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Petition with CERC (Procedure, Terms and Conditions for Grant of Transmission License and other related matters) Regulations to MEL Power Transmission Limited – EQ

Petition with CERC (Procedure, Terms and Conditions for Grant of Transmission License and other related matters) Regulations to MEL Power Transmission Limited – EQ

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Summary:

## 📌 Case Overview

* **Petitioner:** MEL Power Transmission Limited (MELPTL), a 100% subsidiary of PGCIL.
* **Respondents:** Central Transmission Utility of India Ltd. (CTUIL) & Ors.
* **Subjects:**

* **Petition No. 675/TL/2025** → Application for **Transmission Licence** under Sections 14 & 15 of the Electricity Act, 2003.
* **Petition No. 690/AT/2025** → Application under Section 63 for **adoption of transmission charges** discovered via Tariff-Based Competitive Bidding (TBCB).
* **Project:** Transmission system for evacuation of power from **Mahan Energen Ltd. (MEL) Generating Station, Madhya Pradesh**.
* **Date of Hearing:** 5th August 2025.
* **Coram:** Chairperson Jishnu Barua & Members Ramesh Babu V., Harish Dudani, Ravinder Singh Dhillon.

## ⚡ Transmission Project Context

* **Background:**

* MEL’s 1100 MW generating station is already connected.
* Expansion projects of **100 MW & 280 MW** require fresh transmission capacity.
* CTUIL identified **Mahan–Rewa line** for evacuation.

* **Discovered Tariff:** ₹1,010.34 million annual transmission charges (ATC).

* This is **12.06% higher** than CERC’s normative estimates.
* Bid Process Coordinator (PFC Consulting Ltd.) to justify reasons.

## 🏛️ Commission’s Directions (RoP dated 05.08.2025)

### For Petition No. 675/TL/2025 (Licence):

CTUIL to clarify via affidavit within 2 weeks:

1. Whether **Mahan was earlier granted LTA**, and details of relinquishment, if any.
2. Control area jurisdiction for existing 1100 MW vs new 100 MW & 280 MW connectivity.
3. Original ATS (Associated Transmission System) when LTA was granted for 1100 MW.

* Why is a new ATS required now?
* Who bears charges of Mahan–Bilaspur “dedicated” line shown in 25th CMETS?
4. Whether MEL applied for **GNA (General Network Access)** under Reg. 17.2, and details of transition under Reg. 37.6 of GNA Regulations.
5. Why the new line (Mahan–Rewa) is not planned as a **dedicated transmission line** under Section 10 of the Act read with Reg. 12.1 of GNA Regulations.

### For Petition No. 690/AT/2025 (Tariff Adoption):

* **PFCCL (Bid Process Coordinator)** to file affidavit within 2 weeks, explaining why discovered charges (₹1,010.34 mn) are **12.06% higher** than estimates.

## ✅ Current Status

* Both petitions **admitted**.
* Notices issued to respondents.
* Replies due within 2 weeks; rejoinders within 1 week thereafter.
* Next hearing fixed for **4th September 2025**.

## 👉 Takeaway

CERC is scrutinizing the **Mahan evacuation transmission project** due to questions on:

* Need for a new ATS despite earlier LTA.
* Whether part of the system should instead be **dedicated lines**.
* Higher-than-estimated transmission charges discovered via bidding.

Final decision on **licence grant** and **tariff adoption** is pending.

For more information please see below link:

Anand Gupta Editor - EQ Int'l Media Network