1

Combined Summary of CERC & SERCs Regulations/Tariff Order-States

Procurement of power from Solar Generation plants

S N Description CERC Chhattisgarh
1. Order dated Regulation, 2009 - 16.9.2009 08.09.2008
2. Tariff period Levelised for 25 years Levelised for 10 years
3. Control period 16.9.2009 to 31.3.2012 8.9.2008 to 31.8.2018
4.. Tariff (Rs. /kWh)

- Solar PV Solar thermal
15.84 13.26

Incentive to solar power
developer/ licensees

Solar PV Solar thermal
15.84 13.26

3.84 3.26
(Applicable for plants
commissioned up to
31.12.2010)
5. Financial Parameters
i) Capital cost
(Rs. Crore/MW)
a)Solar PV projects -
17 Cr/MW for 2009-10
b)Solar thermal -
Rs 13Cr/MW for 2009-10
For project specific tariff,
Commission may deviate
from norms.

Solar PV Solar thermal
22.00 20.00

ii) Return on equity (%) 19% for 1
st
10 yrs, 24% from
11
th
year,
Pre-tax
16

iii) Debt equity ratio 70:30 70:30
iv) Interest on term
loan(%) &

Loan repayment period
Avg. SBI long term PLR plus
150 basis point

10 years
13


-
v) Depreciation (%) 7 On straight line method
upto 90% of historical
cost of assets
vi) Interest on working
capital (%)
Interest rate equivalent to
avg. SBI short term PLR plus
100 basis point
14
vii) O&M expenses
(% of project cost) &



a)Solar PV projects-
9 Lac/MW for 1
st
Year of
operation
b)Solar thermal-
13 Lac/MW for 1
st

a)Solar PV- 0.3%
b) Solar thermal- 0.5%



2



Escalation (%) p.a.
Year of operation

5.72


5
6. Normative
parameters

i) Capacity Utilization
Factor (%)
a)Solar PV - 19%
b)Solar thermal- 23%
For project specific tariff,
Commission may deviate
from norms.
-
ii) Aux. Consumption 10% for Solar thermal -
7. Other parameters
i) Technology aspects i)Norms for Solar PV power
applicable to grid connected
PV system
ii)Norms for solar thermal
power applicable to
concentrated solar power
technologies.
-
ii) Useful life - 20 years
iii) Rebate xii) Payment of bills
through LC -2%
ii) Other than LC within 1
month -1%
-
iv) Late payment
surcharge
Payment of bills beyond 60
days 1.25% /month
-
v) Sharing of CDM
Benefits
1
st
year: 100% by project
developer.
2
nd
year- 10% to
beneficiaries, to be
increased @10% p.a. up to
50%.Thereafter, to be
shared on equal basis.
-
vi) Subsidy or incentive by
Central/State Govt.
To be taken into
consideration.
-
vii) Taxes & Duties Tariff determined shall be
exclusive of taxes & duties
levied by appropriate Govt.
provided the same be
allowed as pass through on
actual basis.
-
viii) Dispatch principles All RE power plants except
Biomass with capacity 10
MW or above and non-fossil
fuel based to be treated as
MUST RUN & not subjected
to merit order dispatch.
-
3

x) Deviation from norms Permitted to conditions that
tariff does not exceed on the
basis of deviation of norms.
-
xi) Power to Relax Provision has been made -
xii) PPA 20 Years

4

Procurement of power from Solar Generation plants

S N Description Gujarat Haryana
1. Order dated Draft order - 23.07.2009 25.04.2008
2. Tariff period Levelised for 25 years
3. Control period 2008-09 to 2012-13
4.. Tariff (Rs. /kWh)

Year Solar PV Thermal
1-12 14.0 10.0
13-25 4.0 3.50

Applicable for Solar PV
plants only
commissioned up to
i)31.12.2009- Rs. 15.96/ unit
ii)31.12.2010- Rs. 15.16/unit


Generation based incentive
commissioned up to
i)31.12.2009- Rs. 12.00/ unit
ii)31.12.2010- Rs. 11.40/unit
Only net rate after deducting
Incentive amount shall be
payable by Discoms.

Tariff to remain constant
for a period of 5 years
5. Financial Parameters
i) Capital cost
(Rs. Crore/MW)
Solar PV Solar Thermal
17.0 13.0

-
ii) Return on equity (%) 14% for each type 14%


iii) Debt equity ratio 70:30 -
iv) Interest on loan(%) &


10.25

-
v) Depreciation (%) 6% for 1
st
12 years
1.385% for next 13 years
-
vi) Interest on working
capital (%)
a) 1 months receivable
b) 1 months O&M
12.5

-
vii) O&M expenses
(% of project cost


Escalation (%) p.a.
0.5 Solar PV
1.0 Solar Thermal


5%

6. Normative parameters
i) Capacity Utilization Solar PV Solar Thermal -
5

Factor (%) 20% 25%


ii) Aux. Consumption 10% for Solar thermal &
Nil for Solar PV
-
7. Other parameters
i) Useful life 25 years -
ii) Rebate - -
iii) Late payment
surcharge
- -
iv) Sharing of CDM
Benefits
1
st
year: 100% to developer.
2
nd
year- 10% to beneficiaries &
to be increased @10% p.a. up
to 50%. Thereafter, to be shared
on equal basis
-
v) Subsidy or incentive by
Central/State Govt.
- Tariff is without any subsidy/
incentive.
vi) Taxes & Duties -
viii) Wheeling charges (%) 4% -
ix) Cross subsidy
surcharge
exempted --
x) PPA 25 Years -



























6



Procurement of power from Solar Generation plants

S N Description Kerala Maharashtra
1. Order dated Draft Regulations, 2008-
27.08.2008
8.5.2009
2. Tariff period Levelised tariff for 10
years
10 years
3.. Tariff (Rs. /kWh)

Tariff- Rs. 15.18/kWh
Developer to provide
energy to the Discom
@ Rs. 3.18/kWh (for 10
years) & collect incentive
@ Rs. 12 /kWh from
IREDA
Tariff under GBI scheme

Solar PV Solar thermal
3.00 3.00

Maximum incentive to
the project developer

Solar PV Solar thermal
12.00 10.00

(Applicable for plants
commissioned up to
31.03.2010 and under
Generation Based
Incentive scheme )

5. Financial Parameters
i) Capital cost
(Rs. Crore/MW)
22.5

-
ii) Return on equity (%) 14
iii) Debt equity ratio - -
iv) Interest on loan(%)

8 -
v) Depreciation (%) 4.5 -
vi) Interest on working
capital (%)
- -

vii) O&M expenses
(% of project cost
Escalation (%) p.a.
0.5 -
6. Normative parameters
i) PLF/Capacity
Utilization Factor (%)
21%

-
ii) Aux. Consumption - -
7. Other parameters
i) Useful life 20 years 20 years
ii) Rebate - -
7

iii) Late payment
surcharge
- -
iv) Sharing of CDM
Benefits
- -
v) Subsidy or incentive by
Central/State Govt.
- -
vi) Taxes & Duties - -
vii) Wheeling charges (%) - -
viii) RPO 1% -




























8


Procurement of power from Solar Generation plants

S N Description Rajasthan Tamil Nadu
1. Order dated Regulations,2009-
23.01.2009
11.07.2008
2. Tariff period 10 years 10 years
3. Control period
4.. Tariff (Rs. /kWh)

Total tariff inclusive of
generation incentive :

COD SPV Thermal
upto
31.12.09 15.78 13.78
31.12.10 15.18 13.18

Applicable for Ten Years
only but PPA can be
executive for life of plant

Rate for procurement of
power by DISCOM :

COD SPV Thermal
upto
31.12.09 3.15 3.15


Max. incentive of Rs.
12/kWh is admissible for
COD up to 31.12.2009
5. Financial Parameters
i) Capital cost
(Rs. Crore/MW)
-

-
ii) Return on equity (%) - -
iii) Debt equity ratio - -
iv) Interest on loan(%)

Loan repayment period
- -
v) Depreciation (%) - -
vi) Interest on working
capital (%)
- -

vii) O&M expenses
(% of project cost
Escalation (%) p.a.
- -
6. Normative parameters -
i) PLF /CUF(%) - -
ii) Aux. Consumption - -
7. Other parameters
i) Useful life 20 years -
ii) Rebate - -
iii) Late payment
surcharge
- -
iv) Sharing of CDM
Benefits
- -
v) Subsidy or incentive by
Central/State Govt.
- -
9

vi) Taxes & Duties
vii) Dispatch principles - -
viii) Wheeling charges (%) - 5% including
Transmission charges











































10

Procurement of power from Solar Generation plants

S N Description Uttar Pradesh Uttarakhand
1. Order dated Draft Regulation -
09.09.2009
Draft Regulations,2009 -
30.12.2009
2. Tariff period 20 years 20 years
3. Control period 5 Years 2009-10 to 2012-13
4.. Tariff (Rs. /kWh)

(i) For plants covered under
MNRE scheme and
commissioned up to
31.12.2009, Max. incentive:

Solar PV Solar thermal
12.0 10.00

Projects commissioned after
31.12.2009
Solar PV Solar thermal
11.40 09.50

(ii) For plants NOT covered
under GOI incentive scheme
Solar PV Solar thermal
15.00 13.00

For plants commissioned
up to 31.03.2010:

Solar PV Solar thermal
17.00 13.00

5. Financial Parameters
i) Capital cost
(Rs. Crore/MW)
- i) Solar PV 17.00
ii)Solar Thermal 13.00

( COD falls in FY 2009-
10)


ii) Return on equity (%) - a) Pre-tax, 19% p.a. for
1
st
10 years
b) Pre-tax, 24% p.a. 11
th

year onwards
iii) Debt equity ratio 70:30 70:30
iv) Interest on loan(%)



12.80 Avg. SBI long term PLR
plus 150 basis point


v) Depreciation (%) 7% for 1
st
10 years, from
11
th
year onwards the
remaining depreciation shall
be spread over balance
useful life
7% for 1
st
10 years, from
11
th
year onwards the
remaining depreciation
shall be spread over
balance useful life
11

vi) Interest on working
capital (%)
-

Avg. SBI short term PLR
plus 100 basis point
vii) O&M expenses
Lacs/MW
- i)Solar PV 9.00
ii)Solar Thermal 13.00

6. Normative parameters
i) CUF(%) - i) Solar PV 19%
ii) Solar Thermal 23%

ii) Aux. Consumption - 10% (For Solar thermal )
7. Other parameters
i) Useful life - 25 years
ii) Rebate For payment of bills through
LC, rebate of 2% be allowed.
For payment other than LC,
rebate of 1% shall be
allowed.
For payment of bills
through LC, rebate of 2%
be allowed. For payment
other than LC, rebate of
1% shall be allowed.
iii) Late payment
surcharge
- In case of delay in
payment beyond 1 month
after due, late payment
surcharge @1.25% per
month to be levied.
iv) Sharing of CDM
Benefits
1
st
year: 100% to be retained
by project developer.
2
nd
year- 10% to
beneficiaries, to be increased
@10% p.a. till reaches to
50%.Thereafter, to be shared
on equal basis by both.
1
st
year: 100% to be
retained by project
developer.
2
nd
year- 10% to
beneficiaries, to be
increased @10% p.a. till
reaches to
50%.Thereafter, to be
shared on equal basis by
both.
v) Subsidy or incentive by
Central/State Govt.
- Commission to consider
these aspects while
determining tariff.
vi) Wheeling charges (%) - @ 5% of energy injected
irrespective of distance &
voltage level.