NERC draft for determination of tariff regulations 2010

Chizokho Vero
Kohima | September 13

The Nagaland Electricity Regulatory Commission (NERC) has published the draft NERC (Terms and Conditions for Determination of Tariff) Regulations 2010 and it will be taken into consideration on October 7.

According to a draft copy of the regulations issued on August 20 through a notification, it said “whereas it is expedient to establish procedures for determination of Tariff of the Nagaland Electricity Regulatory Commission for Nagaland. Now, therefore, in exercise of the powers conferred under section 181 read with sections 45(2), 61 and 62 of the Electricity Act, 2003 (36 of 2003) and all powers enabling it in that behalf, the Nagaland Electricity Regulatory Commission (NERC) Kohima hereby makes the following Regulations for prescribing the terms and conditions for determination of Tariff.” These Regulations shall come into force from the date of their publication in the Official Gazette of Nagaland and shall extend to the whole of the state of Nagaland and shall apply in relation to all matters falling within the jurisdiction of the Commission. 

The Commission shall determine tariff including terms and conditions therefore, for all matters for which the Commission has the power under the Act, including in the following cases: (a) Supply of electricity by a Generating Company to a Distribution Licensee: Provided that where the Commission believes that a shortage of supply of electricity exists, it may fix the minimum and maximum ceiling of tariff for sale or purchase of electricity in case of an agreement entered into between a Generating Company and a Licensee or between Licensees, for a period not exceeding one year; (b) Intra-State transmission of electricity; (c) Rates and charges for use of intervening transmission facilities, where these cannot be mutually agreed upon by the Licensees; (d) Wheeling of electricity; (e) Retail sale of electricity; Provided that in case of distribution of electricity in the same area by two or more Distribution Licensees, the Commission may, for promoting competition among Distribution Licensees, fix only maximum ceiling of tariff for retail sale of electricity: (f) Surcharge in addition to the charges for wheeling under the first proviso to sub-section (2) of Section 42 of the Act, in accordance with the Distribution Open Access Regulations; (g) Additional surcharge on the charges for wheeling under sub-section (4) of Section 42 of the Act, in accordance with the Distribution Open Access Regulations.

Notwithstanding anything contained in these Regulations, the Commission shall adopt the tariff if such tariff has been determined through a transparent process of bidding in accordance with the guidelines issued by the central government, the draft copy said.