UPERC Regulations 133Chapter 6 · Tariffs

Section 133 · Section 133

(a)The Commission shall also set out the methodology for computation of surcharge for cross-subsidy compensation in terms of Section 42(2) of the Electricity Act, 2003;(b)No generating company which has entered into or otherwise has a scheme for generation and sale of electricity within the State in pursuance of a long-term purchase agreement, shall charge a distribution licensee any tariff for supply of electricity without the general or specific approval of the Commission. A long term purchase agreement shall mean an agreement between a generating company and a distribution licensee extending beyond a year, whether cumulatively through multiple agreements of duration less than a year, or otherwise; and whether directly with the generating company or through intermediaries;(c)The Commission may, in case of shortage of supply of electricity, fix the minimum and maximum ceiling of tariff for sale or purchase of electricity in pursuance of an agreement, entered into between a generating company and a licensee or between licensees, for a period not exceeding one year to ensure reasonable prices of electricity;(d)In case of distribution of electricity in the same area by two or more distribution licensees, the Commission may fix only maximum ceiling of tariff for retail sale of electricity to promote competition;(e)No distribution licence within the State shall purchase electricity from a generating company or a licensee under a long-term supply agreement, without the general or specific approval of the Commission;(f)No distribution licence within the State shall charge consumers any tariff for supply of electricity without the general or specific approval of the Commission. While fixing charges, a distribution licensee shall not show' undue preference to any person or class of persons or discrimination against any person or class of persons;(g)Notwithstanding anything contained in sub-clauses (b) to (J) above, the Commission shall adopt the tariff if such tariff has been determined through transparent process of bidding in accordance with the Guidelines issued by the Central Government. Such licensee or generating company shall not be required to approach the Commission for tariff order. However, the Commission may call for such information from these utilities as it may require from time to time;

(2)

Unless otherwise specified by the Commission, the terms and conditions of the determination of the licensee's revenue and tariff shall include:

(a)

that the tariff allowed and the licensee's revenue permitted in any financial year in terms of Section 62 of the Electricity Act, 2003 shall be subject to adjustments in any tariff to be fixed for the subsequent tariff period if the Commission is satisfied for reasons to be recorded in writing that such adjustments for the excess amount or shortfall in the amount, actually realised is necessary, and the Commission is further satisfied that the same is not on account of any reason attributable to the licensee.

(3)

The Commission shall through separate notification issue order giving details of the manner in which the matter relating to phasing of open access and elimination of cross-subsidy shall be dealt consistent with the provisions of the applicable legal framework.

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