APERC regulation seeks to allow entry of private firms into power transmission business in Andhra Pradesh
The Hindu
APERC invites comments on AP-TLR to facilitate entry of private cos into power transmission biz. Last date for stakeholders to express views is Nov 7. APSEBEA suggests to APERC to constitute tech committee to assess impact on grid & Transco's network. Threshold limit fixed at Rs.100 cr. AP-Transco can also participate in bidding process but stands little chance of winning. Central govt driving this. #APERC #AP-TLR #APSEBEA #CentralGovt #PowerTransmissionBiz
The Andhra Pradesh Electricity Regulatory Commission (APERC) has recently issued a public notice inviting comments and objections on the APERC Transmission Licence Regulation, 2023, (AP-TLR), which would facilitate the entry of private companies into power transmission business in the State.
The draft regulation is going to be finalised after November 7, which has been set as the last date for various stakeholders to express their views.
Hitherto, the AP-Transco used to award the projects to private companies on a turnkey basis. It had been given the transmission and bulk supply licence in 1999-2000 under the A.P. Power Sector Reform Act of 1998.
The TLR is intended to take care of the present-day requirements, particularly the Intra-State Transmission Systems (ISTS) under Section 63 of the Electricity Act, 2003.
As per the AP-TLR, transmission projects will be awarded to those who qualify in the Tariff-Based Competitive Bidding (TBCB), for which the threshold limit has been fixed at ₹100 crore, excluding the land cost, and satisfy other conditions thereof.
Expressing its reservations on the AP-TLR, the APSEB Engineers’ Association (APSEBEA) has suggested to the APERC to constitute a technical committee (including the AP-Transco engineers) to assess its (TLR) impact on the grid and the Transco’s network and to ensure proper accountability of the private companies in the event of their failure to deliver their commitments. Another important thing the APSEBEA wanted the APERC to do was to raise the threshold limit to ₹500 crore.
A senior official in the power sector told The Hindu that the ultimate goal of the TLR was to open the lucrative transmission business to private companies in the guise of efficiency and accountability.
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