Decided on October 16,2015

Ad Hydro Power Limited Appellant
Ctu (Planning), Power Grid Corporation Of India Ltd. And Ors. Respondents


- (1.) THE petitioner, AD Hydro Power Private Ltd., has filed the present petition under Section 79(1)(c) of the Electricity Act, 2003 (Act) read with Regulation 35 of Central Electricity Regulatory Commission (Open Access in Inter -State Transmission) Regulations, 2004 with the following prayers: "(a) Pass an order For refund Rs. 10,68,51,147 from Respondent No. 1 and/or Respondent No. 2 towards the transmission charges paid by the Petitioner on free power along with interest thereon. (b) Direct Respondent No. 1 to raise invoices towards transmission of free power on Respondent No. 2 or reduce the LTOA of the petitioner. (c) Pass any other order or orders that this Commission deems fit in the facts and circumstances of the case." Facts of the case:
(2.) THE petitioner has set up a 192 MW (2 X 96 MW) Hydro Electric Power plant at Prini, Tehsil Manali, Distt. Kullu in Himachal Pradesh (hereinafter referred to as the project). On 22.2.2001, an Implementation Agreement (IA) was signed between the Government of Himachal Pradesh and Rajasthan Spinning and weaving Mills Ltd. for implementation of the project. In terms of clause 4.17 of the IA to take up the 192 MW Power, the petitioner's company was conceived to implement the project. In terms of clause 5.1 of the IA, the petitioner was required to supply free power to the Government of Himachal Pradesh (Respondent No. 2 herein) as under: "Government Supply: The company shall supply to the Government or its agent during the agreement period at the interconnection point without any cost or charges to the government, the quantum of electrical energy generated as specified below (Government Supply): - In terms of clause 1.2.37 read with obligations of Government of Himachal Pradesh under clause 4.9 and the obligations of the petitioner under clause 5.18 of the IA, the power generated from the project is required to be transferred and sold outside the State of Himachal Pradesh.
(3.) DUE to non -availability of adequate State transmission network in the vicinity of the project, clause 5.18 of the IA provided that the petitioner shall approach PGCIL to provide suitable integrated transmission system or otherwise shall tie up the arrangements for evacuation of power matching with commissioning of the project in consultation with CEA/HPSEB and PGCIL. The petitioner on 18.7.2005 made an application to CTU for grant of Long Term Open Access (LTOA) under the provisions of the Central Electricity Regulatory Commission (Open Access in Inter State Transmission) Regulations, 2004, as amended from time to time (OA Regulations) for transmission of energy outside the State. On 21.7.2006, CTU granted LTOA to the petitioner from PGCIL's Pooling Point at Panarasa. Due to delay in commissioning of the Parbati Pooling Point, a decision was taken during the LTOA meeting held on 25.4.2007 to revise the pooling point from Panarasa to Nalagarh. Accordingly, CTU granted revised LTA to the petitioner with interconnection point at Nalagarh substation on 26.4.2007 which contained a condition that the petitioner would construct a 175 km. long 220 kV Double Circuit ADHPL -Nalagarh dedicated transmission system to inject the entire power at Nalagarh sub -station of PGCIL as per scheme approved in the LTOA meeting. The LTA intimation further contained a condition that the petitioner would have to sign Bulk Power Transmission Agreement with PGCIL for sharing of the regional transmissions charges. Since no system strengthening was involved, PGCIL granted connectivity and LTA to the petitioner who was required to construct two nos. of additional 220 kV bays at its own cost at Nalagarh sub -station. Accordingly, the petitioner constructed the 220 kV Double Circuit ADHPL -Nalagarh dedicated transmission system and two bays at Nalagarh sub -station of PGCIL to facilitate evacuation of power from the project including the free power to Government of Himachal Pradesh.;

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