1. OPEN ACCESS IN INTER-STATE TRANSMISSION

2. DEFINITION OF “ OPEN ACCESS ” IN THE ELECTRICITY ACT, 2003 “The non-discriminatory provision for the use of transmission lines or distribution system or associated facilities with such lines or system by any licensee or consumer or a person engaged in generation in accordance with the regulations specified by the Appropriate Commission”

3. CERC Order/Regulations on Open Access Final Order issued : 30.01.2004 Final Regulations issued : 30.01.2004 Gazette Notification : 06.02.2004 CERC’s Order effective from 06.02.2004.

4. Salient Features of CERC Order / Regulations Open Access customers categorised : Short-Term - Upto One year. Long-Term - Twenty Five years or more All Open Access customers to abide by Indian Electricity Grid Code.

5. Further Classification of Open Access Customers Direct Customer – Persons directly connected to system owned or operated by CTU Embedded Customer – Other than direct customer

6. NODAL AGENCY For Short-Term Customers – RLDC of the Region in which the drawal point is located. For Long-Term Customers – Central Transmission Utility (CTU) – STU of the region in which the drawal point is located when CTU system is not involved.

7. Responsibilities of CTU/RLDCs Procedure for reservation of transmission capacity for short term customers including the detailed procedure for bidding within 45 days by RLDC. Procedure and application forms for long- term customers within 30 days by CTU. Notice of 60 days to the existing customers for applying afresh.

8. Standardization within 60 days, the other commercial conditions for transmission charges and scheduling and system operation charges. RLDCs to post “Open Access information” on their website within 30 days:

9. Information System RLDC to post the following on their websites within 30 days: Floor rate in Rs./MW/Day for Short-Term customer – Regional System – Inter-Regional link – System of STU/SEB/Transmission Licensee Status Report on current short-term customer Month-wise and year-wise report on past short-term customer Information regarding usage of – Inter-Regional links – Links between CTU and States systems – To be updated on hourly basis and wherever feasible on 15minute basis Average energy losses for previous 52 weeks.

10. Processing of Application For Short-Term Customers Nodal RLDC to interact with concerned RLDCs/SLDCs to process the same in specified time period. Processing time as per CERC Order – Upto One Day : 12 Hours – Upto One Week: 2 days – Upto One month: 7 days – Upto One year: 30 days Applicant to furnish details of transactions like point of injection/drawal, quantum (MW), duration, alongwith necessary payments.

11. Approval Process Short-term open access to be allowed by utilising : (a) Inherent design margins, (b) Margins available due to variation in power flows, and (c) Margins available due to in-built spare transmission capacity created to cater to future load growth.” In case of congestion snap bids are to be invited by RLDC. In case of transmission constraints, the short-term customers shall be curtailed prior to the long term customers. Provided within a category, the open access customers shall have equal priority and will be curtailed on pro-rata basis.

12. Short- Term Open Access Charges A. Transmission Charges: (Rs./MW/Day) ST_RATE = 0.25 x [TSC/ Av_CAP]/365 To be applied on postage stamp basis for each – Regional System – Inter-Regional link – STU/SEB or Transmission Licensee System 25% of this charges to be retained and balance 75 % to be adjusted in the transmission charges payable by long term customer. The transmission charges payable shall be for one day and in multiples of whole no. of days. Every transmission licensee to declare rate in Rs. Per MW per day which shall remain fixed for one year.

13. Where TSC for any transmission licensee is not available the per MW per day charge applicable for the system owned by CTU of the region will be applicable. Transfer capacity reservation by short-term customers is non- transferable. In case of under utilisation, customers to bear the full transmission and Scheduling and system operation charges as per original reservation. B.Scheduling and System operation Charges The Short-Term customer has to pay Scheduling and System Operation Charges @ Rs. 3000/- per day per customer to each RLDCs and SLDCs involved. C. Handling and processing charges to nodal RLDC – 2% of the total billed amount(A+B). D. Non-refundable Processing fee – Rs. 5000/- per application

14. Unscheduled inter-change charges UI charges to be applicable to all open access customers. For Direct Customer – separate bill for UI charges. For Embedded Customer – A composite bill for the State as a whole – Segregation to be done at State Level

15. Reactive Energy charges All customers directly connected to CTU network shall pay reactive energy charges as per IEGC. The reactive energy charges to be paid to or received from Pool A/c shall not be apportioned to the embedded customers. For Embedded Customer reactive energy charges shall be governed by the regulations of the respective State.

16. Energy Losses The transmission customers shall bear average energy losses in the transmission system as estimated by CTU and SLDC concerned. The energy losses shall be compensated by additional injection at the injection point(s). Special Energy Meters The Special Energy Meters shall be installed by the direct customers and if required by the embedded customers.