On November 7, 2024, the Karnataka Electricity Regulatory Commission (KERC) published a draft version of the KERC (Fee) Regulations, 2024 for stakeholder review and input.
The draft regulations outline the fees associated with various applications, petitions, and processes under the Electricity Act, 2003 and other relevant regulations.
Key Highlights of the Draft KERC (Fee) Regulations, 2024
Short Title and Commencement:
- These regulations are titled Karnataka Electricity Regulatory Commission (Fee) Regulations, 2024 and will come into effect upon their publication in the Karnataka Government Gazette.
- They will apply statewide across Karnataka.
Definitions:
- The regulations define key terms including “Act” (Electricity Act, 2003), “Commission” (KERC), “Licensee”, “Generating Company”, and “Trading”.
- Other terms follow the same meanings as provided under the Electricity Act, 2003.
Fee Provisions:
- Petitions, Applications, Complaints: Any petition or application submitted to the Commission must be accompanied by the payment of the prescribed fee. If multiple persons are involved in a case with a common cause, each petitioner must pay a separate fee.
- Processing Fee for License Applications: Applications for grant or exemption of licenses must include a processing fee of Rs. 50,000 until the state government prescribes a fee.
- Annual License Fee: Licensees must pay an annual fee based on the type of license and capacity, with penalties for late payments.
- Refunds: If a dispute is settled before the hearing or a petition is withdrawn before admission, 50% of the fee will be refunded to the petitioner.
Modes of Payment:
- Payments can be made via bank draft, cheque, RTGS, or NEFT, with specific guidelines for payments over certain amounts. For fees under Rs. 5,000, payments may be made in cash.
Waiver of Fees: In some cases, the Commission may waive or reduce fees at its discretion.
Schedule of Fees
The draft regulations list a comprehensive schedule of fees for various services and petitions, including the following:
- Annual License Fees:
- Transmission Licensee: Rs. 20,00,000 (State Transmission Utility) or Rs. 1,00,000 per MW for other transmission licensees.
- Distribution Licensee: Rs. 20,00,000 per annum for general distribution licensees, and Rs. 3,00,000 for Rural Electric Co-operatives and SEZs.
- Petition Fees:
- Petition for Amendment of License: Rs. 2,50,000.
- Petition for Revocation of License: Rs. 10,00,000 by the licensee, and Rs. 1,00,000 by others.
- Petition for Tariff Determination: Rs. 7,500 per MW for conventional plants, and Rs. 3,000 per MW for renewable or non-conventional plants.
- Other Specific Petitions:
- Annual Performance Review (for MYT Framework): Rs. 5,00,000 for transmission and distribution licensees.
- Review of Commission’s Orders (except tariff orders): Rs. 25,000 for licensees and generating companies, and Rs. 10,000 for others.
- Dispute Adjudication Fees:
- For monetary claims: 1% of the claim amount (with a minimum fee of Rs. 50,000).
- For non-monetary disputes: Rs. 50,000.
- Miscellaneous Fees:
- Inspection of Commission’s Records: Rs. 500 per day.
- Certified Copies of Documents: Rs. 2 per page.
PUBLIC CONSULTATION:
The draft KERC (Fee) Regulations, 2024 are open for feedback from stakeholders. All objections or suggestions must be submitted within 15 days to the following address:
- The Secretary, Karnataka Electricity Regulatory Commission,
No. 16 C-1, Millers Tank Bed Area,
Vasanthanagara, Bengaluru – 560 052
