The Central Electricity Regulatory Commission (CERC) issued an order regarding the petition filed by the West Bengal State Electricity Transmission Company Limited (WBSETCL). The petition was filed to determine the transmission tariff for certain deemed inter-State transmission lines for the period from 2019 to 2024. These lines, although owned by WBSETCL, operate in conjunction with the Central Transmission Utility of India Limited’s (CTUIL) system. The case arose due to historical and procedural developments beginning from earlier tariff periods and directives issued by the Commission.
Earlier, in 2012 and 2017, the Commission had directed the inclusion of transmission lines connecting two states into the national Point of Connection (PoC) charges system. Following this, WBSETCL had submitted earlier petitions for tariff determination for the period 2009–2014, and then later filed a petition for the 2014–2019 period. However, due to procedural lapses and misunderstanding around a 2017 affidavit, WBSETCL did not file a formal petition for the 2014–2019 period in time. This led to CTUIL requesting a refund of charges previously paid to WBSETCL through the PoC mechanism, prompting the utility to seek clarification and file the appropriate petitions.
After the order in Petition No. 309/TT/2023 in May 2025 determined the tariff for 2014–2019, WBSETCL filed Petition No. 324/TT/2023 for the 2019–2024 period. The assets in question include the 400 kV Kolaghat-Baripada line (with portions from Kharagpur to Baripada and from Kolaghat to Kharagpur) and the 220 kV Santaldih-Chandil line. The Commission reviewed submissions including asset diagrams, year-wise energy flow, and confirmations from relevant load dispatch centers.
A key aspect in determining the tariff was calculating the capital cost using historic indicative costs from PGCIL, adjusted using a standardized methodology. Notably, a judgment by the Appellate Tribunal for Electricity (APTEL) directed that the useful life of these assets be considered 35 years instead of 25 years, leading to a revised approach for tariff determination.
The total Annual Fixed Charges (AFC) allowed for each year from 2019–20 to 2023–24 varied by asset. For example, the AFC for the 400 kV original section ranged from ₹215.51 lakh to ₹222.90 lakh over the five-year period. The 220 kV line’s charges decreased in the last two years of the tariff period as it completed its useful life, leading to only operations and maintenance (O&M) expenses being allowed after FY 2021–22.
The Commission also clarified that there would be no recovery of service tax, as it has been subsumed under GST. However, filing fees, publication costs, license fees, and RLDC charges were allowed to be recovered from the beneficiaries. Finally, it was directed that the transmission charges would be recovered through the PoC mechanism and reconciled with the State Electricity Regulatory Commission.
This order concludes the tariff determination process for these assets for the 2019–2024 period, ensuring clarity and regulatory compliance for WBSETCL’s inter-State transmission lines.
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