Petition for determination of tariff of 16 MW Solar PV Grid connected Power Projects located at Mora, District Surat established by GSECL – EQ
Summary:
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**Core Matter:**
This order pertains to a petition filed by the **Gujarat State Electricity Corporation Limited (GSECL)** against the **Gujarat Urja Vikas Nigam Limited (GUVNL)** . GSECL has approached the Commission seeking the **determination of tariff** for its 16 MW Solar Photovoltaic (PV) Grid-connected Power Projects located at Mora, District Surat.
**Legal Basis:**
The petition is filed under:
– **Section 62 of the Electricity Act, 2003:** This section empowers the Appropriate Commission to determine the tariff for the supply of electricity by a generating company to a distribution licensee.
– **Section 86(1)(a) of the Electricity Act, 2003:** This section outlines the functions of the State Commission, which include determining tariffs for generation, supply, transmission, and wheeling of electricity within the state.
**Key Parties:**
| Party | Role | Description |
| :— | :— | :— |
| **Gujarat State Electricity Corporation Limited (GSECL)** | Petitioner | A generating company that has established the 16 MW solar PV project. |
| **Gujarat Urja Vikas Nigam Limited (GUVNL)** | Respondent | A licensee responsible for the bulk purchase and sale of electricity on behalf of the state-owned distribution licensees. |
**Commission’s Observations and Directions:**
1. **Jurisdiction:** The Commission affirmed its jurisdiction to decide the matter under the cited sections of the Electricity Act, 2003.
2. **Public Notice Required:** Since the petition involves the determination of a tariff, the Commission deemed it necessary to invite comments, suggestions, and objections from the public and stakeholders.
3. **Directions to GSECL (Petitioner):**
– Issue a public notice in **two daily Gujarati newspapers** and **one English newspaper** with wide circulation in the state.
– The notice must clearly state the petition number, its subject matter, and the relief sought.
– Upload the entire petition and all relevant documents on its own website.
– Invite stakeholders to file their comments/objections/suggestions with the Commission (with a copy to GSECL) within **three weeks** from the date of the public notice.
– After publishing the notice, file a **compliance affidavit** with the Commission, attaching copies of the published notices.
4. **Directions to GUVNL (Respondent):**
– File its reply to the petition, if any, within **three weeks**.
5. **Directions to the Commission’s Staff:**
– Upload the petition and all relevant documents on the GERC website after receiving the compliance affidavit from GSECL.
– Provide copies of any representations received from stakeholders to GSECL.
– Issue hearing notices to stakeholders who file submissions.
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**Strategic Implications:**
1. **Transparent Process:** By mandating a public notice and inviting stakeholder comments, the Commission is ensuring a transparent and participatory process for tariff determination. This allows for scrutiny from consumer groups, other industry players, and GUVNL itself.
2. **Cost Recovery for GSECL:** A favorable tariff order will ensure that GSECL recovers its capital and operational costs along with a reasonable return on its investment for the 16 MW solar project.
3. **Financial Impact on GUVNL:** The determined tariff will directly impact GUVNL’s power purchase costs, which are eventually passed through to retail consumers in the state. GUVNL’s reply will likely focus on ensuring the tariff is reasonable and does not lead to an undue financial burden.
4. **Regulatory Precedent:** This tariff determination for a 16 MW project will set a precedent for how GERC evaluates the cost structure and returns for future solar projects developed by state-owned generation companies (gencos).
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