TORRENT POWER LTD. Vs. TORRENT POWER LTD. (UNIT: AHMEDABAD DISTRIBUTION), TORRENT POWER LTD. (UNIT: SURAT DISTRIBUTION), PTC INDIA LTD. AND MADHYA PRADESH POWER MANAGEMENT COMPANY LTD.

JUDGEMENT

(1.) THIS petition has been filed by the petitioner, Torrent Power Ltd. (TPL) for approval of generation tariff of UNOSUGEN Gas Based Combined Cycle Power Project (382.5 MW) (hereinafter referred to as "the generating station") for the period from the date of commercial operation to 31.3.2014 based on the Central Electricity Regulatory Commission (Terms and Conditions of Tariff) Regulations, 2009 (hereinafter referred to as "the 2009 Tariff Regulations"). TPL is a public limited company incorporated under companies Act 1956 and is carrying on the business of generation and distribution of electricity in the cities of Ahmedabad, Surat, Gandhinagar, Bhiwandi and Agra. The petitioner has set up the generating station at the premises where the SUGEN power plant (1147.5 MW) of the petitioner is located. The present generation capacity of the petitioner is around 2079.6 MW and one more project of 1200 MW is at an advanced stage of implementation. The petitioner has submitted that the project has been awarded Mega Power status by the Government of India vide its letter dated 29.7.2010.

(2.) THE petitioner has entered into long term Power Purchase Agreement (PPA) with PTC India Ltd. for sale of 35 MW of power and PTC will sell the power on back -to -back basis to the respondent, MPPMCL, the beneficiary herein. Also, the petitioner will supply 278 MW of power to its licensed distribution divisions located in Ahmedabad, Gandhinagar and Surat under the long term PPAs to be approved by the Gujarat Electricity Regulatory Commission and the residual power would be sold by the petitioner through short term bilateral contract/or through Power Exchange. The petitioner has submitted that the project will consume fuel comprising of a mix of domestic natural gas and Re -gasified Liquefied Natural Gas (R -LNG).

(3.) IN view of the fact that PPA for supply of 35 MW of power by the petitioner to the respondent, MPPMCL is through back to back agreements with PTC, a trader, the Commission in terms of the decision of the High Court of Delhi dated 15.5.2012 in PTC India Limited v. Jaiprakash Power Ventures Limited and considering the fact that the generating station has a composite scheme for generation and sale of power in more than one state, decided by order dated 29.5.2013 in Dock No. 38/GT/2013 that it has jurisdiction to determine tariff for the supply of power by the petitioner to the respondent, MPPMCL, through PTC, in terms of Section 62(1)(a) read with Section 79(1)(b) of the Electricity Act, 2003. Accordingly, by the said order dated 29.5.2013, the Commission granted provisional tariff for the generating station based on the capital cost of Rs. 155817.94 lakh as on 4.4.2013. Pursuant to the directions of the Commission, the petitioner by its supplementary affidavit dated 26.7.2013 revised the tariff of the generating station considering the capital cost incurred as on 4.4.2013.