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Section 20: Capital Cost

The Himachal Pradesh Electricity Regulatory Commission (Promotion of Generation from the Renewable Energy Sources and Terms and Conditions…State Regulations of Himachal Pradesh · 2003

(1) The norms for the capital cost in case of SHPs shall be as specified in Chapter-V of these Regulations and in case of other renewable technologies, shall be as stipulated under relevant orders of the Commission under regulation 17.

(2) The norms for the capital cost shall be inclusive of all the expenses required to be incurred as per prudent practices upto the commissioning of the project, including, but not limited to, the cost of capital works, land, preparation of the Detailed Project Report, Survey and Investigation, plant and machinery, civil works, erection and commissioning, financing and interest during construction, land acquisition, resettlement and rehabilitation, statutory and non-statutory clearances and evacuation infrastructure up to inter-connection point ( also including interconnection facilities), insurance charges against the risks during construction stage etc and also all taxes, levies and duties on all such components/works capital works:

Provided that any cost pertaining to allotment of the project, including upfront premium and any other amount charged by the State Government while granting extension or capacity enhancement or/and any liquidated damages/penality imposed in accordance with the Power Purchase Agreement executed with the licensee, will not form part of the capital cost:

Compendium of HPERC Regulations, March 2021 23

Provided further that for project specific tariff determination, the renewable energy generator shall submit the itemwise break-up of capital cost along with its petition in the manner specified under regulation 18 and the capital cost admitted by the Commission shall be taken into consideration.

Where this provision sits

ActThe Himachal Pradesh Electricity Regulatory Commission (Promotion of Generation from the Renewable Energy Sources and Terms and Conditions for Tariff Determination) Regulations, 2012
Section20
Marginal noteCapital Cost
JurisdictionState of Himachal Pradesh
StatusIn force as published by the source

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