The Central Electricity of Authority (CEA) has issued draft guidelines for operation & maintenance (O&M) of assets created under the tariff-based competitive bidding (TBCB) mechanism.
CEA has prepared a draft memorandum of understanding (MoU) that will be part of the standard bidding documents for TBCB power transmission projects, going forward.
In doing this, the Union power ministry is trying to address the issue of coordination between owners of co-located assets. It may be mentioned that new power transmission schemes under the TBCB route very often result in the new transmission service provider (TSP) creating associated bays at both ends of the new transmission line. These bays are typically located within existing substations.
This co-location could potentially result in differences between the existing owner and the new TSP, with respect to O&M of assets.
CEA has acknowledged that in case of the assets of the new TSP that are co-located in the existing substation, detailed scope of works as well as the roles and responsibilities of the New TSP and existing TSP have not been clearly defined in the TBCB bid documents.
One important constituent of the new guidelines is that O&M charges to be paid by the new TSP to the existing substation owner, for the relevant year, shall be 30 per cent of the normative O&M expenses of relevant voltage level and transformer capacity as specified for that particular year in Central Electricity Regulatory Commission (Terms and Conditions of Tariff) Regulations as issued from time to time.
The guidelines also stipulate that both parties – the existing substation owner and the new TSP – shall nominate a nodal officer for coordination of all O&M-related matters.
The guidelines relate to bay terminal equipment or terminal equipment associated with transformation capacity enhancement, voltage upgrade works, creation of new voltage level at existing substation, etc, which results in addition of transformers.
Also read: CEA Proposes RTM Route For Re-Conductoring Of ISTS Lines
Background
Responding to the subject matter raised by Electric Power Transmission Association (EPTA), the Union power ministry, in November 2022, directed CEA to constitute a committee to deliberate on issues raised by EPTA and to bring about clarity on the roles of the existing substation owner and the new TSP on O&M works related to co-located assets created under the TBCB route. The CEA committee submitted its report in February 2023. Further, CEA was directed by the Secretary (Power), in a meeting held on March 28, 2023, to formulate requisite guidelines, which have now been issued.
