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SUMMER INTERNSHIP REPORT

OPEN ACCESS & INTERSTATE SHORT TERM OPEN ACCESS


IMPLICATIONS
(CASE STUDY OF HARYANA)
UNDER THE GUIDANCE OF
Mrs, Manju Mam , director, NPTI
&
Mr. Dipanshu Gupta, Senior Manager, Global Energy Pvt. Ltd.
At Global Energy Pvt. Ltd. Delhi
Submitted By
Akash Sharma
Roll No 08

MBA – Power Management

Affiliated To

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CERTIFICATE

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DECLARATION
I, Akash sharma , Roll No 08 student of MBA (POWER MANAGEMENT) 2012-14 batch
of the National Power Training Institute, Faridabad hereby declare that the Summer Training
Report entitled -“Open Access & Interstate short term open access implications (case
study of Haryana) ” is an original work and the same has not been submitted to any other
Institute for the award of any other degree.
A Seminar presentation of the Training Report was made on September 04, 2012 and
the suggestions as approved by the faculty were duly incorporated.

Presentation In charge Signature of the Candidate

(Faculty) (Akash Sharma)

Countersigned
Director/Principal of the Institute

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ACKNOWLEDGEMENT
To acknowledge here, all those who have been a helping hand in completing this project,
shall be an endeavour in itself.
Nevertheless with all due regards and respect to the contributions made by various persons at
each stage of the project, I take this as an opportunity to thank all those who have been
instrumental in completion of my project “Open access & Interstate short Term open
Access Implications (case study of Haryana)”.
I first thank my Project Convener Mr Dipanshu Gupta ,Senior manager , Global Energy
Pvt. Ltd.who gave me this opportunity to work on a project of such vast dimensions.I also
thank Mr. Niraj Kumar, Manager, VP, Global energy Pvt. Ltd.
For his constant support & encouragement. The extent of clarity of thought that a person
should have while performing his duties is what I think that I imbibe from him. I am indebted
to my project guide Mrs. Manju Mam, Director, NPTI Faridabad who was keen with me
in developing this project. Her continuous support both in technical and moral terms led me
to pave the way through the challenges faced during the arduous course of this task.
I also thank Mr S K Chaudhary, Principal Director NPTI, Mr J.S.S. Rao and Intern Co-
ordinator Ms Manju Mam, for their support and guidance throughout this project. A special
acknowledgement to my friend Himanshu and my seniors who helped me as and when
required.

Akash Sharma
Summer Interns
NPTI, Faridabad

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EXECUTIVE SUMMARY
The Electricity Act 2003 has already brought forth numerous changes in the electricity sector.
Enactment or the implementation of the act is now one of the greatest tasks lying ahead of
those well wishers of this industry. One of the greatest achievements of this over haul in the
power industry can be considered – is the freedom to buy and the freedom to sell the
electricity.
As mentioned above the freedom to buy and sell electricity thereby creating or tending
towards a perfect market in this sector, which was previously almost a monopoly market run
and maintained by State Electricity Boards, is now widely opened up for a greater private
participation. Trading is now considered as a distinct activity. Open access thus finds its own
niche in supporting this activity. Open Access – an issue already discussed and debated in
lots of arena still remains completely unresolved.
Open access always was or is the first step into a free and strong, open and unified power
market throughout the world. It allows the generator with an excess capacity to sell and take
part in the trading of electricity. Central Transmission Utility and State transmission Utilities
are obliged to allow their facilities for this purpose .Thus the timing of allotment, charges to
be taken from users, amount of capacity to be allotted are all major issues which need a quick
attention by the regulators. Also some of the issues like cross subsidy, extent of subsidy,
method of calculation of surcharge etc are to be addressed by the quasi judiciary entities.
Thus the issues to be addressed in this report could be of immense importance in the
perspective of an advanced market in the future. Thus they should be given proper
importance by the DERC and the concerned authorities.
In this report a detailed study of the Open Access Regulations issued by CERC and various
SERCs are carried out. Also the detailed procedure laid out for Grant of Connectivity, Long-
term Access and Medium-term Open Access by the CTU is being studied.
As a student of MBA in Power Management from National Power Training Institute,
Faridabad, I got an opportunity to do my summer internship program in GE which lasted for
8 weeks during which I was assigned a project and I had to work in a team for completion of

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the project. My project included preparation of draft regulations for Grant of Connectivity
and Inter-State Open Access.

LIST OF ACRONYMS
MSEDCL Maharashtra State Electricity Distribution Company Limited

MSEB Maharashtra State Electricity Board

MERC Maharashtra State Electricity Regulatory Commission

CSS Cross Subsidy Surcharge

LT Low Tension

HT High Tension

RGGVY Rajiv Gandhi Gramin Vidhutikarn Yojana

R-APDRP Restructured – Accelerated Power Development & Reforms

Programme

SCADA Supervisory Control and Data Acquisition

SOP Standard of Performance

HVDC High Voltage Direct Control

MIS Management Information System

GIS Geographical Information System

SLDC State Load Dispatch Centre

WRLDC Western Load Dispatch Centre

MEDA Maharashtra Electricity Development Association

NLDC National Load Dispatch Centre

RLDC Regional Load Dispatch Centre


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CTU Central Transmission Unit

STU State Transmission Unit

ANC Available Network Capacity

ATSC Annual Transmission Service Charges

MUC Marginal unit cost

BEST Brihanmumbai Electric Supply & Transport

NTP National Tariff Policy

Act / EA Electricity Act, 2003

ANC Available Network Capacity

BRPL BSES Rajdhani Power Limited

BYPL BSES Yamuna Power Limited

CAMPS Center for Advanced Management and Power Studies

CEA Central Electricity Authority

CERC Central Electricity Regulatory Commission

CGRF Consumer Grievance Redressal Forum

CTU Central Transmission Utility

DERC Delhi Electricity Regulatory Commission

DISCOM Distribution Company

DTL Delhi Transco Limited

DVB Delhi Vidyut Board

MES Military Engineering Services

MW Mega Watt

NCT National Capital Territory

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NDMC New Delhi Munciple Corporation

NDPL North Delhi Power Limited


NPTI National Power Training Institute

PGCIL Power Grid Corporation of India Limited

SEB State Electricity Board

SERC State Electricity Regulatory Commission

SLDC State Load Despatch Centre

STU State Transmission Utility

T&D Transmission & Distribution

UI Unscheduled Interchange

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LIST OF FIGURES
Figure 1 : Research methodology ..................................................................................................... 18
Figure 2: Conceptualization of the project ....................................................................................... 18
Figure 3: SECTIONS OF THE ACT GOVERNING OPEN ACCESS ............................................................ 20
Figure 4: CATEGORIES OF OPEN ACCESS .......................................................................................... 28
Figure 5: DIRECTION FOR PRICING REFORMS ................................................................................... 62
Figure 6: CAPACITY BUILDING AT SLDC & UTILITIES .......................................................................... 64

LIST OF Tables
Table 1: COMPARISON OF SECTOR STRUCTURE ............................................................................... 57
Table 2: COMPARISON OF PHASING AND ELIGIBILITY OF OPEN ACCESS ........................................... 58
Table 3: COMPARISON OF TRANSMISSION PRICING ......................................................................... 59
Table 4: COMPARISON OF TREATMENT OF TRANSMISSION LOSSES ................................................. 59
Table 5: Websites ............................................................................................................................ 71

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TABLE OF CONTENTS

Contents
CERTIFICATE ..................................................................................................................... 2
DECLARATION .................................................................................................................. 3
ACKNOWLEDGEMENT .................................................................................................... 4
EXECUTIVE SUMMARY ................................................................................................... 5
LIST OF ACRONYMS ........................................................................................................ 6
LIST OF FIGURES ............................................................................................................. 9
LIST OF Tables .................................................................................................................. 9
1 About the organization .................................................................................................. 12
2 Services offered :- ........................................................................................................ 13
3. Objective of the Project.................................................................................................. 16
4. Significance of the Project ............................................................................................. 17
5 Research methodology ..................................................................................................... 17
6. Introduction to Open Access ......................................................................................... 19
6.1. Provisions of EA, 2003 in the context of Open Access............................................ 22
6.2. Mandates of the State Commission (Delhi Electricity Regulatory Commission) ... 24
6.3. Need for Open Access .............................................................................................. 26
6.4. Categorization of open access customers: .............................................................. 27
7. Application procedure for Open Access ........................................................................ 28
8. Main Elements of Open Access ...................................................................................... 29
8.1. Capacity Assessment ............................................................................................... 29
8.2. Allocation of Network Capacity .............................................................................. 32
8.3. Curtailment Priority ................................................................................................ 33
8.4. Under-Utilization/Non-Utilization of Open Access capacity .................................. 33
9. Pricing for Open Access ................................................................................................. 34
9.1. Objective of Pricing Policy as followed by DERC .................................................... 34
9.2. Pricing for Network Usage ...................................................................................... 35

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10. Charges for Open Access Customers ........................................................................... 39
10.1. Transmission Charges ........................................................................................... 39
10.2. Scheduling and System Operation Charges .......................................................... 42
10.3. Wheeling Charges.................................................................................................. 43
10.4. Cross-Subsidy Surcharge ...................................................................................... 44
10.5. Additional Surcharge ............................................................................................ 49
10.6. Imbalance Charges ................................................................................................ 50
10.7. Reactive Energy Charges....................................................................................... 51
10.8. Transmission Losses ............................................................................................. 51
10.9. Distribution Losses ............................................................................................... 52
11. Information System ..................................................................................................... 52
12. International Experience in Open Access ................................................................... 54
13. Challenges Ahead to Implement Open Access ............................................................ 60
14. Recommendations ....................................................................................................... 67
15. Conclusion ................................................................................................................... 69
16. Limitations of the Project ............................................................................................ 70
17. Bibliography ................................................................................................................ 71

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1 ABOUT THE ORGANIZATION
Established in 1994, Global Energy Private Limited is an ISO 9001:2008 certified
Energy Company like no other, which is committed towards honouring the trust
invested in it by its clients, by providing uninterrupted power supply and
commitments made to its employees by delivering them a steady growth path. It is
committed to achieving success in accordance with the company’s high business
ethics and values with a focus on green and renewable energy. Every member of
GEPL has imbibed this commitment and purpose.
Global Energy Private Limited focus is to efficiently operate its renewable facilities in
order to provide its customers with a reliable, low-cost source of power. It is an
ISO9001:2008 Certified Company for generation of Power from Agro waste.
As a power trader, Global Energy supports their esteemed clients with data driven
power market analysis to help them get best returns. Global Energy has till date,
transacted almost 3 billion units of Energy .Global Specializes in renewable energy
trading, especially wind and Hydro. Apart from this, it understand the dynamics of the
various energy markets and its goal is to maintain effective relationships with
stakeholders by using this extensive knowledge to benefit our clients through our
advisory services.

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2 SERVICES OFFERED :-
Power Trading Services
Power Trading powered by analytics directed towards equitable growth. Global Energy
Private Limited (GEPL) is engaged in the business of power trading and is focused on
providing hassle-free energy transactions for its clients with all regulatory and strategic
support for a quick, effective, single-window clearance. GEPL has outlined the critical
differences between pure power trading and energy production: GEPL does not trade energy
on a speculative basis, but supports its esteemed clients with a data driven power market
analysis to help clients get the best returns.
So far, GEPL has traded ~3 Billion Units of electricity and besides trading thermal power,
GEPL is among the country’s biggest traders in green energy, especially from Hydro and
Wind.

Analytics Driven Methodology


It trades in power for its equitable distribution and thus contributes in a way to meet India’s
burgeoning energy needs. Global Energy has gone onto set benchmarks in Analytics driven
trading methods which are more scientific and logic driven hence ensuring Delightful
results to its customers. Quick and hassle free energy transactions with all regulatory and
strategic support distinguish its Power Trading Services from the rest. its focus on clean and
renewable energy continues in the area of power trading as well through its specialization in
wind and hydro.

Renewable Power Transactions


Global Energy is committed towards alternative energy and transition from expensive fossil
fuel to freely available and clean sources of energy. The company actively engages and
specializes in trading of Hydel energy. It is also active in certificates trading to support its
clean energy initiatives. its extensive advisory services have been geared to deliver key
information required for setting up and running of power plants which are fuelled by
renewable resources.

Non Renewable Power Transactions

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Non Renewable power continues to form the backbone of our country. Global Energy has
been active in power trading of all types of power including that generated from fossil fuel.
its power trading spans across power trading in coal, gas and liquid fired power plants.
Global warming is a huge issue and therefore cannot be ignored in the wake of burgeoning
consumption of energy. The governments across the world have laid down strict regulations
in this regard. Global Energy as a company has been working towards establishing a strong
business model in power generation with non renewable resources thus making them eco
compliant and profitable.

Power Supply via Open Access


With the rapid growth in industrialization, the cost of power plays a crucial role in deciding
the cost of manufactured goods. With its services customers, that have a minimum load
demand of 1MW or 1MVA, can source power with the best available price options at a
guaranteed level and quality of supply so as to enable them concentrate on their core
business strengths.

Power Generation
Generating energy through renewable sources for a cleaner and greener tomorrow.
GEPL‟s energy generation unit is focused on producing reliable and affordable electricity on
a long-term, sustainable basis. GEPL maintains a low-risk, environmentally friendly
portfolio of assets. Its focus is to efficiently operate its renewable facilities in order to
provide our customers with a reliable, low-cost source of power.
Since the Company‟s inception, it has been a responsible operator of its unit/s and a proud
contributor to the communities where it works and lives; it is geared to meeting the climate
challenge and achieving a sustainable future which includes secure, reliable, and affordable
electricity for India currently and in future.

G.E.s future Plans include, investments and asset building for:


Conventional Power Generation
Small Hydro Power Generation
Solar Thermal Power Generation
Wind Power generation

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Bio-mass based Power generation

ENERGY GENERATION
Global Energy has been tirelessly working towards honouring its

commitment towards meeting the energy needs of the country.GE constantly ideate and
evolve it selves to make way for uninterrupted flow of power at the most economical price
possible which is fundamental for a growing economy like India. GE innovate relentlessly
towards establishing renewable energy as the preferred energy resource to meet our ever
increasing needs and therefore collaborate with agencies across the world to bring the very
latest in technology in clean energy. Global Energy is an ISO 9001:2008 certified company for
generation of power from agro waste.

Energy Certificate Trading


In light of recent developments in the area of renewable energy and the global imperative to
reduce the energy sector’s carbon emission and ecological footprint it has pursued the
promotion of Renewable Energy, which has taken a front seat in the Indian Energy sector.
Keeping this in mind, the Indian Government has emphasized the need for each state to
produce a certain percentage of RE.

Global energy’s contribution towards the above effort lies in helping our
clients build
Their RE Certificates sales portfolio at the optimum price range through:
Renewable Energy Certificate
Verified Emission Reduction Certificates, and
Certified Emission Reduction Certificates

Power Advisory -
GE shares its knowledge and expertise in the energy sector for a brighter future.
it understands the dynamics of the various energy markets and goal is to maintain
effective relationships with stakeholders by using this extensive knowledge to benefit its

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clients.

Our advisory portfolio includes:


Identifying Opportunities for setting up of Thermal/ Liquid fuel/ Wind/ Solar/ Biomass
based power projects.
Asset Takeover of old power generating on Lease Operate Transfer (LOT Model)
Fuel arrangements and procurement
Rural Decentralized Distributed Generation for power
Consultancy Services for Sale, Purchase & Transaction management
Regulatory & Policy Advisory
Power Derivatives & Swaps.
Exchanges: Setting up, training, etc. for Power exchange, Trading Desk Development &
Management Structuring of Green Field and Brown Field power projects

Clean Energy Initiatives


Helping provide for India's burgeoning energy needs
Global Energy is committed towards a greener future and for this it provides turnkey
Solutions to private producers who use renewable energy resources. The company is also
initiating conferences on the issue of promoting clean energy and provides consultancy and
technical support to install capacities in this area.

3. Objective of the Project

 To understand and perceive the mechanism of interflow of electricity among different


regions and within state and put forth this information in the form of grant of
connectivity and intra-state open access regulations for Delhi after correlating the
intricacies of this mechanism.

 To understand the various methods of pricing of open access customers.

 To compare and contrast the international scenario in open access.

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 To understand the proceedings of regulatory commission in respect of processing of
ARR filings of generation, transmission and distribution companies, public hearing of
ARR petitions and other related aspects of the commission.

4. Significance of the Project


Enactment of the Electricity Act, 2003 has opened up hitherto constrained electricity market
which was characterized by long term PPAs and inability of Distribution Companies &
consumers to have a choice of suppliers. Besides, delicensing generation and removing
controls on captive generation, the provision regarding availability of non-discriminatory
open access in transmission from the very beginning and distribution in phased manner is the
core of the Act. This creates enabling environment for competition among generators/traders to
choose their customers and vice versa.
Though open access regulations were already in place in Delhi since 2005 in three phases for HT
consumers with Contracted Demand of not less than 5 MW, 3MW and 1MW in respective
phases and DERC has also determined transmission charges, wheeling charges and cross subsidy
surcharge through subsequent orders to implement the open access, there are no open access
customers till date.

5 Research methodology

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Figure 1 : Research methodology

Figure 2: Conceptualization of the project

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6. Introduction to Open Access
The objective of this assignment is to develop a framework for providing non-discriminatory
open access to the transmission and distribution system in the NCT of Delhi. In order to achieve
the desired objective, there is a need to take a holistic view on the subject, which should
encompass the legal framework, technical, commercial and financial aspects related to the same.
The condition of power sector in Delhi would also need to be considered in order to develop an
overall framework for the implementation of open access in the state.
This section reviews the legal framework existing in Delhi, along with the various provisions of
the EA 2003 to understand the legal boundaries within which the regulations would need to be
developed.
“According to the Act….”
The Electricity Act 2003 brought in significant changes in the power sector by enabling
competition, mandating open access to transmission and distribution networks, recognizing
trading and supply as a licensed activity, and delicensing generation.
Open Access, as per EA 2003, is defined under Section 2 (47) as follows:
“Open Access means the non-discriminatory provision for the use of transmission lines or
distribution system or associated facilities with such lines or system by any licensee or
consumer or a person engaged in generation in accordance with the regulations specified by
the Appropriate Commission”
To interpret it in a more understandable way the above can be put as follows:
Enabling of non-discriminatory sale/ purchase of electric power/energy between two parties
utilizing the system of an in- between (third party), and not blocking it on unreasonable grounds.

Meaning of Non-discriminatory Open Access

• Entitlement of the users to use transmission & distribution network of the licensees.

• Licensees maintaining these networks cannot refuse such usage merely because such system
belongs to him.

• Universal service obligation.

• Differential treatment of unequals is not discrimination if such unequals are clearly identifiable
as a separate class and there are justifiable reasons for separating them.

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• Use of the transmission system can be classified and conditions of the open access can be
structured differently.

• Thus, classification can be made between the existing and new users and, long term, medium
term and short term users, continuous and seasonal users, peak and non-peak hour users and
distribution licensees.

Figure 3: SECTIONS OF THE ACT GOVERNING OPEN ACCESS

Open access to distribution networks


The rights conferred upon consumers of electricity to source their supply from competing
producers and suppliers and the corresponding duties imposed upon transmission entities,
distribution licensees and RLDCs/SLDCs to transport electricity in an efficient and non-
discriminatory manner aim at creating a competitive market that would improve efficiencies and
cut costs. Moreover, it would create a market for supply by competing producers and thus
encourage investments in creation of generating capacities which need not rely on distribution
licensees for payment security. Trading licensees have been introduced, under the provisions of
Section 52, to lend greater efficiency and competitiveness in the sale and purchase of electricity.

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To ensure the 'last mile' access to consumer, Sections 42 (2) through 42 (4) stipulate the duties of
distribution licensees in providing open access to their networks.

Duties of distribution licensee and open access –

(1) The State Commission shall introduce open access in such phases and subject to such
conditions, (including the cross subsidies, and other operational constraints) as may be specified
within one year of the appointed date by it and in specifying the extent of open access in
successive phases and in determining the charges for wheeling, it shall have due regard to all
relevant factors including
such cross subsidies, and other operational constraints:
Provided that such open access shall be allowed on payment of a surcharge in addition to the
charges for wheeling as may be determined by the State Commission:
Provided further that such surcharge shall be utilized to meet the requirements of current level of
cross subsidy within the area of supply of the distribution licensee:
Provided also that such surcharge and cross subsidies shall be progressively reduced in the
manner as may be specified by the State Commission:
Provided also that such surcharge shall not be leviable in case open access is provided to a
person who has established a captive generating plant for carrying the electricity to the
destination of his own use:
Provided also that the State Commission shall, not later than five years from the date of
commencement of the Electricity Act, 2003, by regulations, provide such open access to all
consumers who require a supply of electricity where the maximum power to be made available at
any time exceeds one megawatt.

(2) Where any person, whose premises are situated within the area of supply of a distribution
licensee, (not being a local authority engaged in the business of distribution of electricity before
the appointed date) requires a supply of electricity from a generating company or any licensee
other than such distribution licensee, such person may, by notice, require the distribution
licensee for wheeling such electricity in accordance with regulations made by the State
Commission and the duties of the distribution licensee with respect to such supply shall be of a
common carrier providing non-discriminatory open access.

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(3) Where the State Commission permits a consumer or class of consumers to receive supply of
electricity from a person other than the distribution licensee of his area of supply, such consumer
shall be liable to pay an additional surcharge on the charges of wheeling, as may be specified by
the State Commission, to meet the fixed cost of such distribution licensee arising out of his
obligation to supply.

Provisions for captives


Besides the above, under the provisions of Section 9(2), consumers who draw their supply from
their captive generating stations have been granted open access to the transmission and
distribution networks without having to pay the open access surcharge applicable for consumers
securing supply under Section 42(2) of the Act.

6.1. Provisions of EA, 2003 in the context of Open Access


As is evident from the EA 2003 provisions, the legislative intent is to open up the sector from a
monopolistic working of the electricity utilities to a more competitive environment. The Act
intends to create substantive changes in the sector, in particular, in respect of changing the Single
Buyer model prevalent in the most states to Multi-Buyer models, with the option to the
purchasers of electricity, both the consumers and intermediary suppliers including licensees, to
procure their electricity requirements from the sources of their choice, deregulation of thermal
generation from the necessity to take techno-economic clearance, the promotion of captive
generation and promotion of electricity trading for both inter-state and intra-state requirements. In
light of the above, the availability of non-discriminatory open access in transmission and
distribution becomes a very basic requirement for the successful implementation of the objectives
of EA 2003.
EA 2003 mandates the following in regard to introduction of open access:

(CTU), State Transmission Utilities (STUs) and the Transmission licensees, and distribution
system of the distribution licensees on a non- discriminatory basis (ref: sections 38, 39 and 40).

allowed immediately on payment of transmission charges and in the distribution system on


payment of wheeling charges and surcharge, subject to the absence of operational constraints.

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The Captive Generating Plants including group captives shall have open access for conveyance
of electricity from the place of generation to the place of their own use by the person or persons
who had established the Captive Generating Plant. Open Access to the Transmission and
Distribution System shall be available to the Captive Generating Plants from the effective date of
the EA 2003 i.e. 10th June 2003 as provided in sections 9 and 42, subject to the availability of
adequate transmission capacity and absence of operational constraints in the distribution system.
The availability of the transmission capacity shall be determined by the CTU or the STU
concerned and in case of any dispute as to availability, the same shall be adjudicated by the
Appropriate Commission (Ref: Section 9).

access in the Transmission and Distribution System (Ref: sections 38,39, 40 and 42); The Captive
Generating Plants will pay the transmission and wheeling charges for availing open access.

System (Ref: section 42) for consumers shall be subject to

Phases for introduction of open access to be decided by the Appropriate State Commission
under section 42 – such phases shall be designed in a manner that all consumers with the
connected load of one megawatt and above shall be allowed open access not later than five years
from the coming into force of the amendment in section 42, effective from January 2004;

Availability of adequate transmission facilities;

Absence of operational constraints in the distribution system;

Payment of surcharge if such open access is to be allowed before the elimination of cross
subsidies

A consumer permitted by the commission to receive supply from a person other than the
distribution licensee of his area shall be liable to pay an additional surcharge on the charges of
wheeling to meet the fixed cost of the distribution licensee arising out of his obligation to supply.

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As can be seen from above, the EA 2003 recognizes the availability of transmission capacity and
absence of operational constraints in the distribution system as the preconditions for allowing
open access in the transmission and distribution systems. The EA 2003 also provides for gradual
phasing out of cross subsidy prevalent in the system. In the event open access is sought before the
cross subsidies are reduced and eliminated as per the scheme to be framed by the State
Commission, the consumer to whom the electricity is supplied will pay the surcharge to meet the
current level of cross subsidy to the concerned distribution licensee.

6.2. Mandates of the State Commission (Delhi Electricity Regulatory


Commission)
Based on the provisions listed in the above paragraphs and other provisions of the EA 2003, with
regards to “Open Access”, the duty of State Commission (DERC) is to

Oversee and allow non-discriminatory open access in the Transmission System to Licensees,
Generating companies and also to captive generating plants.

Develop a phased plan for introducing open access in the Distribution System over a period
and the scheme to be decided by the State Commission.

Develop a phased program for reduction and elimination of cross subsidies and tariff
rationalization of every class of consumers paying for the cost of supply.

Determine the transmission charges, wheeling charges, surcharge, additional surcharge and
system operation and service charges (including Unscheduled Interchange (UI) charges, State
Load Dispatch Centre (SLDC) charges) for open access and specify the manner and utilization of
the surcharge.

Be guided by the National Tariff Policy of Central Government and principles and
guidelines used by the Central Electricity Regulatory Commission for determination of tariffs for
generators and transmission licensees.

Adjudicate upon disputes relating to availability of capacity, quality of electricity and safe,
secure and integrated operation of the State grid or related to compliance of instructions given by
the SLDC.

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Each one of the aspects mentioned above has implications on the others and there is a need to
take a holistic view. There are really two streams under which the above aspects need to be
considered. First stream is the progressive reduction and eventual elimination of cross subsidies,
which also involve dealing with related issues of determining the cost of supply, and prevalent
cross subsidy surcharge. The second stream relates to the introduction of open access, decision on
transmission capacity and operational constraints.
The regulations in this regard would have to be framed keeping the following broad principles in
mind:


Maintenance of a balance between the conflicting interests of the existing incumbent players
and the consumers.

Clear, unambiguous framework to provide confidence and comfort to market participants to


encourage the use of open access regime.

Simple to understand and administer.

Long-term outlook so as to enable building up of system and requirements for an efficient


market.

Flexible so as to allow for correction based on the lessons from implementation of the initial
stages.

Applicability across different kinds of consumers, varying loads and different tenures.

Provision of a stable income to the system owner.

Provision for sustainable development of the transmission network.

Allow for an easy transition from the currently used methodology for charges to an open
access pricing methodology.

Consistency with the Electricity Act, 2003.

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6.3. Need for Open Access

1. Electric Networks in India are natural monopoly

2. To introduce competition

Competition for the Power Market in India

3. Regulation

Breaking monopoly status

Providing access – non discrimination

4. Electricity Act provides that

Open access to be introduced in Transmission and distribution networks.

The rationale for open access principle is primarily based on the following benefits that are
expected to accrue:

Optimum utilization of the network and efficiency gains through increased system
strengthening investments;

Unlocking of the unused / economic capacities in the sector.

Categorization of open access customers


Long Term -12 years to 25 years
Medium Term -3 months to 3 years
Short Term -Up to 1 year

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Sale of surplus Captive capacity to third parties to improve the availability and reliability of
supply and reduce unmet demand as well as maximize capacity utilization.

Provide licensees the freedom to source power from alternative sources in a competitive
manner and the generating entity to choose its own buyer with the requisite credit rating. This
would, in turn, help in mitigating business and credit risks.

Increased competition leading to efficient operation and thereby reduced tariffs and better
quality of power in the state.

6.4. Categorization of open access customers:

(1) The open access customers may be classified into the following categories:

(a) Long-term access customer: A long-term open access customer is one who avails open
access for a period of 12 years to 25 years.

(b) Medium-term open access customer: A medium-term open access customer is one who
avails open access for a period of 3 months to 3 years.

(c) Short-term open access customer: A short-term open access customer is one who avails
open access for a period of one month and below.

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Figure 4: CATEGORIES OF OPEN ACCESS

(2) The long-term customer shall be eligible to renew the open access on the expiry of his
Agreement, provided that the customer submits a written request at least six months prior to such
expiry, mentioning the period for which extension is required.

(3) Medium-term and Short-term open access customers shall not be entitled to any overriding
preference for renewal of the term

7. Application procedure for Open Access


Open access customer shall apply to the nodal agency in the prescribed format along with the
requisite application fee. The nodal agency shall process the application and inform the applicant
the details of the transmission system to be used, transmission charges likely to be payable, etc.
The applicant shall sign an access agreement with the nodal agency in respect of long-term access
and medium-term access. Short term open access customers can apply for open access in
advance, day ahead open access and open access in contingency.

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In respect of long-term and medium-term customers, the State Transmission Utility shall submit a
detailed procedure for grant of connectivity, long-term access and medium-term open access.
Augmentation of transmission system shall be carried out for Long-term access customers while
medium-term and short-term open access shall be granted only if the resulting power flow can be
adjusted in the existing transmission system.

8. Main Elements of Open Access


While framing the draft regulations a number of issues have been analyzed prior to the
formulation of various options available in building up of the Open Access framework. The intent
of the analysis is to understand the various facets of open access and its impact on the various
constituents of the power sector in Delhi so as to develop a framework that is consistent with the
legislation, state environment and is implementable.
The key issues identified are:

Capacity determination

Allocation of Capacity

Pricing of Open Access, including determination of charges, namely, transmission charges,


wheeling charges, cross subsidy surcharge and additional surcharge

Other issues

8.1. Capacity Assessment

The aim of capacity assessment is to understand the extent of surplus capacity available on the
network that can be used to provide open access, without impacting the existing users, reserve
capacities and redundancy requirements to meet emergency conditions. In case there is limited
network capacity available, plan for timely augmentation in view of growth in demand and
addition in generation capacity of the network would need to be identified so that open access can
be provided to those who are seeking the same as per the EA 2003.
In this regard, the following aspects need to be addressed:

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Approach to Network Capacity Assessment and network capacity augmentation

Operational Aspects

Allocation of network capacity

Curtailment

Revocation and Transfer

Approach to Network Capacity Assessment


The existing system in the State has various generators (both public and private) and linked with
the grid to enable the transfer of power from generating plants to the end consumers. Given the
complexity of the open access, there is a clear need to understand what network capacity really
reflects to. Does it reflect

-to-point capacity available in the network

If capacity were defined as point-to-point, then specific points of injection and drawl would
become important for assessment of capacity available in the system. Internationally, both
network service as well as point-to-point service is provided by transmission service providers.
Network service would be preferred as it would provide more flexibility to the players and would
in any case be required as the systems move towards dynamic markets. Such a service would
require the transmission and distribution system to be robust with adequate reserve margins and
systems and processes to provide it. Based on the current situation of network capacity and
constrained investments, in the interim, it would be preferable that the system be tested based on
limited flexibility on the injection and drawl, i.e. a point-to-point approach. For the long-term, in
view of encouraging the trading business, planning would be required to ensure availability of
network service.
For the present, it is felt that the optimum approach would be the assessment of Available
Network Capacity (ANC) based on point-to-point basis specified on point of injection and point
of drawl. ANC would provide the information about the available transfer capacity of the

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transmission / distribution line in a certain direction without violating the security constraints. It
would essentially measure the transfer capability remaining in the physical network for further
commercial activity, over and above already committed uses (less the ―existing load‖ for the
applicant if already a consumer). Any new load of an existing open access customer would be
treated at par for allocation of network capacity as a new open access customer.
Computation of ANC would need to be assessed keeping the following issues in mind:

Existing users and therefore the capacity utilized over seasons, peak and off-peak periods.

Reserved capacity – that has been reserved but is currently unutilized on account of delays in
commissioning of end-user equipments, lack of funds, policy directives or otherwise etc.


Growth expected in the load.

Safety margins required for safety of the grid.


As every transaction affects the entire grid as well as interconnected lines, ANC is expected to be
a dynamic value and would be dependent on the status of the rest of the network. Accordingly, an
assessment of the ANC must allow for reasonable uncertainties in system conditions and afford
redundancies to address emergency situations.
The capacity assessment for the transmission and distribution system would need to be conducted
periodically by the Transmission Licensee, in Delhi by DTL and distribution licensees BRPL,
BYPL and NDPL respectively with the help of SLDC. However, it is important that to ensure fair
open access, the regulators must be able to assess the situation put forth by the nodal agency and
take corrective measures/directives within limited time period. There may therefore be need for
an independent assessment, wherever required, with the support of external experts.
In the event that network capacity is not available at the time of assessment, STU and the
concerned Distribution Licensee would be required to make an assessment of the capacity
addition required and the timeframe for implementation of the same. As availability and
reliability of the network forms the core of the open access regime, investment planning would
need to form a part of the license requirements and planning process of the State Transmission
Utility. As the system strengthening would benefit other users also, the costs towards the system
augmentation and strengthening required would be borne by all the long-term users of the system.
However, any costs towards any dedicated system required would be borne by the open access

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customer alone, until the dedicated facility is offered for use by other participants of the T&D
system, in which case then the costs can be shared between the users of the dedicated facility in
proportion to their capacity reserved.
The increased reliability to be provided under Open access would require that integrated system
planning be undertaken by STU, concerned Distribution Licensees and SLDC with intimation to
the Commission so that smooth implementation and cost recovery can take place.

8.2. Allocation of Network Capacity


Before providing Open Access it is essential to address the issue of what the capacity allocation is
required for, and whether such a determination should be undertaken after factoring for the
requirements and constraints of existing licensees or should it be based on a perusal treatment of
all open access customers. The reason why this issue is important is that if reservation of network
capacity is unilaterally adopted, this could result in effectively blocking open access till new
capacities are planned for and allocated to the new applicants seeking open access. Such blocking
would not make economic sense in view of unutilized capacity. It is therefore felt that there is
need for an appreciation of the conflicting viewpoints on this issue before a view is taken on the
need or otherwise of reservation. In the new draft regulations by DERC it is decided to give
priority

Allotment Priority

The allocation of network capacity would be contingent on the categorization of open access
customers, which in itself can be based on a variety of factors as outlined below:

Nature of customer

Current Status- Existing and New (Open access customers)

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Tenure - Long-term, Medium-term and Short-term

Nature of open access – Firm or non-firm;

Periodicity – Full year vs. seasonal;

Quantum reserved

8.3. Curtailment Priority

When, because of constraints or otherwise, it becomes necessary to curtail the open access
service of the customers, subject to the requirements of Grid Code, the short term open access
customers shall be curtailed first, followed by the medium term open access customers and long
term access customers. The open access to a distribution licensee shall be the last to be curtailed.

8.4. Under-Utilization/Non-Utilization of Open Access capacity

In case, a Long-Term Access customer is unable to utilize the capacity allotted to him, he shall
inform the same to State Transmission Utility along with reasons for his inability to utilize the
capacity and may request for surrender of the capacity allotted to him by serving a notice of 1
year, after which the relevant capacity would be deemed to have been surrendered. The State
Transmission Utility may reduce or cancel the allotted capacity of an open access customer on
account of under utilization after providing appropriate notice. The penalty payable for such
reduction or cancellation or surrendering of capacity shall be equivalent to 66% of the
transmission charges paid by such customer for the period falling short of notice period of 1 year
and 66% of the transmission charges for the period falling short of 12 years if long term access
was not availed for at least 12 years based on average billing of respective open access charges
for the past three months.
In case, medium term open access customer is unable to utilize the reserved capacity allotted to
him, he shall inform the nodal agency along with the reasons for his inability to utilize the

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capacity and may request for surrender of the capacity allotted to him by serving a notice of 30
days, after which the relevant capacity would be deemed to have been surrendered. The Nodal
Agency may reduce or cancel the allotted capacity of an open access customer on account of
under utilization after providing appropriate notice. The medium-term open access customer
relinquishing its rights shall pay applicable transmission charges for the period of relinquishment
or 30 days whichever is lesser.
In case, Short-term open access customer is unable to utilize the reserved capacity allotted to him,
he shall inform the Nodal Agency with a copy to distribution licensee along with reasons for his
inability to utilize the capacity and may surrender the reserved capacity. The State Load Despatch
Centre may reduce or cancel the reserved capacity of a short-term open access customer on
account of underutilization after providing appropriate notice under intimation to distribution
licensee. A short term Open Access customer, whose capacity has been reduced or cancelled or
surrendered, shall bear the open access charges and operation charges based on the original
reserved capacity for a period of two days from the date of receipt of request or the period of
reservation surrendered or reduced or cancelled, as the case may be, whichever period is
shorter.

9. Pricing for Open Access

9.1. Objective of Pricing Policy as followed by DERC

The Pricing policy that has been followed by DERC, took following points into consideration:

Be Simple to understand and administer;

Promote efficient use of the system;

Provide adequate compensation to the system owner;

Give economic signals for new investments and for demand side management including
location of new generation capacities and loads;

Avoid misuse through gaming, speculative possibilities & blocking capacity.

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9.2. Pricing for Network Usage

It is important to ensure that all the costs are recovered through the proposed method of charging
the transmission / wheeling charges and other components, even stranded costs, if any, resulting
from open access. All these costs need to be recovered so that the financial viability of the
successor entities is established in the transition period. The tariff revolves around the following
three aspects:

1. Elements of tariff

2. Cost allocation Criteria: Tariff design

3. Cost concepts

1. Elements of tariff– It would be segregated based on the nature of the costs (Fixed / variable),
different sources (Network / Connection) or basis of allocation (Congestion). The various
elements of the tariff are discussed in detail below.

2. Cost allocation Criteria: Tariff design- The tariff design should encourage efficient usage of
assets, optimum investments and location of generating stations, loads, competition and power
trading. The design accordingly aims at optimal use of system through allocation of costs based
on the impact on the system. A number of methods are available for this purpose ranging from
the simple Postage Stamp method to complex MW-mile method. The principle would be to
allocate the costs based on the usage by the user / beneficiary and the related losses. In view of
the nature of electricity, capturing these two aspects needs a large amount of reliable data
capturing infrastructure and complex systems.
Some of the key methods used for transmission systems have been discussed by CERC in
formulating the regulations on open access for Inter-state transactions and are briefly presented
below.
(A) POSTAGE STAMP METHOD– Under this method, the total costs to be covered are
distributed amongst the total energy or capacity carried by the system, resulting in a fixed charge
per unit of energy transmitted or capacity reserved regardless of the distance that the energy
travels. This charge can be calculated for defined areas or zones. These rates can also be

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differentiated based on seasons and time of day. In the event when a transaction requires energy
to be transmitted across a number of zones, the transmission charges are equal to the summation
of such charges for each zones crossed – such a phenomenon is termed as ―Pan caking‖. Some
of the variations on this method are given below:
(A-1) Regional postage stamp method - The annual transmission costs calculated for each
identified region are shared based on capacity handled by the region, which includes the allocated
central generating stations’ capacity to different states, bilateral exchanges as well as capacity
brought in through trading.
(A-2) Incremental postage stamp method – This method envisages reducing the area within a
postage stamp so as to make the charges sensitive to distances exceeding 100 kms. The proposal
is to demarcate the country into squares of 100km x 100 km and the charges payable by the open
access customer are determined by counting the squares vertically and horizontally from the
source to sink of the transaction. However, this method would not reflect the actual usage of the
network by a transaction especially in case of transmission by displacement.
(A-3) Zonal postage stamp matrix Method – This is an improvised version of incremental
postage stamp method being suggested, in which the country is demarcated into 14 zones, each
represented by one or more States. Stamps between various zones are counted not only by the
physical distance but also by taking into consideration the mode of transmission (i.e. actual flow
or displacement). Based on the existing network and flow patterns, a matrix of stamps between
various zones based on notional distances has been suggested. The notional distance aims to
capture the existing flow pattern and impact of incremental flow due to open access transaction.
This method, thus, tries to replicate the results obtainable from the MW-mile method, without
going into complexities of the latter. This matrix would need to be revised based on asset addition
as well as energy flows.

(B) CONTRACT PATH METHOD– In this method, the charges payable by the user are related
to the transmission path of the transaction. For this purpose, contracted path is defined as the
shortest route formed by a series of transmission lines (as agreed between the participants) which
are capable of carrying the contracted power between point of drawl and the point of injection.
This method however, requires clear identification of the contracted path. While it is simple and
sensitive to distance, it would not reflect the true picture unless based on path as chosen by load
flow studies that would capture aspects like transmission taking place in displacement mode and
probability of using parallel paths. While this method has been widely used in the USA, it has
been felt that it is not really cost reflective and is vulnerable to gaming.

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(C) MW-Mile method – In this method the transmission rates explicitly reflect the cost of
transmission, based on both the megawatts of power flow and the distance between the receipt
and delivery points. The cost of transmission per megawatt-mile is the total transmission costs
averaged over megawatt miles of usage. MW-mile is a sophisticated and scientifically analytical
method. This method involves load flow analysis to model power flows on the transmission
network to determine charges and hence requires complete network data to be captured.
The above methods are primarily used for transmission systems for limited players and require
extensive information. Application of the same principles would be difficult to implement
across the congested and concentrated distribution networks, which would need to be
addressed through simpler principle.

3. Cost concepts– These would be the cost being used for allocating.
The two concepts in this regard are (i) Average Costs and (ii) Marginal Costs


Average Costs – Under this method, the costs incurred are shared amongst the various users on
a specified basis (as discussed above) and do not reflect the current costs. The users are treated
equally - E.g., if the transmission costs are shared based on capacity reserved, two users with a
reservation of 100 MW would be allocated the same costs. Similarly, two users drawing the same
energy would be allocated the same amount of losses;

Marginal costs – Under this method, each user is charged based on the impact that they make
on the network, be it the requirement of assets or the losses incurred. While the losses can be
computed based on the incremental losses on account of a new addition, for costs recovery, the
concept used for assets are determined based on replacement value / current costs of assets
required. While marginal pricing reflects the market based price, internationally, it has been
experienced that this mode of pricing has not been fully able to recover the costs and has forced
the regulators to have a mix of marginal pricing and fixed pricing so as to ensure investments into
the sector. Under such an event, the unrecovered costs (net of amount collected with marginal
pricing) are shared between the users on a uniform basis (Capacity / Energy).
The key charges that need to be determined by the Commission fall in the following categories,
subject to the National Tariff Policy and principles and methodologies used by DERC for Open
Access Customers:

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Prior to the formulation of Intra State Open Access Regulations in Delhi, the Central Commission
(CERC) has provided its Order and Regulations on ―Open Access in Inter-state Transmission‖
used the following principles in pricing:


Elements of Tariff: The charges have been segregated into Transmission Charges (for long-
term, medium-term and Short-term), SLDC Charges, UI Charges, Bidding for Congestion,
Reactive Energy Charges and Losses.

Cost Allocation and Cost Concepts: The allocation of costs has been based on an
―average‖ principle rather than the ―marginal‖ implying that all the costs are uniformly shared
between a set of users irrespective of the impact that each additional user / transaction has on the
system. Such a method is being proposed, as it is not currently practicable to measure the
―marginal‖ impact of each transaction on the costs and the losses of the transmission system.

-term and medium-term users are based on recovery of all


approved costs through a variation of Postage Stamp method, wherein the stamp is computed for
each Region. Under this method, the entire costs of the Transmission (after netting off of 75% of
fund collected from short-term users) are shared between the various users in proportion to the
capacity reserved by them. The charges for the short-term users are 25% of the average
transmission charge, as computed at the beginning of a year. These charges shall be payable to
each transmission licensee whose system is used for the transaction.

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calculated for each inter-regional link, other inter-state transmission licensees separately.

-term users are to bid for the capacity based on a Transmission


Charge Price, wherein the average Transmission Charge computed for the year would be the floor
price for such bidding.

same principle as the Transmission Charges, i.e. the long-


term and medium-term users share the total costs, except that they have been allowed to retain the
charges imposed on the short-term users (on a per day basis) over and above the costs as
approved by the Central / State Commission.

-
state transactions. However, any UI on account of embedded customers shall form a part of the
State Bill, to whose system the embedded customer is connected.

-state transactions. However, as with UI


charges, embedded customers shall be governed by the regulations applicable to the State to
which they are connected.

Losses would be averaged across all users and would be paid in kind by additional injection.

10. Charges for Open Access Customers

10.1. Transmission Charges


Under the EA 2003, open access to the transmission shall be provided on payment of
transmission charges and other charges like surcharge etc. depending on the category of
customers seeking open access. There are two kinds of costs that are incurred by the transmission
licensees, viz. costs for creating, operating and maintaining the network and costs on account of
losses. The charges have been designed in a manner so as to allow the recovery of these costs
from the various users of the system.

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Under the existing regime, the transmission charge is designed so as to recover all the costs of the
CTU, in proportion of the reserved capacity of the long-term users. At the State level, the State
Commission allows for recovery of the costs from the Consumers.

Costs to be recovered
These charges are for the actual usage of the transmission and the distribution system for
transferring the contracted power from the generator to the user. Accordingly all costs associated
with the transmission or sub-transmission and distribution system may be recovered from the
licensees/consumers availing network service. These charges are expected to cover all the costs
for creating and operating the network including O&M, interest expenses, depreciation and equity
returns. The different costs can be segregated into:

Connection Charges – for recovery of costs for assets used for interconnection to the grid.
As these costs are fixed in nature, the charges are generally fixed, typically allocated based on
capacity reserved. However, the quantum of these charges can differ, depending on the funding of
these assets. In case these assets have been funded by the users themselves through a capital
contribution, these charges would cover only the expenses for operation and maintenance of these
assets, else they would cover all the usual fixed expenses towards O&M, interest expenses,
depreciation, return on equity, etc.

Use of System Charges – for recovery of costs for using the transmission and distribution
network for reaching the power to the recipient unit.


Congestion Price – pricing to reflect the overloading of the network and the costs related
with it. Congestion pricing / peak pricing is used to encourage the efficient usage of the assets as
well as to foster investment in new lines. Congestion results in some of the customers not being
able to access the contracted power and therefore forced to purchase more expensive power
through a non-congested link.
The increased cost is the cost of congestion and therefore needs to be charged to those who are
causing it. Some of the methods used for congestion pricing include (i) Nodal pricing, wherein
the congestion price reflects the difference between generation price at the two ends of the
congestion, thereby pricing the congestion at the cost of the replacement power requirement and
(ii) sharing the additional costs on account of buying more expensive power that have to be borne
(in proportion of energy drawal) by participants on account of the congestion. Such computation

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would need to define ―Congestion‖ and segregate costs associated with the same. Another
surrogate to be used could be that the loss incurred by users is priced at the ―marginal cost of
power‖ and divided among the users causing the congestion.
In case of multiple transmission licensees, the costs of each licensee would be taken into account
to compute the various charges applicable for using the licensee’s system.

Allocation of Costs
The costs computed above can be allocated to the various users based on the following:

Connection Costs – As these costs are related only to the specific users connected to this
equipment, these are typically allocated based on the capacity reserved by each user and are fixed
in nature

Use of System Charges - Various methods are available for allocating these costs

Congestion Price – As these costs are incurred on account of the users of the congested leg,
these are allocated to the users causing the congestion. The allocation is typically not fixed and is
charged only for the periods of congestion and can be based on capacity reserved or energy
drawl.

As per DERC regulation, the open access consumer has to pay Transmission charges payable to
State Transmission Utility/ transmission licensee for usage of their system, and shall be as
determined as under:

(i) By Long-term and Medium-term Open Access customers:

The long-term and medium-term open access customers shall share the annual transmission
service charge of the STU or transmission licensee on a monthly basis in accordance with the
following formula:
Transmission Charges = ATSC/ (ACs X 12) (in Rs./MW-Month)
Where,
ATSC = Annual Transmission Service Charges determined by the Commission for the State
Transmission System for the year

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ACs = Sum of the capacities allocated to all long-term and medium-term open access customers
in MW.
The transmission charges payable by the long-term and medium-term open access customers for
the use of transmission system for a part of the month shall be determined as under:
Transmission Charges = ATSC/ (ACs X 365) (in Rs. /MW-Day)
Where,
ATSC = Annual Transmission Service Charges determined by the Commission for the State
Transmission System for the year
ACs = Sum of the capacities allocated to all long-term and medium-term open access customers
in MW.

(ii) By Short-term Open Access Customers:

The short-term open access customers shall pay one-fourth of the transmission charges
applicable to the Long-term / Medium-term Customers. 25% of the charges collected from the
Short Term Open Access customer shall be retained by the Transmission Licensee and the
balance 75% shall be adjusted towards reduction in the transmission service charges payable by
the Beneficiaries.

10.2. Scheduling and System Operation Charges

Scheduling and Operation charges include fees for scheduling and system operation, fees
for affecting revision in the schedule on bonafide grounds, and collection and disbursement
charges.

Short-term customers shall pay scheduling and system operation charges to be notified by the
commission after determination of ARR. In Delhi, a composite operating charge @ Rs.2,000/- per day
or part of the day shall be payable by a short-term open access customer for each transaction to the
SLDC or as determined by the Commission from time to time.

Scheduling and system operation charges shall also be payable by a generating company or
a licensee when allowed accesses under these Regulations.

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10.3. Wheeling Charges

Under the EA 2003, charges for the use of the distribution system are to be recovered through the
wheeling charges. The wheeling charges is sought to cover not just the network cost but also need
to factor for administration charges and operation & maintenance charges as well. The basic
elements remain similar to the transmission charges.

Wheeling means the operation whereby the distribution system and associated facilities of a
transmission licensee or distribution licensee, as the case may be, are used by another person for
the conveyance of electricity on payment of charges to be determined under section 62.

Distribution system means system of wires and associated facilities between the delivery
points on the transmission lines or the generating station connection and the point of connection
to the installation of consumers.

The wheeling charges should reflect the costs incurred by the distribution licensee to supply
electricity to consumers including the cost of infrastructure.

When distribution system is associated, it is wheeling and wheeling charges is applicable

Distribution system is where the consumer is connected

Hence, when open access is used by a consumer, he is liable to pay wheeling charges (may
include transmission charges bundled in it.)

Wheeling charges payable by the open access customers for the usage of distribution system shall
be as determined by the Commission in the tariff order of the distribution licensee.
Transmission and wheeling charges as determined shall be payable, on monthly basis, by the
open access customers based on the capacity booked or actually utilized maximum capacity
whichever is higher. The regulation also specifies where a dedicated transmission system and/or a
distribution system used for open access has been constructed for exclusive use of an open access
customer, the transmission charges or wheeling charges for such dedicated system shall be
worked out by transmission and/or distribution licensee for their respective systems and got
approved by the Commission and shall be borne entirely by such open access customer till such
time the surplus capacity is allotted and used for by other persons or purposes.

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In case intra-state transmission system and/or distribution system is used by an open access
customer in addition to inter-state transmission system, transmission charges and wheeling
charges as fixed and approved by the Commission shall be payable for use of intra-state system in
addition to payment of transmission charges for inter-state transmission.

10.4. Cross-Subsidy Surcharge


Surcharge is to be in addition to charges for wheeling. This surcharge is meant to be utilized to
meet the cross-subsidy that is provided by the distribution licensees. At present, most of the state
distribution utilities provide subsidies to rural, agricultural and domestic consumption by
imposing higher charges on industrial consumption of electricity. If open access is provided, the
utilities may no longer be able to afford this cross-subsidy. Therefore, the Act provides for the
gradual dismantling of the cross-subsidy, and meanwhile, for it to be met through the imposition
of a surcharge on the wheeling charge when open access is allowed.

Policy Provisions

1) National Electricity Policy

Cross Subsidy Surcharge should not be so onerous that it eliminates competition which is
intended through Open Access

2) National Tariff Policy

Cross Subsidy Surcharge should adequately compensate the Distribution Licensee


It should not constraint introduction of competition

Should be beneficial to consumers after adding all the charges

Cross Subsidy Surcharge to be computed as difference between the tariff applicable to the
relevant category of consumers and the cost of distribution licensee to supply electricity to the
consumers of the applicable class.
Cross Subsidy Mechanism as per NTP
S = T - [C (1+ L / 100) + D],

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Where,
S is the surcharge
T is the Tariff payable by the relevant category of consumers;
C is the weighted average cost of power purchase of top 5% at the margin excluding renewable
power and liquid fuel based generation
D is the Wheeling charge
L is the system loss for the applicable voltage level, expressed as a %age
Various methods of surcharge (as recommended by FOR)
Various methods to calculate surcharge as recommended by FOR (Forum of Regulators) are as
follows:-

(1) Average cost method

(2) Embedded cost method

(3) Marginal cost method

(4) Avoided cost method

(i) Average cost method

Surcharge = average realization from a consumer category – average cost


The simplest method to calculate surcharge for the base year is by taking the difference between
the average realization from a consumer category and the average cost. The method is simple and
computation is easy to make, but since the method assumes that losses and costs are same for LT
and HT and EHT consumers, it does not capture reality. Also the extent of cross subsidy will be
understated under this methodology. Also this approach does not provide correct economic
signals to the licensee or the consumer likely to move out. The group observed that it would
discourage open access since generation will not be available at such a low price at which it can
be implemented.
Advantages:

• Simplest method

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• Easy to understand

• Easy to calculate

• Does not involve complicated data

Disadvantages:

• Assumes that losses and costs are same all categories

• Cross subsidy is understated

• Discourages open access since generation is not available at such low price at which it can be
implemented.

Issues with the Use of the Average Cost of Supply


Surcharge = HT tariff - Cost to Serve HT consumers
If the average cost of supply is used to calculate the surcharge, then Surcharge using average cost
of supply is
Surcharge = HT tariff – Average Cost of Supply
Therefore, the revenue deficit due to the use of average cost of supply is given by the following
equation:
Cross-subsidizing revenue deficit = Average cost of supply – Costs to Serve HT Consumers

(ii) Embedded cost method

The second method that was discussed was taking the difference between the average realization
and the consumer category-wise/voltage-wise cost of supply (embedded cost). Even though this
method is an improvement over the average cost method, it results in high level of surcharge.
This would imply that competitive rates of generation at which open access can be implemented
have to be very low, which again does not seem to be a reality. The net result would be that the
method would not encourage open access.
Surcharge = average realization from a consumer category – consumer category wise /
voltage wise cost of supply

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Advantages:

• Improvement over average cost method as it recognizes the fact that losses and costs are
different for L.T, H.T and E.H.T customer

• Easy to calculate.

Disadvantages:

• High level of surcharge

• To make this method feasible, competitive rates of generation at which open access is
implemented have to be very low and this is very difficult.

(iii)Marginal cost method

An alternative method of computing the quantum of surcharge is by taking the difference


between the average realization for the respective customer and the marginal cost of supply
by the discom. The different assumptions involved and the methodology adopted are:

1. The marginal cost of supply by a discom is equivalent to the sum of-

a. Marginal cost of purchase of electricity by the distribution company

b. Applicable transmission and wheeling charge

c. Applicable system losses

2. The marginal cost of purchase of electricity is to be equaled to the highest power purchase cost
of the utility including fixed and variable cost.

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It was agreed that surcharge calculated by this method is not revenue neutral and will adversely
impact the licensee financials. The group observed that surcharge in this method could be
negative also.
Surcharge = average realization from a consumer category – Marginal cost of supply
Disadvantages

• Has an adverse impact on financial health of licensee

• Surcharge by this method is very less sometimes it is also negative

Issues with the Use of Marginal Unit Cost (MUC)

• We have several concerns with the use of MUC to calculate the surcharge. First, MUC do not
represent avoidable costs. Generally, the fixed costs of the marginal unit are not avoidable. If the
licensee’s load is reduced because of the departure of some customers, at best the licensee will
avoid the highest variable cost of either its own plants or the plants from which it purchases
power. In those cases where the marginal unit for a utility may be an unplanned purchase from a
surplus area or the unallocated portion of a Central Generating Station (CGS), the utility may be
able to avoid both the fixed and variable costs of the contract.

• The second reason why it is inappropriate to use MUC to calculate the surcharge is that this
assumes that for any utility, there is a single generating unit that is on the margin at all times, and
that is not so. The generating unit on the margin changes with the time of day and season. During
peak periods, peaking units with very high variable costs are on the margin while during off-peak
periods, base load units with very low variable costs may be on the margin, etc.. Thus generally
the most expensive unit would be the one that operates only at the times of the system peak (and
hence would have a low PLF) and applying that cost to all the 8760 hours 3 of the year would
lead to a gross overstatement of the avoidable costs.

• The third problem with the use of MUC to calculate the surcharge is that the highest cost unit is
not applicable to the entire decrement of load. The use of a single unit (the highest cost unit) to
represent avoidable costs for the entire load that would go out due to open access is likely to be
incorrect. As an example, consider that 1000MW of industrial load is expected to leave the
licensee and get electricity from alternative suppliers. If the capacity of the highest cost
generating resource is only 200 MW, then clearly it would be incorrect to assume that the costs

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per kWh of the 200 MW unit would be applicable to the entire 1000 MW load block. The
avoidable costs for the remaining 800 MW would be lower. Therefore, the size of the decrement
of load for calculating the avoidable costs must match the expected decrement in load due to open
access. The avoidable cost would then be the weighted average of the costs of the generating
units that would no longer be required.

(iv) Avoided cost method


The methodology for computing the avoided cost is as follows:

(a) As a first step, the projected capacity that is likely to move away due to open access will be
estimated.

(b) Since, it will avoid purchase of power from marginal source of supply, the weighted marginal
cost of power purchase (variable cost) from such sources would be considered as avoided cost for
variable components of power purchase.

(c) To that avoided cost, other charges viz. applicable fixed charges of power purchase, and
applicable transmission and wheeling charge will be added to arrive at cost of supply.

(d) The difference between the average realization of a category and the avoided cost of supply,
discussed above, shall provide the cross subsidy surcharge amount.

Surcharge = avg. realization from a consumer category – avoided cost of supply

10.5. Additional Surcharge


Additional Surcharge – Policy Provisions

National Electricity Policy

- Additional Surcharge should not be so onerous that it eliminates competition which is intended
through Open Access

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National Tariff Policy

- Additional Surcharge should be applicable if it is conclusively demonstrated that the obligation


of a licensee in terms of existing power purchase agreements has been and continues to be
stranded ; or

- There is an unavoidable obligation and incidence to bear fixed costs consequent to a Contract

- Fixed Costs related to network assets would be recovered through Wheeling Charges


Objectives and Principles

- To compensate the Licensee towards loss of purchasing power in case Licensee is unable to sell
that power

- It is not intended to recover other fixed cost of Licensee

- In case of supply shortage situation, there will be no loss to licensee and hence may be specified
as zero

- The obligation is on the Licensee to prove that its power purchase commitments have become
stranded

from a person other than the distribution Licensee of his area of supply, shall pay to the
distribution Licensee an additional surcharge on the charges of wheeling, in addition to wheeling
charges and cross-subsidy surcharge, to meet out the fixed cost of such distribution Licensee
arising out of his obligation to supply. The Commission shall scrutinize the statement of
calculation of fixed cost submitted by the distribution licensee and obtain objections, if any, from
the open access customer and determine the amount of additional surcharge.

10.6. Imbalance Charges

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The mismatch between the scheduled and the actual drawl/ scheduled and the actual
injection at the interface points may be met from the grid, which shall be governed by UI pricing
mechanism. However the tariff payable by the open access customers to the licensee may contain
a component of incentive to be decided by the Commission.

A composite UI bill for the State as a whole shall be issued by the RLDC, the segregation
of which shall be done at the state level by the SLDC for the UI charges payable by the open
access customers.

10.7. Reactive Energy Charges


The payment for the reactive energy charges by open access customers shall be in accordance
with provisions stipulated in the Grid Code. If the voltage at the point of drawl is below 97% of
the normal voltage, the open access customer shall pay reactive energy charges to the concerned
utility /licensee for drawl of reactive energy at the drawal point. If at the injection point the
voltage is higher than 103% of normal voltage, the open access customer shall pay reactive
energy charges to the concern utility/ licensee for injection of reactive energy at the point of
injection. Both drawl and injection of reactive energy shall be measured at 15 minutes time block
along with voltage in the SEM meters.
Reactive energy rates applicable for intra-State entity shall be based on inter-State reactive energy
rates notified by NRPC after suitably adjusting for intra-State transmission and distribution losses
determined by the Commission in the applicable Tariff Orders and also by the applicable losses in
the inter-State transmission estimated by NRLDC from time to time.

10.8. Transmission Losses


The losses payable here relate to the electricity lost in the system on account of transmission
across the network. These losses are computed based on the difference in reading between the
generation bus bar / receiving station and the meter at the Grid Substation for delivery to all open
access customers. Ideally user should bear it not the market as a whole. Losses are function of the
distance travelled, voltage level and loading of the system (included in system use charge).
Appropriate improvements like metering of electricity flows based on time of day (ToD) could
also capture the impact of differential load/grid conditions on losses. In any case, metering of
flows at various interface points and voltage levels would be the critical activity in the efficient
allocation of losses. The existing approach could gradually shift towards allocation of losses at
different voltages as metering and systems get upgraded in the future.

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10.9. Distribution Losses
The losses in the distribution system would cover the electricity lost in the system on account of
technical losses and non-technical losses such as theft, pilferage, improper metering, wrong meter
reading, etc. in the network. At the aggregate level, these losses are computed based on the
difference between the energy injected into the distribution system and the total billing (metered
plus assessed consumption) to the consumers.
Unlike the transmission losses, the determination and allocation of distribution losses is far more
complex as the network is far more integrated. While the desired objective is to allocate losses, it
is much more difficult to segregate the losses based on usage as a sizeable portion of the
consumption is not being metered. Since it is not known whether the commercial losses are due to
a specific class of customers, it may be necessary to allocate the commercial losses across all
consumers. Under the arrangement relating to open access where an existing customer has sought
an open access, given that the extent of losses cannot be determined towards any specific
customer, there is one argument to state that it may be necessary to allocate these losses to such
customers as well.

11. Information System


Availability of information on the various technical, commercial and operational aspects to
various participants would form the foundation of a smooth and efficient implementation of open
access. The information providers in this case would be the licensees and SLDC, who would need
to provide the information to the open access customers and the Commission. While the
Commission would require information to ensure that the implementation is achieving the desired
objectives, the users would seek information to ensure that they are able to complete their
transactions in an efficient and effective manner.
For the open access customers, information on their transactions, including level of generation,
grid frequency, estimated losses and system loading would be critical to allow them to manage
their systems. For applicants, information on the possibility of open access relating to existing
capacities and their loading would go a long way in planning of economic loads and capacities.
The State Load Dispatch Centre shall post following information on its website in a separate web
page titled ―Open access information‖ and also issue a monthly and annual report containing
such information.
A status report on long term and medium term open access customers
indicating:

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(a) Name of customer;

(b) Period of open access granted (date of commencement and date of termination);

(c) Point of injection;

(d) Point of drawal;

(e) Transmission system and/or distribution system used, and

(f) Open access capacity used.

A status report on the current short term open access customers indicating:

(a) Name of customer;

(b) Period of open access granted (date of commencement and date of termination);

(c) Point of injection;

(d) Point of drawl;

(e) Transmission system and/or distribution system used, and;

(f) Open access capacity used.


A status report on the Limited Short-term open access customers
indicating:

(a) Name of customer;

(b) Period of open access granted (date of commencement and date of termination);

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(c) Schedule of open access period for each day.

(d) Point of injection;

(e) Point of drawls;

(f) Transmission system and/or distribution system used, and

(g) Open access capacity used.

12. International Experience in Open Access


Open access has been introduced progressively in United Kingdom, United States of America,
Europe, Australia, New Zealand and parts of Latin America. It can be noted that in a number of
these countries, open access has been introduced right up to the level of household consumers.
For example, household consumers in London, New York, Texas, Amsterdam, Melbourne and
Auckland can choose among competing suppliers. In the case of London, such open access was
introduced in 1999 and household consumers can presently choose from 12 competing suppliers.
Open Access regulations by FERC, USA FERC Order No. 888, introduced in April 1996,
directed all public utilities that own, operate or Control interstate transmission to provide open
access in transmission and file tariffs that offer others the same transmission services they
provide themselves, under comparable terms and conditions. The second rule, Order No. 889,
introduced in March 1997, is now known as the Open Access Same-time Information System rule
or OASIS rule. It also covers Standards of Conduct. It works to ensure that transmission owners
and their affiliates do not have an unfair competitive advantage in using transmission to sell
power. This rule requires public utilities to obtain information about their transmission system for
their own wholesale power transactions, such as available capacity, in the same way their
competitors do -via an OASIS on the Internet; and, completely separate their wholesale power
marketing and transmission operation functions.
Although ―Open Access‖ is a relatively new concept in India, internationally most countries that
have gone through the process of electricity reforms, initiated and implemented this concept and
thereby facilitated the introduction of competition in the electricity sector with varying degrees of
success. Typically there have been the following ―common factors‖ across almost all countries
that have gone through the process of Open Access:

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Twin objectives of promoting competition and open access have been efficiency
improvements and price reductions;

A precursor to introduction of open access has typically been the setting up of independent
regulator;

A phased approach to Open Access has been followed in most of the countries with
competition being introduced first to large users followed by retail competition. While various
parameters have been used to phase the open access, typical factors used have been consumption,
area and voltage connectivity;

Most countries have begun with ―simple, easy to understand and implement‖ systems and
have gradually moved/ are moving towards more complicated and sophisticated systems;

More often than not, except in the state of New York, there has existed a common
methodology for the introduction and phasing of open access within a country;

In most countries, the system operator has been identified as a separate and distinct entity;
even in cases where the transmission utility itself serves as the system operator, this particular
role of the transmission utility has been separately identified and defined as distinct from its role
as a transmission service provider;

Most countries have in some form or the other tried to bring in restrictions on cross-
ownership between generation and transmission/ distribution so as to ensure competition and a
fair open access market;

Transmission pricing has typically been subject to regulation and prices are mostly based on
a mix of marginal pricing and average pricing to ensure complete recovery of costs.
Some key issues for concern typically have been:

Independence of the regulator due to continued government involvement;

Availability of detailed cost and revenue related data from the sector entities;

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Confusion on issues relating to funding of new transmission capacity investments and
unclear identification of the beneficiaries;

In some countries, while the aim has been to promote competition, the industry has evolved
into regionalized markets thereby limiting choices to the final consumers;

Shifting of consumers to inefficient producers due to short term inducements being offered;

Reliability of supply has also been an issue of concern due to additional generation not
materializing to the extent expected.

A comparative picture of the introduction and operation of ―Open Access‖ in a few countries is
presented in the following tables. The sample has been chosen in a manner so as to have a mix of
different systems, representation of developed as well as developing countries etc. Accordingly
the review below covers England / Wales, New York, Australia, Victoria, New Zealand,
Argentina and Chile.
The comparison has reviewed key aspects of the Open Access in these systems including:


Transmission Pricing

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Table 1: COMPARISON OF SECTOR STRUCTURE

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Table 2: COMPARISON OF PHASING AND ELIGIBILITY OF OPEN ACCESS

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Table 3: COMPARISON OF TRANSMISSION PRICING

Table 4: COMPARISON OF TREATMENT OF TRANSMISSION LOSSES

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13. Challenges Ahead to Implement Open Access

Issues/Constraints:

Though many buyers not many sellers

Due to skewed tariffs, industrial consumers are paying higher tariffs as compared to their
counterparts in developed countries. Many buyers have shown keen interest in purchasing power

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from other sources. However, no significant merchant capacity in the country, and Bilateral Trade
and Power Exchange transactions essentially limited to Licensees/state utilities.

Tariff Rationalization Key to Competition

iffs will bring about rudimentary demand side response in the market.

-caking.

Direct subsidy payment mechanisms are required.

-subsidies.

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Figure 5: DIRECTION FOR PRICING REFORMS


Segregation of transmission and trading: assessment of present
situation

bring about neutrality in transmission business and

make discoms responsible for planning and procurement of power

single buyer model.

transmission (controlling SLDCs), distribution, trading etc.

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and frustrate efforts at non discriminatory Open Access.


Independent functioning of SLDCs

Reporting requirements could be in line with the reporting pattern for State Electoral Officer
under Election Commission.

in terms of administrative control and recording of confidential remarks

with STU - as a subsidiary of transmission utility as stop-gap arrangement;

by a separate entity as soon as possible

RLDCs to ensure recovery of not only operating and capital servicing costs but also generation of
adequate surplus to provide equity for future investments. Same to be adopted by SERCs for
SLDCs.

Capacity Building of SLDCs and utilities.

-defined minimum qualifications and


certification of competence in Load Despatch Centres to be incorporated in the Grid Code.

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organisation structure and necessary incentives for attracting qualified personnel in load Despatch
Centres, endorsed.

Figure 6: CAPACITY BUILDING AT SLDC & UTILITIES


Standby charges

By levying retail tariff as applicable for respective consumer categories only for the period
during which such standby support is requested.

No fixed demand charges should be levied on open access consumer during the period when
no standby support is availed:

The charges for Standby power support should comprise only energy charge.

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The demand charge for six weeks may be uniformly spread across the year.

Beyond duration of six weeks, the open access consumer will have to avail regular supply
from concerned distribution license


Metering, billing, balancing and settlement mechanism

block.

-State entities should be installed by the State Transmission


Utility.

-state scheme preferable. However, SERCs


may adopt alternative mechanisms.

Cross Subsidy Surcharge

The cross-subsidy surcharge needs to be calculated as per the formula given in the Tariff
Policy unless there are valid reasons for deviation.

State Governments issuing orders under Sec 11


Section 11 of Electricity Act, 2003 states the following
“Directions to generating companies-(1) The Appropriate Government may specify that a
generating company shall, in extraordinary circumstances, operate and maintain any generating
station in accordance with the directions of the Government.
Explanation.- For the purpose of this section, the expression ―extraordinary circumstances‖
mean circumstances arising out of threat to security of State, Public order or natural calamity or
such other circumstances arising in the public interest.

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(2) The Appropriate Commission may offset the adverse financial impact of the directions
referred to in sub-section (1) on any generating company in such manner as it considers
appropriate.”

Orders under sec 11

Karnataka and Tamil Nadu have issued orders under Section 11 of the Act requiring
generators to sell power only within the state at a specified rate and denying open access.

State of Karnataka has, in fact, passed generator specific orders in terms of which they have
specified the price at which generators can sell power to distribution utilities.


The States of Andhra Pradesh, Rajasthan and Maharashtra have also imposed restrictions on
the right to open access.

Effects

Requiring private generators to compulsorily sell power to state distribution utilities and not
to other third parties;

Fixing the price at which power can be sold through executive diktat;

Imposing restrictions on the right of third party sale; and

Denial of open access.

Overall Impact of Various OA Charges.

applicable Open Access charges in typical Open Access transactions.

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14. Recommendations

Central and State ERCs should be advised by the appropriate governments to comply with
the statutory requirements relating to open access in a time bound manner. In particular, they
must prescribe the open access surcharge in accordance with the provisions of the Tariff Policy
notified by the Central Government under Sec. 3 of the Act.

The State Governments should advise the SERCs to specify the temporary connection
charges to be charged by the Discom for providing standby supply in accordance with paragraph
8.5.6 of the Tariff Policy.

The state authorities should be advised to permit free sale of electricity and not compel
generators to sell electricity to the SEB/Discom in the state except where a power purchase
agreement exists.

State Governments and States’ ERCs should be suitably advised to enable operationalisation
of open access to promote a healthy development of the market where private investment can be
attracted. Where the State Governments or the respective SERCs do not conform to the Act or the
Tariff Policy there under, the State Governments should be advised and the matter be discussed in
the appropriate inter- and intra-State forum of Power Secretaries/Ministers.

To enable competing suppliers to use the distribution network on a level playing field, the
tariff for distribution companies should clearly specify the energy charges and wheeling charges
separately. It is, therefore, recommended that the SERCs should be advised to specify wheeling
charges and energy charges separately in conformity with section 42 read with section 62 of the
Act.

State Governments should be advised to set up SLDCs as independent entities with financial
and operational autonomy.

SLDCs should be upgraded in a time-bound manner to enable open access under section 42.

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SERCs should ensure other enabling arrangements such as standby supplies at affordable
prices, metering and settlement.

IPPs, captive and small generators should be allowed to bring power into the market without
any hindrance in grant of open access.

Regulators should meet with the bulk consumers and other stakeholders to address their
concerns with a view to operationalising the scheme of open access as provided in the Act.

Consumer education and pro-active action by Regulators, both at the Centre and in the
States, is considered vital for encouraging open access to consumers.

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15. Conclusion
Making the distribution segment of the power industry efficient and solvent is the key to success
of power sector reforms. Implementation of open access in distribution is one of the main
solutions. Open access in distribution will create a competitive environment. Therefore, standard
of service will rise and consumer will get better supply and service.
However, there are some roadblocks in the successful implementation of open access in distribution in
India.

Distribution companies and utilities are not taking open access in distribution very
positively. They are having so many apprehensions about implementation of open access.

Charges for the open access levied by different SERCs are variable in nature.

Apart from few states, many states are still incorporating and facing problem of cross
subsidy surcharge which finally increases the net cost of power from open access.

Net cost of power from open access is more as compared to the tariff which discourages the
buyers and sellers.

SERC’s are using different methodologies for the calculation of surcharge as per their
convenience in spite of the instructions in National Tariff Policy 2005 which gives the common
formula for calculation of surcharge.

Distribution companies in India are not financially very sound and Distribution network in
India is not strong.

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16. Limitations of the Project

First of all the time duration of 8 weeks was a major constraint in going through the project
completely.

Data collected through the internet has not been sufficient to provide all the answers to the

questions that still remain unattended.

Owing to geographical constraints and altogether different prevailing climatic, political,


social, economic, legal and cultural scenarios, the comparison of Open access of various
countries on same parameters was not possible.

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17. Bibliography

List of Documents:
Delhi Electricity Regulatory Commission (Terms and Conditions for Open
Access) Regulations, 2005.

Central Electricity Regulatory Commission (Grant of Connectivity, Long-term


Access and Medium-term Open Access in inter-State Transmission and related
matters) Regulations, 2009.

Central Electricity Regulatory Commission (Open Access in inter-State


Transmission) Regulations, 2008.

Detailed Procedure issued by CTU for Grant of Connectivity, Long-term Access


and Medium-term Open access in inter-State Transmission.

Forum of Regulators’ Model Regulations on Terms and Conditions of intra-State


Open Access.

Table 5: Websites

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