MSERC Introduces Key Amendments To Fees And Charges Regulations For Meghalaya’s Electricity Sector
Introduction
The Meghalaya State Electricity Regulatory Commission (MSERC) issued amendments to its ” MSERC (Fees and Charges) (1st Amendment) Regulations, 2017.”[1] Effective from December 1, 2024, the regulations seek to refine the fee structures for licensees, generating companies, and other stakeholders within the state’s electricity sector. By revisiting fee requirements, MSERC aims to enhance clarity and address emerging needs.
Explanation
Amendments in Licensing Fees
The amendments revise the fees applicable for licensing and related processes:
- Application Fees: The cost for applying for transmission, distribution, and trading licenses is set at ₹1,00,000 for each, while trading licenses require an initial payment of ₹5,00,000.
- Exemption Fees: For entities seeking exemptions under Section 13 of the Electricity Act, a one-time application fee of ₹10,000 is required, followed by an annual renewal fee of ₹5,000.
Annual Fees for Licensees
Licensees, including those deemed exempt, must comply with updated annual fee structures:
- Transmission licenses incur charges based on 0.11% of annual transmission charges, with a minimum threshold of ₹5,00,000.
- Distribution licensees face a fixed annual charge of ₹30,00,000.
- Trading licenses require a payment of ₹3,00,000 annually.
Tariff Determination Charges
The amendments establish detailed charges for tariff determination:
- Generating stations using conventional fuels pay ₹4,000 per MW of installed capacity annually, subject to a minimum of ₹1,00,000.
- Renewable energy-based plants face charges of ₹5,000 per MW, with minimum fees starting at ₹2,00,000 for most categories.
Truing-Up and Dispute Adjudication
Truing-up applications now feature specific fee structures tailored to generating companies and licensees:
- Conventional fuel plants pay ₹1,000 per MW, while renewable energy plants pay ₹1,250 per MW, with respective minimum thresholds.
- Adjudication of disputes, such as those concerning open access or transmission facility availability, incurs varied fees, starting at ₹10,000.
Additional Provisions
Other noteworthy updates include:
- Applications for business plans by generating and transmission companies are uniformly priced at ₹2,00,000, while distribution companies pay ₹5,00,000.
- Miscellaneous charges, including for appeals, document inspections, and FPPPA adjustments, have also been standardized.
Conclusion
MSERC’s amendments to the Fees and Charges Regulations introduce a revised fee structure across multiple dimensions of the electricity sector. These changes aim to ensure better compliance and fairness for stakeholders while addressing specific procedural and operational requirements in Meghalaya’s electricity market.
[1] https://mserc.gov.in/regulations/2024/MSERC_FeesCharges_1st_Amendment_2017.pdf
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