1. Billing, Collection and Disbursement Procedures
Under CERC “Sharing of Inter-State Transmission Charges and Losses”, Regulations 2010
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Billing, Collection and Disbursement

2. Billing, Collection and Disbursement
Introduction
Invoicing
Payment and
Collection
Disbursements to
ISTS Licencees
CTUs Role
08/11/2010
Billing, Collection and Disbursement

3. Billing, Collection and Disbursement
Invoicing
The CTU shall raise the following Invoices:
First Invoice
Second Invoice
Third Invoice
Fourth Invoice
Supplementary Invoice
be raised for Approved Injection and Approved Withdrawal on monthly basis and shall be based on PoC charges given by the Implementing Agency
Total amount to be recovered from the DICs on account of adjustments in interest rates, FERV, rescheduling of commissioning of transmission assets, etc, as allowed by CERC, for any ISTS Licensee.
be raised for deviations from the approved levels of injection and withdrawal. It shall be calculated computed in line with the Regulations
raised for Approved Additional Medium Term Open Access on monthly basis. It shall be calculated computed for the respective DICs in line with the Regulations
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Billing, Collection and Disbursement

4. Invoicing: General Conditions
Invoice 1 & 2 shall be raised on 1st Business day of each month while Invoice 3 on 1st Business day of March and September
In case, for any ISTS Licensee, the third invoice to be raised becomes negative, the amount along with the interest thereon shall be adjusted in the Yearly Transmission Charge (to be used for the computation of Point of Connection charges) of the respective ISTS Licensee for the next Application Period
Invoice 4 for each DIC within three Business Days of the issuance of the Regional Transmission Deviation Accounts by the RPCs
Charges payable by ISGS for Long Term supply shall be billed directly to the respective Long Term customers based on their proportionate share of capacity in such generating stations
Billing shall be to the Paying DIC as per their Mutual agreements (Bidding scenario etc)
In the event of partial payment / payment default by the payers identified above, the liability of paying the charges shall also be extended to the original DIC for whom the charges have been computed
Invoice 4 which deals with the deviations from the approved levels of injection and withdrawal shall be billed directly to the concerned deviating DIC
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Billing, Collection and Disbursement

5. Payment and Collection
The payment by various DICs to CTU would be executed through RTGS only
Detailed payment advice to be furnished by the DIC for identifying and tracking the payment
Rebates: 2% if paid within 1 Business day 1% if paid within 30 days
Surcharge: 1.25% per month on the unpaid amount after 60 days
The Letter of Credit shall have a term of twelve (12) Months and shall be for an amount equal to one point zero five (1.05) times the average of the First Invoice Amount
All payments required to be made under this Agreement shall only include any deduction, as required by the Law
CTU is empowered to undertake Regulation of Power Supply to recover charges under the provisions of CERC (Regulation of Power Supply) Regulations, 2010
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Billing, Collection and Disbursement

6. CF1&2 + Late payment + Delayed Payment Surcharges
Disbursements
DIC1
DIC2
DIC3
DICn
CF1&2
CF1&2 + Late payment + Delayed Payment Surcharges
Delayed payments and the Delayed Payment Surcharges received in the month till the Due Date
CF1&2 + Late payment + Delayed Payment Surcharges - Rebates
Any rebates for early or timely payments offered against the First and the Second Invoice to the DICs
Monthly Transmission charges against the First and the Second Invoice L1 L2 L3 Ln
Disbursements on a prorated manner, as per the Monthly Transmission Charges for each ISTS Licensee
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Billing, Collection and Disbursement

7. Similarly for other invoices
DIC1
DIC2
DIC3
DICn
CF4
CF4 + Late payment + Delayed Payment Surcharges
Delayed payments and the Delayed Payment Surcharges received in the month till the Due Date
CF4 + Late payment + Delayed Payment Surcharges - Rebates
Any rebates for early or timely payments offered against the Fourth Invoice to the DICs
Monthly Deviation Transmission charges against the Fourth Invoice L1 L2 L3 Ln
Disbursements on a prorated manner, as per the Monthly Transmission Charges for each ISTS Licensee
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Billing, Collection and Disbursement

8. Billing, Collection and Disbursement
General Provisions
The disbursement of transmission charges to ISTS Licensees for each Invoice shall be made within five (5) working days after the Due Date (which is thirtieth day from the receipt of the Invoice by the DICs) for each Invoice
Any payments (along with the Delayed Payment Surcharge) made by the DICs after the Due Date of an Invoice shall be disbursed at the next Cut-Off Date
The CTU shall issue a Revenue Share Statement to the ISTS Licensees for all disbursements
The CTU shall credit the disbursements in accordance with the Revenue Share Statements to the bank accounts of ISTS Licensees directly
On or before 15 May of each Financial Year, the CTU shall prepare a statement of reconciliation with regards to each DIC and by 15th June for ISTS Licensee
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Billing, Collection and Disbursement

9. Billing, Collection and Disbursement
Provisions Relating to STOA Charges (These provisions are as per the recommendation of Implementation Committee and are subject to modification of concerned Regulation by CERC)
DICs having approved LTA have first priority on scheduling only to the extent of MW for which beneficiaries are identified. However the DIC has to pay the PoC Charges for total quantity of LTA granted
For the balance quantity, DIC has to apply STOA as per prevailing Regulation
The charges received towards STOA granted to that DIC (subject to ceiling of LTA granted) shall be adjusted in the invoice of the same DIC
No adjustments of STOA charges to particular DIC for the quantum exceeding LTA already granted. These excess charges would be adjusted while truing up the YTC
The STOA charges received from other DICs having no LTA shall be adjusted while truing up the YTC
The CTU share (i.e. 25%) of the STOA charges shall be retained as per the prevailing Regulation
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Billing, Collection and Disbursement

10. Reporting requirements for the CTU
The periodic reports to be submitted to each of the ISTS Licensees shall comprise of:
Details of total transmission charges billed to and collected from the DICs
Details of the payment defaults made by the DICs
Delayed Payment Surcharge collected from the DICs
Rebates paid to the DICs
Details of total transmission charges disbursed to the ISTS Licensees
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Billing, Collection and Disbursement

11. Input data required by CTU
Data in following formats is required by CTU
The purpose of each format is also given in the description
Format
Description 1A
To raise Bill-1 1B
To Disburse Bill-1 2
To raise Bill-2 3A
To raise Bill-3 3B
To Disburse Bill-3 4
To raise Bill-4
1C & 1D
To indentify the charges against each DIC
1E & 1F
To trace the liability of the Primary DIC
Please open the excel sheet and show the participants the input formats
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Billing, Collection and Disbursement

12. Billing, Collection and Disbursement
CTUs Role
CTUs role shall be limited to billing and collection agency on behalf of ISTS licensees
Only payments received shall be disbursed according to YTC share of ISTS licensees
CTU shall at all times be indemnified and shall not bear any financial burden due to this activity
The expenses incurred on this activity shall be reimbursed to CTU and shall become part of its YTC
Any disputes arising shall be addressed as per details provided in the BCD Procedure
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Billing, Collection and Disbursement

13. Billing, Collection and Disbursement
Thank You !!
08/11/2010
Billing, Collection and Disbursement