Settlement system for Collective Transactions (Power Exchange)

Philosophy To avoid pan-caking of charges Reduce cost of power/ burden on end user Encourage transactions Reasonable levy of charges for the usage Fair compensation to the Long term user of Tr. System Fair compensation to the Owner of Tr. System Reasonable charges to RLDC/SLDCs

Collective Transaction charges 1) Application fee Rs.5000 per day –irrespective of no. of individual transactions. –Non-refundable –Within 3 working days –To be retained by NLDC entirely 2) Standing clearence/ No objection Certificate issue fee by SLDC (quarterly basis) –Rs.5000 per certificate 3) Transmission Charges a) Regional/CTU Tr. Ch. Rs.30/MWh (ps 3/u) for each point of Injection Rs.30/MWh (ps 3/u) for each point of Drawl b) STU/SEB/Tr. Licencee Tr. Ch. Rs.30/MWh (ps 3/u) for each point of Injection Rs.30/MWh (ps 3/u) for each point of Drawl To be paid only if the Tx is not internalised. as specified by SERC or Rs.30/MWh (ps 3/u) No retrospective revision by STU

4) Operating Charges –Rs.5000/day/entity involved NLDC SLDC for all export entity SLDC for all import entity –All Buyers within a state to be clubbed in one group and called one entity –All Sellers within a state to be clubbed in one group and called another entity –NLDC to count each Buyer group and Seller Group for levying operating charges –Charges exempted if internalised Collective Transaction charges

Internalisation Mostly in case where unbundling has not take place ( ex. SEBs, vertically integrated utilities etc.) For own use, Tx is internalised For use by a third party, Not internalised. If internalised Certificate to be submitted No transmission charges for concerned STU/Tr. Licencee No operating charges for concerned SLDC

Mode of payment to NLDC Bank draft/ at par cheque/ electronic money transfer No outstation cheque Within 3 working days

Sharing of charges with RLDCs CERC left it to CTU to decide CTU decided : 1) Application fee –to be retained by NLDC entirely 2) Operating Charges :NLDC to retain –Rs to be retained by NLDC –Rs.600 to each RLDC

Default 0.04% simple interest for each day of delay/default NLDC may not –schedule the Transaction –Entertain further application in future till dues are cleared

Other Charges 1) Energy charges As evolved in Price discovery meachanism based on market conditions, demand-supply position Double sided Auction Rate will be put on Px web after the bidding Px to collect and disburse

Power Exchange marigin 1ps/u Other Charges

Revision in OA schedule Normally not revised except in case of Tr. Constraint First Bilateral Tx to be curtailed and then only Collective Tx OA charges corresponding to Downward revision to be refunded To be reconciled for previous month and refunded within 15 days of current month

Disbursement NLDC to Reconcile all charges for previous month Disburse to all stake holders within 10 days in current month Disbursement of CTU charges to concerned RTS STU charges to concerned STU/SEB Operating charges to concerned RLDCs Operating charges to concerned SLDCs

RTS to retain 25% of CTU transmission charges Balance 75% to give credit in their Transmission Bill (as per weighted Average entitlement to each Long term customer) Disbursement

Refund When to refund ? Incase of curtailment due to transmission constraints How much to refund ? A) Pro-rata charges for the energy curtailed and Refund balance OA charges (transmission charges and operating charges) for the reduction in Energy Deadline for Refund : Within 15 days of current month for Tx curtalied/revised in previous month

Indemnification No responsibility to Nodal RLDC In case of Default Indemnify RLDC/ SLDC harmless from All damages/ losses/ claims/ costs etc.