The Maharashtra Electricity Regulatory Commission, in exercise of its power under Sections 61 and 62 of the Electricity Act (EA), 2003, and in pursuance of the MYT Regulations and all other powers enabling it in the behalf, and after taking into consideration MSEDCL’s submission, the written and oral suggestions and objections received and the responses of MSEDCL, and all other relevant material, has issued Mid-Term Review Order dated 12 September, 2018 in Case No. 195 of 2017.
Accordingly, the guidelines as under are issued for replacement of the said order of the commission without prejudice to the rights of MSEDCL to take any actions as provides in the law.
Power Factor Incentive/Penalty:
In view of MERC Tariff order 195 of 2017 dt. 12.09.2018, Penalty for leading Power Factor is introduced, whereas incentive is applicable in case of lag PF only.
Penalty for leading power factor also introduced. This penalty will be applicable from prospective effect. As a first step towards the kVAh billing system, which is devoid of any separate incentive / penalty for power factor, the Commission has decided to reduce the existing PF Incentive/ Penalty by 50%. Accordingly, maximum PF Incentive, which is 7% at the Unity Power Factor, has been reduced to 3.5%. Similarly, Penalty for the lower power factor has been penalized.
Whenever the avg P.F. is more than 0.95 Lag and upto 1, an incentive shall be given at the rate of percentage in Tariff order at the amount of monthly electricity bill, excluding taxes and duties. And whenever average P.F. is less than 0.9 (Lead or Lag), Penal Charges shall be levied at the rate of percentage of amount of monthly electricity bill, excluding taxes and duties.
There is change in % of PF Penalty and Incentive as below.
FOR POWER QUALITY STUDY & AUTOMATED REPORT: Connect with Emerich Energy
Next post about Methodology for PF computation and Penalty and Incentive. Please follow our blog or LinkedIn Page.
