ORISSA ELECTRICITY REGULATORY COMMISSION BIDYUT NIYAMAK BHAVAN

CASE NO.62/2001 & 10/2002 Present : Shri D. C. Sahoo, Chairman Shri H.S. Sahu, Member Shri B.C. Jena, Member Date of Hearing : 23.03.2002 Date of Order : 19.04.2002 IN THE MATTER OF An application for approval of Revenue Requirement for the FY 2001-02 and for Retail Supply Tariff and charges for FY 2001-02 under Section 26 of Orissa Electricity Reform Act, 1995. & For approval of Annual Revenue Requirement for financial year 2002-03 under Section 26(4) of the Orissa Electricity Reform Act 1995 read with condition 21.1 of the Orissa Retail Supply License 1997 (No.2/97). O R D E R
Order on Distribution and Retail Supply Tariff and approval of Revenue Requirement for FY 2001-02 & 2002-03 for CESCO (Case No.62/2001 & 10/2002) Procedural History Legal Objections as to the maintainability of the Cases CESCO's Proposal Objections during hearing Clarification sought by Director (Tariff), OERC CESCO's reply to the objectors CESCO's reply to Director(Tariff) Commission's observation and analysis of licensee's proposal Scenario of the power sector reform in Orissa Restructuring of the Power Sector Strategies for improvement of power sector Depreciation of DISTCOs Reasonable Return Treatment of Working Capital T & D Loss Method of determination of Power Purchase Determination of expected revenue Collection efficiency of DISTCOs Summary of revenue requirement of DISTCOs for FY 2001-02 & 2002-03 Operating Expenses Employees Cost Repair & Maintenance Expenses Administration & General Expenses Interest on Loan Interest Capitalised Depreciation Bad & Doubtful Debt Other expenses Previous Loss Contribution to contingency reserve Other special appropriation permitted by OERC Capital Base Receipts against consumers contribution Original cost of Work in Progress Investment under Para IV Working Capital Average Cash and Bank Balance Accumulated Depreciation Loans and Bonds Consumers' Security Deposit Reasonable Return Miscellaneous Receipt Revenue requirement, Reasonable Return and Clear Profit Tariff Issues Tariff Hike Wheeling Charges Load Factor Billing Incentive for maintaining high power factor Incentive for prompt payment Metering of street lights Multi -year Tariff Consumer Service Construction Power Observation for over-drawal penalty clause Observation for incentive for higher consumption Treatment of past losses Demand charge during statutory power-cut Meter rent Quality of supply and service Un-authorised and illegal abstraction of electricity Rural Electrification Special tariff for Power Intensive Industries Emergency power supply to CPPs Corrective measures and alternative calculation of revenue requirement Expected revenue from charges Tariff revision proposal Annex- A1 Revenue Requirement for FY 2001-02 Annex -B1 Calculation of Capital Base and Reasonable Return for FY- 2001-02 Annex -C1 Calculation of Clear Profit for FY- 2001-02 Annex -A2 Revenue Requirement for FY 2002-03 Annex -B2 Calculation of Capital Base and Reasonable Return for FY - 2002-03 Annex -C2 Calculation of Clear Profit for FY 2002-03 Annex - D1 Tariff effective from 1st February, 2001 Annex - D2 CESCO's Tariff revision proposal for FY 2001-02 Annex - D3 Tariff schedule for FY 2002-03
M/s Central Electricity Supply Company of Orissa Ltd., Janpath, Bhubaneswar (CESCO, in short), the holder of The Orissa Distribution and Retail Supply Licence, 1999 (No.1/1999) has submitted two applications u/s 26 of the Orissa Electricity Reform Act, 1995 (Reform Act, 1995, for short) in respect of its Revenue Requirement and Tariff for Retail Supply of electricity for different categories of consumers. Its application for determination of Tariff for the Financial Year 2001-2002 has been registered as Case No.62/2001 and application for Revenue Requirement for the Financial Year 2002-2003 has been registered as Case No.10/2002. Both the Cases being inter-related to each other have been heard analogously and are being disposed off by this common order.
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