
Gross Tariff 7.10
Less : Acc. Dep. Benefit 0.40
Net Tariff 6.70
  • (ii) Insert S.No. 2B after S.No. 2 of Annexure-1 of Principal Regulation as following:

"2B. "Levelling Rate of Fixed Charges (RFC) & Variable Charges in Rs./kWh for Refuse Derived Fuel (RDF) based Power Projects:

Particulars Rate of Fixed Charges for RDF based projects (Rs./kWh)
Gross Tariff 4.35
Less : Acc. Dep. Benefit 0.25
Net Tariff 4.10
Year 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20
RDF: Rate of variable charges for year 1 as FY in which 5 th amendment to the regulations is being notified with 5% normative escalation subsequently 3.56 3.74 3.92 4.12 4.32 4.54 4.77 5.01 5.26 5.52 5.80 6.08 6.39 6.71 7.04 7.40 7.77 8.15 8.56 8.99

(iii) Insert S.No. 6A after S.No. 6 of Annexure-1 of Principal Regulation as following:

"6A. Levellised rate of Fixed Charges (RFC) for Canal Bank Solar PV and Canal Top Solar PV Power Projects:

Particulars Canal bank Solar
PV Power Plants
(Rs./kWh)
Canal top Solar
PV Power Plants
(Rs./kWh)
Gross Tariff 7.35 8.45
Less : Acc. Dep. Benefit 0.65 0.80
Net Tariff 6.70 7.65

By the order of the Commission,

NEERAJ SATI,

Secretary.

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Tariff and other Terms for Supply of Electricity from Renewable Energy Sources and non-fossil fuel based Co-generating Stations-Fifth Amendment - 2016..
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Record details
Doc codeuerc-regulation-FY17-003
TypeRegulation
JurisdictionState · UK
Primary domainTariff & Pricing
Issued29 Apr 2016
Validity endnot set (in force)
Published27 Jul 2026
Tags
Principal Regulation 2013Renewable GenerationTariff Determination