Central Electricity Regulatory Commission (CERC) has ruled that a separate transmission licence would be required for an additional RTM element with respect to the TBCB project being developed by Powergrid Kala Amb Transmission Ltd.
In a recent ruling, CERC has said that Powergrid Kala Amb Transmission Ltd is at liberty to approach the Commission with a separate petition for seeking transmission licence for implementation of the 125 MVAR 420kV bus reactor at Kala Amb, on regulated tariff mechanism (RTM) basis.
Accordingly, the transmission licence already issued to Powergrid Kala Amb Transmission Ltd for implementing the Northern Region System Strengthening Scheme [NRSS-XXXI (Part A)] cannot be used for the additional RTM element.
While ruling in favour of a separate licence, CERC said that several complexities could arise if a single licence covered the TBCB project and the additional RTM element. For instance, under the TBCB modality, the transmission project should be handed over to the government (competent authority) at the end of the concession period of 35 years. No such provision exists for RTM projects. Secondly, the useful life period of the TBCB project may not coincide with that of the additional RTM element.
Powergrid Kala Amb Transmission Ltd (formerly known as NRSS XXXI (A) Transmission Ltd) and a wholly-owned subsidiary of PGCIL, was granted transmission licence to develop the NRSS-XXXI (Part A) project under the TBCB mode. The project was commissioned in July 2017 and is currently operational. The transmission licence was granted by CERC in June 2015.
Subsequently, in December 2018, the Empowered Committee on Transmission (ECT) recommended that a 125 MVAR 420kV bus reactor should be implemented at the Kala Amb substation. ECT recommended that this additional element should be implemented by Power Grid Corporation of India Ltd (PGCIL) under the regulated tariff mechanism (RTM). However, as this additional element was just an extension of the NRSS-XXXI (Part A) project, the Union power ministry recommended that this additional RTM element should be developed by Powergrid Kala Amb Transmission Ltd, and not PGCIL.
Also read: PGCIL Estimates Work-In-Hand At Over Rs.350 Billion
As the approximate cost of this additional element was small (about Rs.31 crore, as estimated by Central Electricity Authority), Powergrid Kala Amb Transmission Ltd had approached CERC with a petition to amend the existing transmission licence, so as to include the additional RTM element.
The NRSS-XXXI (Part A) project includes several elements such as 400/220kV GIS substation at Kala Amb (in Himachal Pradesh), LILO of both circuits of the 400kV double-circuit Karcham Wangtoo-Abdullapur line, at Kala Amb, etc.
(Featured image is for representation only)
