Coal News We love to talk!

FEB 24 2015

KERC re-determines the tariff for wind power projects

  • Economic Times, ET Bureau / Hyderabad
  • Created: Tue 24th FEB 2015

In a modification to the earlier order dated October 10, 2013, the Karnataka Electricity Regulatory Commission (KERC) has re-determined the tariff rates from Rs 4.5 per kWh to Rs 4.2 per kWh for wind power projects established during the control period of five years commencing from October 10, 2013. This tariff will be applicable to all new wind power projects entering into power purchase agreements (PPAs) on or after October 10, 2013 for a period of five years. The tariff determined in the present order will also be applicable for projects that have already signed PPAs with electricity supply companies since October 2013.

 

The revision in tariff is in response to a November 2014 order by the Appellate Tribunal for Electricity (ATE) which directed the KERC to consider the requests of Gutta Seema Wind Energy Company Private Limited, Indian Wind Power Association and Indian Wind Turbine Manufacturers Association for revision in various tariff parameters.

 

 KERC approved parameters for determination of new wind power tariff

Particulars

Values adopted for category-B projects

Capital cost (Rs million per MW)

60

Debt equity ratio

70:30

Debt (Rs million per MW)

42

Equity (Rs million per MW)

18

Debt repayment tenure (years)

12

Interest charges on debt (per cent)

12.50

Capacity utilisation factor (per cent)

26

Return on equity (per cent)

16

Discount factor (per cent)

13.55

Auxiliary consumption (per cent)

0.5

O&M expenses (Rs million per MW)

0.95

O&M expenses’ escalation (per cent per annum)

5.72

Working capital (months receivables)

2

Interest on working capital (per cent)

13.00

Depreciation for first 12 years (per cent)

5.83

Depreciation for next 13 years (per cent)

1.20

O&M: operation and maintenance

Source: KERC

Tags

Karnataka Wind Turbine Wind Tariff Wind Power Energy Electricity Regulatory Commission Appellate Tribunal for Electricity Karnataka Elecricity regulatory commission Power Electricity

Related News

  • DERC issues order to amend determination of charges for STOA consumers  Read more
  • CERC fixes transmission charges for assets associated with Kameng HEP  Read more
  • Headless, DERC sits on new tariffs  Read more
  • PSPCL adjudged best in power sector  Read more
  • CERC directs IEX to implement extended market session from August 1, 2015  Read more
  • State electricity regulatory commissions may become more autonomous  Read more
  • Govt in talks with lending agencies to raise $3 bn for solar power projects  Read more
  • India has 53,221 petrol pumps including 77 per cent in urban areas: Govt  Read more
  • Big move in renewable energy space, Piramal group infuses Rs 1800 cr in Mytrah Energy  Read more
  • Delhi power discoms pitch for early announcement of annual tariff revision  Read more