BEFORE THE UTTAR PRADESH ELECTRICITY REGULATORY COMMISSION Quorum Shri Desh Deepak Verma, Chairman Smt. Meenakshi Singh, Member Shri I. B. Pandey, Member In the matter of: Petition u/s 86 (1) (c) & (f), 35 & 36 of Electricity Act, 2003 and In the matter of Open Access for conveyance of upto 45MW power being procured from alternate sources at UPPTCL s 132 KV Surajpur Substation for Noida Power Company Ltd. M/s Noida Power Company Ltd., Commercial Complex, H Block, Alpha II Sector, Greater Noida (UP) Petitioner Versus 1. Uttar Pradesh State Load Dispatch Centre, Uttar Pradesh Power Transmission Company Ltd., 14, Ashok Marg, Shakti Bhawan, Lucknow (UP) 2. Uttar Pradesh Power Transmission Company Ltd., 14, Ashok Marg, Shakti Bhawan, Lucknow (UP) Present in the Hearing: 1. Shri Rahul Srivastava, Advocate, Counsel for UPSLDC 2. Shri Sunil Mohan Agarwal, Superintending Engineer, UPSLDC 3. Shri Zahir Ahmad, Executive Engineer, UPSLDC 4. Shri S. P. Gupta, Executive Engineer, UPSLDC 5. Shri M. K. Gupta, Assistant Engineer, SLDC 6. Shri M. G. Ramachandran, Sr. Advocate, NPCL 7. Shri Vishal Gupta, Advocate, NPCL 8. Shri R. C. Agarwala, MD & CEO, NPCL 9. Rajeev Goyal, GM (Projects & Power Trading), NPCL 10. Alok Sharma, Manager - Legal 11. Shri A. K. Arora, Resident Manager, NPCL. Respondents ORDER (Hearing on 23.06.2014 & 13.08.2014) Whereas the petitioner Noida Power Company Ltd., Commercial Complex, H Block, Alpha II Sector, Greater Noida (UP), has filed petition no. 934 of 2014, in the matter u/s 86 (1) (c) & (f), 35 & 36 of Electricity Act, 2003 and in the matter of Open Access for conveyance of upto 45MW power being procured from alternate sources at UPPTCL s 132 KV Surajpur Substation for Noida Power Company Ltd. Page 1 of 6
Submissions of NPCL: Shri Ramchandran Counsel for NPCL submitted that NPCL has entered into Bulk Power Transmission Agreement with UP Power Transmission Corporation Ltd. (UPPTCL) on 27.3.2014 as can be observed from the rejoinder filed by NPCL. Para 2 of this BPTA signed with UPPTCL is as follows: 2.0 Transmission System The list of transmission system presently owned, operated and maintained by UPPTCL within the territory of State (for license area of LTC) is detailed in Annexure-B. The list also incorporates separately such other systems which are under construction and those which are yet to be commissioned. Additions to the existing transmission system may be made by UPPTCL during the course of the Agreement as may be approved by the Competent Authority, viz Board of Directors or Energy Task Force followed by approval of transmission plan by Central Electricity Authority and the same shall become part of this Agreement. The list of the sub-stations are mentioned in Annexure B of BPTA which is as follows: List of Existing Sub-Stations:- S.N. Name of Sub- Voltage Existing Proposed Remarks Stations Ratio (KV) Capacity Capacity Greator Existing S/S Noida 1 400 KV S/S 400/220 3x315 2x315+500 Greater Noida 220/132 2x160 2 220 KV S/S R.C. Green 220/132 220/33 100 2x60 63+2x40 3 132 KV S/S 132/33 2x40+20 Surajpur List of Sub-Stations Under Construction: S.N. Name of Sub- Voltage Existing Proposed Remarks Stations Ratio (KV) Capacity Capacity Page 2 of 6
Greator Existing S/S Noida 1 400/220KV S/S Noida Sector 148 (GIS) 400/220 220/132 220/33 2x500 1x160 2x100 This BPTA SLDC has provided 68 MW of power upto year 2003 and upto 200 MW power upto year 2009 and its providing 240 MW of power with different point in injection to the periphery of NPCL. Clause 3.2.2 of Open Access defines allotment of priority first come first basis. And even in these priority should be given to Distribution Licensee. NPCL was a distribution licensee prior to the Electricity Act, 2003. So, it became deemed distribution licensee. NPCL is the only distribution licensee having Long Term Open Access Agreement with UPPTCL in the State. So, highest priority should be given to NPCL and distribution licensee should have priority of Short Term Open Access over the Long Term Open Access consumers. NPCL was ready to pay Long Term Open Access Charges even on Short Term Open Access. Shri Ramchandran further emphasized that NPCL should be treated equivalent to State Discoms and NPCL should be treated at par with other distribution licensees. He further submitted that they have contributed nearly 30 crores for substations development of in Greater Noida area for Long Term Open Access. UPPCL stopped the supply of 45 MW power to NPCL as per the Hon ble High Court order. NPCL had to then make necessary arrangement for supply of power to the consumer on Short Term basis. Shri Ramchandran further submitted that SLDC has said that they will only give Short Term Open Access on day ahead basis and only after fulfilling the requirement of State owned Discoms. This means that the petitioner has to make application daily and application charges are to be paid on daily basis and which in turn are passed on the consumers of NPCL area thereby increasing their tariff. He further requested that the Commission may direct SLDC to grant Long Term Open Access. SLDC submitted that they have not received Long Term Open Access Page 3 of 6
Agreement with UPPCL. The petitioner submitted that they already have Long Term Open Access Agreement with UPPTCL and the same has been submitted to SLDC and if SLDC grants permission then they can make provision of making Long Term Agreement with the PGCIL to supply power on Long Term basis. SLDC submitted that they will schedule the power of NPCL only after fulfilling the requirement of State owned Discoms. The petitioner submitted that SLDC has no such rights and that all the Discoms should be treated at par. The petitioner further submitted that they are the only Discom who has got Long Term Open Access Agreement with UPPTCL whereas no other State owned Discom has such BPTA, therefore the submission of SLDC that priority is given to State owned Discoms is not valid and equal priority should be given to power requirement to all the Discoms. NPCL has no Long Term PPA but NPCL is ready to pay Long Term Transmission Charges so the same priority should be given to NPCL. Electricity Act, 2003 and CERC Regulation, 2009 says Long Term Customer has the first priority and Discoms are the Long Term Customers they should be given equal priority. SLDC submitted that total transmission capability is 6000 MW and the available transmission capability is 5700 MW only, whereas State Discoms have Long Term Agreement for procurement of around 6894 MW from different sources outside the State. The petitioner submitted that: Under the Clause 9 of the UPERC (Terms and Conditions for Open Access) Regulations, 2004 allotment priority for open access for different type of customers has been provided as below: Allotment Priority 1. The priority for allowing open access to customers shall be decided on the following criteria. a. A existing distribution licensee and existing generating company and captive power plant shall have the highest priority in allotment of open access capacity; b. Distribution licensee shall have priority over other customers; Page 4 of 6
c. Other Long Term Open Access customers shall have the priority over the short-term open access customers but next to those covered under 9(a)and 9(b);. Hence, NPCL should not be discriminated by SLDC. The Commission enquired from SLDC that if the problems of transmission capability was there and rules do not permit, then how SLDC was granting permission of STOA to NPCL on almost continuous basis. Obviously there was a way out, based on which SLDC was granting permission basis. Director (Commercial), UPPTCL submitted that NPCL should be directed to pay Long Term Charges on the Short Term Open Access, different rates were decided by the Commission for the Short Term and Long Term Charges. NPCL has taken advantage of it and purchased whole of power requirement through Short Term Open Access resulting in loss of revenue to UPPTCL. They should be directed to pay Long Term Charges on the Short Term Transactions right from the date of commencement. Income from Short Term Open Access Transactions is treated as other income which thereby increases in Long Term Transmission Charges which has to be paid by State of Discoms thereby increasing the Retail Tariff. He requested the Commission to make Short Term Open Access and Long Term Open Access charges same and all Discoms should be directed to pay Long Term Charges and they should be treated at par and customer should be treated separately. The petitioner submitted that NPCL s case is not against UPPTCL but against SLDC who has not granted Short Term Open Access as provided in the Act and Regulations. SLDC is providing Open Access on day ahead basis which is an additional burden to NPCL, thereby increasing burden on the consumers in the area of NPCL. As far as the total transmission capacity (TTC) is concerned, it is 5 % for the Short Term Open Access and rest for the Long Term Open Access consumers. It is the duty of UPPTCL to increase the total transmission capability in view of Long Term PPA s of the State Discoms and Short Term Open Access should not be curtailed. He further prayed to the Commission to grant Short Term Open Access on firm basis up to three months for 268 Page 5 of 6
MW for drawal at NPCL Distribution periphery for which Bulk Power Transmission Agreement (BPTA) exists between NPCL & UPPTCL. The Commission asked UPPCL whether they have any objections in granting Short Term Open Access to NPCL on firm basis to which UPPCL responded that they have no objection to it. The Commission directs SLDC to grant Short Term Open Access on firm basis up to three months. It is necessary to say according to their requirement for drawal at NPCL Distribution periphery for which they have BPTA with UPPTCL. NPCL is directed to pay Long Term Transmission Charges to UPPTCL on all the power imported by it whether by Interstate or Intrastate transmission. In Case of Shortage of TTC, it should be proportionately divided among the Discoms including NPCL. NPCL is directed to make Long Term PPA for its power requirement within six months. (I. B. Pandey) (Meenakshi Singh) (Desh Deepak Verma) Member Member Chairman Dated: 10.9.2014 Page 6 of 6