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OCT 18 2016

HERC dismissed the Petition of Star Wire (India) Vidyut Pvt. Ltd. regarding the Tariff Determination of the Bio-mass project based in Mohindergarh District of Haryana State

  • Economic Times, ET Bureau / Hyderabad
  • Created: Tue 18th OCT 2016


The Bio-mass project of the Star Wire (India) Vidyut Pvt. Ltd. is based in Mohindergarh District of Haryana State with an aggregate installed capacity of 9.9 MW and was synchronized with the grid on 3rd May 2013. The Commission, vide order dated 20th Nov 2013, issued the impugned Order determining a generic levellised tariff of Rs. 6.97/- per kwh. The petitioner submitted that the order dated 20th Nov 2013 did not have the detailed calculation sheet annexed to the order as in the case of order dated 13th Aug 2014 & subsequent corrigendum dated 29th May 2015.

The petitioner submitted that the average PLF for the first year would be 65%. However, while determining tariff for the projects commissioned during 2013-14, the PLF for the 1st year was inadvertently taken as 70%. The Petitioner also submitted that inadvertently, the depreciation has been worked out on 90% cost of the asset, in place the entire cost of asset. The case was heard on 13.06.2016. The Commission has heard the arguments of the Petitioner and the respondents as well as their replies and written submissions including rejoinders provided in the matter. The Commission concluded that:

  • The PLF (Plant Load Factor) for the first year shall be pegged at 65% instead of 70%. Hence, the first year tariff for the biomass based power projects commissioned in the FY 2013-14 shall be accordingly corrected.

The deprecation shall be aligned with the HERC RE Regulations, 2010. However, in view of the Commission’s Order dated 9th Oct 2015 wherein the yearly tariff for the projects commissioned in the FY 2013-14 has already been revised in regard to calculation of deprecation from the date of notification of the 4th Amendment i.e. 12.08.2015, hence the same shall now be corrected for the period up to 12th Aug 2015 only.




Haryana MOHINDERGARH Grid Tariff Haryana Electricity Regulatory Commission Power India

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