- (1.) THE petitioner has, through this review petition, sought review and modification of the Commission's order dated 11.9.2007 in Petition No 65/2007 vide which the Commission had disposed of the petition filed for approval of generation tariff in respect of Muzaffarpur TPS, (2X110 MW) (hereinafter referred to as "the generating station") for the period from 8.9.2006 to 31.3.2009.
(2.) The petitioner is essentially aggrieved by the Commission's following observation in para 9 of the impugned order: We are constrained to point out that provisions in Clauses 7.1.3 to 7.1.5 are not in order, and should be kept in abeyance For ease of reference, the relevant clauses of the PPA are extracted hereunder: 7.1.3 Provisional Tariff Provisional capacity charges shall be Rs. 6.00 Crore per month. The energy charges shall be worked out each month on the basis of landed price of fuel & norms of generation agreed herein at 7.15 below. These charges shall be subject to retrospective adjustment after final determination of tariff by CERC. 7.1.4 Till the end of financial year in which renovation and modernization is completed, the Target Availability for recovery of full charges shall be the actual availability achieved during the year. The Target Availability after completion of R&M shall be as decided by CERC. 7.1.5 Till the end of the financial year in which R&M is completed, the operating parameters of heat rate, Aux. Power Consumption & Specific Fuel Oil Consumption shall be as actually achieved at the station for the purpose of recovery of energy charges & after this period operating parameters shall be as decided by CERC.
(3.) WE have heard the representative of the petitioner on admission. It has been urged that the generating station was under shut-down for about three years, i.e. from 6.10.2003 to 8.9.2006, when it was taken over by the petitioner. Besides, the performance of the generating station was very poor prior to its take over by the petitioner. As it was not possible to estimate the actual operating parameters that could be achieved, both the parties agreed to the capacity charges, considering ROE @ 14% and O&M expenses based on actuals and the energy charges based on the operating parameters actually achieved by the generating station.;