Nepra rejects adjustment claims of CPPA-G

National Electric Power Regulatory Authority (Nepra) has rejected adjustment claims of Nandipur Power Plant and Guddu Thermal Power Plant submitted by the Central Power Purchasing Agency -Guaranteed (CPPA-G). According to official documents, the Authority has gone through the information provided by CPPA-G seeking monthly fuel adjustment, and due diligence is done accordingly. From perusal of the information provided by CPPA-G, the actual pool fuel charge for December 2016 is Rs 6.2443/kWh, against the reference fuel cost component of Rs 8.1037/kWh.
The actual fuel charges for December 2016 decreased by Rs 1.8594/kWh as compared to the reference fuel charges. The Authority noted that CPPA-G has worked out the fuel cost of Nandipur for the month of December 2016 based on FCC of Rs 9.916/kWh, whereas the Authority''s approved FCC in respect of Nandipur from March 31, 2016 is Rs 4.9481/kWh. Accordingly, for the instant FCA adjustment of December 2016, fuel cost of Nandipur of Rs 4.9481/kWh has been used. Similarly in the matter of energy supplied by Guddu (747MW), the CPPA-G has used FCC of Rs 7.419/kWh, whereas the Authority''s approved FCC for Guddu 747MW is Rs 4.9461/kWh from April 2016. Accordingly, for the instant FCA adjustment of December 2016, fuel cost of Guddu 747MW of Rs 4.9461/kWh has been used.
The CPPA-G in its instant FCA request has claimed an amount of Rs 4.519 billion on account of revision of FCC of Guddu 747MW from Rs 4.0806/kWh to Rs 4.8560, applicable from September 2015 till March 2016 and Rs 4.9461/kWh from April 2016, owing to revision in gas price since September 2015.
The Authority analysed the working submitted by CPPA-G and found certain discrepancies in the data. Accordingly, the Authority carried out its own working, whereby the payable amounts works out to be Rs 2. 2328 billion instead of claimed amount of Rs 4.519 billion.
According to details provided by CPPA-G, 27.794 GWh were purchased by DISCOs from small and captive power plants. The CPPA-G provided actual details of energy purchased from these plants. According to the details provided by PPA-G, the actual fuel cost of this energy was Rs 182.18 million; however, it was worked out to be Rs 181.23 million as per NEPRA approved rates. Accordingly for the instant adjustment, cost of Rs 181.23 million has been considered on account of fuel cost component of energy purchased from small and captive power plants.
The CPPA-G reported NTDC transmission losses of 212.681 GWh ie 2.95% during December 2016, which are lower than the Authority''s assessed transmission losses of 3% as per its determination dated 23.04.2015 for NTDC, notified vide SRO No 696(I) 2015 dated 23.07.2015. Accordingly, for calculation of FCA for December 2016, actual losses of 212.681 GWh ie 2.95%, being lower than the Authority assessed losses, have been taken into account for the purpose of current adjustment.