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AMICUS AI
Citation Codes
Equivalent Citations
citation codes
Case Number
Advocates
  • Shri SS Raju
  • None
  • Shri Rakesh Prasad, Shri MM Mondal, Shri SK Venkatesan, Shri Avinash M. Pavgi, Shri Piyush Awasthi, Shri Anshul Garg, Shri SK Venkatesan, Shri Mohd. Mohsin, Shri SK Niranjan
Judges
  • A.S Bakshi
  • Member
  • Member
  • M.K Iyer
Acts
  • (%) 20.961 20.961 20.961 20.961 20.961 Rate of Return on Equity (%) 19.610 19.610 19.610 19.610 19.610 Return on Equity 259.13 259.13 259.13 259.13 259.13Interest on Loan (IoL)40. Clause 5 and Clause 6 of Regulation 26 of the 2014 Tariff Regulations
  • 31.3.2019 (%) Debt 3083.95 70.00 - 3083.95 70.00 Equity 1321.40 30.00 - 1321.40 30.00 Total 4405.35 100.00 - 4405.35 100.00Return on Equity (ROE)38. Clause (1) and (2) of Regulations 24 and Clause (2) of Regulation 25 of the 2014 Tariff Regulations
  • (%) 9.2747 9.2737 9.2723 9.2705 9.2679 Interest on Loan 162.10 140.48 118.87 97.26 75.65Depreciation42. Clause (2), (5) and (6) of Regulation 27 of the 2014 Tariff Regulations provide that:27. Depreciation:(2)
  • Capital (IWC)46. Clause 1 (c) of Regulation 28 and Clause 5 of Regulation 3 of the 2014 Tariff Regulations
  • 2009-14 TARIFF PERIOD:7. Clause (3) of the Regulation 6 of the 2009 Tariff Regulations
  • Equity35. Clause (1) and (3) of Regulation 19 of the 2014 Tariff Regulations
  • Expenses)28. Clause (g) of Regulation 19 of the 2009 Tariff Regulations
  • SECTION 64 ELECTRICITY ACT 2003
  • INCOME TAX ACT 1961
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Cites
Cited by
Citation Codes
Equivalent Citations
citation codes
Case Number
Advocates
  • Shri SS Raju
  • None
  • Shri Rakesh Prasad, Shri MM Mondal, Shri SK Venkatesan, Shri Avinash M. Pavgi, Shri Piyush Awasthi, Shri Anshul Garg, Shri SK Venkatesan, Shri Mohd. Mohsin, Shri SK Niranjan
Judges
  • A.S Bakshi
  • Member
  • Member
  • M.K Iyer
Acts
  • (%) 20.961 20.961 20.961 20.961 20.961 Rate of Return on Equity (%) 19.610 19.610 19.610 19.610 19.610 Return on Equity 259.13 259.13 259.13 259.13 259.13Interest on Loan (IoL)40. Clause 5 and Clause 6 of Regulation 26 of the 2014 Tariff Regulations
  • 31.3.2019 (%) Debt 3083.95 70.00 - 3083.95 70.00 Equity 1321.40 30.00 - 1321.40 30.00 Total 4405.35 100.00 - 4405.35 100.00Return on Equity (ROE)38. Clause (1) and (2) of Regulations 24 and Clause (2) of Regulation 25 of the 2014 Tariff Regulations
  • (%) 9.2747 9.2737 9.2723 9.2705 9.2679 Interest on Loan 162.10 140.48 118.87 97.26 75.65Depreciation42. Clause (2), (5) and (6) of Regulation 27 of the 2014 Tariff Regulations provide that:27. Depreciation:(2)
  • Capital (IWC)46. Clause 1 (c) of Regulation 28 and Clause 5 of Regulation 3 of the 2014 Tariff Regulations
  • 2009-14 TARIFF PERIOD:7. Clause (3) of the Regulation 6 of the 2009 Tariff Regulations
  • Equity35. Clause (1) and (3) of Regulation 19 of the 2014 Tariff Regulations
  • Expenses)28. Clause (g) of Regulation 19 of the 2009 Tariff Regulations
  • SECTION 64 ELECTRICITY ACT 2003
  • INCOME TAX ACT 1961
See more information ...
Smart Summary

Factual and Procedural Background

The petition was filed by Power Grid Corporation of India Limited (the petitioner), a transmission licensee, seeking revision of tariff under Regulation 6 of the Central Electricity Regulatory Commission (Terms and Conditions of Tariff) Regulations, 2009 (the 2009 Tariff Regulations) by way of truing up of capital expenditure for the period 1 April 2009 to 31 March 2014, and for determination of tariff under the Central Electricity Regulatory Commission (Terms and Conditions of Tariff) Regulations, 2014 (the 2014 Tariff Regulations) for the period 1 April 2014 to 31 March 2019. The petition relates to a combined transmission asset comprising: (i) Extension of 400/220 kV Kohlapur substation (DOCO: 1.12.2006), (ii) 220 kV D/C Vapi–Magarwada transmission line with associated bays (DOCO: 1.5.2008), and (iii) 220 kV D/C Vapi–Khardpada transmission line with associated bays (DOCO: 1.7.2008) under WRSS-III in the Western Region.

Investment approval was accorded by the petitioner's Board on 20 February 2006 at an estimated cost of Rs. 7,565 lakh (including IDC). The Commission had earlier, by its order dated 11 February 2011 in Petition No. 175/2010, admitted a capital cost of Rs. 3,834.54 lakh as on 31 March 2009 and admitted additional capital expenditure in 2009-10 and 2010-11 (Rs. 51.49 lakh and Rs. 781.21 lakh respectively) for tariff determination of the 2009-14 period. The petitioner filed the instant truing up petition on 7 August 2014 in accordance with Regulation 6 of the 2009 Tariff Regulations.

The petition was served on the respondents (distribution licensees / beneficiaries of Western Region), public notice was published under Section 64 of the Electricity Act, 2003, and no public objections were received. The petitioner responded to Commission queries by affidavit dated 28 December 2015. No submissions were made by the respondents. A hearing was held on 21 December 2015. The Commission considered the material on record and proceeded to dispose of the petition.

Legal Issues Presented

  1. Whether the truing up of annual fixed charges for the tariff period 2009–14 should be carried out under Regulation 6 of the 2009 Tariff Regulations, based on audited details of capital expenditure (including additional capitalisation) up to 31 March 2014 and other applicable provisions of the 2009 Regulations (including Regulation 7, 12, 15–19)?
  2. Whether the capital cost as admitted by the Commission as on 31 March 2009 (Rs. 3,834.54 lakh) and the actual additional capital expenditure incurred up to 31 March 2014 (as certified by the auditor) should be accepted for truing up and included as opening capital cost for tariff determination?
  3. Whether the additional capital expenditure claimed for the 2009–14 period is within the admitted scope and therefore allowable for revision of tariff (and if so, to what extent)?
  4. What debt:equity ratio should be adopted for admitted capital cost and for additional capitalisation when determining tariff for the 2009–14 and 2014–19 periods (in light of Regulation 12 of 2009 Regulations and Regulation 19 of 2014 Regulations)?
  5. How should Return on Equity (ROE) be calculated (grossing up for MAT and using the prescribed base rate), and what MAT rates should be applied for each year of the tariff periods?
  6. What methodology should be applied to calculate Interest on Loan (IoL), Depreciation, Interest on Working Capital (IWC) and Operation & Maintenance (O&M) expenses for truing up and for the 2014–19 tariff period (in accordance with relevant provisions of the 2009 and 2014 Tariff Regulations)?
  7. How are ancillary matters — deferred tax liability, filing fee/publication expenses, licence fee, RLDC fees & charges, and potential future service tax liability — to be treated in the context of the petition and the applicable regulations?

Arguments of the Parties

The opinion does not contain a detailed account of the parties' legal arguments.

Table of Precedents Cited

Precedent Rule or Principle Cited For Application by the Court
Order dated 11.2.2011 in Petition No. 175/2010 (Central Electricity Regulatory Commission) Admission of capital cost as on 31.3.2009 (Rs. 3,834.54 lakh) and admission of additional capital expenditure (Rs. 51.49 lakh for 2009-10 and Rs. 781.21 lakh for 2010-11) for tariff determination for 2009–14. The Commission treated the admitted capital cost as the opening capital cost on 1.4.2009 for truing up. The debt:equity ratio admitted by that order (70.01:29.99) as on 31.3.2009 was carried forward for truing up and tariff computation.
Order dated 8.6.2011 in Petition No. 238/2010 (Central Electricity Regulatory Commission) Holding that, in case of floating rate of interest, any change in rates during the tariff period will be considered at the time of truing up. The Commission applied the principle by computing Interest on Loan based on the petitioner’s actual loan portfolio and actual weighted average rates; changes in floating rates would be considered at truing up.

Court's Reasoning and Analysis

The Commission's analysis proceeded on the following principal lines, strictly following the applicable regulatory provisions set out in the opinion:

  1. Opening Capital Cost: The capital cost of Rs. 3,834.54 lakh admitted as on 31.3.2009 (by the earlier order dated 11.2.2011) was taken as the opening capital cost as on 1.4.2009 in accordance with Regulation 7 (last proviso) of the 2009 Tariff Regulations.
  2. Additional Capital Expenditure (2009–14): Regulation 6(1) of the 2009 Regulations required truing up of capital expenditure up to 31.3.2014. The petitioner submitted audited details and an auditor's certificate dated 19.7.2014. The petitioner declared no undischarged liabilities remain (affidavit 28.12.2015). The Commission examined the actual additional capital expenditure: actual additions recorded in the auditor's certificate totalled Rs. 570.81 lakh during 2009–14 (of which Rs. 51.50, 405.59, 44.16 and 69.56 lakh were in 2009-10 through 2012-13). The Commission noted that additional capital expenditure beyond the cut-off date amounted to Rs. 519.31 lakh against Rs. 781.21 lakh admitted earlier. Because the total capital addition was within the original scope and within overall approved capital limits, the Commission allowed the actual additional capital expenditure for revision of tariff under Regulation 6.
  3. Debt:Equity Treatment: The Commission applied Regulation 12 of the 2009 Tariff Regulations. It carried forward the debt:equity ratio admitted as on 31.3.2009 (70.01:29.99) as on 1.4.2009, and treated additional capitalization on a normative 70:30 basis in line with the Regulations. For the 2014–19 period, the debt:equity ratio as on 31.3.2014 (70:30) was used per Regulation 19 of the 2014 Tariff Regulations.
  4. Return on Equity (ROE): The methodology required grossing up the base ROE (15.50%) by the applicable MAT/tax rate (Regulation 15(3)–(5) of 2009 Regulations and Regulations 24–25 of 2014 Regulations). The petitioner provided the MAT/effective tax rates for each year and claimed ROE grossed up accordingly. The petitioner also confirmed that actual equity infused for additional capitalization was not less than 30%. The Commission computed and allowed ROE for each year by grossing up the base rate with the MAT rates applicable for the respective years; the trued up ROE figures were summarised and allowed as claimed by the petitioner (the difference from prior approvals owed to actual MAT rates).
  5. Interest on Loan (IoL): The Commission applied Regulation 16 of the 2009 Regulations for the 2009–14 truing up and Regulation 26 of the 2014 Regulations for 2014–19. IoL was computed using the weighted average rate of interest based on the petitioner’s actual loan portfolio. The Commission accepted the petitioner's weighted average rates (Annexure-1 for 2009–14 and Annexure-2 for 2014–19) and computed IoL accordingly. The Commission followed the earlier holding (order dated 8.6.2011) that changes in floating interest rates would be considered at truing up.
  6. Depreciation: Depreciation was computed using the Straight Line Method and rates as specified in the applicable regulations (Regulation 17 of the 2009 Tariff Regulations for 2009–14 and Regulation 27 of the 2014 Tariff Regulations for 2014–19), using the admitted capital base and accumulated depreciation up to 31.3.2014. The Commission adjusted depreciation to reflect changes in the gross block and remaining depreciable value.
  7. Interest on Working Capital (IWC): IWC was computed as per Regulation 18 of the 2009 Regulations for the 2009–14 truing up and Regulation 28 (with SBI Base Rate + 350 bps) for the 2014–19 period. For 2014–19, the Commission accepted SBI base rate plus 350 bps as on 1.4.2014 (13.50%) and the petitioner’s working capital components to calculate IWC.
  8. Operation & Maintenance (O&M) Expenses: The Commission treated O&M on a normative basis in accordance with Regulation 19 (2009) and Regulation 29 (2014). Normative O&M is not trued up; the Commission computed and allowed O&M as per the prescribed norms for the assets and years in question.
  9. Ancillary Matters: The Commission addressed deferred tax liability (to be dealt with under Regulation 49 of the 2014 Regulations when materialized, and recoverable up to 31.3.2009 from beneficiaries when materialized), filing fees and publication expenses (reimbursable by beneficiaries under Regulation 52(1) of the 2014 Regulations), licence fee and RLDC fees & charges (reimbursable under Regulations 52(2)(b) and 52(2)(a) respectively), and declined to entertain a speculative prayer for future service tax reimbursement as premature.
  10. Final Computations: Following the above methodology, the Commission produced detailed year-wise computations and allowed annual fixed charges (component-wise) for each year of 2009–14 (trued up) and for each year of 2014–19 (determined) as summarised in the order.

Holding and Implications

Holding:

The Commission disposed of Petition No. 357.TT/2014 and allowed the truing up of annual fixed charges for the 2009–14 tariff period and determined the annual fixed charges for the 2014–19 tariff period in accordance with the 2009 and 2014 Tariff Regulations respectively.

The decision's direct effects on the parties (implications):

  • For the 2009–14 tariff period, the Commission accepted the admitted opening capital cost of Rs. 3,834.54 lakh as on 31.3.2009, considered audited actual additional capital expenditure up to 31.3.2014 (total capital cost as on 31.3.2014: Rs. 4,405.35 lakh), applied the normative debt:equity ratios and regulatory methodologies, and allowed the trued up annual fixed charges. The trued up annual transmission charges (total) allowed for 2009–10 through 2013–14 are set out in the order (Rs. 891.45 lakh, 932.95 lakh, 965.59 lakh, 968.14 lakh, 970.56 lakh respectively).
  • For the 2014–19 tariff period, the Commission accepted Rs. 4,405.35 lakh as opening capital cost on 1.4.2014 (no additional capitalization claimed for 2014–19), adopted 70:30 debt:equity, applied the regulatory norms for ROE (grossed up for MAT), IoL (weighted average rate as on 1.4.2014, with floating rates to be adjusted at truing up), depreciation, IWC (13.50%) and normative O&M. The annual transmission charges allowed for 2014–15 through 2018–19 are summarised in the order (Rs. 928.67 lakh, 915.16 lakh, 902.00 lakh, 889.02 lakh, 876.48 lakh respectively).
  • The petitioner is entitled to recover filing fees and publication expenses directly from beneficiaries on a pro rata basis, and is entitled to recover licence fee and RLDC fees & charges for the 2014–19 tariff period as per the 2014 Tariff Regulations.
  • Deferred tax liability up to 31.3.2009 may be recovered by the petitioner from beneficiaries/long-term transmission customers whenever it materializes, following Regulation 49 of the 2014 Tariff Regulations.
  • The Commission considered the petitioner’s prayer for future service tax reimbursement premature and did not grant any substantive relief on that issue at this stage.

Broader implications: The order applies and follows established tariff regulations and prior Commission orders; the opinion does not state that it creates a new precedent beyond its application of the relevant regulatory provisions and the cited prior Commission orders.

Disposition

This order disposes of Petition No. 357.TT/2014 in accordance with the analysis and figures recorded in the body of the Commission's order.

Show full summary ...

    Power Grid Corporation Of India Ltd. v. Madhya Pradesh Power Management Company Ltd.

    1. The petition has been preferred by Power Grid Corporation of India Limited (hereinafter referred to as “the petitioner”), a transmission licensee, for revision of tariff under Regulation 6 of the Central Electricity Regulatory Commission (Terms and Conditions of Tariff) Regulations, 2009 (hereinafter referred to as “the 2009 Tariff Regulations”) based on truing up of capital expenditure for the period 1.4.2009 to 31.3.2014 and for determination of tariff under Central Electricity Regulatory Commission (Terms and Conditions of Tariff) Regulations, 2014 (hereinafter referred to as “the 2014 Tariff Regulations”) for the period from 1.4.2014 to 31.3.2019 in respect of of the Combined Asset: (i) Extension of 400/220 kV Kohlapur (MSEB) substation (DOCO:01.12.2006) (ii) 220kV D/C VAPI-MAGARWADA Transmission Line along with associated bays (DOCO: 01.05.2008) (iii) 220kV D/C VAPI-KHARDPADA Transmission Line along with associated bays (DOCO: 01.07.2008) under WRSS-III Transmission System in Western Region (hereinafter referred to as “the transmission asset”).

    2. The respondents are distribution licensees, who are procuring transmission service from the petitioner, mainly beneficiaries of Western Region.

    3. The brief facts of the case are as follows:—

    a) The investment approval for the transmission asset was accorded by Board of Directors of the petitioner company vide Memorandum dated 20.2.2006 at an estimated cost of Rs. 7565 lakh which included IDC of Rs. 219 lakh.

    b) The COD of the transmission assets is 1.7.2008 The Commission vide its order dated 11.2.2011 in Petition No. 175/2010 had approved the capital cost of Rs. 3834.54 lakh as on 31.3.2009 as under:—

    Admitted as on 31.3.2009 Rs. in lakh % Asset I Debt 334.93 70.00 Equity 143.54 30.00 Total 478.47 100.00 Asset II Debt 1321.99 70.01 Equity 566.28 29.99 Rs. in lakh % Total 1888.27 100.00 Asset III Debt 1027.46 70.00 Equity 440.34 30.00 Total 1467.8 100.00 Combined Debt 2684.38 70.01 Equity 1150.16 29.99 Total 3834.54 100.00

    c) The petitioner had approached the Commission vide Petition No. 175/2010 for approval of additional capital expenditure of Rs. 51.49 lakh and Rs. 781.21 lakh towards balance and retention payments during 2009-10 and 2010-11 respectively and determination of tariff for 2009-14 tariff period.

    d) The commission had admitted the additional capital expenditure of Rs. 51.49 lakh and Rs. 781.21 lakh during 2009-10 and 2010-11 in view of the reasons recorded and decision taken in its order dated 11.2.2011 in Petition No. 175/2010.

    e) The Commission determined the tariff for the transmission asset for tariff period 2009-14, based on admitted capital cost of Rs. 3834.54 lakh as on 31.3.2009 and estimated additional capital expenditure of Rs. 51.49 lakh and Rs. 781.21 lakh during 2009-10 and 2010-11 respectively, as given below:—

    (Rs. in lakh)

    Particulars 2009-10 2010-11 2011-12 2012-13 2013-14 Depreciation 204.09 226.08 246.71 246.71 246.71 Interest on Loan 232.80 239.99 243.52 220.46 197.42 Return on Equity 202.41 224.24 244.73 244.73 244.73 Interest on Working Capital 24.03 25.70 27.29 27.49 27.73 O & M Expenses 214.01 226.25 239.24 252.89 267.34 Total 877.34 942.27 1001.48 992.27 983.93

    4. As per Regulation 6 of the 2009 Tariff Regulations, the Commission shall carry out truing up exercise along with the tariff petition filed for the next tariff period, with respect to the capital expenditure including additional capital expenditure incurred up to 31.3.2014, as admitted by the Commission after prudence check at the time of truing up. Further, as per Regulation 15 of the 2009 Tariff Regulations, the petitioner is required to adjust the yearly impact of MAT rate in the truing up petition for 2009-14 tariff period.

    5. In this context, the petitioner has filed the instant petition on 7.8.2014, for revision of tariff for the tariff period 2009-14 in accordance with Regulation 6 of the 2009 Tariff Regulations.

    6. The petitioner has served the petition to the respondents and notice of this application has been published in the newspaper in accordance with Section 64 of the Electricity Act 2003. The petitioner has submitted the reply to the Commission's query vide affidavit dated 28.12.2015 No comments/objections have been received from the public in response to the notice in newspaper. No submissions have been made by the respondents. The hearing in this matter was held on 21.12.2015 Having heard the representatives of the petitioner and perused the material on record, we proceed to dispose of the petition.

    TRUING UP OF ANNUAL FIXED CHARGES FOR 2009-14 TARIFF PERIOD:—

    7. Clause (3) of the Regulation 6 of the 2009 Tariff Regulations provides as under:—

    “(3) The generating company or the transmission licensee, as the case may be, shall submit for the purpose of truing up, details of capital expenditure and additional capital expenditure incurred for the period from 1.4.2009 to 31.3.2014, duly audited and certified by the auditors”.

    8. The petitioner has submitted the information as required under the 2009 Tariff Regulations for truing up of annual fixed charges for 2009-14 tariff period. The tariff for 2009-14 tariff period has been trued up in the subsequent paragraphs:—

    Capital Cost

    9. The petitioner has claimed admitted capital cost of Rs. 3834.54 lakh as on 31.3.2009 for the purpose of tariff determination.

    10. The last proviso to Regulation 7(2) of the 2009 Tariff Regulations provides that:—

    “Provided also that in case of the existing projects, the capital cost admitted by the Commission prior to 1.4.2009 duly trued up by excluding un-discharged liability, if any, as on 1.4.2009 and the additional capital expenditure projected to be incurred for the respective year of the tariff period 2009-14, as may be admitted by the Commission, shall form the basis for determination of tariff”.

    11. The capital cost of Rs. 3834.54 lakh admitted by the Commission as on 31.3.2009 has been considered as opening capital cost as on 1.4.2009 for determination of trued up tariff in accordance with Regulation 7 of the 2009 Tariff Regulations.

    Additional Capital Expenditure

    12. Regulation 6(1) of the 2009 Regulations provides that:—

    “The Commission shall carry out truing up exercise along with the tariff petition filed for the next tariff period, with respect to the capital expenditure including additional capital expenditure incurred up to 31.3.2014”

    13. The petitioner has submitted that it has incurred an additional capital expenditure of Rs. 51.50 lakh, Rs. 405.59 lakh, Rs. 44.16 lakh and Rs. 69.56 lakh in 2009-10, 2010-11, 2011-12 and 2012-13 towards final payment of undischarged liabilities as depicted below:—

    (Rs. in lakh)

    Particulars Capital cost as admitted on 31.3.2009 Additional capital expenditure approved vide order dated 11.2.2011 Actual Additional capital expenditure during 2009-14 Actual capital cost as on 31.3.2014 2009-10 2010-11 2009-10 2010-11 2011-12 2012-13 Asset I: Substation 478.47 0.00 0.00 0.00 0.00 0.00 0.00 478.47 Asset II: Transmissi on Line 1888.27 29.30 380.40 29.30 197.50 21.50 33.87 2170.44 Asset III: Transmissi on Line 1467.80 22.19 400.81 22.20 208.09 22.66 35.69 1756.44 Total 3834.54 51.49 781.21 51.50 405.59 44.16 69.56 4405.35

    14. The petitioner has submitted the Auditor's Certificate dated 19.7.2014 certifying the actual capital cost. The Commission had directed the petitioner to submit the details of undischarged liabilities, if any, to be recovered in future in respect of the transmission assets. The petitioner vide its affidavit dated 28.12.2015 has clarified that no undischarged liabilities are left to be recovered in future in respect of the transmission assets in the instant petition.

    15. We have considered the submissions of the petitioner with regard to the actual capital expenditure in 2009-10, 2010-11, 2011-12 and 2012-13. The additional capital expenditure during 2010-14 period, which lies beyond the cut-off date is Rs. 519.31 lakh against the additional capital expenditure of Rs. 781.21 lakh admitted by the Commission vide order dated 11.2.2011 in Petition No. 175/2010. Further, since the total capital addition of Rs. 570.81 lakh during the aforesaid period is based on actual capital expenditure incurred as per the Auditor Certificate dated 19.7.2014, and is within the original scope of work and the total capital expenditure during 2009-14 is within the limits of the total approved capital expenditure, the same is allowed for the purpose of revision of tariff in accordance with Regulation 6 of the 2009 Tariff Regulations.

    16. The debt: equity ratio of 70:30 for additional capital expenditure as claimed by the petitioner is in accordance with the Regulation 12 (3) of the 2009 Tariff Regulations and hence, same has been considered towards financing of the additional capital expenditure.

    Debt: Equity

    17. Regulation 12 of the 2009 Tariff Regulations provides as under:—

    “12. Debt-Equity Ratio. (1) For a project declared under commercial operation on or after 1.4.2009, if the equity actually deployed is more than 30% of the capital cost, equity in excess of 30% shall be treated as normative loan:

    Provided that where equity actually deployed is less than 30% of the capital cost, the actual equity shall be considered for determination of tariff:

    (2) In case of the generating station and the transmission system declared under commercial operation prior to 1.4.2009, debt-equity ratio allowed by the Commission for determination of tariff for the period ending 31.3.2009 shall be considered.

    (3) Any expenditure incurred or projected to be incurred on or after 1.4.2009 as may be admitted by the Commission as additional capital expenditure for determination of tariff, and renovation and modernisation expenditure for life extension shall be serviced in the manner specified in clause (1) of this regulation.”

    18. The debt:equity ratio of 70.01:29.99 admitted by the Commission vide order dated 11.2.2011 in Petition No. 175/2010 as on 31.3.2009 has been considered as on 1.4.2009 for determination of tariff in accordance with the Regulation 12 of the 2009 Tariff Regulations. In respect of the additional capitalization, debt: equity ratio of 70:30 has been considered in line with the 2009 Tariff Regulations.

    19. The details of the debt: equity considered for the purpose of tariff for 2009-14 tariff period is as follows:—

    Capital cost admitted as on 31.3.2009 Additional capital expenditure during 2009-14 Total Cost as on 31.3.2014 Rs. in lakh % Rs. in lakh % Rs. in lakh % Asset I Debt 334.93 70.00 0.00 0.00 334.93 70.00 Equity 143.54 30.00 0.00 0.00 143.54 30.00 Total 478.47 100.00 0.00 0.00 478.47 100.00 Debt 1321.99 70.01 197.52 70.00 1519.51 70.01 Asset II Equity 566.28 29.99 84.65 30.00 650.93 29.99 Total 1888.27 100.00 282.17 100.00 2170.44 100.00 Asset III Debt 1027.46 70.00 202.05 70.00 1229.51 70.00 Equity 440.34 30.00 86.59 30.00 526.93 30.00 Total 1467.8 100.00 288.64 100.00 1756.44 100.00 Combined Debt 2684.38 70.01 399.57 70.00 3083.95 70.00 Equity 1150.16 29.99 171.24 30.00 1321.40 30.00 Total 3834.54 100.00 570.81 100.00 4405.35 100.00

    Return on Equity (ROE)

    20. Clause (3), (4) and (5) of the Regulation 15 of the 2009 Tariff Regulations provide that

    “(3) The rate of return on equity shall be computed by grossing up the base rate with the Minimum Alternate/Corporate Income Tax Rate for the year 2008-09, as per the Income Tax Act, 1961, as applicable to the concerned generating company or the transmission licensee, as the case may be.

    (4) Rate of return on equity shall be rounded off to three decimal points and be computed as per the formula given below:

    Rate of pre-tax return on equity = Base rate/(1-t)

    Where “t” is the applicable tax rate in accordance with clause (3) of this regulation.

    (5) The generating company or the transmission licensee, as the case may be, shall recover the shortfall or refund the excess Annual Fixed Charge on account of Return on Equity due to change in applicable Minimum Alternate/Corporate Income Tax Rate as per the Income Tax Act, 1961 (as amended from time to time) of the respective financial year directly without making any application before the Commission:

    Provided further that Annual Fixed Charge with respect to the tax rate applicable to the generating company or the transmission licensee, as the case may be, in line with the provisions of the relevant Finance Acts of the respective year during the tariff period shall be trued up in accordance with Regulation 6 of these regulations.”

    21. The variation in the tax rate during the 2009-14 tariff period applicable to the petitioner as per the Finance Act of the relevant year for the purpose of grossing up of return on equity (ROE) has been furnished as follows:—

    Year MAT Rate claimed in the current petition Grossed up ROE (Base Rate/(1-t)) claimed in the current petition 2009-10 16.995% 18.674% 2010-11 19.931% 19.358% 2011-12 20.008% 19.377% 2012-13 20.008% 19.377% 2013-14 20.961% 19.610%

    22. The Commission had directed the petitioner to indicate the actual equity infused for the 2009-14 tariff period. The petitioner has submitted, vide affidavit dated 28.12.2015, that the actual equity infused for the additional capitalisation during 2009-14 tariff period is not less than 30% for the instant transmission asset. The petitioner has claimed the additional capital expenditure in the debt:equity ratio of 70:30, which is in line with Regulation 12 of the 2009 Tariff Regulations.

    23. The ROE as trued up and allowed is as follows:—

    (Rs. in lakh)

    Return on Equity 2009-10 2010-11 2011-12 2012-13 2013-14 Approved vide order dated 11.2.2011 202.41 224.24 244.73 244.73 244.73 Claimed by the petitioner 216.22 237.42 250.72 254.03 259.13 Allowed after truing up in this order 216.22 237.42 250.72 254.03 259.13

    The difference in the approved ROE and that allowed after truing up is on account of actual grossed up ROE based on actual MAT rate.

    Interest on Loan (IoL)

    24. Regulation 16 of the 2009 Tariff Regulations provide the methodology for working out weighted average rate of IoL. The Commission in its earlier order dated 8.6.2011 in Petition No. 238/2010 has dealt with similar issue and held that:—

    “…in case of floating rate of interest, any change in the rates of interest during the tariff period will be considered at the time of true up”.

    25. The petitioner has submitted the weighted average rate of IoL, based on its actual loan portfolio and rate of interest. Accordingly, the IoL has been calculated based on actual interest rate submitted by the petitioner, in accordance with the Regulation 16 of the 2009 Tariff Regulations. The details of weighted average rate of interest is placed in Annexure-1. The IoL worked out is as follows:—

    (Rs. in lakh)

    Interest on Loan 2009-10 2010-11 2011-12 2012-13 2013-14 Approved vide order dated 11.2.2011 232.80 239.99 243.52 220.46 197.42 Claimed by the petitioner 232.80 227.60 221.04 203.19 183.75 Allowed after truing up in this order 232.80 227.60 221.04 203.19 183.75

    The difference in the approved IoL and that allowed after truing up is on account of change in the weighted average rate of interest which is computed based on actual loan portfolio and rate of interest.

    Depreciation

    26. The depreciation has been worked out as per the methodology provided in the Regulation 17 of the 2009 Tariff Regulations. The depreciation allowed is as follows:—

    (Rs. in lakh)

    Depreciation 2009-10 2010-11 2011-12 2012-13 2013-14 Approved vide order dated 11.2.2011 204.09 226.08 246.71 246.71 246.71 Claimed by the petitioner 204.10 216.17 228.04 231.05 232.88 Allowed after truing up in this order 204.09 216.17 228.04 231.04 232.88

    The difference in the approved depreciation and that allowed after truing up is on account of change in gross block during the 2009-14 tariff period.

    Interest on Working Capital (IWC)

    27. The IWC has been worked out as per the methodology provided in the Regulation 18 of the 2009 Tariff Regulations and allowed as under:—

    (Rs. in lakh)

    Interest on Working Capital 2009-10 2010-11 2011-12 2012-13 2013-14 Approved vide order dated 11.2.2011 24.03 25.70 27.29 27.49 27.73 Claimed by the petitioner 24.32 25.51 26.55 26.99 27.46 Allowed after truing up in this order 24.32 25.51 26.55 26.99 27.46

    The difference in the approved IWC and that allowed after truing up is on account of change in the receivables during the 2009-14 tariff period.

    Operation & Maintenance Expenses (O&M Expenses)

    28. Clause (g) of Regulation 19 of the 2009 Tariff Regulations specifies the norms for O&M Expenses for the transmission system. The normative O&M Expenses are not required to be trued up. Accordingly, the total allowable O&M expenses for the instant assets have been worked out based on norms of O&M Expenses and the details are as follows:—

    (Rs. in lakh)

    O&M Expenses 2009-10 2010-11 2011-12 2012-13 2013-14 Approved vide order dated 11.2.2011 214.01 226.25 239.24 252.89 267.34 Claimed by the petitioner 214.01 226.25 239.24 252.89 267.34 Allowed after truing up in this order 214.01 226.25 239.24 252.89 267.34

    APPROVED ANNUAL FIXED CHARGES FOR 2009-14 TARIFF PERIOD

    29. The detailed computation of the various components of the trued up annual fixed charges for the instant transmission assets for the tariff period 2009-14 is summarised below:—

    (Rs. in lakh)

    Particulars 2009-10 2010-11 2011-12 2012-13 2013-14 Depreciation Opening Gross Block 3834.54 3886.04 4291.63 4335.79 4405.35 Additional capitalisation 51.50 405.59 44.16 69.56 0.00 Closing Gross Block 3886.04 4291.63 4335.79 4405.35 4405.35 Average Gross Block 3860.29 4088.84 4313.71 4370.57 4405.35 Rate of Depreciation (%) 5.29 5.29 5.29 5.29 5.29 Depreciable Value 3474.26 3703.13 4064.85 3953.39 3996.12 Balance useful life of the asset 31 30 29 28 27 Elapsed life 0 1 2 3 4 Remaining Depreciable Value 3366.73 3368.33 3354.55 3177.68 2977.94 Depreciation during the year 204.09 216.17 228.04 231.04 232.88 Particulars 2009-10 2010-11 2011-12 2012-13 2013-14 Cumulative depreciation (incl. of AAD) 311.62 527.79 755.83 986.87 1219.75 Interest on Loan Gross Normative Loan 2684.38 2720.43 3004.34 3035.26 3083.95 Cumulative Repayments upto Previous Year 107.53 311.62 527.79 755.83 986.87 Net Loan-Opening 2576.85 2408.81 2476.55 2279.42 2097.07 Additions 36.05 283.91 30.91 48.69 0.00 Repayment during the year 204.09 216.17 228.04 231.04 232.88 Net Loan-Closing 2408.81 2476.55 2279.42 2097.07 1864.19 Average Loan 2492.83 2442.68 2377.99 2188.25 1980.63 Weighted Average Rate of Interest on Loan (%) 9.3389 9.3178 9.2954 9.2855 9.2774 Interest on Loan 232.80 227.60 221.04 203.19 183.75 Return on Equity Opening Equity 1150.16 1165.61 1287.29 1300.54 1321.40 Additions 15.45 121.68 13.25 20.87 0.00 Closing Equity 1165.61 1287.29 1300.54 1321.40 1321.40 Average Equity 1157.89 1226.45 1293.91 1310.97 1321.40 Return on Equity (Base Rate) (%) 15.500 15.500 15.500 15.500 15.500 MAT Rate for respective year (%) 16.995 19.931 20.008 20.008 20.961 Rate of Return on Equity (%) 18.674 19.358 19.377 19.377 19.610 Return on Equity 216.22 237.42 250.72 254.03 259.13 Interest on Working Capital O & M Expenses 17.83 18.85 19.93 21.07 22.27 Maintenance Spares 32.10 33.94 35.89 37.93 40.10 Receivables 148.57 155.49 160.93 161.36 161.76 Total Working Capital 198.50 208.27 216.75 220.36 224.13 Rate of Interest (%) 12.25 12.25 12.25 12.25 12.25 Interest of working capital 24.32 25.51 26.55 26.99 27.46 Annual Transmission Charges Depreciation 204.09 216.17 228.04 231.04 232.88 Interest on Loan 232.80 227.60 221.04 203.19 183.75 Return on Equity 216.22 237.42 250.72 254.03 259.13 Interest on Working Capital 24.32 25.51 26.55 26.99 27.46 O & M Expenses 214.01 226.25 239.24 252.89 267.34 Total 891.45 932.95 965.59 968.14 970.56

    DETERMINATION OF ANNUAL FIXED CHARGES FOR 2014-19 TARIFF PERIOD

    30. The petitioner has claimed the tariff charges for 2014-19 tariff period as under:—

    (Rs. in lakh)

    Particulars 2014-15 2015-16 2016-17 2017-18 2018-19 Depreciation 232.88 232.88 232.88 232.88 232.88 Interest on Loan 162.10 140.48 118.87 97.26 75.65 Return on Equity 259.13 259.13 259.13 259.13 259.13 Interest on Working Capital 28.64 28.59 28.56 28.55 28.55 O & M Expenses 245.92 254.07 262.55 271.20 280.27 Total 928.67 915.15 901.99 889.02 876.48

    31. The details submitted by the petitioner in support of its claim for interest on working capital are given hereunder:—

    (Rs. in lakh)

    Particulars 2014-15 2015-16 2016-17 2017-18 2018-19 O & M Expenses 20.49 21.17 21.88 22.60 23.36 Maintenance Spares 36.89 38.11 39.38 40.68 42.04 Receivables 154.78 152.53 150.33 148.17 146.08 Total 212.16 211.81 211.59 211.45 211.48 Rate of Interest (%) 13.50 13.50 13.50 13.50 13.50 Interest 28.64 28.59 28.56 28.55 28.55

    Capital Cost

    32. Clause (3) and (6) of Regulation 9 of 2014 Tariff Regulation provide as follows:—

    “(3) The Capital cost of an existing project shall include the following:

    (a) the capital cost admitted by the Commission prior to 1.4.2014 duly trued up by excluding liability, if any, as on 1.4.2014;

    (b) additional capitalization and de-capitalization for the respective year of tariff as determined in accordance with Regulation 14; and

    (c) expenditure on account of renovation and modernisation as admitted by this Commission in accordance with Regulation 15.”

    “(6) The following shall be excluded or removed from the capital cost of the existing and new project:

    (a) The assets forming part of the project, but not in use;

    (b) Decapitalisation of Asset;”

    33. The capital cost of Rs. 4405.35 lakh worked out by the Commission as on 31.3.2014 has been considered as opening capital cost as on 1.4.2014 for determination of tariff in accordance with Regulation 9 of the 2014 Tariff Regulations.

    Additional Capital Expenditure

    34. The petitioner has not claimed any additional capital expenditure during 2014-19 tariff period.

    Debt: Equity

    35. Clause (1) and (3) of Regulation 19 of the 2014 Tariff Regulations provide as under:—

    “19. Debt-Equity Ratio: (1) For a project declared under commercial operation on or after 1.4.2014, the debt-equity ratio would be considered as 70:30 as on COD. If the equity actually deployed is more than 30% of the capital cost, equity in excess of 30% shall be treated as normative loan:”

    “(3) In case of the generating station and the transmission system including communication system declared under commercial operation prior to 1.4.2014, debt equity ratio allowed by the Commission for determination of tariff for the period ending 31.3.2014 shall be considered.”

    “(5) Any expenditure incurred or projected to be incurred on or after 1.4.2014 as may be admitted by the Commission as additional capital expenditure for determination of tariff, and renovation and modernisation expenditure for life extension shall be serviced in the manner specified in clause (1) of this regulation.”

    36. The petitioner has considered the debt:equity ratio of 70:30 as on 31.3.2014, which is in line with the 2014 Tariff Regulations.

    37. The petitioner has not claimed any additional capital expenditure during 2014-19 tariff period. The details of the debt:equity considered for the purpose of tariff for 2014-19 tariff period is as follows:—

    (Rs. in lakh)

    Funding Total Capital cost as on 31.3.2014 (%) Additional capital expenditure during 2014-19 Total Capital cost as on 31.3.2019 (%) Debt 3083.95 70.00 - 3083.95 70.00 Equity 1321.40 30.00 - 1321.40 30.00 Total 4405.35 100.00 - 4405.35 100.00

    Return on Equity (ROE)

    38. Clause (1) and (2) of Regulations 24 and Clause (2) of Regulation 25 of the 2014 Tariff Regulations specify as under:—

    “24. Return on Equity: (1) Return on equity shall be computed in rupee terms, on the equity base determined in accordance with regulation 19.

    (2) Return on equity shall be computed at the base rate of 15.50% for thermal generating stations, transmission system including communication system”

    “25. Tax on Return on Equity:

    (2) Rate of return on equity shall be rounded off to three decimal places and shall be computed as per the formula given below:

    Rate of pre-tax return on equity = Base rate/(1-t)

    Where “t” is the effective tax rate in accordance with Clause (1) of this regulation and shall be calculated at the beginning of every financial year based on the estimated profit and tax to be paid estimated in line with the provisions of the relevant Finance Act applicable for that financial year to the company on pro-rata basis by excluding the income of non-generation or non-transmission business, as the case may be, and the corresponding tax thereon. In case of generating company or transmission licensee paying Minimum Alternate Tax (MAT), “t” shall be considered as MAT rate including surcharge and cess.”

    39. The petitioner has submitted that MAT rate is applicable to the petitioner's company. Accordingly, the MAT rate applicable during the 2013-14 has been considered for the purpose of ROE, which shall be trued up with actual tax rate in accordance with clause (3) of regulation 25 of the 2014 Tariff Regulations. The ROE has been worked out and allowed as follows:—

    (Rs. in lakh)

    Return on Equity 2014-15 2015-16 2016-17 2017-18 2018-19 Opening Equity 1321.40 1321.40 1321.40 1321.40 1321.40 Additions 0.00 0.00 0.00 0.00 0.00 Closing Equity 1321.40 1321.40 1321.40 1321.40 1321.40 Average Equity 1321.40 1321.40 1321.40 1321.40 1321.40 Return on Equity (Base Rate) (%) 15.500 15.500 15.500 15.500 15.500 MAT Rate for respective year (%) 20.961 20.961 20.961 20.961 20.961 Rate of Return on Equity (%) 19.610 19.610 19.610 19.610 19.610 Return on Equity 259.13 259.13 259.13 259.13 259.13

    Interest on Loan (IoL)

    40. Clause 5 and Clause 6 of Regulation 26 of the 2014 Tariff Regulations provides that:—

    “(5) The rate of interest shall be the weighted average rate of interest calculated on the basis of the actual loan portfolio after providing appropriate accounting adjustment for interest capitalized:

    Provided that if there is no actual loan for a particular year but normative loan is still outstanding, the last available weighted average rate of interest shall be considered:

    Provided further that if the generating station or the transmission system, as the case may be, does not have actual loan, then the weighted average rate of interest of the generating company or the transmission licensee as a whole shall be considered.

    (6) The interest on loan shall be calculated on the normative average loan of the year by applying the weighted average rate of interest.”

    41. The weighted average rate of IoL has been considered on the basis of rate prevailing as on 1.4.2014 The petitioner has prayed that the change in interest rate due to floating rate of interest applicable, if any, during 2014-19 tariff period will be adjusted. Accordingly, the floating rate of interest, if any, shall be considered at the time of true up or next revision of tariff. By considering above, the IoL has been worked out in accordance with Regulation 26 of the 2014 Tariff Regulations. The details of weighted average rate of interest for 2014-19 tariff period are placed in Annexure 2 and the IoL has been worked out and allowed as follows:—

    (Rs. in lakh)

    Interest on Loan 2014-15 2015-16 2016-17 2017-18 2018-19 Gross Normative Loan 3083.95 3083.95 3083.95 3083.95 3083.95 Cumulative Repayment upto Previous Year 1219.75 1452.63 1685.51 1918.39 2151.27 Net Loan-Opening 1864.19 1631.31 1398.43 1165.56 932.68 Additions 0.00 0.00 0.00 0.00 0.00 Repayment during the year 232.88 232.88 232.88 232.88 232.88 Net Loan-Closing 1631.31 1398.43 1165.56 932.68 699.80 Average Loan 1747.75 1514.87 1281.99 1049.12 816.24 Weighted Average Rate of Interest on Loan (%) 9.2747 9.2737 9.2723 9.2705 9.2679 Interest on Loan 162.10 140.48 118.87 97.26 75.65

    Depreciation

    42. Clause (2), (5) and (6) of Regulation 27 of the 2014 Tariff Regulations provide that:—

    “27. Depreciation:

    …(2) The value base for the purpose of depreciation shall be the capital cost of the asset admitted by the Commission. In case of multiple units of a generating station or multiple elements of transmission system, weighted average life for the generating station of the transmission system shall be applied. Depreciation shall be chargeable from the first year of commercial operation. In case of commercial operation of the asset for part of the year, depreciation shall be charged on pro rata basis”

    “(5) Depreciation shall be calculated annually based on Straight Line Method and at rates specified in Appendix-II to these regulations for the assets of the generating station and transmission system:

    Provided that the remaining depreciable value as on 31st March of the year closing after a period of 12 years from the effective date of commercial operation of the station shall be spread over the balance useful life of the assets.

    (6) In case of the existing projects, the balance depreciable value as on 1.4.2014 shall be worked out by deducting the cumulative depreciation as admitted by the Commission upto 31.3.2014 from the gross depreciable value of the assets.”

    43. The depreciation has been worked out considering the admitted capital expenditure as on 31.3.2014 and accumulated depreciation up to 31.3.2014 The asset will complete 12 years beyond the 2014-19 period. The detailed calculations for depreciation for the transmission asset are worked out and allowed as follows:—

    (Rs. in lakh)

    Particulars 2014-15 2015-16 2016-17 2017-18 2018-19 Depreciation Opening Gross Block 4405.35 4405.35 4405.35 4405.35 4405.35 Additional Capitalization 0.00 0.00 0.00 0.00 0.00 Closing Gross Block 4405.35 4405.35 4405.35 4405.35 4405.35 Average Gross Block 4405.35 4405.35 4405.35 4405.35 4405.35 Rate of Depreciation (%) 5.29% 5.29% 5.29% 5.29% 5.29% Balance Useful life of the asset 26 25 24 23 22 Elapsed life 5 6 7 8 9 Remaining Depreciable Value 2745.06 2512.18 2279.30 2046.42 1813.54 Depreciation during the year 232.88 232.88 232.88 232.88 232.88

    Operation & Maintenance Expenses (O&M Expenses)

    44. Clause 3(a) of Regulation 29 of the 2014 Tariff Regulations specify the norms for O&M Expenses for the transmission system. The total allowable O&M Expenses for the instant assets have been worked out and allowed are as follows:—

    Particulars 2014-15 2015-16 2016-17 2017-18 2018-19 220 kV Bays: No. of Bays 4 4 4 4 4 Norms (Rs. lakh/Bay) 42.21 43.61 45.06 46.55 48.10 400 kV Bay: No. of Bays 1 1 1 1 1 Norms (Rs. lakh/Bay) 60.3 62.3 64.37 66.51 68.71 Line: D/C Single Conductor: Line Length (km) 55.37 55.37 55.37 55.37 55.37 Norms (Rs. lakh/km) 0.303 0.313 0.324 0.334 0.346 Total O&M Expenses (Rs. lakh) 245.92 254.07 262.55 271.20 280.27

    45. The petitioner has further submitted that the wage revision of the employees of the petitioner company is due during 2014-19 and actual impact of wage hike which will be effective from a future date has also not been factored in fixation of the normative O&M rate specified for the 2014-19 tariff period. The petitioner has also prayed that it will approach the Commission for suitable revision in the norms of O&M Expenses for claiming the impact of such increase. We would like to clarify that any application filed by the petitioner for revision of O&M Expenses on account of wage revision will be dealt with in accordance with the appropriate provisions of the 2014 Tariff Regulations. The O&M Expenses are allowed for the instant transmission asset as per prevailing norms.

    Interest on Working Capital (IWC)

    46. Clause 1 (c) of Regulation 28 and Clause 5 of Regulation 3 of the 2014 Tariff Regulations specifies as follows:

    “28. Interest on Working Capital

    (c) (i) Receivables equivalent to two months of fixed cost;

    (ii) Maintenance spares @ 15% of operation and maintenance expenses specified in regulation 29; and

    (iii) Operation and maintenance expenses for one month”

    “(5) ‘Bank Rate’ means the base rate of interest as specified by the State Bank of India from time to time or any replacement thereof for the time being in effect plus 350 basis points;”

    47. The petitioner has submitted that it has computed interest on working capital for the tariff block 2014-19 considering the SBI Base Rate plus 350 basis points as on 1.4.2014 The rate of interest on working capital considered is 13.50%.

    48. The interest on working capital is worked out in accordance with Regulation 28 of the 2014 Tariff Regulations. The rate of interest on working capital considered is 13.50% (SBI Base Rate of 10% plus 350 basis points). The components of the working capital and interest thereon have been worked as follows:—

    (Rs. in lakh)

    Interest on Working Capital 2014-15 2015-16 2016-17 2017-18 2018-19 O & M expenses 20.48 21.16 21.87 22.59 23.35 Maintenance Spares 36.89 38.11 39.38 40.68 42.04 Receivables 154.78 152.53 150.33 148.17 146.08 Total 212.15 211.80 211.59 211.44 211.47 Rate of Interest (%) 13.50 13.50 13.50 13.50 13.50 Interest on Working Capital 28.64 28.59 28.56 28.54 28.55

    ANNUAL FIXED CHARGES FOR THE 2014-19 TARIFF PERIOD

    49. The transmission charges allowed for the instant transmission assets for the 2014-19 tariff period are summarised below:—

    (Rs. in lakh)

    Particulars 2014-15 2015-16 2016-17 2017-18 2018-19 Depreciation Opening Gross Block 4405.35 4405.35 4405.35 4405.35 4405.35 Additional Capitalisation 0.00 0.00 0.00 0.00 0.00 Closing Gross Block 4405.35 4405.35 4405.35 4405.35 4405.35 Average Gross Block 4405.35 4405.35 4405.35 4405.35 4405.35 Rate of Depreciation (%) 5.29 5.29 5.29 5.29 5.29 Depreciable Value 3964.82 3964.82 3964.82 3964.82 3964.82 Balance useful life of the asset 26 25 24 23 22 Elapsed life 5 6 7 8 9 Remaining Depreciable Value 2745.06 2512.18 2279.30 2046.42 1813.54 Depreciation during the year 232.88 232.88 232.88 232.88 232.88 Cumulative depreciation (incl. of AAD) 1452.63 1685.51 1918.39 2151.27 2384.15 Interest on Loan Gross Normative Loan 3083.95 3083.95 3083.95 3083.95 3083.95 Cumulative 1219.75 1452.63 1685.51 1918.39 2151.27 Particulars 2014-15 2015-16 2016-17 2017-18 2018-19 Repayments upto Previous Year Net Loan-Opening 1864.19 1631.31 1398.43 1165.56 932.68 Additions 0.00 0.00 0.00 0.00 0.00 Repayment during the year 232.88 232.88 232.88 232.88 232.88 Net Loan-Closing 1631.31 1398.43 1165.56 932.68 699.80 Average Loan 1747.75 1514.87 1281.99 1049.12 816.24 Weighted Average Rate of Interest on Loan (%) 9.2747 9.2737 9.2723 9.2705 9.2679 Interest on Loan 162.10 140.48 118.87 97.26 75.65 Return on Equity Opening Equity 1321.40 1321.40 1321.40 1321.40 1321.40 Additions 0.00 0.00 0.00 0.00 0.00 Closing Equity 1321.40 1321.40 1321.40 1321.40 1321.40 Average Equity 1321.40 1321.40 1321.40 1321.40 1321.40 Return on Equity (Base Rate) (%) 15.500 15.500 15.500 15.500 15.500 MAT Rate for respective year (%) 20.961 20.961 20.961 20.961 20.961 Rate of Return on Equity (%) 19.610 19.610 19.610 19.610 19.610 Return on Equity 259.13 259.13 259.13 259.13 259.13 Interest on Working Capital O & M Expenses 20.48 21.16 21.87 22.59 23.35 Maintenance Spares 36.89 38.11 39.38 40.68 42.04 Receivables 154.78 152.53 150.33 148.17 146.08 Total Working Capital 212.15 211.80 211.59 211.44 211.47 Rate of Interest (%) 13.50 13.50 13.50 13.50 13.50 Interest of working capital 28.64 28.59 28.56 28.54 28.55 Annual Transmission Charges Depreciation 232.88 232.88 232.88 232.88 232.88 Interest on Loan 162.10 140.48 118.87 97.26 75.65 Return on Equity 259.13 259.13 259.13 259.13 259.13 Interest on Working Capital 28.64 28.59 28.56 28.54 28.55 O & M Expenses 245.92 254.07 262.55 271.20 280.27 Total 928.67 915.16 902.00 889.02 876.48

    Deferred Tax Liability

    50. The petitioner has sought recovery of deferred tax liability before 1.4.2009 from the beneficiaries or long term consumers/DICs as and when materialized. The deferred tax liability shall be dealt as per Regulations 49 of the 2014 Tariff Regulations, as amended. Accordingly, the petitioner is entitled to recover the deferred tax liability upto 31.3.2009 whenever the same gets materialized directly from the beneficiaries or long term transmission customers/DICs.

    Filing Fee and the Publication Expenses

    51. The petitioner has sought reimbursement of fee paid by it for filing the petition and publication expenses. The petitioner shall be entitled for reimbursement of the filing fees and publication expenses in connection with the present petition, directly from the beneficiaries on pro-rata basis in accordance with Regulation 52 (1) of the 2014 Tariff Regulations.

    Licence Fee & RLDC Fees and Charges

    52. The petitioner shall be entitled for reimbursement of licence fee in accordance with Regulation 52(2)(b) of the 2014 Tariff Regulations for 2014-19 tariff period. The petitioner shall also be entitled for recovery of RLDC fee & charges in accordance with Regulations 52(2)(a) of the 2014 Tariff Regulations for 2014-19 tariff period.

    Service Tax

    53. The petitioner has prayed for reimbursement of service tax if it is subjected to such tax in future. We are of the view that the petitioner's prayer is premature.

    Sharing of Transmission Charges

    54. The billing, collection and disbursement of the transmission charges approved shall be governed by the provisions of Central Electricity Regulatory Commission (Sharing of Inter-State Transmission Charges and Losses) Regulations, 2010, as amended from time to time as provided in Regulation 43 of the 2014 Tariff Regulations.

    55. This order disposes of Petition No. 357.TT/2014.

    Annexure - 1

    CALCULATION OF WEIGHTED AVERAGE RATE OF INTEREST ON LOAN

    (Rs. in lakh)

    Particulars 2009-10 2010-11 2011-12 2012-13 2013-14 BOND XXI-DOCO-01-DEC-2006 Gross Opening Loan 270.00 270.00 270.00 270.00 270.00 Cumulative Repayments of Loans upto Previous Year 0.00 0.00 22.50 45.00 67.50 Net Loans Opening 270.00 270.00 247.50 225.00 202.50 Add: Draw(s) during the Year 0.00 0.00 0.00 0.00 0.00 Less: Repayments of Loan during the year 0.00 22.50 22.50 22.50 22.50 Net Closing Loan 270.00 247.50 225.00 202.50 180.00 Average Net Loan 270.00 258.75 236.25 213.75 191.25 Rate of Interest on Loan (%) 8.73 8.73 8.73 8.73 8.73 Interest on Loan 23.57 22.59 20.62 18.66 16.70 BOND XXII-DOCO-01-MAY-2008- Gross Opening Loan 50.00 50.00 50.00 50.00 50.00 Cumulative Repayments of Loans upto Previous Year 0.00 0.00 4.17 8.34 12.51 Net Loans Opening 50.00 50.00 45.83 41.66 37.49 Add: Draw(s) during the Year 0.00 0.00 0.00 0.00 0.00 Less: Repayments of Loan during the year 0.00 4.17 4.17 4.17 4.17 Net Closing Loan 50.00 45.83 41.66 37.49 33.32 Average Net Loan 50.00 47.92 43.75 39.58 35.41 Rate of Interest on Loan (%) 8.68 8.68 8.68 8.68 8.68 Interest on Loan 4.34 4.16 3.80 3.44 3.07 BOND XXII-DOCO DRAWL ON 01-JUL-2008-01-JUL-2008 Gross Opening Loan 28.00 28.00 28.00 28.00 28.00 Cumulative Repayments of Loans upto Previous Year 0.00 0.00 2.33 4.66 6.99 Net Loans Opening 28.00 28.00 25.67 23.34 21.01 Add: Draw(s) during the Year 0.00 0.00 0.00 0.00 0.00 Less: Repayments of Loan during the year 0.00 2.33 2.33 2.33 2.33 Net Closing Loan 28.00 25.67 23.34 21.01 18.68 Average Net Loan 28.00 26.84 24.51 22.18 19.85 Rate of Interest on Loan (%) 8.68 8.68 8.68 8.68 8.68 Interest on Loan 2.43 2.33 2.13 1.92 1.72 Particulars 2009-10 2010-11 2011-12 2012-13 2013-14 BOND XXVII-ADDCAP FOR 2008-2009 DRAWL ON 31-MAR-2008-02-MAY-2008 Gross Opening Loan 265.00 265.00 265.00 265.00 265.00 Cumulative Repayments of Loans upto Previous Year 0.00 0.00 0.00 22.09 44.18 Net Loans Opening 265.00 265.00 265.00 242.91 220.82 Add: Draw(s) during the Year 0.00 0.00 0.00 0.00 0.00 Less: Repayments of Loan during the year 0.00 0.00 22.09 22.09 22.09 Net Closing Loan 265.00 265.00 242.91 220.82 198.73 Average Net Loan 265.00 265.00 253.96 231.87 209.78 Rate of Interest on Loan (%) 9.47 9.47 9.47 9.47 9.47 Interest on Loan 25.10 25.10 24.05 21.96 19.87 BOND XXVII-DOCO DRAWL ON 01-JUL-2008 01-JUL-2008- Gross Opening Loan 754.00 754.00 754.00 754.00 754.00 Cumulative Repayments of Loans upto Previous Year 0.00 0.00 0.00 62.83 125.66 Net Loans Opening 754.00 754.00 754.00 691.17 628.34 Add: Draw(s) during the Year 0.00 0.00 0.00 0.00 0.00 Less: Repayments of Loan during the year 0.00 0.00 62.83 62.83 62.83 Net Closing Loan 754.00 754.00 691.17 628.34 565.51 Average Net Loan 754.00 754.00 722.59 659.76 596.93 Rate of Interest on Loan (%) 9.47 9.47 9.47 9.47 9.47 Interest on Loan 71.40 71.40 68.43 62.48 56.53 BOND XXVII-DOCO DRAWL ON 01-MAY-2008-01-MAY-2008- Gross Opening Loan 883.00 883.00 883.00 883.00 883.00 Cumulative Repayments of Loans upto Previous Year 0.00 0.00 0.00 73.58 147.16 Net Loans Opening 883.00 883.00 883.00 809.42 735.84 Add: Draw(s) during the Year 0.00 0.00 0.00 0.00 0.00 Less: Repayments of Loan during the year 0.00 0.00 73.58 73.58 73.58 Net Closing Loan 883.00 883.00 809.42 735.84 662.26 Average Net Loan 883.00 883.00 846.21 772.63 699.05 Rate of Interest on Loan (%) 9.47 9.47 9.47 9.47 9.47 Interest on Loan 83.62 83.62 80.14 73.17 66.20 BOND XXVIII-ADDCAP FOR 2008-2009 DRAWL ON 15-DEC-2008-15-DEC-2008 Gross Opening Loan 450.00 450.00 450.00 450.00 450.00 Particulars 2009-10 2010-11 2011-12 2012-13 2013-14 Cumulative Repayments of Loans upto Previous Year 0.00 0.00 0.00 0.00 37.50 Net Loans Opening 450.00 450.00 450.00 450.00 412.50 Add: Draw(s) during the Year 0.00 0.00 0.00 0.00 0.00 Less: Repayments of Loan during the year 0.00 0.00 0.00 37.50 37.50 Net Closing Loan 450.00 450.00 450.00 412.50 375.00 Average Net Loan 450.00 450.00 450.00 431.25 393.75 Rate of Interest on Loan (%) 9.33 9.33 9.33 9.33 9.33 Interest on Loan 41.99 41.99 41.99 40.24 36.74 BOND XXIX-ADDCAP FOR 2008-2009 DRAWL ON 12-MAR-2009-12-MAR-2009- Gross Opening Loan 191.01 191.01 191.01 191.01 191.01 Cumulative Repayments of Loans upto Previous Year 0.00 0.00 0.00 0.00 15.92 Net Loans Opening 191.01 191.01 191.01 191.01 175.09 Add: Draw(s) during the Year 0.00 0.00 0.00 0.00 0.00 Less: Repayments of Loan during the year 0.00 0.00 0.00 15.92 15.92 Net Closing Loan 191.01 191.01 191.01 175.09 159.17 Average Net Loan 191.01 191.01 191.01 183.05 167.13 Rate of Interest on Loan (%) 9.20 9.20 9.20 9.20 9.20 Interest on Loan 17.57 17.57 17.57 16.84 15.38 BOND XXIX-ADDCAP FOR 2009-2010 DRAWL ON 31-MAR - 2010- Gross Opening Loan 0.00 32.99 32.99 32.99 32.99 Cumulative Repayments of Loans upto Previous Year 0.00 0.00 0.00 0.00 2.75 Net Loans Opening 0.00 32.99 32.99 32.99 30.24 Add: Draw(s) during the Year 32.99 0.00 0.00 0.00 0.00 Less: Repayments of Loan during the year 0.00 0.00 0.00 2.75 2.75 Net Closing Loan 32.99 32.99 32.99 30.24 27.49 Average Net Loan 16.50 32.99 32.99 31.62 28.87 Rate of Interest on Loan (%) 9.20 9.20 9.20 9.20 9.20 Interest on Loan 1.52 3.04 3.04 2.91 2.66 BOND XXX-ADDCAP FOR 2009-2010 DRAWL ON 29-SEP-2009- Gross Opening Loan 0.00 3.05 3.05 3.05 3.05 Cumulative Repayments of Loans upto Previous Year 0.00 0.00 0.00 0.00 0.00 Net Loans Opening 0.00 3.05 3.05 3.05 3.05 Particulars 2009-10 2010-11 2011-12 2012-13 2013-14 Add: Draw(s) during the Year 3.05 0.00 0.00 0.00 0.00 Less: Repayments of Loan during the year 0.00 0.00 0.00 0.00 0.25 Net Closing Loan 3.05 3.05 3.05 3.05 2.80 Average Net Loan 1.53 3.05 3.05 3.05 2.93 Rate of Interest on Loan (%) 8.80 8.80 8.80 8.80 8.80 Interest on Loan 0.13 0.27 0.27 0.27 0.26 BOND XXX-ADDCAP FOR 2010-2011 LOAN 1- Gross Opening Loan 0.00 0.00 44.95 44.95 44.95 Cumulative Repayments of Loans upto Previous Year 0.00 0.00 0.00 0.00 0.00 Net Loans Opening 0.00 0.00 44.95 44.95 44.95 Add: Draw(s) during the Year 0.00 44.95 0.00 0.00 0.00 Less: Repayments of Loan during the year 0.00 0.00 0.00 0.00 3.75 Net Closing Loan 0.00 44.95 44.95 44.95 41.20 Average Net Loan 0.00 22.48 44.95 44.95 43.08 Rate of Interest on Loan (%) 0.00 8.80 8.80 8.80 8.80 Interest on Loan 0.00 1.98 3.96 3.96 3.79 BOND XXXI-ADDCAP FOR 2010-2011 LOAN 2- Gross Opening Loan 0.00 0.00 46.00 46.00 46.00 Cumulative Repayments of Loans upto Previous Year 0.00 0.00 0.00 0.00 0.00 Net Loans Opening 0.00 0.00 46.00 46.00 46.00 Add: Draw(s) during the Year 0.00 46.00 0.00 0.00 0.00 Less: Repayments of Loan during the year 0.00 0.00 0.00 0.00 3.83 Net Closing Loan 0.00 46.00 46.00 46.00 42.17 Average Net Loan 0.00 23.00 46.00 46.00 44.09 Rate of Interest on Loan 0.00 8.90 8.90 8.90 8.90 Interest on Loan 0.00 2.05 4.09 4.09 3.92 BOND XXXIV-ADDCAP FOR 2010-2011 LOAN 3- Gross Opening Loan 0.00 0.00 192.96 192.96 192.96 Cumulative Repayments of Loans upto Previous Year 0.00 0.00 0.00 0.00 0.00 Net Loans Opening 0.00 0.00 192.96 192.96 192.96 Add: Draw(s) during the Year 0.00 192.96 0.00 0.00 0.00 Less: Repayments of Loan during the year 0.00 0.00 0.00 0.00 0.00 Net Closing Loan 0.00 192.96 192.96 192.96 192.96 Particulars 2009-10 2010-11 2011-12 2012-13 2013-14 Average Net Loan 0.00 96.48 192.96 192.96 192.96 Rate of Interest on Loan 0.00 8.84 8.84 8.84 8.84 Interest on Loan 0.00 8.53 17.06 17.06 17.06 BOND XXIV-ADDCAP FOR 2010-2011 LOAN 4- Gross Opening Loan 0.00 0.00 0.00 30.91 30.91 Cumulative Repayments of Loans upto Previous Year 0.00 0.00 0.00 0.00 0.00 Net Loans Opening 0.00 0.00 0.00 30.91 30.91 Add: Draw(s) during the Year 0.00 0.00 30.91 0.00 0.00 Less: Repayments of Loan during the year 0.00 0.00 0.00 0.00 0.00 Net Closing Loan 0.00 0.00 30.91 30.91 30.91 Average Net Loan 0.00 0.00 15.46 30.91 30.91 Rate of Interest on Loan 0.00 0.00 8.84 8.84 8.84 Interest on Loan 0.00 0.00 1.37 2.73 2.73 BOND XXXIV-ADDCAP FOR 2012-2013 LOAN 5- Gross Opening Loan 0.00 0.00 0.00 0.00 48.69 Cumulative Repayments of Loans upto Previous Year 0.00 0.00 0.00 0.00 0.00 Net Loans Opening 0.00 0.00 0.00 0.00 48.69 Add: Draw(s) during the Year 0.00 0.00 0.00 48.69 0.00 Less: Repayments of Loan during the year 0.00 0.00 0.00 0.00 0.00 Net Closing Loan 0.00 0.00 0.00 48.69 48.69 Average Net Loan 0.00 0.00 0.00 24.35 48.69 Rate of Interest on Loan 0.00 0.00 0.00 8.84 8.84 Interest on Loan 0.00 0.00 0.00 2.15 4.30 Summary Gross Opening Loan 2891.01 2927.05 3210.96 3241.87 3290.56 Cumulative Repayments of Loans upto Previous Year 0.00 0.00 29.00 216.50 460.17 Net Loans Opening 2891.01 2927.05 3181.96 3025.37 2830.39 Add: Draw(s) during the Year 36.04 283.91 30.91 48.69 0.00 Less: Repayments of Loan during the year 0.00 29.00 187.50 243.67 251.50 Net Closing Loan 2927.05 3181.96 3025.37 2830.39 2578.89 Average Net Loan 2909.03 3054.51 3103.67 2927.88 2704.64 Rate of Interest on Loan (%) 9.3389 9.3178 9.2954 9.2855 9.2774 Interest on Loan 271.67 284.61 288.50 271.87 250.92 Particulars 2014-15 2015-16 2016-17 2017-18 2018-19 BOND XXI-DOCO-01-DEC-2006 Gross Opening Loan 270.00 270.00 270.00 270.00 270.00 Cumulative Repayments of Loans upto Previous Year 90.00 112.50 135.00 157.50 180.00 Net Loans Opening 180.00 157.50 135.00 112.50 90.00 Add: Draw(s) during the Year 0.00 0.00 0.00 0.00 0.00 Less: Repayments of Loan during the year 22.50 22.50 22.50 22.50 22.50 Net Closing Loan 157.50 135.00 112.50 90.00 67.50 Average Net Loan 168.75 146.25 123.75 101.25 78.75 Rate of Interest on Loan (%) 8.73 8.73 8.73 8.73 8.73 Interest on Loan 14.73 12.77 10.80 8.84 6.87 BOND XXII-DOCO-01-MAY-2008- Gross Opening Loan 50.00 50.00 50.00 50.00 50.00 Cumulative Repayments of Loans upto Previous Year 16.68 20.85 25.02 29.19 33.36 Net Loans Opening 33.32 29.15 24.98 20.81 16.64 Add: Draw(s) during the Year 0.00 0.00 0.00 0.00 0.00 Less: Repayments of Loan during the year 4.17 4.17 4.17 4.17 4.17 Net Closing Loan 29.15 24.98 20.81 16.64 12.47 Average Net Loan 31.24 27.07 22.90 18.73 14.56 Rate of Interest on Loan (%) 8.68 8.68 8.68 8.68 8.68 Interest on Loan 2.71 2.35 1.99 1.63 1.26 BOND XXII-DOCO DRAWL ON 01-JUL-2008-01-JUL-2008 Gross Opening Loan 28.00 28.00 28.00 28.00 28.00 Cumulative Repayments of Loans upto Previous Year 9.32 11.65 13.98 16.31 18.64 Net Loans Opening 18.68 16.35 14.02 11.69 9.36 Add: Draw(s) during the Year 0.00 0.00 0.00 0.00 0.00 Less: Repayments of Loan during the year 2.33 2.33 2.33 2.33 2.33 Net Closing Loan 16.35 14.02 11.69 9.36 7.03 Average Net Loan 17.52 15.19 12.86 10.53 8.20 Rate of Interest on Loan (%) 8.68 8.68 8.68 8.68 8.68 Interest on Loan 1.52 1.32 1.12 0.91 0.71 Particulars 2014-15 2015-16 2016-17 2017-18 2018-19 BOND XXVII-ADDCAP FOR 2008-2009 DRAWL ON 31-MAR-2008-02-MAY-2008 Gross Opening Loan 265.05 265.05 265.05 265.05 265.05 Cumulative Repayments of Loans upto Previous Year 66.27 88.36 110.45 132.54 154.63 Net Loans Opening 198.78 176.69 154.60 132.51 110.42 Add: Draw(s) during the Year 0.00 0.00 0.00 0.00 0.00 Less: Repayments of Loan during the year 22.09 22.09 22.09 22.09 22.09 Net Closing Loan 176.69 154.60 132.51 110.42 88.33 Average Net Loan 187.74 165.65 143.56 121.47 99.38 Rate of Interest on Loan (%) 9.47 9.47 9.47 9.47 9.47 Interest on Loan 17.78 15.69 13.59 11.50 9.41 BOND XXVII-DOCO DRAWL ON 01-JUL-2008 01-JUL-2008- Gross Opening Loan 754.00 754.00 754.00 754.00 754.00 Cumulative Repayments of Loans upto Previous Year 188.49 251.32 314.15 376.98 439.81 Net Loans Opening 565.51 502.68 439.85 377.02 314.19 Add: Draw(s) during the Year 0.00 0.00 0.00 0.00 0.00 Less: Repayments of Loan during the year 62.83 62.83 62.83 62.83 62.83 Net Closing Loan 502.68 439.85 377.02 314.19 251.36 Average Net Loan 534.10 471.27 408.44 345.61 282.78 Rate of Interest on Loan (%) 9.47 9.47 9.47 9.47 9.47 Interest on Loan 50.58 44.63 38.68 32.73 26.78 BOND XXVII-DOCO DRAWL ON 01-MAY-2008-01-MAY-2008- Gross Opening Loan 883.00 883.00 883.00 883.00 883.00 Cumulative Repayments of Loans upto Previous Year 220.74 294.32 367.90 441.48 515.06 Net Loans Opening 662.26 588.68 515.10 441.52 367.94 Add: Draw(s) during the Year 0.00 0.00 0.00 0.00 0.00 Less: Repayments of Loan during the year 73.58 73.58 73.58 73.58 73.58 Net Closing Loan 588.68 515.10 441.52 367.94 294.36 Average Net Loan 625.47 551.89 478.31 404.73 331.15 Rate of Interest on Loan (%) 9.47 9.47 9.47 9.47 9.47 Interest on Loan 59.23 52.26 45.30 38.33 31.36 Particulars 2014-15 2015-16 2016-17 2017-18 2018-19 BOND XXVIII-ADDCAP FOR 2008-2009 DRAWL ON 15-DEC-2008-15-DEC-2008 Gross Opening Loan 450.00 450.00 450.00 450.00 450.00 Cumulative Repayments of Loans upto Previous Year 75.00 112.50 150.00 187.50 225.00 Net Loans Opening 375.00 337.50 300.00 262.50 225.00 Add: Draw(s) during the Year 0.00 0.00 0.00 0.00 0.00 Less: Repayments of Loan during the year 37.50 37.50 37.50 37.50 37.50 Net Closing Loan 337.50 300.00 262.50 225.00 187.50 Average Net Loan 356.25 318.75 281.25 243.75 206.25 Rate of Interest on Loan (%) 9.33 9.33 9.33 9.33 9.33 Interest on Loan 33.24 29.74 26.24 22.74 19.24 BOND XXIX-ADDCAP FOR 2008-2009 DRAWL ON 12-MAR-2009-12-MAR-2009- Gross Opening Loan 191.01 191.01 191.01 191.01 191.01 Cumulative Repayments of Loans upto Previous Year 31.84 47.76 63.68 79.60 95.52 Net Loans Opening 159.17 143.25 127.33 111.41 95.49 Add: Draw(s) during the Year 0.00 0.00 0.00 0.00 0.00 Less: Repayments of Loan during the year 15.92 15.92 15.92 15.92 15.92 Net Closing Loan 143.25 127.33 111.41 95.49 79.57 Average Net Loan 151.21 135.29 119.37 103.45 87.53 Rate of Interest on Loan (%) 9.20 9.20 9.20 9.20 9.20 Interest on Loan 13.91 12.45 10.98 9.52 8.05 BOND XXIX-ADDCAP FOR 2009-2010 DRAWL ON 31-MAR - 2010- Gross Opening Loan 32.99 32.99 32.99 32.99 32.99 Cumulative Repayments of Loans upto Previous Year 5.50 8.25 11.00 13.75 16.50 Net Loans Opening 27.49 24.74 21.99 19.24 16.49 Add: Draw(s) during the Year 0.00 0.00 0.00 0.00 0.00 Less: Repayments of Loan during the year 2.75 2.75 2.75 2.75 2.75 Net Closing Loan 24.74 21.99 19.24 16.49 13.74 Average Net Loan 26.12 23.37 20.62 17.87 15.12 Rate of Interest on Loan (%) 9.20 9.20 9.20 9.20 9.20 Interest on Loan 2.40 2.15 1.90 1.64 1.39 Particulars 2014-15 2015-16 2016-17 2017-18 2018-19 BOND XXX-ADDCAP FOR 2009-2010 DRAWL ON 29-SEP-2009- Gross Opening Loan 3.05 3.05 3.05 3.05 3.05 Cumulative Repayments of Loans upto Previous Year 0.25 0.50 0.75 1.00 1.25 Net Loans Opening 2.80 2.55 2.30 2.05 1.80 Add: Draw(s) during the Year 0.00 0.00 0.00 0.00 0.00 Less: Repayments of Loan during the year 0.25 0.25 0.25 0.25 0.25 Net Closing Loan 2.55 2.30 2.05 1.80 1.55 Average Net Loan 2.68 2.43 2.18 1.93 1.68 Rate of Interest on Loan (%) 8.80 8.80 8.80 8.80 8.80 Interest on Loan 0.24 0.21 0.19 0.17 0.15 BOND XXX-ADDCAP FOR 2010-2011 LOAN 1- Gross Opening Loan 44.95 44.95 44.95 44.95 44.95 Cumulative Repayments of Loans upto Previous Year 3.75 7.50 11.25 15.00 18.75 Net Loans Opening 41.20 37.45 33.70 29.95 26.20 Add: Draw(s) during the Year 0.00 0.00 0.00 0.00 0.00 Less: Repayments of Loan during the year 3.75 3.75 3.75 3.75 3.75 Net Closing Loan 37.45 33.70 29.95 26.20 22.45 Average Net Loan 39.33 35.58 31.83 28.08 24.33 Rate of Interest on Loan (%) 8.80 8.80 8.80 8.80 8.80 Interest on Loan 3.46 3.13 2.80 2.47 2.14 BOND XXXI-ADDCAP FOR 2010-2011 LOAN 2- Gross Opening Loan 46.00 46.00 46.00 46.00 46.00 Cumulative Repayments of Loans upto Previous Year 3.83 7.66 11.49 15.32 19.15 Net Loans Opening 42.17 38.34 34.51 30.68 26.85 Add: Draw(s) during the Year 0.00 0.00 0.00 0.00 0.00 Less: Repayments of Loan during the year 3.83 3.83 3.83 3.83 3.83 Net Closing Loan 38.34 34.51 30.68 26.85 23.02 Average Net Loan 40.26 36.43 32.60 28.77 24.94 Rate of Interest on Loan 8.90 8.90 8.90 8.90 8.90 Interest on Loan 3.58 3.24 2.90 2.56 2.22 Particulars 2014-15 2015-16 2016-17 2017-18 2018-19 BOND XXXIV-ADDCAP FOR 2010-2011 LOAN 3- Gross Opening Loan 192.96 192.96 192.96 192.96 192.96 Cumulative Repayments of Loans upto Previous Year 0.00 16.08 32.16 48.24 64.32 Net Loans Opening 192.96 176.88 160.80 144.72 128.64 Add: Draw(s) during the Year 0.00 0.00 0.00 0.00 0.00 Less: Repayments of Loan during the year 16.08 16.08 16.08 16.08 16.08 Net Closing Loan 176.88 160.80 144.72 128.64 112.56 Average Net Loan 184.92 168.84 152.76 136.68 120.60 Rate of Interest on Loan 8.84 8.84 8.84 8.84 8.84 Interest on Loan 16.35 14.93 13.50 12.08 10.66 BOND XXIV-ADDCAP FOR 2010-2011 LOAN 4- Gross Opening Loan 30.91 30.91 30.91 30.91 30.91 Cumulative Repayments of Loans upto Previous Year 0.00 2.58 5.16 7.74 10.32 Net Loans Opening 30.91 28.33 25.75 23.17 20.59 Add: Draw(s) during the Year 0.00 0.00 0.00 0.00 0.00 Less: Repayments of Loan during the year 2.58 2.58 2.58 2.58 2.58 Net Closing Loan 28.33 25.75 23.17 20.59 18.01 Average Net Loan 29.62 27.04 24.46 21.88 19.30 Rate of Interest on Loan 8.84 8.84 8.84 8.84 8.84 Interest on Loan 2.62 2.39 2.16 1.93 1.71 BOND XXXIV-ADDCAP FOR 2012-2013 LOAN 5- Gross Opening Loan 48.69 48.69 48.69 48.69 48.69 Cumulative Repayments of Loans upto Previous Year 0.00 4.06 8.12 12.18 16.24 Net Loans Opening 48.69 44.63 40.57 36.51 32.45 Add: Draw(s) during the Year 0.00 0.00 0.00 0.00 0.00 Less: Repayments of Loan during the year 4.06 4.06 4.06 4.06 4.06 Net Closing Loan 44.63 40.57 36.51 32.45 28.39 Average Net Loan 46.66 42.60 38.54 34.48 30.42 Rate of Interest on Loan 8.84 8.84 8.84 8.84 8.84 Interest on Loan 4.12 3.77 3.41 3.05 2.69 Particulars 2014-15 2015-16 2016-17 2017-18 2018-19 Summary Gross Opening Loan 3290.61 3290.61 3290.61 3290.61 3290.61 Cumulative Repayments of Loans upto Previous Year 711.67 985.89 1260.11 1534.33 1808.55 Net Loans Opening 2578.94 2304.72 2030.50 1756.28 1482.06 Add: Draw(s) during the Year 0.00 0.00 0.00 0.00 0.00 Less: Repayments of Loan during the year 274.22 274.22 274.22 274.22 274.22 Net Closing Loan 2304.72 2030.50 1756.28 1482.06 1207.84 Average Net Loan 2441.83 2167.61 1893.39 1619.17 1344.95 Rate of Interest on Loan (%) 9.2747 9.2737 9.2723 9.2705 9.2679 Interest on Loan 226.47 201.02 175.56 150.11 124.65
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    Power Grid Corporation Of India Ltd. v. Madhya Pradesh Power Management Company Ltd.
    (Dec 30, 2015)