15.1 Advance Against Depreciation (/\/\0) shall be permitted wherever loan repayment considered tor working out 1111,mist on loan exceeds the depreciation allowable as per schedule and shall be n, imputed as follows:- · AAD=Loan repayment as referred above amount subject to a ceiling of 1/1 Oth nr ,irlolnal loan amount minus Depreciation as per schedule.
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(ii) Works deferred for execution, !iii) Liabilities to meet award of arbitration or in satisfaction of the order or · · decree of a court'. and
(iv) On account of change in law:
Provided that original scope of works alongwith estimates of expenditure shall be submitted alongwith the application for provisional tariff. I
18.2 The capital expenditure of the following nature actually incurred after th,e cut-off date may be admitted by the Commission subject to prudence check: 1
(i) Deferred liabiliti~s relatinig to work;/services within the original scope of ~~ .
(ii) Liabilities to·meet award of arbitration or in satisfaction of the order or decree of a court,
(iii) On account of change in law:
(iv) Any additional work/service which has become necessary for efficient and successful operation of plant but not included in the original capital cost.
Impact of additional capitalisation in tariff revision within the approved project I cost may be considererfby the Commission once in a tariff period.
Note 1.-Any expenditure admitted on account of committed liabilities within the- original scope of work and the expenditure deferred on techno-economic grounds but falling within the original scope of work shall be serviced in the normative debt-equity ratio arrived at in the manner indicated in regulation 18.
Note 2.-Any expenditure on replacement of old assets shall be considered atter writing-off the entire value of the original assets from the original capital cost.
Note 3. -Any expendiiure admitted on account of new works not in the original scope of work shall be serviced ln the normative debt equity ratio of 70: 30.
Note 4.-Any expenditure admitted on account of new works not in the original scope of work shall be serviced in the normative debt-equity ratio of 70:3'.0 after writing-off the original amount of the replaced assets from the original capital cost. ·
15.2 ."-.C'J2:'.C2 .'.\gc.inst Dep~2cia1ion in a year shall be c::alculated by considering l actual o; normative ioan arrived at in ihe manner indicated in regulation 24. I ·1 :i3_ Goniirigency Rese,v•=.-16.1 A provision towards Contingericy Reserve !
shall be created subject 10 incidence oi uncertainties with respect to such items bt I revenue requiremeni, as may be specified by the Commission. ·
16.2 Liabilities in this reqard shall be allowed subject to a scrutiny by the Commission.
, 6.3 The amounis available in these reserves shall be invested in approved I:
Government securities and shall be drawn upon with prior approval of the Commissi~r· I 17 _ Capital E:q::,enditure_-17 .1 The petitioner shall· provide projectwise j' . details of the expenditure incurred in the previous year and expenditure proposerfto ;
be incurred in the ensuing year. · 1.
18- Additional capitalisatim1--18.1· The capital expenditure within the oriqinal scope of work relating to following nature actually incurred after the date of commercial operation up to the cut-oft date may be admitted by the Commission subject to prudence check.
(i) Deferred liabilities, [ Regs. 16-18 :' .~i!ar'.<:-:ar:d Local Acts 113] .. ,t:
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21.3 The meter rent shall be based on the amount being charged on this account and the number of metered consumers.