- (1.) M/s Krishna Valley Power Pvt. Ltd. (KVPPL), Sector 17, Vashi, Navi Mumbai has filed a Petition on 12 June, 2014 regarding refusal of Open Access (OA) by the Maharashtra State Electricity Distribution Co. Ltd. (MSEDCL), citing Sections 42, 86 (c) and (e), 142 and 146 of the Electricity Act (EA), 2003, Regulation 3.1 of the MERC (Distribution Open Access (DOA)) Regulations, 2005 and Regulations 92to 94 of the MERC (Conduct of Business) Regulations, 2004.
(2.) The Prayers of KVPPL are as follows: - "... b) That the Act of the Respondent to refuse Open Access permission to more than one eligible entity be declared as wrong and void. c) The Respondent be directed to grant open Access permission, in future, to the Petitioner to supply electricity to more than one consumer, irrespective of quantum of supply to individual consumer, simultaneously; if they are eligible to receive electricity supply as per Regulations framed by the Hon'ble Commission..."
(3.) The facts as stated in the Petition are as under: 3.1. KVPPL has set up small hydro generating plant at Khatghar, Tal. Shahapur, Dist. Thane. The plant has been commissioned in November, 2012 and is supplying electricity to the Brihanmumbai Electric Supply and Transport Undertaking (BEST). MSEDCL has granted OA permission for supply to BEST on three earlier occasions upto 31 March, 2014. Subsequently, two consumers, viz. M/s Phadnis Resorts and Spa India Ltd. and M/s Redco Hotels Pvt. Ltd., approached KVPPL for supply of electricity from its plant. Accordingly, KVPPL applied to MSEDCL on 7 February, 2014 for OA permission to supply 21% of its generation to BEST, 50% to M/s Phadnis Resorts and 29% to M/s Redco Hotels. 3.2. Vide letter dated 18 March, 2014, MSEDCL refused to grant the OA as applied for, instead granting permission only for supply to BEST for six months ending 31 March, 2014. As regards the other two entities, MSEDCL has denied OA permission on the ground that "As the installed capacity of generating plant is 1MW only, the Open Access maximum demand of three consumers will be less than 80 percentage of the threshold level. It is evident that the clause no. 3.1 of MERC (DOA) Regulations, 2005 cannot be fulfilled and as such your Open Access application is not considered." 3.3. MSEDCL is obliged to supply power and non -discriminatory OA in view of Section 42 of the EA, 2003. An objective of EA, 2003 is to encourage private participation in generation, which is de -licensed. The State Govt. has also been encouraging private investment in Renewable Energy (RE) generation since long. Both the National Electricity Policy and Tariff Policy encourage private participation for full exploitation of the potential for small hydro and other RE and non -conventional energy generation. 3.4. The DOA Regulations, 2005 provide for OA to a consumer provided his Contract Demand satisfies the stipulated minimum threshold levels, and his Maximum Demand after grant of OA must be 80% or more of his Contract Demand. However, MSEDCL has cited the 'Maximum Demand' in its rejection instead of Contract Demand. There is no provision in the DOA Regulations, 2005 which prohibit supply by a generator to more than one OA consumer. The consumer is not required to purchase the entire energy of the generator, nor is the generator required to supply all the energy generated by him to a single consumer. ;