Case No. 94 of Shri. V.P. Raja, Chairman Shri. Vijay L. Sonavane, Member

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1 Before the MAHARASHTRA ELECTRICITY REGULATORY COMMISSION World Trade Centre, Centre No.1, 13th Floor, Cuffe Parade, Mumbai Tel /65/69 Fax Website: Case No. 94 of 2010 In the matter of Petition of MSEDCL for withdrawal of load shedding for Villages within 5 kms area around Major Generating Power Stations in Maharashtra. Shri. V.P. Raja, Chairman Shri. Vijay L. Sonavane, Member Director (Projects), Maharashtra State Electricity Distribution Co. Ltd., Prakashgad, Bandra (East), Mumbai Petitioner ORDER Dated: 10 th February, 2011 M/s. Maharashtra State Electricity Distribution Co. Ltd. ( MSEDCL ) submitted a Petition under affidavit before the Commission on 2 nd December, 2010 seeking the Commission's permission for withdrawal of load shedding for villages within 5 kms area around Major Generating Power Stations in Maharashtra. 2. The prayers made by MSEDCL are as follows: 1. The Hon ble Commission kindly permit MSEDCL to withdraw load shedding from Villages within 5Kms of area around Major Generating Power Stations in Maharashtra excluding HV Industrial Feeders and Ag. Feeders of LM Schemes by Case No. 94 of 2010 Page 1 of 6

2 making appropriate arrangement of additional requirement of 0.4 MUs per day from available sources. 2. The staggering to MIDC area & Industries in these areas will be carried out as per regular Load Shedding Circular issued from time to time. 3. The 3 phase supply availability to Ag. LM Schemes will be given as per regular Load Shedding Circular issued from time to time. 3. MSEDCL, in the Petition, submitted as follows: i. MSEDCL is required to do Load Shedding in consultation with MERC and MSEDCL is following the principles and protocol of Load Shedding as approved by the Commission. ii. The major Generating Power Stations in the State of Maharashtra are as follows: Sr. Name of Generating Station No. 1 Nashik TPS 2 Bhusaval TPS 3 Koradi TPS 4 Khaparkheda TPS 5 Chandrapur TPS 6 Parli TPS 7 Koyna Hydro, Pophali 8 Koyna Dam, Koyna Nagar 9 Paras TPS 10 Tarapur Nuclear (CPSU) 11 Dahanu (Reliance) Thermal Also there are some new Power Generating Stations from Mahagenco, IPPs and CPSU are coming up in the State of Maharashtra. iii. Due to various reasons, there is an adverse perception in regard to the above Power Plants amidst the general public situated in nearby area of these Plants. Case No. 94 of 2010 Page 2 of 6

3 Also, there is continuous demand from villages nearby these power stations and public representatives for withdrawal of Load Shedding in these areas. iv. The Commission vide Order No. MERC/LEG/ATM/173 of /1954 dated 9 th October 2009, set up a Committee to suggest an implementable Load Shedding Protocol. This Committee has discussed the issue of the benefits to be given to the consumers situated in adjacent area of Power Plants and the Committee in its Report has mentioned regarding the same as follows: The Committee principally agrees with this demand but MSEDCL has not submitted any data in this regard and hence it is very difficult to make any recommendation in this matter. Hence, MSEDCL is requested to submit details of numbers of such consumers, their load, demand, vicinity / area to be considered for giving benefits in load shedding, technical feasibility of the same etc. to the Commission in due course. Accordingly, the data is collected and submitted with this Petition. v. Feeder Isolation arrangement for separation of villages within 5 kms of area around Major Generating Power Stations is to be carried out. Also, Agricultural Feeder separation scheme will be implemented in this area and the cost of the same will be claimed in Annual Revenue Requirement (ARR). vi. There are about 179 villages which are coming under 5 kms periphery of Major Generating Power Stations in the State of Maharashtra. For withdrawing Load Shedding in such an area, additional power requirement with existing Load Shedding Protocol is 33 MW for twelve hours (0.40 MU per day). Such a small additional power requirement can be accommodated without disturbing the Load Shedding time table applicable for rest of the State. MSEDCL therefore prayed for permission to withdraw Load Shedding from villages within 5 kms of area around Major Generating Power Stations in Maharashtra excluding HV Industrial Feeders and Agricultural feeder of Load Management schemes in that area. Case No. 94 of 2010 Page 3 of 6

4 4. The Commission, vide Notice dated 14 th December 2010, fixed a hearing in the matter on 5 th January 2011 and directed the Petitioner to serve a copy of the Petition to the four Consumer Representatives. 5. A hearing in the matter was held on 5 th January Shri D. S. Talware, Executive Director (CP), MSEDCL appeared on behalf of MSEDCL. Shri Talware gave a brief presentation regarding the submissions made in the Petition filed by MSEDCL. 6. During the presentation in the hearing, the Commission noted that, MSEDCL has made some remarks in its submission related to Resettlement & Rehabilitation (R & R) issues relevant to Land Acquisition; Pollution due to Fly Ash; Nuclear Radiation having hazardous effects on the local population etc. In response to which the Commission observed that these are general perceptions which may not be true and MSEDCL need not quote the same in the Petition. Therefore, the Commission advised MSEDCL to modify its Petition accordingly. 7. Dr. Ashok Pendse of Thane Belapur Industrial Association (TBIA) submitted that, it is the responsibility of a Generating Company to supply power in its nearby area. He further submitted that the Govt. of Maharashtra may issue a policy regarding withdrawing of load shedding in areas within the vicinity of Power Stations and the same will be applicable for all Generating companies i.e., Mahagenco, Central Sector Power Plants and other private sector Power Plants. 8. Shri Shantanu Dixit of Prayas submitted that MSEDCL as a Distribution Licensee is responsible for supplying continuous and uninterrupted power supply and its present proposal should be treated as step towards achieving this objective. Without going into the issue of whether Generating Company or Distribution Licensee is responsible for withdrawing Load Shedding, MSEDCL s proposal needs to be implemented at the earliest. Dr. S. L. Patil of TBIA supported MSEDCL s proposal. 9. Shri Goenka of Vidarbha Industrial Association (VIA) submitted that MSEDCL needs to clarify its assumptions such as maximum limit of 5 kms boundary; why small captive power plants are not covered; details of additional power procurement also needs to be submitted. Case No. 94 of 2010 Page 4 of 6

5 10. During the hearing, the Commission brought to the notice of MSEDCL a scheme of Ministry of Power issued vide letter dated 27 th April 2010 regarding the provision of supply of electricity within 5 kms area around Central Power Plants. It was also observed that though MSEDCL s proposal of withdrawal of load shedding is to be appreciated however the same cannot be viewed in isolation as these are matters of decision involving public interest at large and such matters can only be determined in consultation with the State Government. In view of the above, the Commission observed that MSEDCL should approach the Secretary (Energy), Government of Maharashtra to discuss the aforesaid issues and after consultation with the Govt. of Maharashtra, MSEDCL could file a revised Petition before the Commission regarding all the issues raised during the hearing. With these directives, the Commission adjourned the hearing and scheduled the next hearing on 2 nd February, Subsequently, as directed during the hearing, MSEDCL vide its letter dated 5 th January 2011 filed an additional submission in the matter stating as follows: The points mentioned on page no. 6 under heading Issue Sr. no. 2 & 3 in the petition submitted vide letter under reference, are to be read as general public perceptions and is not the opinion or view of the MSEDCL Also, MSEDCL vide letter dated 25 th January 2011, informed as follows: The issues discussed in the hearing and the copy of the ROP is already forwarded to the concerned and the State Govt. and requested to submit their opinion accordingly. However the response from these departments is awaited. After receipt of opinions from all the concerned departments the revised petition will be filed. 12. As scheduled, next hearing in the matter was held on 2 nd February Shri D. S. Bodle, Chief Engineer (LM), MSEDCL appeared on behalf of MSEDCL. Shri Bodle submitted that, as directed during the previous hearing, MSEDCL has approached the Government of Maharashtra (GoM) for necessary consultation in the matter under consideration, and accordingly thereafter, MSEDCL would submit a revised Petition. Case No. 94 of 2010 Page 5 of 6

6 13. Having heard the matter, the Commission is of the view that, even though the proposal of withdrawing Load Shedding in 5 kms area around Major Generating Power Plant in the State of Maharashtra is to be appreciated, yet there are certain issues such as whether Distribution Licensee or Generating Company has social responsibility for withdrawing load shedding in the area around the Power Station; how to determine 5 kms boundary; who will bear the cost of infrastructure required for isolation of feeders supplying power to villages within 5 kms boundary; up to which capacity of power plants to be covered; how to apply this proposal to Central Sector Power Plants or Private sector power plant etc. All such issues need to be examined and clarified in the revised Petition by MSEDCL after it has sought consultation with the GOM. 14. As MSEDCL is to file a revised Petition after consultation with the GoM read with the aforesaid scheme of Ministry of Power regarding providing supply of electricity within 5 kms area around Central Power Plants, MSEDCL may file revised Petition in the matter addressing the issues discussed as above. Liberty is granted to MSEDCL to file a fresh Petition addressing the various issues raised during the hearing in the matter. With the above, Case No. 94 of 2010 stands disposed of. Sd/- (Vijay L. Sonavane) Member Sd/- (V. P. Raja) Chairman (K. N. Khawarey) Secretary, MERC Case No. 94 of 2010 Page 6 of 6

Case No. 02 of Shri V. P. Raja, Chairman Shri S. B. Kulkarni, Member Shri V. L. Sonavane, Member

Case No. 02 of Shri V. P. Raja, Chairman Shri S. B. Kulkarni, Member Shri V. L. Sonavane, Member Before the MAHARASHTRA ELECTRICITY REGULATORY COMMISSION World Trade Centre, Centre No. 1, 13th Floor, Cuffe Parade, Mumbai - 400005 Email: mercindia@mercindia.org.in Website: www.mercindia.org.in Case