CERC Grants Extension of Time for Drawal of Start-Up Power to NTPC

The CERC has given its green signal to a petition filed by NTPC seeking permission to allow drawal of start-up power for Unit-I (800 MW) of Telangana Ph-I (2X800 MW) from the grid beyond the period of fifteen months (after 15.2.2023).

NTPC shared that the Telangana (steam-based thermal power station) STPS consists of two units of 800 MW each. The In an order dated 4.8.2022, the CERC had permitted the energy conglomerate to draw the start-up power from the grid till 15.8.2022 or the date of its first synchronization, (whichever is earlier). NTPC said that the Unit I was planned for synchronization with grid during February, 2022 for initial testing. However, the synchronization failed to take off due to various reasons such as the second wave of the pandemic and the prolonged monsoon season.

While the CERC has allowed for the drawal of start-up power of Unit-I of the Telangana STPS up to 15.8.2023 or
the date of its first synchronization, whichever is earlier, the Commission has stated that the extension of time will not automatically entitle NTPC for Intangible Drilling Costs or Incidental Expenditure During Construction for the period of delay in declaration of Commercial Operations Date. These shall be considered on merit at the time of determination of tariff of the unit/ generating station.

The extension of time has been granted on two conditions- “The drawal of start-up power shall not exceed 15 months prior to the expected date of first synchronization and 6 months after the date of first synchronization” and that in case of extension of the period for inter-change of power beyond the period as prescribed, an application by the generating station is to be made at least two months before completion of the prescribed period.

Further, the concerned regional load despatch centre has to keep the grid security in view while granting permission.

The CERC has also advised Power System Operation Corporation Limited (POSOCO) against whom the petition was filed, and Southern Regional Load Despatch Centre( SRLDC), to maintain grid security when it grants permission to NTPC for drawal of start-up power.

Recently, the Central Electricity Regulation Commission directed SECI to recompense Azure Power FortyOne, a subsidiary of Azure Power India, on the incremental posts costs along with additional costs as incurred by the firm due to the imposition of safeguard duty.