1 / 26

CMIA CONFERENCE ON 14 th SEP, 2013 AT AURANGABAD

CMIA CONFERENCE ON 14 th SEP, 2013 AT AURANGABAD. ASHOK PENDSE, TBIA. CHALLENGES BEFORE INDUSTRY IN RESPECT OF ELECTRICITY TARIFF. TARIFF. When the electricity tariff is substantial with respect to cost of production it makes large impact. Eg :- Metal processing, Plastic, Ice,

miach
Download Presentation

CMIA CONFERENCE ON 14 th SEP, 2013 AT AURANGABAD

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. CMIA CONFERENCE ON 14th SEP, 2013 AT AURANGABAD ASHOK PENDSE, TBIA

  2. CHALLENGES BEFORE INDUSTRY IN RESPECT OF ELECTRICITY TARIFF

  3. TARIFF • When the electricity tariff is substantial with respect to cost of production it makes large impact. • Eg:- Metal processing, Plastic, Ice, • The Case of Ice factory • The Case of Dubai

  4. tariff comparison nov’12

  5. INDUSTRIAL CONSUMPTION OF MSEDCL(MU) FOR 13-14

  6. INDUSTRIAL CONSUMPTION OF MSEDCL(MU) FOR 14-15

  7. INDUSTRIAL CONSUMPTION OF MSEDCL(MU) FOR 15-16

  8. TARIFF • As it can be seen almost 40% of consumption comes from industry, which contributes to largest chunk of Rs. 9000/- crorescross subsidy and hence, MSEDCL and GOM should be concerned about health of industry.

  9. WHY THE TARIFF IS HIGH?

  10. POWER PURCHASE SCENE

  11. POWER PURCHASE SCENE

  12. POWER PURCHASE SCENE • Hence, the power purchase from MAHAGENCO is quite high than the market scene. Also, it constitutes almost more than 40% power purchase. • So the question comes, what is happening in MAHAGENCO? • There are three sets of stations :- • 1) Older Stations • 2) Stations synchronized in 12-13 & 13-14 • 3) Stations which are likely to come in 13-14 & 14-15

  13. OLDER STATIONS

  14. RECENT STATIONS

  15. UPCOMING STATIONS

  16. POWER PURCHASE SCENE • Hence it can be seen that all the recent and upcoming stations of MAHAGENCO is the major issue as far as unit rate is concerned. • It is worth going to market and buying power rather than buying it from MAHAGENCO.

  17. CAPITAL EXPENDITURE OF MSEDCL • For feeder separation Rs.2000 Crores already spent. Hence the demand has been controlled. It virtually means load shedding being done through agricultural pumps. • So far about Rs.3500 Crores have been spent. Whereas the total outlet is about Rs.14000 Crores. • The main objectives of Capex are :- • 1) Improvement in the quality of supply. • 2) Reduction in loss. • 3) Catering to increased demands to existing customers. • 4) Meeting the demand of newer customers.

  18. PASSIVE ROLE • Stay with MSEDCL , and pursue reduction and minimum increase in the tariff for present and future years. To do this :- • A) Participate in public hearing and specific hearing of not only MSEDCL but also generation. • B) With the help of media, newspapers, forums, etc. bring to the notice of common man regarding high electricity tariff. • C) Bring to the notice of the govt. the unviable tariff of industry as compared to other states. • D) Make efforts with MERC to bring down the open access limit from 1MW to 100 KVA.

  19. ACTIVE ROLE • Go away from MSEDCL, The two choices : • A) Captive power plant. • B) Open Access. • There are four components which need to be addressed in both the cases: • 1) Power purchase cost • 2) Wheeling charges • 3) System Loss • 4) Cross subsidy surcharge • In case of captive CSS is not applicable.

  20. CAPTIVE POWER PLANT • “Captive generating plant” means a power plant set up by any person to generate electricity primarily for his own use and includes a power plant set up by any co-operative society or association of persons for generating electricity primarily for use of members of such cooperative society or association of person • 13 “company“ means a company formed and registered under the Companies Act, 1956 and includes anybody corporate under a Central, State or Provincial Act; • (49) “person” shall include any company or body corporate or association or body of individuals, whether incorporated or not, or artificial juridical person

  21. CAPTIVE POWER PLANT • i) not less than twenty six percent of the ownership is held by the captive user(s), and • (ii) not less than fifty one percent of the aggregate electricity generated in such plant, determined on an annual basis, is consumed for the captive use: • Provided that in case of power plant set up by registered cooperative society, the conditions mentioned under paragraphs at (i) and (ii) above shall be satisfied collectively by the members of the cooperative society: Provided further that in case of association of persons, the captive user(s) shall hold not less than twenty six percent of the ownership of the plant in aggregate and such captive user(s) shall consume not less than fifty one percent of the electricity generated, determined on an annual basis, in proportion to their shares in ownership of the power plant within a variation not exceeding ten percent

  22. CAPTIVE POWER PLANT • Three points emerge: • 1) All put together 26% equity minimum • 2) They must consume minimum 51% generation • 3) The consumption should be proportional to equity, in a financial year, with (+/-10%) variation allowed.

  23. CAPTIVE POWER PLANT • Eg:1

  24. CAPTIVE POWER PLANT • Eg:2

  25. TO CONCLUDE • If you stay with MSEDCL then go to passive role to control the cost. • If you go away from MSEDCL do active role, one of them is captive power plant.

More Related