During the year, there is an increase in the commercial of the order of CERC in this regard.
Accordingly, the Company
capacity by 3,978 MW as detailed below: has filed a petition with the CERC dated 29.11.2016. In the
meantime, CEA vide letter dated 17.10.2017 has informed
Ministry of Power (MoP) that the margin of loss in GCV
Project/Unit Capacity Commercial between as fired and as received would vary from plant to
(MW) Operation Date plant, season to season and varying coal characteristics and
Kudgi U# 1 800 31.07.2017 also opined that a margin of 85-100 Kcal/Kg for a pit head
Mandsaur Solar 250 01.09.2017 station and a margin of 105-120 Kcal/Kg for a non-pit head
station may be considered as a loss of GCV of coal between
Mauda II U# 4 660 18.09.2017
as received and as fired. The petition is yet to be disposed
Solapur U# 1 660 25.09.2017 off by CERC.
Unchahar U# 6 500 30.09.2017
Pending disposal of the petition by the CERC and ratification
Bongaigaon U# 2 250 01.11.2017
by the Hon’ble Delhi High Court, measurement of GCV of coal
Rojmal Wind 50 10.11.2017 is being done from wagon top samples in respect of most
Kudgi U# 2 800 31.12.2017 of the stations barring a few on the grounds of safety issues,
Small Hydro 8 05.03.2018 for the quantity supplied through conveyors/road and other
difficulties.
Total 3,978
Sales have been provisionally recognised at ` 79,683.50 crore
Further, the commercial capacity of 1,170 MW comprising (31 March 2017: ` 75,800.54 crore) on the said basis (Note
Unit#1 of 660 MW of Mauda-II, 250 MW of Solar capacity at 36(b)).
Ananthpuram and 260 MW of Solar Capacity at Bhadla Solar,
Sales include ` 6.44 crore (31 March 2017: ` 995.59 crore)
which were declared under commercial operation during the
pertaining to previous years recognised based on the orders
financial year 2016-17, were available for the entire financial
issued by the CERC/Appellate Tribunal for Electricity (APTEL).
year 2017-18 as compared to part of financial year 2016-17.
This includes reversal of sales amounting to ` 267.99 crore
The CERC has issued tariff orders for some of the stations for in respect of one of the stations, considering the directions
the period 2014-19 under Regulations 2014, and beneficiaries issued by the CERC on 28.09.2017. Also, sales for the year
are billed based on such tariff orders issued by the CERC. For amounting to ` 96.73 crore has not been recognized
other stations, beneficiaries are billed in accordance with the considering the said directions. (Note 36(c))
principles given in the Regulations 2014. The energy charges
Sales include ` 210.33 crore (31 March 2017: ` Nil) on account of
in respect of the coal-based stations are provisionally billed
income tax refundable to the beneficiaries as per Regulations,
based on the GCV of coal ‘as received’, measured at wagon
2004. Sales also include ` 66.98 crore (31 March 2017:
top samples in respect of most of the stations barring a few
` 46.04 crore) on account of deferred tax materialised which is
on the grounds of safety issues, for the quantity supplied
recoverable from beneficiaries as per Regulations, 2014 (Note
through conveyors/road and other difficulties. The amount
36 (d)). Energy sales include electricity duty amounting to
provisionally billed is ` 80,670.65 crore (31 March 2017: `
` 879.77 crore (31 March 2017: ` 697.99 crore).
74,710.65 crore).
The average tariff for the financial year 2017-18 is ` 3.23/
Your Company has filed a writ petition before the Hon’ble
kWh as against ` 3.30/kWh in the previous year. The average
Delhi High Court contesting certain provisions of the
tariff includes adjustments pertaining to previous years. If the
Regulations, 2014. As per directions from the Hon’ble High
impact of such adjustments were to be excluded, the average
Court on the issue of point of sampling for measurement of
tariff would be ` 3.23/kWh in financial year 2017-18 as against
GCV of coal on ‘as received’ basis, CERC has issued an order
` 3.26/kWh in the previous year.
dated 25.01.2016 (subject to final decision of the Hon’ble High
Court) that samples for measurement of coal on ‘as received’
There has been 100% realization of the dues within the
basis should be collected from wagon top at the generating
stipulated period for the fifteenth year in succession. Most
stations. The Company’s review petition before the CERC in
of the beneficiaries have opened and are maintaining letter
respect of the above order was dismissed vide their order
of credit equal to or more than 105% of average monthly
dated 30.06.2016. Vide order dated 10.11.2016, the Hon’ble
billing. In order to ensure prompt and early payment of bills
Delhi High Court has permitted your Company to approach
for supply of energy to beneficiaries, your Company has
the CERC with the difficulties being faced in implementation
formulated a rebate scheme by way of providing graded
93
Management Discussion and Analysis | Annexure - I
