| Work Detail |
The Maharashtra State Electricity Transmission Company Limited (MSETCL) has filed a petition with the Central Electricity Regulatory Commission (CERC) to review its transmission tariff for the 2014-2019 period and set the tariff for the 2019-2024 period. The case addresses several inter-state transmission lines managed by MSETCL, which span multiple states including Maharashtra, Gujarat, Goa, Karnataka, and Madhya Pradesh. These lines play a crucial role in transmitting electricity across state borders, and determining appropriate tariffs is essential for maintaining transparency and financial fairness.
The petition also highlights a history of CERC orders concerning these assets. In 2012, CERC directed utilities to file applications for tariff approval on inter-state transmission systems (ISTS). MSETCL responded by filing several petitions for different periods, leading to CERC setting tariffs based on factors like operational costs and the lines’ initial commissioning dates. The tariff calculations considered the costs of maintaining and operating lines based on various regulatory provisions. In recent years, the CERC adopted a standardized methodology for setting tariffs, but stakeholders like Karnataka Power Transmission Corporation Limited (KPTCL) have raised questions about specific lines.
A key point in the petition is whether specific lines qualify as ISTS. The debate centers around two lines between Kolhapur (Maharashtra) and Chikkodi (Karnataka). KPTCL argues these lines don’t meet ISTS criteria, as they operate radially and serve only local needs without connecting to Karnataka’s state grid. MSETCL counters, claiming these lines fall under ISTS since they enable cross-border electricity flow, albeit in a limited capacity.
During the hearing, MSETCL provided data indicating these lines have transmitted power when requested by Karnataka. Nevertheless, the lines have remained idle since June 2017, as they no longer fulfill an operational role. CERC noted that while operational status is important, a line’s ISTS classification is based on its intended purpose of enabling inter-state power transfer.
CERC’s decision took into account various inputs from regional load dispatch centers and grid managers, who discussed technical limitations and usage history. In its final ruling, CERC recognized that while these lines were once crucial for inter-state power transfer, their functionality ceased in 2017. Thus, CERC decided not to grant tariffs for these assets after that year. However, should these lines become operational again, tariff adjustments may be revisited.
This case underscores the complexities of tariff regulations for transmission infrastructure shared between states. ISTS assets are essential for reliable power distribution across regions, and maintaining clear tariff structures ensures equitable cost-sharing among states. |
