{"id":2026,"date":"2014-07-19T11:23:35","date_gmt":"2014-07-19T05:53:35","guid":{"rendered":"http:\/\/reconnectenergy.com\/blog\/?p=2026"},"modified":"2014-07-19T11:23:35","modified_gmt":"2014-07-19T05:53:35","slug":"impact-of-andhra-pradesh-reorganization-act-2014","status":"publish","type":"post","link":"https:\/\/reconnectenergy.com\/impact-of-andhra-pradesh-reorganization-act-2014\/","title":{"rendered":"Impact of Andhra Pradesh Reorganization Act, 2014"},"content":{"rendered":"<p>The Andhra Pradesh Reorganization Act, 2014 came into effect from 2nd June, 2014 and the new states of Andhra Pradesh and Telangana came in to existence from that date.<br \/>\nReorganization Act 2014, Anantapur and Kurnool Districts which previously fell within the jurisdiction of APCPDCL have been reassigned to APSPDCL. <em><\/em><br \/>\n<strong>Before Bifurcation \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 After Bifurcation<\/strong><br \/>\n<strong><\/strong><strong>1. \u00a0 \u00a0 \u00a0 <\/strong><strong>NPDCL \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a01. TGNPDCL<\/strong><br \/>\n<strong><\/strong><strong>2.\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0 <\/strong><strong>CPDCL \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a02. TGSPDCL<\/strong><br \/>\n<strong><\/strong><strong>3.\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0 <\/strong><strong>EPDCL \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a03. APNPDCL<\/strong><br \/>\n<strong><\/strong><strong>4. \u00a0 \u00a0 \u00a0 SPDCL\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0 4. APSPDCL<\/strong><br \/>\n<a href=\"http:\/\/44.224.164.21\/new__w\/wp-content\/uploads\/2014\/07\/Untitled7.png\"><img loading=\"lazy\" class=\"aligncenter size-full wp-image-2033\" title=\"Untitled\" src=\"http:\/\/44.224.164.21\/new__w\/wp-content\/uploads\/2014\/07\/Untitled7.png\" alt=\"\" width=\"568\" height=\"273\" srcset=\"https:\/\/reconnectenergy.com\/wp-content\/uploads\/2014\/07\/Untitled7.png 568w, https:\/\/reconnectenergy.com\/wp-content\/uploads\/2014\/07\/Untitled7-300x144.png 300w\" sizes=\"(max-width: 568px) 100vw, 568px\" \/><\/a><br \/>\n<strong><\/strong><strong>1.\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0 <\/strong><strong>Impact of Bifurcation \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0<\/strong><br \/>\nThus, consequent to the amended AP Reorganization Act 2014, the jurisdiction of the DISCOMs have been altered. Correspondingly,<\/p>\n<ul>\n<li>Power purchase quantity of each Discom<\/li>\n<li>Power purchase cost of each Discom<\/li>\n<li>Aggregate Revenue Requirement of each Discom<\/li>\n<li>Subsidizing and subsidized consumers<\/li>\n<\/ul>\n<p>Included in the filings of each Discom will undergo corresponding changes, along with the volume of power supplied to subsidized consumers. All these changes will feed into the cost of service for each DISCOM, which will impact the level of subsidy to be provided to each DISCOM.<br \/>\n<strong>2.\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0 <\/strong><strong>Share of Powers between DISCOM<\/strong><br \/>\nFollowing substation will be become Inter Discom Points between APSPDCL and TGSPDCL.<\/p>\n<ol>\n<li>11 KV feeder originating from TGSPDCL Substation of Mahbubnagar District is feeding power to Kurnul District.<\/li>\n<li>Two 11 KV feeders originating from APSPDCL SS of Kurnul District are feeding power to Mahbubnagar District.<\/li>\n<li>Two 11 KV feeders Originating from Srisailam Right Bank of APGNECO are situated in Kurnool District but serving power to consumers of Mahbubnagar.<\/li>\n<\/ol>\n<p>Commission has granted permission to avail interstate transaction between APSPDCL and TGSPDCL using existing Infrastructure and energy settlement till March 2015. If power plant is connected at any of these feeders, the contradiction arising out of geographical location has to be resolved.<br \/>\nFurther, the respective shares of power allocated between the four Discoms originally fixed in G.O.Ms.No.58, dated 07.06.2005 under the 3rd Transfer scheme has been amended in G.O.Ms.No.20, dated 08.05.2014. As per the GO, the revised share of 46.11% for Seemandhra is higher than the existing allocation of 38.07% (increase of 8.04%), while the new 53.89% allocation for Telangana is lower than the existing 61.93% allocation. Allocation of power to new DISCOMS is another political issue.<br \/>\n<strong>4.\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0 <\/strong><strong>Merit Oder Dispatch and Energy Settlement codes:\u00a0<\/strong><br \/>\nA common merit order dispatch month wise for all Discoms. i.e., for entire state has been previously considered by the Commission in its earlier examination of the filings. This merit order dispatch is no longer relevant in the light of the creation of the two new states of Andhra Pradesh and Telangana and the respective DISCOMs have to redraw the merit order dispatch for the two states separately.<br \/>\nEnergy settlement codes and polices of old AP may be redefined.<br \/>\n<strong>5.\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0 <\/strong><strong>Tariff Order for FY-14-15 :<\/strong><br \/>\nThus, the existing tariff filings mentioned in the reference cited, which were a valid base for the Commission to issue a Retail Supply tariff order on 29.03.2014 have now been overtaken by events and the creation of two new states. These filings can no longer be considered by the Commission for the purpose of determining tariffs because the jurisdiction of the four DISCOMs in the two new states has been changed. Significant Policies involving budgetary Support need to be confirmed by newly formed states.<br \/>\n<strong>6.\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0 <\/strong><strong>Impact of Subsidy:<\/strong><br \/>\nFurther the DISCOM filing contains zero tariff proposals for certain categories of consumers. This zero tariff was proposed as per then extant policy of the erstwhile Government of Andhra Pradesh which anticipated payment of subsidy to meet the deficit u\/s 65 of the Electricity Act, 2003.<br \/>\nIn this scenario, subsidies and polices of new state will have impact on Cross Subsidy Surcharge. For the new state it is more likely that subsidies will be announced which will have impact on CSS.<br \/>\nUnder this condition it is difficult to predict Impact of Bifurcation on existing PPAs.<br \/>\nContributed by <a href=\"https:\/\/www.linkedin.com\/profile\/view?id=61557060&amp;authType=OUT_OF_NETWORK&amp;authToken=EBCn&amp;locale=en_US&amp;trk=tyah2&amp;trkInfo=tarId%3A1405748535959%2Ctas%3Anikhil%2Cidx%3A1-1-1\">Nikhil Dhamankar<\/a>.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>The Andhra Pradesh Reorganization Act, 2014 came into effect from 2nd June, 2014 and the new states of Andhra Pradesh and Telangana came in to existence from that date. Reorganization Act 2014, Anantapur and Kurnool Districts which previously fell within [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":[],"categories":[110,214],"tags":[162,454,298,297,390],"_links":{"self":[{"href":"https:\/\/reconnectenergy.com\/wp-json\/wp\/v2\/posts\/2026"}],"collection":[{"href":"https:\/\/reconnectenergy.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/reconnectenergy.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/reconnectenergy.com\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/reconnectenergy.com\/wp-json\/wp\/v2\/comments?post=2026"}],"version-history":[{"count":0,"href":"https:\/\/reconnectenergy.com\/wp-json\/wp\/v2\/posts\/2026\/revisions"}],"wp:attachment":[{"href":"https:\/\/reconnectenergy.com\/wp-json\/wp\/v2\/media?parent=2026"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/reconnectenergy.com\/wp-json\/wp\/v2\/categories?post=2026"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/reconnectenergy.com\/wp-json\/wp\/v2\/tags?post=2026"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}