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Legal Madhya Pradesh Ministry of Power Electricity Act, 2003

Second Amendment to Madhya Pradesh Electricity Regulatory Commission (Terms and Conditions for Determination of Tariff for Supply and Wheeling of Electricity and Methods and Principles for Fixation of Charges) Regulations, 2021

07-Dec-2023 | 2735/MPERC 2023

Government of Madhya Pradesh has issued Second Amendment to Madhya Pradesh Electricity Regulatory Commission (Terms and Conditions for Determination of Tariff for Supply and Wheeling of Electricity and Methods and Principles for Fixation of Charges) Regulations, 2021, effective from 8th December 2023. The key highlights of the amendment are: Substitution in Regulation 11: The term FCA (Fuel Charge Adjustment) shall be substituted with the term FPPAS (Fuel and Power Purchase Adjustment Charge). Substitution in Regulation 20: Regulation 20, related to the mechanism for sharing gains/losses on account of controllable factors, has been substituted. The amendment specifies the treatment of gains or losses due to controllable factors, except for variations in O&M expenses and deviations from the AT&C loss reduction trajectory. Treatment of Variation in O&M Expenses: The treatment of variation in O&M (Operation and Maintenance) expenses is detailed in Regulation 36. Treatment of Gains or Losses due to Deviation from AT&C Loss Reduction Trajectory: Gains or losses resulting from deviations from the approved AT&C loss reduction trajectory will be quantified in terms of Average Power Purchase Cost. Two-thirds of the gains will be passed on to consumers in tariff, and the remainder will be retained by the Distribution Licensee. Two-thirds of the losses will be borne by the Distribution Licensee, and the remainder will be borne by consumers. Substitution in Regulation 24.1: The term Distribution Losses shall be substituted with Aggregate Technical & Commercial (AT&C) Losses in Regulation 24.1.

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