ANNUAL REPORT 2019-2020 (To Be Placed Before the Kerala Legislative Assembly, As Per Section 105 of Electricity Act, 2003) 2 KSERC Annual Report 2019-20 CONTENTS

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KERALA STATE ELECTRICITY REGULATORY COMMISSION

ANNUAL REPORT

Kerala State Electricity Regulatory Commission 2019-20 KPFC Bhavanam, C.V. Raman Pillai Road, Vellayambalam, Thiruvananthapuram 695 010 Phone: 0471-2735544 | Fax: 0471-2735599 | Email: [email protected] | Website : www.erckerala.org St. Joseph’s Press, Tvm KERALA STATE ELECTRICITY REGULATORY COMMISSION

ANNUAL REPORT 2019-2020 (To be placed before the Kerala Legislative Assembly, as per Section 105 of Electricity Act, 2003) 2 KSERC Annual Report 2019-20 CONTENTS

1. Introduction 2. The Commission 3. Functions of the Commission 4. Chairman & Members of the Commission 5. Office of the Commission 6. State Advisory Committee 7. State Co-ordination Forum 8. Licensees 9. Proceedings of the Commission 10. Regulations issued by the Commission 11. Abstract of disposal of petitions 12. Orders issued by the Commission 13. Application of Information Technology 14. Associations with other bodies 15. Consumer Grievance Redressal Forum (CGRF) 16. Electricity Ombudsman 17. Compliance of the Electricity Act, 2003, and the Rules and Regulations made thereunder. 18. Engagement of Auditors 19. Implementation of Right to Information Act 20. Legal Matters 21. Finance and Account 22. COVID – 19 Pandemic

Annexure I- List of proceedings/hearing held by the Commission during 2019-20

Annexure II – List of inspections conducted by Junior Consultants during 2019-20

Annexure III- Annual Accounts 2019-20

Annexure IV- Separate Audit report of the Comptroller and Audit General of India on the Accounts for the year 2018-19

KSERC Annual Report 2019-20 3 4 KSERC Annual Report 2019-20 1. INTRODUCTION The Kerala State Electricity Regulatory Commission, established in the year 2002, entered into its 18th year of service in 2019-20. During this period, this Commission has taken all efforts to establish, maintain and perpetuate a fair, transparent and objective regulatory system in the Power Sector in the State of Kerala. The objective of this Annual Report is to present to the Hon’ble Legislature, licensees, stakeholders and interested public, the Commission’s activities during the financial year 2019-20. As in the previous reports, this annual report also provides an insight into the earnest and concerted efforts made by the Commission for achieving its functions specified in the ElectricityAct, 2003.

2. THE COMMISSION The Kerala State Electricity Regulatory Commission was constituted as a quasi-judicial body under Sub-section (1) of Section 17 of the Electricity Regulatory Commissions Act, 1998 vide Government Order G.O.(MS).No.34/2002/PD dated 14th November, 2002, published in the Government of Kerala Gazette, Extra-Ordinary dated 18th November, 2002. The Commission is a body corporate having perpetual succession and a common seal, with the power to acquire, hold and dispose of property, both movable and immovable, and to contract and shall, by the said name, sue or be sued. The Commission, came under the purview of the Electricity Act, 2003, with effect from 10th June, 2003 as the Electricity Regulatory Commissions Act, 1998 was repealed. The Commission consists of a Chairperson and two Members. In recognition of the need for a multi-disciplinary approach so as to address issues related to objective, unbiased and independent regulations, the statute prescribes that the Chairperson and Members shall be persons of ability, integrity and standing who have adequate knowledge, experience and proven capacity in dealing with problems relating to engineering, finance, commerce, economics, law or management. The Chairperson and the Members are appointed by the Government of Kerala on the recommendation of a Selection Committee constituted under the statute. The statute also provides for the appointment of a Secretary to the Commission, whose powers and duties are as delegated by the Commission.

3. FUNCTIONS OF THE COMMISSION The Commission is vested with the responsibility of performing the following functions under Section 86 and other enabling provisions of the Electricity Act, 2003. (a) Determination of the tariff for generation, supply, transmission and wheeling of electricity, wholesale, bulk or retail, as the case may be, within the State; (b) Regulating the purchase of electricity and procurement process of distribution licensees including the price at which electricity shall be procured from the generating companies or licensees or from other sources through agreements for purchase of power for distribution and supply within the State; (c) Facilitating intra-state transmission and wheeling of electricity; (d) Issuance of licences to persons seeking to act as transmission licensees, distribution licensees and electricity traders with respect to their operations within the State;

KSERC Annual Report 2019-20 5 (e) Promoting co-generation and generation of electricity from renewable sources of energy by providing suitable measures for connectivity with the grid and sale of electricity to any person, and also specify, for purchase of electricity from such sources, a percentage of the total consumption of electricity in the area of a distribution licensee; (f) Adjudication of the disputes between the licensees and generating companies and to refer any dispute for arbitration; (g) Levying fee for the purposes of the Electricity Act, 2003; (h) Specifying Kerala Electricity Supply Code; (i) Specifying State Grid Code; (j) Specifying regulations relating to standards of performance and enforcement of standards with respect to quality, continuity and reliability of service by licensees; (k) Fixing the trading margin in the intra-State trading of electricity, if considered, necessary; (l) Discharging such other functions as may be assigned to it under the Electricity Act, 2003; (m) Advising the State Government on all or any of the following matters, namely:– (i) Promotion of competition, efficiency and economy in the activities of the electricity industry; (ii) Promotion of investment in the electricity industry; (iii) Reorganization and restructuring of the electricity industry in the State; (iv) Matters concerning generation, transmission, distribution and trading of electricity or any other matter referred to the State Commission by the State Government. (n) Management of Kerala State Electricity Regulatory Commission Fund constituted under Section 103 of the Electricity Act, 2003.

4. CHAIRMAN AND MEMBERS OF THE COMMISSION Sri. Preman Dinaraj.R, IA&AS (Retd.) who was sworn in as Chairman on 1st August 2017 continued as Chairperson. Sri.S.Venugopal continued as Member, whereas Sri. K. Vikraman Nair continued as Member till his retirement, on attaining five years of service in the Commission on 04.12.2019. Sri.G.Jyothichudan continued as Secretary till 24.12.2019 and thereafter Sri.C.R.Satheesh Chandran assumed charge as Secretary i/c from 26.12.2019.

5. OFFICE OF THE COMMISSION The Commission’s Office is located at KPFC Bhavanam on C.V. Raman Pillai Road, Vellayambalam, Sasthamangalam P.O., Thiruvananthapuram – 695010.

6 KSERC Annual Report 2019-20 6. STATE ADVISORY COMMITTEE The State Advisory Committee constituted as per Section 88 of the Electricity Act, 2003 is entrusted with the task of advising the Commission on major questions of policy, matters relating to quality, continuity and extent of service provided by the licensees; compliance by licensees with the conditions and requirement of their license, protection of consumer interest and electricity supply and overall standards of performance by utilities. The Committee reconstituted as per notification No. 955/ Admn./2013/KSERC dated 03.02.2015 continued during the period also. The following were the members of that Committee. (1) Shri. Preman Dinaraj.R, Chairman Kerala State Electricity Regulatory Commission : Ex-officioChairman (ii) Shri. K.Vikraman Nair, Member Kerala State Electricity Regulatory Commission : Ex-officio Member (iii) Shri. S.Venugopal, Member Kerala State Electricity Regulatory Commission : Ex-officio Member (iv) The Secretary, Power Department, Government of Kerala, Thiruvananthapuram. : Ex-officio Member (v) The Secretary, Consumer Affairs Department, Government of Kerala, Thiruvananthapuram. : Ex-officio Member (vi) The Chairman and Managing Director, Kerala State Electricity Board Ltd, Vyduthi Bhavanam, Pattom, Thiruvananthapuram. : Member (vii) The Director (Distribution&Generation-Electrical) Kerala State Electricity Board Ltd,Pattom Thiruvananthapuram : Member (viii) The Director, Energy Management Centre, Sreekariyam P.O., Thiruvananthapuram. : Member (ix) The Director, ANERT, Thiruvananthapuram : Member (x) The General Manager, N.T.P.C., Kayamkulam : Member (xi) Sri. K. Asokan, Chairman, Friends of Electricity Employees and Consumers, ‘Madhavam’, Mayanad P.O., (Via.) Medical College, Kozhikode- 673 008 : Member (xii) The President, Kerala State Small Industries Association, Veekay Towers, Beerankunju Road, Kochi- 682 018 : Member (xiii) Fr.Thomas Peelianickal, Executive Director, Kuttanadu Vikasana Samithi, Ramankari, Alappuzha : Member (xiv) The Chairman, Confederation of Real Estate Developers’ Association of India (CREDAI), C/o SI Property (Kerala) Private Ltd., ‘Silver Oaks’, Near Golf Club, Thiruvananthapuram- 695 003 : Member

KSERC Annual Report 2019-20 7 (xv) Sri. K. P. Babu, Rarichanpuram, Karalink Road, Karaparamba, Kozhikode- 673 010 : Member (xvi) The President, Chamber of Commerce, T.T.C. Road, Jawahar Nagar, Kowdiar, Thiruvananthapuram : Member (xvii) The President ,The High Tension & Extra High Tension Industrial Electricity Consumers' Association Productivity House, Kalamassery- 683 104, Ernakulam District : Member (xviii) Sri. R. Chandrachoodan Nair, R.G Bhavanam,Thekkevila P.O, Kollam- 16 : Member [Expired] (xix) Sri T.K.Bhaskara Panicker, President, FRATS (Federation of Residents’ Association, Renfrew College, USRA-72, Vellayambalam, Thiruvananthapuram : Member (xx) Sri. S.Balasubrahmanian, Asst. Director-Projects, Smart City(Kochi) Infrastructure Ltd., Brahmapuram P.O., Kochi. : Member [Expired] (xxi) Sri.Ravi, Chalakudy puzha Samrakshana Samithi, Chaithanya, Pariyaram, Chalakudy : Member

7. STATE CO-ORDINATION FORUM In 2006, the Government of Kerala constituted a State Co-ordination Forum under Section 166 (4) of the Electricity Act, 2003, which was reconstituted in 2011. Thereafter, since most of the members of the Forum have retired or been transferred from their position, a proposal for reconstituting the Forum by nominating members by their designation and not by their individual names, was forwarded to the Government. As per G.O. (Rt.) No.136/2018/Power dated 24.07.2018 and published as S.R.O No.544/2018 in Kerala Gazette Extraordinary No.2099 dated 06.08.2018, Government of Kerala have reconstituted the Coordination Forum with the following members in their official capacity. The Chairman, Kerala State Electricity Regulatory Commission shall be the Chairman of the State Coordination Forum. 1. Chairman, Kerala State Electricity Regulatory Commission. 2. Members, Kerala State Electricity Regulatory Commission (2). 3. Chairman and Managing Director, Kerala State Electricity Board Limited. 4. Director (Distribution & Generation-Electrical), KSEBL. 5. Director (Transmission & System Operation), KSEBL. 6. Director (Generation-Civil), KSEBL. 7. Independent Director, KSEBL. 8. Secretary, Thrissur Corporation, Thrissur. 9. The Finance Advisor and Chief Accounts Officer, Cochin Port Trust, Kochi. 10. The Chief Executive Officer, Technopark, Trivandrum.

8 KSERC Annual Report 2019-20 11. The Executive Officer, M/s.Kannan Devan Hills Plantations Co. Pvt. Ltd., KDHPCL House, Munnar. 12. The Chief Executive Officer, KINESCO Power Utilities Ltd., Kakkanad, Kochi. 13. The Managing Director, Rubber Park India (P) Ltd., Valayanchirangara, Ernakulam. 14. Development Commissioner, Cochin Special Economic Zone Authority (CSEZA), Kakkanad, Kochi. 15. Chief Executive Officer, Infopark, Kusumagiri P.O., Kakkanad, Kochi. 16. Chief Executive Officer, Smart City Kochi Infrastructure, Bhramapuram P.O., Kochi. 17. Chief Executive Officer, Kerala State IT Infrastructure Ltd.(KSITIL), Technopark Campus, Trivandrum. 18. Director, Energy Management Centre. 19. Director, ANERT. 20. Chief Electrical Inspector. 21. General Manager, NTPC Ltd., Kayamkulam. 22. Chief Manager, Power Grid Corporation of India Ltd., 400 kV Substation, Pallipuram P.O., Thiruvananthapuram.

8. LICENSEES The Kerala State Electricity Board Ltd. continued to function as the State Transmission Utility and as distribution licensee as per Section 14 of the Electricity Act, 2003. In addition to Kerala State Electricity Board Ltd, the following are the distribution licensees in the State:- (i) Thrissur Corporation Electricity Department, Thrissur (ii) Kannan Devan Hills Plantations Company Private Limited (KDHPCL), Munnar (iii) Technopark, Kazhakuttam, Thiruvananthapuram (iv) Cochin Special Economic Zone Authority (CSEZA), Kakkanad, Kochi (v) KINESCO Power Utilities Private Limited (KPUPL), Kakkanad, Kochi (vi) Rubber Park India Private Limited (RPIL), Valayanchirangara, Ernakulam (vii) Cochin Port Trust, Willingdon Island,Kochi (viii) Infopark, Kakkanad, Kochi (ix) Smart City Kochi Infrastructure Pvt Ltd, Bhramapuram P.O., Kochi. (x) Cyber Park, Kozhikode (Registered office at Kerala State Information Technology Infrastructure Ltd –KSITIL, Park Centre, Technopark.) In addition to the above distribution licensees, the following organizations are treated as deemed licensees of the Commission. (a) Railways (b) Military Engineering Services (MES)

KSERC Annual Report 2019-20 9 9. PROCEEDINGS OF THE COMMISSION The details of the public hearings and other proceedings of the Commission held during the year 2019-20 are furnished in Annexure I.

10. REGULATIONS ISSUED BY THE COMMISSION During this period, the Commission issued the following Regulations after following the procedure of prepublication, public hearing, public consultation etc; 1. Kerala Electricity Supply (Amendment) Code, 2020 dated 22nd January, 2020 published in Government Gazette No.1504 dated 19th June, 2020 2. Kerala State Electricity Regulatory Commission (Renewable Energy and Net Metering) Regulations, 2020, dated 7th February, 2020 published in Government Gazette No.1345 dated 05th June, 2020 3. Kerala State Electricity Regulatory Commission (Terms and Conditions for Determination of Tariff) (First Amendment) Regulations, 2020, dated 13th February 2020

11. Abstract of disposal of petitions received by the Commission. Particulars No. of petitions Petitions pending as on 01.04.2019 62 (55+7*) Petitions received during 2019-20 53 Petitions disposed of during 2019-20 75 Petitions pending as on 31.03.2020 40 (33+7*) *Petitions pending before various courts

12. IMPORTANT ORDERS ISSUED BY THE COMMISSION 1) Order dated 28.05.2019 in OP No. 35/2019 in the matter of Approval of the Power Purchase Agreement (PPA) to be signed between KSEB Ltd and M/s GJ Eco Power Pvt Ltd from 10 MW MSW based Waste to Energy (WtE) Plant located at Brahmapuram, Kochi. Kochi Municipal Corporation proposed to establish a Waste to Energy Power plant at Brahmapuram for disposing the waste in the Kochi Municipal Corporation and surrounding area. The Commission vide order dated 06.03.2018 in OP No 10/2017 had approved the tariff for the electricity generated from the 9.76 MW Waste to Energy Plant at Brahmapuram, Kochi at Rs. 6.17/unit for a period of 20 years from the Commercial Operation Date. M/s. GJ Eco Power Private Limited being the concessionaire to M/s Kochi Municipal Corporation for the project, filed a petition before the Commission, on 20.12.2018, for the approval of the Power Purchase Agreement (PPA) to be signed with KSEB Ltd for supplying electricity from the plant. The Commission vide the order dated 28.05.2019 approved the daft PPA submitted for approval as per the provisions of the Electricity Act, 2003, and the Regulations notified consistent with the Electricity Act, 2003.

10 KSERC Annual Report 2019-20 2) Order dated 28.05.2019 in OA No 33/2019 in the matter Petition filed by KSEB Ltd for seeking approval for sale of power to Chhattisgarh State Power Distribution Company Limited and transactions under banking during 2018-19 under KSERC (Conduct of Business) Regulations, 2003. KSEBL filed the petition before the Commission for the approval for execution of Power Sale Agreement with Chhattisgarh State Power Distribution Company Limited, and for approval for engaging traders, NVVN and TPTCL for carrying out banking transactions on behalf of KSEBL with Rajasthan Urja Vikas Nigam Ltd. The Commission, vide the order dated 28.05.2019 in OA No.33/2019, issued the following orders. (i) Approve the Power Sale Agreement with M/s Chhattisgarh State Power Distribution Company Limited, as detailed below: Serial no. Period Timings Quantum Rate (in hrs) ( MW) (Rs/unit) 1 01.10.2018 to 31.10.2018 00:00 Hrs to 07:00 Hrs 150 4.09 2 01.11.2018 to 30.11.2018 06:00 Hrs to 10:00 200 5.16 3 01.11.2018 to 30.11.2018 10:00 Hrs to 13:00 Hrs 149 4.37 (ii) Approve the banking arrangements with M/s Rajasthan Urja Vikas Nigam Ltd (RUVNL) through the trader M/s TPTCL with a trading margin of Ps 0.47/unit, as detailed below: Supply from KSEB Ltd to RUVNL Return of Banked energy from RUVNL to KSEB Ltd Months Quantum Period Months Return % and MW (hrs) time period 01-1 1-2018 to 15-11-2018 60 May'19 to RTC @102% of the 16-11-2018 to 30-11-2018 40 06-11 01-12-2018 to 15-12-2018 20 June’19 banked energy 16-12-2018 to 31-12-2018 30 The delivery point is the Regional periphery of the Exporting Utility for both supply and return period. (iii) Approve the banking arrangements with M/s Rajasthan Urja Vikas Nigam Ltd (RUVNL) through the trader M/s NVVN with a trading margin of Ps 0.47/unit, as detailed below. Supply from KSEB Ltd to RUVNL Return of Banked energy from RUVNL to KSEB Ltd Months Quantum Period Months Return % and MW (hrs) time period 01-11-2018 to 15-11-2018 90 May'19 to RTC @102% of the 16-11-2018 to 30-11-2018 60 06-11 June’19 banked energy 01-12-2018 to 15-12-2018 35 16-12-2018 to 31-12-2018 40 The delivery point is the Regional periphery of the Exporting Utility for both supply and return period.

KSERC Annual Report 2019-20 11 3) Order dated 06.06.2019 in OP No 12/2018, in the matter of Petition under section 86 (1) (f) of the Electricity Act, 2003 read with Article 36.4 of the Power Supply Agreement (PSA) dated 31.12.2014 for supply of 115 MW of Power to KSEBL seeking adjudication on the issue of reduction of Fixed Charges by KSEBL due to Station Heat Rate indicated by JPL as per the terms and conditions of PSA. M/s. Jhabua Power Ltd (JPL) filed a petition before the Commission on 03.07.2018 for adjudication of the dispute under Section 86 (1) (f) of the Electricity Act 2003 read with Article 36.4.1 of the PPA dated 31.12.2014 on the Station Heat Rate to be considered for payment of Fixed Charges and Rate. Thereafter, M/s JPL applied for withdrawal of the petition. Considering the judgment of the Hon’ble Supreme Court dated 11.04.2017 in CA No. 5399-5400 of 2016, and other provisions of the Electricity Act, 2003, the Commission vide the order dated 06.06.2019 allowed the petitioner M/s Jhabua Power Limited to withdraw the petition OP No.12/2018, dated 03.07.2018.

4) Order dated 07.06.2019 in OP No 30/2019, in the matter of Grant of power factor incentive for leading power factor to Kochi Metro Rail Ltd. Kochi Metro Rail Ltd filed a petition before the Commission with the following prayers; i) Leading power factor of KMRL to be treated as Unity Power factor since KSEBL specifications call for leading power factor to be treated as unity and Power factor incentives may be granted. ii) Power factor Incentive from the period starting from Demand Notice June 2017 may be awarded to KMRL.

The Commission vide the order dated 07.06.2019 ordered the following. i) The leading power factor imposed by consumers shall not be treated as unity power factor and no incentive shall be granted for the leading power factor. ii) Until further order, there will not be any penalty for leading power factor. iii) KSEB Ltd shall study and report, the extent of damages/ losses in the Kerala Power System on account of leading power factor.

5. Order dated 18.06.2019 in OP No 42/2019 in the matter of Petition for the approval of Power Purchase Agreement (PPA) for the purchase of 3000kVA power from KSEBL for distributing power within the licensed area of Smart City (Kochi) Infrastructure Pvt. Ltd. Smart City (Kochi) Infrastructure Pvt. Ltd. (Smart City) is a distribution licensee supplying power in its designated Industrial area, under the license issued by the Commission. Smart City (Kochi) Infrastructure Pvt. Ltd submitted a draft PPA, initialed by both K S E B Ltd. and Smart City, to be entered with K S E B Ltd. for purchase of 3000kVA power. The Commission after examining the draft PPA, approved the drat PPA submitted before the Commission.

12 KSERC Annual Report 2019-20 6. Order dated 27.06.2019 in OP No. 44/2019 in the matter of Petition seeking additional time/installments for complying with the one-time settlement (OTS) scheme approved by the Commission vide order dated 31.01.2019 bearing No.2094/DD(T)/ KSEBL-OTS /2017/KSERC M/s. AP Steel Re-Rolling Mills Ltd, filed a petition before the Commission on 08.05.2019 seeking additional installments for complying with the one time settlement (OTS) approved by the Commission vide order dated 31.01.2019. Commission vide the order dated 27.06.2019 issued the following orders. 1) KSEB Ltd can submit suitable proposal before the Commission to grant additional installment facility to the petitioner M/s AP Steel Re-Rolling Mills Ltd for remitting its past arrears. 2) The petitioner may approach the management of KSEB Ltd for getting additional installment facilities for remitting the past arrears due to KSEB Ltd. Based on such request of the petitioner, KSEB Ltd may finalise a scheme for granting additional installment facility to the petitioner for remitting the past arrears and approach this Commission for its approval. The Commission may, grant approval for such scheme as per the Regulation 136(5) of the Kerala Electricity Supply Code, 2014. 7. Order dated 17.07.2019 in OA No. 13/2019 in the matter of Petition filed by M/s South Asian Plywood Limited for determination of tariff for single point supply and sharing of electricity charges M/s. South Asian Plywood Mills Private Limited, NH Bypass, Edappally, Ernakulum has filed a petition before the Commission on 25.03.2019 for the determination of tariff for the single point supply and sharing of electricity charges. The Commission, vide the order dated 17.07.2019 issued the following orders. 1) The petitioner M/s South Asian Plywood Mills (P) Ltd shall, as per the Regulation 56(2) of the Supply Code, 2014, submit an application to KSEB Ltd, along with detailed project report for availing single supply and to provide supply to all the beneficiaries of the project. 2) KSEB Ltd shall file a petition before the Commission for determination of the tariff for single point supply as per Section 56(10) of the Supply Code, 2014, with all details as submitted by the developer. 3) Till such time the Commission determine the tariff applicable to the single point supply based on the petition filed by KSEB Ltd, the licensee shall allow the petitioner to follow the methodology as proposed by the petitioner under paragraph 2(4) above for collection of electricity charges from the beneficiaries, and for remittance of the electricity charges to KSEB Ltd. 4) Till further orders, all the developers availing single point supply shall collect the ‘Section - 4 Electricity duty as per Kerala Electricity Duty Act, 1963’, from the beneficiaries at the retail tariff approved by the Commission for the respective tariff categories.

KSERC Annual Report 2019-20 13 5) KSEB Ltd shall also file separate petitions for determination of the tariff for single point supply as per Regulation 56(10) of the Supply Code, 2014, for other cases with all necessary details. 8. Schedule of tariff and terms and conditions for Retail Supply of Electricity by KSEB Ltd and all other licensees with effect from 08.07.2019 to 31.03.2020 (File No. 560/ DD(T)/2018/KSERC) Commission, as part of the order dated 08.07.2019 in OA No. 15/2018 approved the Retail tariff in the State from 08.07.2019 to 31.03.2020.

9. Order dated 24.07.2019 in OP No 46/2019 in the matter of Petition for the approval of draft power sale agreement for 92MW floating solar project at Rajiv Gandhi Combined Cycle Power Project, Kayamkulam. KSEB Ltd, on 03.06.2019, filed a petition for the approval of draft Power Purchase Agreement (PPA) for the purchase of 92MW power from floating solar power plant to be installed by NTPC at Rajiv Gandhi Combined Cycle Power Project (RGCCPP), Kayamkulam. Commission vide the order dated 24.07.2019 ordered as follows. 1) The tariff for the electricity generated from the 92 MW floating solar plant to be developed by NTPC Ltd at its RGCCPP at Kayamkulam shall be the lower of the ‘tariff to be determined by CERC based on a petition filed by NTPC Ltd as per the provisions of the Electricity Act 2003 or the mutually agreed tariff of Rs 3.16/unit between the petitioner and the respondent, whichever is lower. 2) The respondent NTPC Ltd shall, immediately file a petition before the CERC for the determination of tariff for the electricity generated from the 92 MW floating solar plant at its RGCCPP at Kayamkulam as per the provisions of the Electricity Act, 2003 with all supporting details. 3) Provisionally approve the draft initialled PPA submitted before this Commission for approval with the modifications under Article 6.1 of the PPA as detailed under paragraph 20 above. 4) Immediately after CERC determines the tariff for the electricity generated from the 92 MW floating solar plant, the KSEB Ltd shall file a separate petition before this Commission for the final approval of the PPA to be signed with the respondent NTPC Ltd. 10. Order dated 09.08.2019 in OP No 58/2018 in the matter of Petition seeking approval for Edamon - Kochi Compensation package KSEB Ltd., on 30.08.2018, filed a petition before the Commission for the approval of special compensation package for constructing the 400kV Edamon - Kochi line. Commission vide the order dated 09.08.2019, ordered the following on petition filed by KSEB Ltd. 1) “The Commission provisionally approves 50% of the additional financial liability due to the ‘special compensation package’ of the 400 kV Edamon- Kochi Transmission line, as KSEB Ltd’s share as per the orders of the State Government.

14 KSERC Annual Report 2019-20 2) The share of KSEB Ltd under additional special compensation package shall be treated as the ‘intangible assets’ of KSEB Ltd of the financial year(s) in which KSEB Ltd actually make the payment to the farmers and landowners, and it shall be allowed to be amortized over a period of 12 years from the year(s) from which KSEB Ltd actually make the payment. 3) KSEB Ltd shall, along with the petitions on truing up of the relevant year(s) in which the payment towards the additional special compensation is made, submit the details of the additional special compensation paid to farmers and landowners in connection with the construction of the 400 kV Edamon-Kochi line. 4) The Commission shall allow recovery of the yearly amortization amount along with interest, as expense of KSEB Ltd and to be recovered through tariff. 5) The Commission shall not allow O&M expenses, return on equity or any such expenses over and above the ‘amortisation amount with interest’ to the intangible assets so created towards the KSEB Ltd share of additional special compensation package as per the orders of the State Government. Further, since the intangible asset so created is being amortised over a period of 12 years no separate provision for depreciation shall be provided.” 11. Common order dated 09.08.2019 in OP 48/2019 in the matter of Petition under the second proviso to sub-Regulation (1) of Regulation 36 of the KSERC (Connectivity and Intra State Open Access) Regulations, 2013 for exemption from the installation of Special Energy Meters and RTU for grant of Long Term Intra State Open Access for the printing centers with a contract demand at drawal points less than 1MVA i) M/s. Malayala Manorama Co. Ltd, on 17.06.2019, filed a petition before the Commission, with the following prayers: ii) To issue orders exempting Malayala Manorama Co Ltd from the installation of Special Energy Meters at drawal points in the premises of their printing plants with contract demand less than 1MW, and To issue directions to KSEB Ltd not to insist on the installation of Special Energy Meters at such drawal points, while granting Intra State Open Access. The Commission, vide the order dated 09.08.2019 decided on the petition as follows.“ i) In exercise of powers conferred on the Commission under second proviso to Regulation 36(1) of the KSERC (Connectivity and Intra State Open Access) Regulations 2013, and also based on the recommendations of the KSEB Ltd as the STU and distribution licensee of the State, the Commission hereby exempt the drawal points of the petitioner with contract demand less than or equal to 1 MVA from the installation of Special Energy Meters, subject to the conditions specified below. ii) Once the Commission notify the Regulations on Deviation Settlement and related matters and/or the Commission notify the Regulations on ‘Forecasting, Scheduling and Deviation Settlement of Wind and Solar Generating Stations in the State of Kerala’, the petitioner shall install the Special Energy Meters as per the provisions of the said Regulations.”

KSERC Annual Report 2019-20 15 12. Order dated 30.08.2019 in OP No 50/2019 in the matter of Petition seeking approval for inviting bid for implementation of 200MWp of ‘SOURA’ Roof Top Solar PV Scheme KSEBL on 24.06.2019, filed a petition before the Commission with the following prayers: i) Grant of consent to proceed with the tender process for implementation of ‘SOURA’ phase - 1 project comprising a cumulative capacity of 200MWp solar rooftop systems during 2019 - 20 to meet its RPO obligations. ii) Permission may be granted to file separate petitions for a) Specific approvals for adoption of Tariff or approval of EPC Cost or both, upon conclusion of tender process. b) Procurement of power from Rooftop PV systems installed by Special Purpose Vehicle or RESCO, as may be necessary. iii) Allowing KSEBL to avail credit of solar energy generated under SOURA Scheme towards fulfillment of its RPO target compliance. Commission vide the order dated 30.08.2019 issued following orders on the petition filed by KSEB Ltd. i) “KSEB Ltd may proceed with the tender process for implementation of ‘SOURA Phase-1 project with cumulative capacity 200 MWp’. ii) While finalizing the bids and mode of implementation of the ‘SOURA Phase-1 project, KSEB Ltd shall address the issues highlighted by the Commission under the paragraphs 22, 23 and 24 above. iii) KSEB Ltd shall ensure that in case bucket filling is resorted to, all contracts awarded are exactly at the same price as that awarded to L1 bidder. No additional price on any account shall be considered or awarded by KSEB Ltd in such contracts. Immediately after finalizing the bids, KSEB Ltd shall file separate petitions for the approval of EPC mode of implementation, and also for the adoption of tariff under RESCO model. KSEB Ltd shall, issue necessary instructions to its field offices that, feasibility certificate and connectivity shall be issued to all the consumers approaching KSEB Ltd for roof top solar PV installations, as per the provisions in the Regulations notified by the Commission in this regard, irrespective of the fact that whether the applicant is registered under SOURA or not.” 13. Order dated 04/09/2019 in OP.No.51/2019, in the matter of Amending the Supply Code so as to restrict the supervision charges to 2.5% of the total approved estimate cost in the case of utility shifting for National Highways Authority of India (NHAI) projects under Bharatmala Pariyojana in the State The Secretary, Power Department, Govt of Kerala vide the letter dated 12.06.2019 has requested the Commission to “amend the Supply code so as to restrict the supervision charges to 2.5% of the approved estimate in the case of utility shifting for National Highways authority of India projects in the State”.

16 KSERC Annual Report 2019-20 Commission vide the order dated 04.09.2019 ordered as follows. “The Commission, on the basis of the request of the State Government vide the letter dated 12.06.2019, and also as per the provisions of the Electricity Act 2003 and in exercise of the powers conferred on it under Regulation 179 of the Kerala Electricity Supply Code, 2014, hereby orders to relax the item I & II at the end of the Schedule-2 of the Kerala Electricity Supply Code, 2014 to the effect that, in the case of shifting of installation of K S E B Ltd. for NHAI projects in the State under Bharatmala Pariyojana project, the supervision charges is capped at 2.5% of the total approved estimated cost of the project.”

14. Order dated 06.09.2019 in OA No. 08/2018 in the matter of Petition under section 86 (1) (e) of the Electricity Act, 2003 filed by M/s Minar Renewable Energy Projects Private Limited for the Pathamkayam SHEP. M/s Minar Renewable Energy Projects Private Limited, (hereinafter referred to as M/s Minar or the petitioner) has filed a petition on 08.05.2018, before the Commission with following prayer. “Determine the generic tariff for small hydro projects having capacity above 5MW for the year 2016-17 and subsequent years and to allow the petitioner’s project to have the benefit of such determination in the matter of purchase of power by the Kerala State Electricity Board;” Commission vide the order dated 06.09.2019, decided on the petition as follows. i) “The levelised tariff for the electricity generated from the 8 MW SHEP installed by M/s Minar at Pathamkayam, Kozhikode is approved @ Rs 4.08/unit duly considering the benefit of accelerated depreciation. ii) The levelised tariff approved by the Commission is applicable for the entire electricity injected into the grid from the date of synchronization. iii) KSEB Ltd shall reimburse, any tax paid on the RoE, limited to the amount of equity specified in this Order. For claiming the tax, developer shall furnish the proofof payment of such tax to KSEB Ltd.”

15. Order dated 17.09.2019 in OP No.52/2019 in the matter of Scheme for the One Time Settlement of arrears of KSEB Ltd KSEBL filed a petition before the Commission for the approval of “the Scheme for One Time Settlement Scheme (OTS 2019) proposed from 01.08.2019’ with the following prayers, i) To approve the OTS sanctioned after the period of OTS 2018, for collecting an amount of Rs. 41.24 lakh. ii) To approve the proposed OTS 2019 scheme proposed in the petition. The Commission vide the order dated 17.09.2019, ordered to approve the ‘One Time Settlement Scheme 2019 (OTS 2019), with certain modifications on the ‘Terms and Conditions of OTS 2019’.

KSERC Annual Report 2019-20 17 16. Order dated 22.10.2019 in OP No.45/2019 in the matter of approval for Power Purchase Agreement with KSEB Ltd for 1MVA at 110kV for Technopark Phase-IV (Technocity) campus M/s. Technopark, filed a petition before the Commission for the approval of PPA with KSEB Ltd for purchasing 1 MVA at 110kV for Technocity Pallippuram, Thiruvananthapuram, (Technopark phase IV). Commission vide the order dated 22.10.2019, granted approval for the same. 17. Order dated 24.10.2019 in OP No. 47/2019 in the matter of Meeting power requirement during summer 2019 – cancelling bid for procuring 150MW peak power on short-term basis for the period from 15-10-2018 to 31-12-2018 and 16-2-2019 to 31-5-2019 through DEEP portal and making alternate arrangement for banking of power for meeting the power deficit during summer 2019. KSEB Ltd filed a petition before the Commission on 06.06.2019, towards the approval of the banking transactions made during the months of February 2019, March 2019 and April 2019 for meeting the additional power requirement of the State. The Commission, vide the order dated 24.10.2019, approved proposal of KSEB Limited. 18. Order dated 25.10.2019 in OA No 59/2018, in the matter of Determine and classify BSNL into the ‘Industry’ category Bharat Sanchar Nigam Limited has filed a petition on 12.09.2018 with the prayer to reclassify and determine the category of the petitioner from Tariff General LT–VI General F to LT–IV A Industry and HT–II General B to HT-I Industry (A). The Commission vide order dated 25.10.2019 decided on the matter as follows; i) Ordered to categorise the administrative buildings of BSNL under LT VI(B) category, the tariff applicable to the offices of the PSUs under State or Central Governments. ii) Rejected the request of the BSNL to classify the telephone exchanges and mobile towers under the tariff applicable to IT and IT enabled services. iii) Decided not to make any changes in the present pattern of implementation of optional demand based tariff, since it required further elaborated study iv) In case of reducing the minimum billing demand, the Commission ordered that, Regulation 100 of the Supply Code 2014 the contract demand can be reduced if the demand of the consumer is consistently lower than the contract demand as per the agreement. BSNL can, if appropriate, avail this facility and reduce their contract demand if the demand of any of their HT connection is found to be lower than the contract demand as per the agreement. 19. Order dated 04.11.2019 in OP No. 55/2019, in the matter of Approval for Power Purchase Agreement between Cochin Special Economic Zone Authority (CSEZA) and KSEB Ltd for revising the contract demand of CSEZA from 10 MVA to 13 MVA Cochin Special Economic Zone Authority (CSEZA), filed a petition before the Commission on 25.07.2019 for approval of Power Purchase Agreement (PPA) to be entered with KSEB

18 KSERC Annual Report 2019-20 Ltd for revising the contract demand to 13 MVA from existing 10MVA. Cochin Special Economic Zone Authority (CSEZA) prayed before the Commission as follows: i) To approve the Power Purchase Agreement to enable CSEZA & KSEBL to execute the same in stamp paper. ii) To direct KSEBL To waive off the requirement of third tier security of Letter of Credit OR Permitting CSEZA to charge the bank expenses for maintaining the LC, while submitting petition for Truing Up of Accounts for the future years, after executing the PPA. The Commission, vide the order dated 04.11.2019, approved the draft PPA to be signed between CSEZA and KSEB Ltd for revising the contract demand from10 MVA to 13 MVA.

20. Order dated 11.11.2019 on Suo motu proceedings In the Matter of Generation Based Incentive (GBI) for Off Grid Captive Solar Power Plants The Commission, vide the order dated 11.11.2019, extended the validity of the order of the Commission dated 30.9.2014 in the matter of ‘Suo-motu proceedings in the Matter of Generation Based Incentive (GBI) for Off Grid Captive Solar Power Plants’ for a further period of 2 years from 1.10.2019

21. Order dated 13.11.2019 in OP No 12/2017, in the matter of Application for the approval of capital investment plan of Technopark for the financial year 2017-18. M/s Technopark on 15.09.2017 filed a petition before the Commission for approval of capital investment plan for the year 2017-18 with a total investment of Rs 102.30 Crore. Commission vide the order dated 13.11.2019, granted approval for the capital investment plan of Technopark for the financial year 2017-18 with certain modifications.

22. Order dated 13.11.2019 on OP No. 59/2019, in the matter of Approval for Power Purchase Agreement between M/s Technopark and KSEB Ltd for revising the contract demand from 5 MVA to 8 MVA in phase II & III of Technopark. M/s Technopark, filed a petition before the Commission for the approval of Power Purchase Agreement (PPA) with KSEBL for enhancing the contract demand from 5MVA to 8MVA at 110kV Substation at their Phase II & III campus. The Commission vide the order dated 13.11.2019 granted approval for the same.

23. Order dated 22.11.2019, extension of the OTS 2019 of KSEB Ltd till 29.02.2020. The Commission vide order dated 17.09.2019, approved the ‘One Time Settlement Scheme’ proposed by KSEB Ltd vide its letter dated 10.07.2019 with the period of implementation 01.10.2019 to 31.01.2020. K S E B Ltd, in view of the model code of conduct applicable to select areas in the State due to the bye election scheduled in the month of October 2019, requested to extend the scheme by one month , i.e., up to 29.02.2020. Accordingly, the Commission, vide the order dated 22.11.2019, extended the scheme to 29.2.2020.

KSERC Annual Report 2019-20 19 24. Approval of tariff of street lights and rate for providing service connection in Sabarimala during festival season Based on the request of KSEB Ltd, Commission vide the order dated 28.11.2019, approved the tariff of street lights and rate for providing service connection at Sabarimala during festival seasons for the year 2019-20.

25. Order dated 02.12.2019 on Petition RP No.01/2019, In the matter of Review Petition filed by INOX on the tariff order issued by the Commission on 3.10.2018 in OP No. 8 of 2017. M/s INOX Renewables Limited filed a petition before the Commission on 15.11.2018 with following prayers. i) “Review of Order dated 03.10.2018 in OP No. 8 of 2017 insofar as it is inconsistent with the provisions of RE Tariff Regulations 2015 while determining the tariff computation methodology for wind power projects; ii) Declare date of commissioning of project as 28.03.2017 and that the project commissioned during Financial Year 16-17; iii) Declare that the generator has not availed the benefit of Accelerated Depreciation and corres-pondingly allow the generic tariff without considering the benefit of Accelerated Depreciation; iv) Approve the draft power purchase agreement and Direct the Respondent No. 1 herein to execute the same with the Petitioner herein at generic tariff as determined by the Commission for the 2 projects commissioned in FY 16-17 vide Renewable Energy Amendment Regulation dated 02.11.2017.” After detailed deliberations on the subject petition including hearings, the Commission vide the order dated 02.12.2019 ordered as follows, i) “In the order dated 03.10.2018 in OP No. 08/2018, at the end of the paragraph 53(1), the following words shall be added ‘and the levelized tariff without the benefit of accelerated depreciation is approved @Rs 4.54/unit’. All other terms in the order dated 03.10.2018 remains unchanged. ii) There is no merit in the issue No.1 raised by M/s INOX for reviewing the order of the Commission dated 03.10.2018 in Petition OP No. 08 of 2017 and hence rejected.”

26. Order dated 02.12.2019 in OP No 43/2019 in the matter of Order on approval of the additional capital expenditure for the FY 2017-18 – CSEZA M/s Cochin Special Economic Zone Authority (CSEZA), on 20.02.2019, had filed a petition for the approval of additional capital expenditure of Rs 5,08,80,000/- incurred during the financial year 2017-18, for the installation of 636 kWp Roof Top Solar Plants in the buildings within the area of CSEZA. Further, M/s CSEZA, on 13.05.2019 has submitted the details of the Capital Investments proposed for the MYT period from 2018-19 to 2021-22, as detailed below for approval.

20 KSERC Annual Report 2019-20 SL No. Year Estimated Amount- Rs in Lakh 1 2018-19 24.97 2 2019-20 377.36 3 2020-21 14.69 4 2021-22 14.15 Total 431.17

The Commission, vide order dated 02.12.2019 approved the Capital investment plan submitted by M/s CSEZA as follows: 1) Approve the cost of installation of the 636 kWp solar PV at a cost of Rs 4,05,45,000/- in the financial year 2017-18. 2) The Capital Investment for the MYT period from 2018-19 to 2021-22 as given below.

Year Proposed by CSEZA Approved by the Commission (Rs. Lakh) (Rs. Lakh) 2018-19 24.90 18.63 2019-20 377.30 329.55 2020-21 14.60 8.00 2021-22 14.10 6.90 Total 431.10 363.08

27. Order dated 3.12.2019 in OP No 49/2019 In the matter of WP (C) 37629/18 of High Court of Kerala filed by Sri M. Chempakamuthu The Principal Secretary to the Government, Power Department, Government of Kerala, vide the letter dated 18.02.2019, forwarded a copy of the judgment of the Hon’ble High Court dated 22.11.2018 in WP(C) No. 37629 of 2018 before the Commission for further necessary action. Sri. Chempakamuthu, the petitioner in the WP(C) No. 37629/2018 is an electricity consumer of KSEB Ltd, with consumer No. 6793 in Parali Section, Palakkad District, running a cold storage. The Commission after examining the Judgment of the Hon’ble High Court of Kerala dated 22nd November 2018 in WP(C) No. 37629 of 2008 , and the documents and other details placed by the petitioner in WP(C) No. 37629 of 2008 and the arguments of respondent KSEB Ltd, and also duly considering the deliberations during the hearings conducted on 09.07.2019, ordered the following: (1) The tariff applicable for the cold storage run by the petitioner in WP(C) No. 37629 of 2018, Mr. Chempakamuthu, with consumer No.6793 in Parali Section, Palakkad district is ‘LT-IV Industrial Tariff’ from the date of connection on 12.10.1999 till 30.11.2007.

KSERC Annual Report 2019-20 21 (2) The tariff applicable for the cold storage run by the petitioner in WP(C) No. 37629 of 2018, Mr. Chempakamuthu, with consumer No.6793 in Parali Section, Palakkad district, shall be LT-VII(A) Commercial Tariff with effect from 01.12.2007 onwards. (3) KSEB Ltd shall raise the arrears of electricity charges on monthly basis from 01.12.2007 onwards as the difference between the applicable LT-VII (A) Commercial Tariff and LT-IV Industrial tariff. (4) KSEB Ltd shall also levy simple interest on the arrears of electricity charges from 01.12.2007 onwards at the interest rate specified in the OTS order dated 17.09.2019. (5) KSEB Ltd shall also grant installment facility upto 24 months if requested by the petitioner, at the interest rate of 14% specified in the OTS order dated 17.09.2019.” 28. Order dated 03.12.2019 on OA No.26/2019 in the matter of Compliance of the directions of the Hon’ble High Court of Kerala, in the Judgment in WP (C) No. 39396/2015. Sri P.P. Jose, an electricity consumer of KSEB Ltd under electrical section, Angamaly filed a petition before the Hon’ble High Court of Kerala as WP (C) No. 39396 of 2015, for treating his industrial unit as “Deemed HT Connection” and assessing his electric consumption charges based on Regulation 9, Part B of the Tariff Order for KSEB Ltd for 2014-15. Hon’ble High Court vide the judgment dated 24th June 2019, directed the Commission to hear and dispose the matter. Based on the direction of the Hon’ble High Court, the Commission admitted the petition as OP No. 26/2019. The Commission, in compliance of the judgment of the Hon’ble High Court dated 24th June 2019 in WP(C) No. 39396 of 2015, after hearing the petitioner Sri. P.P. Jose, and the respondent KSEB Ltd, vide the order dated 03.12.2019 issued the following orders. (1) The petitioner as a consumer having connected load and recorded maximum demand more than 100 kVA, has to pay low voltage surcharge as determined by the Commission as per the Regulation 9 of the Kerala Electricity Supply Code, 2014, to continue availing supply at LT. (2) Till the Commission explicitly determined the low voltage surcharge vide the tariff order dated 17.04.2017, the petitioner has to pay electricity charge, at the rate applicable to ‘Deemed HT consumers, as per the “ clause-9 of the General Conditions for HT and EHT tariff under Part-B – EHT 20 and HT Tariff of the Tariff Order dated 14.08.2014, i.e., demand charges applicable for HT-I (A) Industry and energy charge at LT-IV (A) Industrial tariff. (3) With effect from 18.04.2017 onwards, in addition to the electricity charges approved by the Commission for LT Industrial consumers including the demand charge and energy charge, the petitioner has to pay low voltage surcharge also as determined by the Commission from time to time. (4) KSEB Ltd shall immediately process the application filed by the petitioner for converting the electricity connection to HT connection within the time limit specified in the Kerala Electricity Supply Code, 2014 and report the compliance to the Commission.”

22 KSERC Annual Report 2019-20 29. Order dated 04.12.2019 in OA 11/2018 in the matter of Petition under Section 61, 62, 86 and 181 of the Electricity Act, 2003 and as per the Kerala State Electricity Regulatory Commission (Terms and Conditions for Determination of Tariff) Regulations, 2014 seeking determination of project specific preferential tariff for wind mill project of Kosamattam Finance Ltd for the sale of such power to Kerala State Electricity Board or any other distribution licensee in the State of Kerala. M/s Kosamattam Finance Ltd. (the petitioner or M/s KFL), a generating company, has filed a petition before the Commission on 22.05.2018 with following prayers: (1) Approve the proposed project specific tariff of Rs.6.33 per unit without accelerated depreciation benefits (as worked out and detailed in Annexure III) for the entire duration of the PPA going to be executed in due course for the power to be fed into the grid; (2) Approve and allow all power generated from the proposed 1 MWp system to be fed into the grid and pay for by the distribution licensee such as KSEB operating in the State of Kerala at the approved project specific tariff rate as per point (i) above under the Wind RPO obligations (3) Issue appropriate instructions to the State Transmission Utility (STU) to continue with the running of the plant without break till the PPA is executed. It is also requested that, subsequently, the rate as per PPA may be given to us with retrospective effect from the date of filing of this petition. In the meanwhile, till the time the project specific tariff is fixed, the Hon’ble Commission may consider paying us Rs.3.90, which is the accepted APPC. “ After the detailed examination of the petition, and hearings, the Commission vide the order dated 04.12.2019 ordered the following. (1) The levelised tariff for the electricity generated from the 1 MW WEG installed by M/s Kosamattom Finance Limited (KFL) at Ramakkelmedu is approved at Rs 4.23 per unit without the benefit of accelerated depreciation and Rs 3.93 per unit, if the benefit of accelerated depreciation is to be availed of. (2) The petitioner may enter into PPA with the respondent KSEB Ltd at the tariff of Rs 3.93 per unit. If the petitioner does not intend to avail the benefit of accelerated depreciation, the respondent KSEB Ltd may enter into PPA with the petitioner at Rs 4.23 per unit. The petitioner has to provide an affidavit along with the PPA to the effect that if and when the petitioner avails the benefit of accelerated depreciation, from that year onwards the applicable tariff shall be Rs 3.93/unit. The petitioner shall also submit copies of the Income Tax Returns every year to the respondent KSEB Ltd as documentary evidence if they do not claim accelerated depreciation. (3) The levelised tariff approved by the Commission is applicable for the entire electricity injected into the grid from the effective date of the PPA mutually agreed by the parties, since there was no understanding between the petitioner and KSEB Ltd to purchase of the power injected during the testing period or afterwards until PPA is executed with KSEB Ltd.

KSERC Annual Report 2019-20 23 (4) KSEB Ltd shall reimburse, any tax paid on the RoE, limited to the amount of equity specified in this Order. For claiming the tax, developer shall furnish the proof of payment of such tax to KSEB Ltd. (5) KSEB Ltd shall make payment for the energy injected into the grid during the testing period at the APPC approved by the Commission for the relevant financial year concerned.”

30. Order dated 12.12.2019 in OP No.31/2019 in the matter of Petition filed by Southern Railway to direct Kerala State Electricity Board Limited to issue No Objection Certificate for availing open access M/s Southern Railway filed a petition on 27.12.2018, before the Commission with the following prayers: (1) Issue a directive to the respondents herein to issue “No Objection Certificate” and Concurrence to the petitioner for non-discriminatory open access to avail power supply from M/s. Bharatiya Rail Bijlee Company Limited (BRBCL) 2 Power plant at Nabinagar, Bihar or any other source to the Railway Traction Substations as deemed licensee. (2) Direct the Respondents to consider all the drawal points from Inter State Transmission System (ISTS) located within the Kerala State shall be a single entity for the purpose of scheduling and Energy Accounting as laid down by CERC in its order dated 05.11.2015 (Annexure B) that the drawal points from ISTS located within a State shall be treated as single entity for the purpose of scheduling and group of Traction Sub Stations (TSSs) situated in a State and connected directly with ISTS may be treated as one fragmented control area. (3) Direct the Respondents to provide back-up power supply for Railway Traction in the event of Open Access supply interruption and to claim back-up power supply charges as per Traction tariff approved by Hon’ble Commission for the backup power supplied by KSEB Limited only and not for the power which is wheeled through Open Access. (4) To declare that the 2-phase power supply system existing in the Southern Railway has no unbalance effect in upstream 3-phase power grid and alternate power supply scheme is not warranted as already Hon’ble Commission has recognized the 2-phase scheme of Traction power supply and approved separate tariff for Railway Traction. (5) It is prayed that a formal Deviation Settlement Mechanism may be please be enabled to take care of the operational requirement of Open Access.” The Commission after examining the petition filed by M/s Southern Railway, the objections raised by KSEB Ltd as per the provisions of the Electricity Act, 2003, KSERC (Connectivity and Intra-state Open Access) Regulations,2013, orders of the CERC dated 05.11.2015 in Petition No. 197/2015, and other documents placed during the proceedings of the subject petition, ordered the following:“

24 KSERC Annual Report 2019-20 (1) KSEB Ltd shall issue ‘No objection Certificate’ to Southern Railway for availing open access for drawing power from any source, on payment of the charges applicable for the open access consumers in the State. (2) If the petitioner avails open access, SLDC shall treat all Traction Substations of the petitioner within the State of Kerala as one “fragmented control area” for scheduling, accounting, metering, balancing, applicable open access charges and losses etc. However, as mandated in the sub Regulation (4) of Regulation 11 of the KSERC (Connectivity and Intra-State Open Access) Regulations, 2013, the petitioner shall install Special Energy Meters and Remote Terminal Units and maintain them properly at all Traction Substations. (3) If the petitioner M/s Southern Railways do not propose to maintain contract demand with KSEB Ltd, the licensee do not have the obligation to provide any back up supply to the petitioner at the traction tariff approved by the Commission. (4) The Commission cannot approve the prayer of the petitioner to declare that 2- phase power supply system existing in the Southern Railway has no unbalance effect in upstream 3-phase power grid.”

31. Order dated 16.12.2019 in OP No.61/2019 in the matter of approval of Power Purchase Agreement (PPA) for the enhancement of contract demand from 1000 kVA to 1400 kVA between KSEB Ltd and KPUPL in respect of KINFRA Integrated Industrial & Textile Park, Kanjikode, Palakkad. M/s KINESCO Power Utilities Private Limited (the petitioner or KPUPL) has filed a petition before the Commission on 27.11.2019 seeking approval of the draft Power Purchase Agreement (PPA) for the enhancement of contract demand from 1000 kVA to 1400 kVA between KSEB Ltd and KPUPL in respect of KINFRA Integrated Industrial & Textile Park, Kanjikode, Palakkad. The Commission vide the order dated 16.12.2019, approved the PPA with certain modifications.

32. Order dated 23.12.2019 in OP No. 63/2019 in the matter of Power Purchase Agreement (PPA) for the enhancement of contract demand from 1000 kVA to 1500 kVA between KSEB Ltd and KPUPL in respect of KINFRA HiTech Park, Kalamassery M/s KINESCO Power Utilities Private Limited has filed a petition before the Commission on 31.10.2019 seeking approval of the draft Power Purchase Agreement (PPA) for the enhancement of contract demand from 1000 kVA to 1500 kVA between KSEB Ltd and KPUPL in respect of KINFRA HiTech Park, Kalamassery. The Commission vide the order dated 23.12.2019, approved the PPA with certain modifications. 33. Order dated 14.01.2020 in OP No.62/2019 in the matter of Petition under Regulation 77(3)(f) of the KSERC (Terms and Conditions for Determination of Tariff) Regulations 2018 seeking approval for entering into short term power procurement arrangement through banking transactions during the period from February 2020 to September 2020 with PTC India Ltd. and BSES Yamuna Pvt. Ltd.

KSERC Annual Report 2019-20 25 Kerala State Electricity Board Limited filed a petition on 09.02.2019, for getting approval for entering into short-term power procurement arrangement through banking transactions during the period from February 2020 to September 2020 with PTC India Ltd and M/s BSES Yamuna Pvt Ltd (BYPL). Commission vide the order dated 14.01.2020 approved the proposal. 34. Order dated 28.01.2020 in OP No.57/2019 in the matter of approval to meet the contract demand of 7.1MVA on multiple 11kV feeders of M/s Embassy Taurus Techzone, Technopark Phase III campus M/s Technopark, on 06.08.2019, filed a petition before the Commission for the approval to meet the contract demand of 7.1MVA on multiple 11kV feeders of M/s Embassy Taurus Techzone, Technopark Phase III campus. The Commission after hearing the petitioner, and also asper the provisions of the Electricity Act,2003 and Kerala Electricity Supply Code, 2014, issued the following orders. (1) The prayer of the petitioner to grant approval to meet the contract demand of 7.1 MVA on multiple 11 kV feeders on M/s Embassy Taurus Techzone, Technopark Phase-III campus, is rejected. (2) The licensee M/s Technopark has to provide electricity supply to M/s TAURUS at 33 kV level, by augmenting and/or upgrading the existing distribution system of the licensee at the cost of the consumer.” 35. Order dated 07.02.2020 In the matter of Petition for giving relaxation in interest rate on the arrears of M/s Malayalam Chemicals Pvt Ltd under One Time Settlement Scheme Kerala State Electricity Board Limited filed a petition before the Commission on 20.11.2019, for approval of 50% relaxation in the applicable interest rates on the theft amount of the consumer M/s Malayalam Chemicals under One Time Settlement Scheme, considering it as a special case. The Commission after detailed examination of the petition and considering the provisions of the Electricity Act, 2003, other facts and circumstances of the case ordered that, the petition filed by KSEB Ltd for relaxing the interest rate provide under Section 127 (6) of the Electricity Act, 2003, is not admissible. Hence the petition is dismissed at the admission stage itself. 36. Order dated 14.02.2020 in OA No.29/2019 in the matter of Proposal to recover the additional cost incurred during the period April 2019 to June 2019 over approved level on Generation and Power Purchase due to variation in cost of fuel, from all consumers including Bulk Consumers and other Licensees: Kerala State Electricity Board Limited filed a petition on 27.09.2019 for the approval of the fuel surcharge for the period from April 2019 to June 2019, with the following prayers.“ (1) The additional financial liability incurred by KSEBL, amounting to Rs 72.75 Cr., due to the variation in power purchase cost resulting from the variation in cost of fuel for the period from April to June 2019 for the procurement/ generation of energy from various thermal sources as per fuel surcharge regulations as detailed in Annexure II & III to this petition may kindly be approved.

26 KSERC Annual Report 2019-20 (2) This approved additional cost may kindly be allowed to be recovered from consumers including bulk consumers and other licensees as fuel surcharge, as per the Regulation 86 of KSERC Tariff Regulations, 2018, from October 2019 onwards, @ 13 paise per unit.” Commission after examining the petition in detail, public consultation including public hearings and duly considering the comments of the stakeholders, ordered the following. (1) The amount admissible for recovery as fuel surcharge for the first quarter of financial year 2019-20 (April 2019 to June 2019) is approved at Rs 62.26 crore. (2) The fuel surcharge is allowed to be recovered from the consumers at the rate of Rs 0.10/unit, over a period of three months (90days) for the consumption from 15.02.2020, or until the approved amount of Rs 62.26 crore is fully realized, whichever is earlier. (3) The fuel surcharge is applicable to all consumers including the consumers of KSEB Ltd and all other licensees except the ‘domestic consumers with connected load of and below 500 watt and monthly consumption of and below 20 units’. (4) Distribution licensees other than KSEB Ltd shall collect the fuel surcharge as per this order and remit the amount promptly to KSEB Ltd on a monthly basis. (5) KSEB Ltd shall provide the details of the fuel surcharge collected in each month to the Commission, within 10 days from the end of the month concerned. (6) KSEB Ltd and all other licensees shall indicate the rate of fuel surcharge and the amount of surcharge in the bills issued to consumers separately. (7) KSEB Ltd and other licensees shall account the fuel surcharge collected from each category of consumers separately. (8) KSEB Ltd and other licensees shall strictly adhere to the Section 65 of the Electricity Act-2003 while providing any subsidy or exemption to the consumers.” 37. Order dated 19.02.2020 in OP No.53/2019 in the matter of Petition filed by KSEB Ltd seeking approval of Power Sale Agreement (PSA) for 200MW wind power with the Solar Energy Corporation of India Limited on long-term Basis. KSEB Ltd on 01.07.2019, filed a petition before the Commission for the approval of Power Sale Agreement for 200MW Wind power with Solar Energy Corporation of India Limited on long term basis, The Commission vide the order dated 19.02.2020, approved the following. i) Approve the Power Supply Agreement dated 14.06.2019 and its amendment dated 12.12.2019, for a period of 25 years from the Scheduled Commissioning Date (SCD) or from the date of full commissioning of the projects, whichever is earlier, subject to the observations made in the preceding paragraphs, and at the tariff as below. a) @Rs 2.83/ kWh from the Scheduled Commissioning Date (SCD) until the commissioning of the cumulative awarded capacity/ cumulative capacity as accepted by the SECI under the RfS.

KSERC Annual Report 2019-20 27 b) At the pooled tariff arrived @Rs 2.8237/ kWh as per the Schedule-1 of the PSA dated 14th June 2019 from the commissioning of the cumulative awarded capacity/ cumulative capacity commissioned as 10 accepted by the SECI under the RfS till the end of the Term of the Agreement. c) In addition to the above, the intermediary procurer can charge trading margin, which shall be fixed through mutual negotiation between SECI & KSEB Ltd and got approved by of this Commission. After arriving the trading margin through mutual negotiation, KSEB Ltd file a separate petition before the Commission for its approval. ii) The Power Supply Agreement dated 14.06.2019 shall be modified to incorporate changes approved in the Article 3.3.1 of the PSA, and also to modify Articles 5.1.1. and 5.1.2 of the PSA incorporating the trading margin arrived through negotiation and after getting approval of the Commission.

38. Order dated 25.02.2020 in OA No.12/2019 in the matter of Reduction of Tariff for retail sale of electricity to aided school. The Commission, in compliance to the judgment of the Hon’ble High Court dated 12.04.2019 in WP (C) No. 12204/2019, vide the order dated 25.02.2020, ordered to levy electricity charges of aided educational institutions in the State at LT-VI (A) Tariff, at the same tariff as applicable to Government owned educational institutions.

39. Order dated 11.03.2020 in OP No. 03/2020 in the matter of inviting bids for the procurement of power from 50MWp of Solar Rooftop PV systems under subsidy programme in residential sector as per MNRE’s phase II of the RTS programme by KSEB Ltd. (1) KSEB Ltd on 03.01.2020, filed a petition before the Commission seeking approval under section 86(1)( e), 86(1)(b), 61(h) and 63 of the EA,2003 and Regulation 3, 4 and 8 of KSERC(Renewable Energy)Regulations, 2015 for inviting bids for the procurement of power from 50MWp of Solar Rooftop PV systems under subsidy programme in residential sector in MNRE’s phase II of the RTS programme. Commission vide the order dated 11.03.2020, approved the petition as below. i) KSEB Ltd may proceed with the tender process for setting up of 50 MWp Grid Connected Solar Roof Top Plants in residential sector under MNRE phase-II Subsidy Program, subject to the following. ii) KSEB Ltd shall modify the ‘Financial Eligibility Criteria’ in the bidding documents as per the paragraph 18 of this order. iii) KSEB Ltd shall also modify the ‘Technical Eligibility Criteria’ in the bidding documents as per the paragraph 19 of this order. (2) The Commission reiterate that, as directed in the Commission’s order dated 30.08.2019 in OP No. 50/2019, ‘KSEB Ltd shall ensure that in case bucket filling is resorted to, all contracts awarded are exactly at the same price and on the same terms and conditions as that awarded to L1 bidder. No additional price or any other

28 KSERC Annual Report 2019-20 benefit/ exclusions or exemptions on any account shall be considered or awarded by KSEB Ltd in such contracts’. Immediately after finalizing the bids, KSEB Ltd shall file separate petitions for the approval of the empanelment of bidders under EPC mode and adoption of Tariff for the hybrid model proposed by KSEB Ltd.”

40. Order dated 12.03.2020 in the matter of Review petition against the order dated 01.02.2018 in OP No.11/2017 by M/s TCED The Commission vide its order dated 01.02.2018 in OP No. 11/2017, disposed the petition filed by M/s Thrissur Corporation Electricity Department (M/s TCED) in the approval of construction of a 110 kV substation at Kottappuram within the area of distribution of TCED. M/s. TCED filed a review petition on 17.06.2019 against order dated 01.02.2018 in OP No. 11/2017, with a delay of 454 days. The petitioner had not remitted the requisite fee along with the petition. During the admissibility hearing held on 06.03.2020, the petitioner submitted that, M/s TCED may file a separate proper review petition against the order of the Commission dated 01.02.2018 in OP No. 11/2017. Considering the submission of the petitioner, the Commission rejected the review petition dated 17.06.2019 against the order of the Commission dated 1.02.2018 as null and void.

41. Order dated 13.03.2020 in OP No. 06/20 in the matter of Petition under Regulation 77(3)(f) of the KSERC (Terms and Conditions for Determination of Tariff) Regulations 2018 seeking approval for entering into short term power procurement arrangement for meeting the power deficit during April-May 2020. Kerala State Electricity Board Limited, on 20.01.2020, filed a petition before the Commission for seeking approval for entering into short-term power procurement arrangement for meeting the power deficit during April-2020 and May-2020. The Commission vide the order dated 13.03.2020 approved the proposal.

42. Order dated 13.03.2020 in OP No.07/2020 in the matter of petition for approval of continuation of the provisional Generic Tariff determined by the Commission; vide order No. OP 27/2013 and OP No.24/2012 on 01.11.2014, for the balance period of the Power Purchase / Sale Agreement between the petitioner and the respondent Utility M/s.Kerala State Electricity Board Ltd in respect of 15MW Karikkayam SHP M/s. Ayyappa Hydro Power Ltd, on 18.12.2019, filed a petition before the Commission with the following prayers. i) The Tariff determined by Hon Commission by the order dated 01.11.2014 for the Karikkayam power plant owned by the petitioner at the Generic Tariff of Rs. 4.16 per unit be allowed to be realized for entire period of 30 years from the date of commercial operation of the project (May 2017). ii) The power purchase agreement entered into between the Petitioner and the respondent utility be amended and extended for the complete period of supply of thirty years from the date of COD (May 2017) as mandated in the implementation agreement.”

KSERC Annual Report 2019-20 29 The Commission, after examining the petition filed by M/s Ayyappa Hydro Power Ltd, and the arguments of KSEB Ltd as per the provisions of the Electricity Act, 2003 and also as per the provisions of the KSERC (Power Procurement from Renewable Sources by Distribution Licensee) Regulations, 2013, and other rules and Regulations in force, ordered the following: (i) The levelized tariff for the electricity generated from the Karikkayam Small Hydro Project of the petitioner M/s Ayyappa Hydro Power Ltd shall be at Rs 4.16/unit, the levelized generic tariff as per the KSERC (Power Procurement from Renewable Sources by Distribution Licensee) Regulations, 2013. (ii) In partial modification to the Commission’s order dated 01.11.2014 in OP No. 27/2013 and OP No. 24/2012 and the PPA executed into between the petitioner and KSEB Ltd, the validity of the PPA is extended for the complete period of supply of supply of 30 years w.e.f 14.07.2014. (iii) The petitioner M/s Ayyappa Hydro Power Ltd and the respondent KSEB Ltd shall modify the existing Power Purchase Agreement as above and the petitioner shall submit a copy of the modified PPA to the Commission for information and record.”

43. Order dated 30.03.2020 in the matter of Schedule of Tariff and Terms and Conditions for Retail Supply of Electricity by KSEB Ltd and all other Licensees in the State of Kerala with effect from 01.04.2020 The Commission, in exercise of the powers vested in it under Section 62 and 64 of the Electricity Act, 2003 and provisions of the Tariff Regulations, 2018 had issued the Tariff order dated 08.07.2019 in petition OA No.15/2018, approved the Schedule of Tariff and Terms and Conditions for Retail Supply of Electricity by KSEB Ltd and all other Licensees in the State of Kerala with effect from 08.07.2019 to 31.03.2020. Since the validity of the said tariff order expires on 31.03.2020, the Commission vide the order dated 31.03.2020, ordered to extend the validity of the ‘Schedule of Tariff and Terms and Conditions for Retail Supply of Electricity by Kerala State Electricity Board Limited and all other Licensees’ approved by the Commission vide Order dated 08.07.2019 in petition OA No. 15/2018, from 01.04.2020 to 31.03.2021, or till the date of effect of the new Tariff order to be determined by the Commission, whichever is earlier.

44. OA 15/2018: Order dated 8-7-2019 on the ARR & ERC and Tariff of M/s Kerala State Electricity Board Limited for the Control Period 2018-19 to 2021-22 M/s KSEBL filed the petition for approval of ERC & ERC and a petition for determination of Tariff for the control period 2018-19 to 2021-22.In their petition, KSEB Ltd has considered the ARR of SBU-G and SBU-T as the transfer cost to SBU-D. Public hearing was held at Nalanda Auditorium, Kozhikode on 26-11-2018, Corporation Town Hall, Ernakulam on 27-11-2018, Municipal Conference Hall, Kattappana on 28-11-2018, Institution of Engineers Hall, Vellayambalam, Thiruvanathapuram on 10-12-2018 respectively. Based on the provisions of the KSERC (terms and conditions for determination of Tariff) Regulations 2018, the Commission has approved the ARR& ERC of SBU-G, SBU-T and SBU-D and the revenue gap for 2018-19 to 2021-22 as shown below:

30 KSERC Annual Report 2019-20 ARR of SBU-G approved for the years 2018-19 to 2021-22 Particulars SBU-G 2018-19 2019-20 2020-21 2021-22 ARR 507.24 539.31 623.62 681.03 Non Tariff Income 25.83 33.38 37.28 41.17 Net ARR 481.41 505.93 586.34 639.86

ARR of SBU-T approved for the years 2018-19 to 2021-22 Particulars SBU-T 2018-19 2019-20 2020-21 2021-22 ARR 903.45 1020.99 1204.29 1329.88 Non Tariff Income 28.85 37.30 41.82 46.35 Net ARR 874.60 983.69 1162.47 1283.53

ARR of SBU-D approved for the years 2018-19 to 2021-22 Particulars SBU-D 2018-19 2019-20 2020-21 2021-22 ARR 13754.02 15501.03 15973.31 16487.91 Non Tariff Income 531.55 548.10 571.23 594.36 Net ARR 13.222.47 14952.93 15402.08 15893.55 Total revenue from existing Tariff 13190.32 14152.38 14457.33 14895.02 Revenue Gap -32.15 -800.56 -944.75 998.53

Considering the approved sales for the control period, the average cost of supply on which tariff is to be determined is as shown below:

Average Cost of supply to be realised from consumers Average cost of Supply Unit 2018-19 2019-20 2020-21 2021-22 Net ARR excluding revenue from external sales, non tariff income & Other income Rs.crore 12,465.83 14,010.23 14,786.40 15,487.94 Energy sales MU 21,647.29 22,969.67 23,957.26 24,991.44 Average Cost of Supply to be realized Rs/kWh 5.76 6.10 6.17 6.20 Revenue gap/unit Rs./kWh -0.01 -0.35 -0.39 -0.40

KSERC Annual Report 2019-20 31 KSEB Ltd in their petition, furnished tariff revision proposals for two years of the control period ie., 2018-19 and 2020-21 to the tune of Rs.1,101.72 crore and Rs.700.44 crore. The proposed tariff increase was for almost all the tariff categories including BST. In their proposal, KSEB Ltd has proposed increase in fixed charges substantially ranging from 50% to 400% over the current rates. As against the two tariff revisions proposed by KSEB Ltd in 2018-19 and 2020-21, the Commission has decided to determine the tariff for the year 2019-20, and which shall continue till 31st March 2020. The Commission may determine/ decide on the tariff applicable from 1st April-2020 to 31st March-2022 of the control period based on the tariff petition, if any, filed by KSEB Ltd along with the annual performance review to be filed on or before 30th November 2019. After examining the provisions of the Act, Regulations and Tariff Policy, and due consideration, the Commission enhanced the overall tariff, (fixed/ demand charge and energy charge) so as to increase the revenue to the tune of Rs.902 crore so as to bridge the approved revenue gap as shown below for the year 2019-20.

Revenue at existing tariff and Approved tariff for KSEB Ltd Revenue Revenue expected for 2019-20 at tariff proposed by KSEB Ltd Approved tariff expected Tariff Category for the FY for the FY 2018-19 2019-20 at Increase Increase existing tariff Amount (annual) Amount (annual) (Rs. Cr.) (Rs. Cr) (Rs. Cr) (Rs. Cr) (Rs. Cr) LT categories LT-I Domestic 4744.32 5511.29 766.97 5283.27 538.95 LT Industries 804.75 847.11 42.36 851.01 46.27 LT-V Agriculture 88.05 101.81 13.76 101.90 13.84 LT-VI General 1565.63 1645.00 79.37 1594.64 29.01 LT-VII Commercial 1613.30 1669.53 56.23 1665.84 52.54 LT-VIII Public lighting 183.92 197.85 13.93 202.59 18.67 LT hoardings 4.01 4.01 0.00 4.14 0.14 HT Categories HT-1 Industry 1507.51 1620.10 112.59 1600.14 92.63 HT-II 699.91 709.88 9.97 716.17 16.26 HT-III 5.23 5.47 0.24 5.82 0.59 HT-IV 672.57 668.44 -4.13 686.87 14.29 HT-V 13.27 12.82 -0.45 14.23 0.96 EHT category EHT-66 kV 213.10 245.08 31.98 227.73 14.63 EHT-110 kV 435.74 481.76 46.02 465.63 29.89 EHT 220 kV 58.89 67.91 9.02 63.60 4.72 EHT Gen 57.37 58.26 0.89 58.88 1.51 Railways 179.27 203.54 24.27 185.34 6.06 KMRL 10.01 11.34 1.33 10.20 0.19 Licensees & Bulk consumers 394.43 437.53 43.10 416.22 21.80 Addl revenue 1247.44 902.94

32 KSERC Annual Report 2019-20 45. OA 4/2019: Order dated 26-8-2019 on the ARR & ERC of M/s Infopark Kerala for the Control Period 2018-19 to 2021-22 M/s.Infopark, Kerala, Kochi is a Government of Kerala undertaking, engaged in the development of infrastructure for information technology (IT) and information technology enabled services (IT enabled services). Infopark was granted distribution license vide order dated 10.05.2010 of the Commission and the electricity distribution operation commenced from 1.07.2013. The licensee in the application for approval of ARR & ERC, proposed a revenue gap of Rs. 221.16 lakh, Rs. 232.80 lakh, Rs. 232.91 lakh, and Rs. 231.55 lakh for the years 2018-19, 2019-20, 2020-21, & 2021-22 respectively. After examining the petition, the Commission approved the revenue gap of the licensee as shown below for the control period. ARR & ERC approved for the years 2018-19 to 2021-22 for Infopark Particulars 2018-19 2019-20 2020-21 2021-22 Approved Approved Approved Approved (Rs. Lakh) (Rs. Lakh) (Rs. Lakh) (Rs. Lakh) Total income 938.43 1082.43 1254.35 1582.50 Total Expenditure 896.52 1014.97 1147.54 1480.73 Revenue Surplus Gap (-) (-)41.91 (-)67.46 (-)106.81 (-)101.77

46. OA 7/2019 Order dated 30.10.2019 on the ARR & ERC of M/s Cochin Port Trust (CoPT) for the Control Period 2018-19 to 2021-22 M/s Cochin Port Trust (CPT) is a deemed distribution licensee under the proviso to Section 14 of Electricity Act 2003. The licensee, in its application for approval of ARR & ERC, proposed a revenue gap of Rs.1552.02 lakh, Rs.1434.28 lakh, Rs.1435.83 lakh, and Rs.1442.98 lakh for the years 2018-19, 2019-20, 2020-21, & 2021-22 respectively. The Commission after considering the petition, approved the ARR & ERC for the control period from 2018-19 to 2021-22, as detailed below

ARR & ERC approved for CPT for the years 2018-19 to 2021-22 Particulars 2018-19 2019-20 2020-21 2021-22 Approved Approved Approved Approved (Rs. Lakh) (Rs. Lakh) (Rs. Lakh) (Rs. Lakh) Total income 3124.65 3468.21 3623.29 3813.30 Total Expenditure 3095.05 3331.01 3509.29 3664.63 Revenue Surplus (+) (+)29.60 (+)137.20 (+)114.00 (+)148.67

47. OA 02/2019 Order dated 08-11-2019 on the ARR& ERC for the control period 2018-19 to 2021-22 filed by M/s Smart city, Kochi M/s Smartcity (Kochi) Infrastructure Private Limited (SCK) (hereinafter referred to as SCK or the licensee) is a Information Technology Special Economic Zone in Kochi, Kerala. The

KSERC Annual Report 2019-20 33 said venture is a joint venture company formed by Government of Kerala (16% holding) and Dubai holding (84% holding) for development of infrastructure for knowledge based industries. The licensee in its application for approval of ARR & ERC, proposed a revenue gap of Rs.146.59 lakh, Rs. 127.82 lakh, Rs.127.81 lakh, Rs. 72.77 lakh for the years 2018-19, 2019-20, 2020-21, & 2021-22 respectively. The Commission considered the application and approved the ARR & ERC for the Control Period 2018-19 to 2021-22 are as shown below. ARR & ERC approved for Smart City for the years 2018-19 to 2021-22 Particulars 2018-19 2019-20 2020-21 2021-22 (Rs. Lakh) (Rs. Lakh) (Rs. Lakh) (Rs. Lakh) Total Income 247.41 611.27 719.07 999.61 Total Expenditure 267.65 565.91 652.78 880.24 Revenue Surplus (+)/ Gap (-) (-)20.24 (+)45.36 (+)66.29 (+)119.37

48. OA 9/2019: Order dated 08-11-2019 on the ARR & ERC of M/s Thrissur Corporation Electricity Department (TCED) for the Control Period 2018-19 to 2021-22 The Thrissur Corporation Electricity Department (TCED) has the current licensed area corresponds to the administrative limits of the old Thrissur Municipality limits covering an area of approximately 12.65 sq km. The licensee in its application for approval of ARR & ERC, proposed a revenue gap of Rs.217.48 lakh, Rs. 492.70 lakh, Rs. 864.44 lakh, Rs. 1082.00 lakh for the years 2018-19, 2019-20, 2020-21,& 2021-22 respectively. The Commission considered the application and approved the ARR & ERC for the Control Period 2018-19 to 2021-22 are as shown below. ARR & ERC approved for TCED for the years 2018-19 to 2021-22 Particulars 2018-19 2019-20 2020-21 2021-22 Approved Approved Approved Approved (Rs. Lakh) (Rs. Lakh) (Rs. Lakh) (Rs. Lakh) Total income 13069.65 13877.54 14409.33 14803.38 Total Expenditure 12269.71 13064.80 13615.49 13693.37 Revenue Surplus (+) (+)799.94 (+)830.74 (+)793.84 (+)840.01

49. OA 10/2019 : Order dated 08-11-2019 on the ARR & ERC of M/s Rubber Park India Private Limited (RPIL) for the Control Period 2018-19 to 2021-22 M/s Rubber Park India Private Limited, a joint venture company of the Rubber Board and M/S Kerala Industrial Infrastructure Development Corporation (KINFRA), is a distribution licensee under the Electricity Act 2003. In its application for approval of ARR & ERC proposed a revenue gap of Rs.120.33 lakh, Rs. 102.07 lakh, Rs. 106.37 lakh, Rs. 104.45 lakh for the years 2018-19, 2019-20, 2020-21, & 2021-22 respectively. After the examination of the claims of the applicant, the Commission approved the ARR & ERC for the control period from 2018-19 to 2021-22, as detailed below.

34 KSERC Annual Report 2019-20 ARR & ERC approved for RPIL for the years 2018-19 to 2021-22 Particulars 2018-19 2019-20 2020-21 2021-22 Approved Approved Approved Approved (Rs. Lakh) (Rs. Lakh) (Rs. Lakh) (Rs. Lakh) Total income 1936.14 2015.83 2144.94 2310.30 Total Expenditure 1858.45 1935.15 2062.05 2169.23 Revenue Surplus (+) (+)77.96 (+)80.68 (+)82.89 (+)141.04

50 OA 6/2019 :Order dated 11-11-2019 on the ARR & ERC of M/s Kanan Devan Hills Plantations Company Private Limited (KDHPCL), Munnar for the Control Period 2018-19 to 2021-22 Kannan Devan Hill Plantation Company Private Limited (KDHPCL) is the distribution licensee supplying electricity in and around Munnar. The licensee in its application for approval of ARR & ERC, proposed a revenue gap of Rs. 67.90 lakh, Rs. 90.91 lakh, Rs.108.97 lakh, Rs. 127.49 lakh for the years 2018-19, 2019-20, 2020-21 & 2021-22 respectively. The Commission considered the and approved the ARR & ERC for the Control Period 2018-19 to 2021-22 are as shown below. ARR & ERC approved for KDHPCL for the years 2018-19 to 2021-22 Particulars 2018-19 2019-20 2020-21 2021-22 Approved Approved Approved Approved (Rs. Lakh) (Rs. Lakh) (Rs. Lakh) (Rs. Lakh) Total Income 3129.56 3352.68 3414.79 3476.74 Total Expenditure 3111.21 3292.92 3398.94 3460.81 Revenue Surplus (+) (+)18.35 (+)59.76 (+)15.85 (+)15.93 51 OA 8/2019: Order dated 02-12-2019 on the ARR & ERC of M/s Cochin Special Economic Zone Authority (CSEZA) for the Control Period 2018-19 to 2021-22 The Cochin Special Economic Zone Authority (herein-after called CSEZA) is a Special Economic Zone under the Ministry of Commerce and Industry, Government of India. CSEZA constituted under the Special Economic Zone Act 2005. The licensee in its application for approval of ARR & ERC, proposed a revenue gap of Rs. 99.95 lakh, Rs. 71.71 lakh, Rs. 76.07 lakh, Rs. 85.60 lakh for the years 2018-19, 2019-20, 2020-21, & 2021-22 respectively. After the examination of the claims of the applicant, the Commission approved the ARR & ERC for the control period from 2018-19 to 2021-22, as detailed below. ARR & ERC approved for CSEZA for the years 2018-19 to 2021-22 Particulars 2018-19 2019-20 2020-21 2021-22 Approved Approved Approved Approved (Rs. Lakh) (Rs. Lakh) (Rs. Lakh) (Rs. Lakh) Total income 3602.47 3855.26 4008.80 4016.64 Total Expenditure 3660.96 3819.78 3924.29 3938.03 Revenue Surplus (+)/ Gap (-) (-)58.49 (+)35.48 (+)84.51 (+)78.61

KSERC Annual Report 2019-20 35 52. OA 25/2019: Order dated 24-3-2020 on the ARR& ERC of M/s Technopark for the control period 2018-19 to 2021-22 M/s Technopark, Thiruvananthapuram, is a deemed distribution licensee for distribution of electricity in the Technopark campus. The licensee in its application for approval of ARR & ERC, proposed a revenue gap of Rs. 259.02 lakh, Rs. 119.98 lakh, Rs.102.48 lakh for the years 2018-19, 2019-20, 2020-21respectively and a revenue surplus of Rs. 59.02 lakh for the years 2021-22 .The Commission considered the application and approved the ARR & ERC for the Control Period 2018-19 to 2021-22 are as shown below. ARR & ERC approved for Technopark for the years 2018-19 to 2021-22 Particulars 2018-19 2019-20 2020-21 2021-22 Approved Approved Approved Approved (Rs. Lakh) (Rs. Lakh) (Rs. Lakh) (Rs. Lakh) Total Income 6,459.20 7,162.86 7,562.78 8,279.93 Total Expenditure 5,865.15 6,553.00 7,040.82 7,794.88 Revenue Surplus (+) (+)594.05 (+)609.86 (+)521.96 (+)485.05

53. OA 14/2018 Order dated 15-7-2019 on the Truing up of accounts of M/s Rubber Park India Private Limited (RPIL) for the year 2016-17 M/s Rubber Park India (P) Limited is a distribution licensee under the Electricity Act, 2003, filed the application for truing up of accounts 2016-17. The Commission had on 03-09-2015 issued an order on OA 10/2015 approving the ARR & ERC for the first control period (2015-16 to 2017-18). As per the Order dated 10-05-2016 in OA 1/2016 the Commission approved the revised ARR&ERC for 2016-17. The Commission after considering the application filed by M/s. RPIL for truing up of accounts for theyear 2016-17, comments of KSEB Ltd. and the clarifications and details provided by the licensee approved the total expenditure of Rs.1934.10 lakh and total revenue of Rs.1920.62 lakh with a revenue gap of Rs.13.48 lakh. The cumulative revenue surplus till 2016-17 will be Rs. 26.81 Lakh.

54. OA 10/2018- Order dated 1-8-2019 on the Truing up of accounts of M/s Thrissur Corporation Electricity Department (TCED) for the financial year 2016-17 M/s Thrissur Corporation Electricity Department filed the application for truing up of accounts 2016-17. The Commission had approved the ARR & ERC for the year 2016-17 vides order dated 21-10-2015 approving a revenue gap of Rs.98.80 lakh. In the application for the truing up submitted by TCED for the year 2016-17, the licensee has arrived at a revenue surplus of Rs.650.38 lakh. The Commission after considering the application filed by M/s TCED for truing up of accounts for the year 2016-17, comments raised by KSEB Ltd. and the clarifications and details provided by the licensee approved the total expenditure of Rs.10874.23 lakh and total revenue of Rs.12466.17 lakh. The revenue surplus approved for the year after truing up is Rs.1591.94 lakh. The cumulative revenue surplus till 2016-17 will be Rs. 12904.42 lakh.

36 KSERC Annual Report 2019-20 55. OA 3/2019- Order dated 26-8-2019 on the Truing up of accounts of M/s Infoparks Kerala for the financial year 2016-17 M/s. Infoparks, Kerala, Kochi a Government of Kerala undertaking, engaged in the development of infrastructure for information technology (IT) and information technology enabled services (IT enabled Services) is the applicant. The licensee has filed the accounts for truing up of accounts for 2016-17. The Commission after considering the application for truing up of accounts for the year 2016-17, and approved total expenditure of Rs.506.18 lakh, total revenue of Rs.465.02 lakh and revenue gap of Rs.41.16 lakh. The cumulative revenue surplus till 2016-17 will be Rs.123.05 lakh. 56. OA 5/2019- Order dated 12-11-2019 on the Truing up of Accounts of Kanan Devan Hill Plantations Company Private Limited for the year 2017-18. Kanan Devan Hill Plantations Company Private Limited is the distribution licensee supplying electricity in its license area at Munnar. KDHPCL avails electricity from KSEB Ltd for the supply to its consumers and for its own consumption. KDHPCL filed the application for truing up of accounts 2017-18 and the application was admitted as OA No. 5/2019. In this application, the licensee has arrived at revenue gap of Rs.98.51lakh for the year 2017-18 as against the surplus amount of Rs.87.81 lakh approved by the Commission in the order for the first control period. The Commission after considering the petition and details furnished by the license approved the total expenditure of Rs.3007.07 lakh, total revenue of Rs.3081.48 lakh and revenue surplus of Rs.74.41lakh for the year 2017-18. The cumulative revenue surplus till 2017-18 will be Rs.947.21 lakh. 57. OA 11/2019- Order dated 13-11-2019 on the Truing up of accounts of M/s Cochin Port Trust (CoPT) for the financial year 2017-18 M/s CoPT filed the application for truing up of accounts 2017-18 and the application was admitted as OA No. 11/2019. The licensee in the truing up petition has claimed a revenue gap of Rs.850.92 lakh as against as revenue gap of Rs.13.65lakh approved by the Commission the ARR order dated 08-09-2015.The Commission approved total expenditure of Rs. 3070.28 lakh, total revenue of Rs. 3359.43 lakh and revenue surplus of Rs. 289.15 lakh for the year 2017-18. The cumulative revenue surplus from 2004-05 to 2016-17 will be Rs.4381.44 lakh. 58. OA No 16/ 2018- Order dated 2-12-2019 on the Truing up of accounts of M/s Technopark for the financial year 2015-16 M/s Technopark, Thiruvananthapuram, is a deemed distribution licensee for distribution of electricity in the Technopark campus. . M/s Technopark filed the application for truing up of accounts 2015-16 and the application was admitted as OA No. 16/2018. The Commission after considering the petition, comments of KSEB Ltd and clarifications furnished by the licensee had approved the total expenditure of Rs.5202.86 lakh and total revenue of Rs. 5402.66 lakh with a revenue surplus of Rs.199.80 lakh. The cumulative revenue surplus till 2015-16 will be Rs.691.38 lakh. 59. OA 3/2020- Order dated 16-3-2020 on the Truing up of accounts of M/s Cochin Special Economic Zone Authority (CSEZA) for the Financial Year 2017-18 M/s Cochin Special Economic Zone Authority (CSEZA) submitted an application for Truing up of accounts for the financial year 2017-18. In this application, the licensee

KSERC Annual Report 2019-20 37 has arrived at revenue gap of Rs.3.52 lakh for the year 2017-18 as against the revenue gap of Rs.170.71 lakh approved by the Commission in the order on ARR&ERC for the first control period. The Commission after considering the petition, comments of KSEB Ltd and clarifications furnished by the licensee had approved total expenditure of Rs. 3684.07 lakh, total revenue of Rs. 3670.58 lakh and revenue gap of Rs. 13.51 lakh for the year 2017-18. The cumulative revenue surplus till2017-18 will be Rs.789.94 lakh. 60. OA 01/2020- Order dated 24-3-2020 on the Truing up of accounts of M/s Rubber Park India Private Limited (RPIL) for the financial year 2017-18 M/s RPIL submitted an application for Truing up of accounts for the financial year 2017-18 The Commission after considering the petition and comments of KSEB Ltd and clarifications furnished by the licensee had approved the total expenditure of Rs. 1774.78 lakh and total revenue of Rs.1884.98 lakh. The cumulative revenue surplus till 2017-18 will be Rs.137.01 lakh. 61. OA Nos.14/2019, 15/2019, 16/2019, 17/2019, 18/2019, 19/2019, 20/2019, 21/2019, 22/2019, 23/2019, 24/2019- Order dated 31-3-2020 on the truing up of accounts filed by M/s KINESCO Power and Utilities Private Limited (KPUPL) for the years from 2004-05 to 2014-15 M/s KINESCO Power and Utilities Pvt Ltd, one of the distribution licensee of the Commission had submitted separate petitions for truing up of accounts for the years from 2004-05 to 2009-10vide letter dated 15-01-2019 and vide letter dated 31-1-2019 and truing up petitions for the years from 2010-11 to 2014-15. In the said applications, M/s.KPUPL sought to make up the deficiencies and to sort out the regulatory surplus of Rs.1413.01 lakh up to 2008-09, since the transfer of surplus from the erstwhile licensee M/s.KEPIP to KPUPL and the notional interest being charged on the regulatory surplus are presently borne by KPUPL. The Commission had earlier vide Order dated 6-12-2011 had approved the truing up of accounts of M/s KEPIP from 2004-05 to 2008-09. In the said order, the Commission could not finalise the interest charges, RoE and depreciation since the details on grants and contribution from government for creation of assets were not available. In the revised petition, the licensee has filed the details of grants received from Government of India and Government of Kerala. The Commission after examining the details furnished by the licensee, had finalized the fixed assets are funded through grants from Government of India, consumer contributions and capital funds. Since, the equity was not identifiable, returns were provided at a rate equal to 3% of the NFA excluding contributions and grants. In the second part of the order, the truing up for the year on the year of transfer of licensee ie., 2009-10 was taken up. The Commission after duly considering the application of the licensee for truing up of account for the year 2009-10, approved the revenue surplus for the year 2009-10 as Rs.158.01 lakh In the third part of the Order, the truing up of accounts for 2010-11 to 2014-15 was taken up. The Commission after considering the petitions approved the accumulated revenue surplus of Rs.2314.64 lakh. Accordingly, the order dated 6-12-2011 on truing up of accounts for 2004-05 to 2008-09 and Orders dated 10-3-2017 & 20-3-2017 for the years from 2009-10 to 2014-15 modified to the extent as mentioned in the Order.

38 KSERC Annual Report 2019-20 62. RP NO.3/2019- Order dated 16-05-2019 on Review of the Order in OA 12/2018 dated 14-9-2018 on Truing up of Accounts of KSEB Ltd for the year 2016-17 M/s KSEB Ltd in filed a petition dated on 6-2-2019 for Review of the Order ofthe Commission in OA 12/2018 dated 14-9-2018 on Truing up of Accounts of KSEB Ltd for the year 2016-17. After considering the petition and comments of stakeholders, the Commission decided that there are no sufficient grounds placed by the petitioner for a review of the Order dated 14-9-2018 on the truing up of accounts of the Kerala State Electricity Board for 2016-17, under Section 694(1) (f) Electricity Act 2003 except for the claims under fair valuation adjustments and arrears on interest on GPF. Accordingly, the revenue gap for the year 2016-17 is revised to Rs. 1079.05 crore from Rs.1031.06 crore after admitting the claim on interest and financing charges on account of fair valuation adjustments (Rs.33.73 crore) and arrears of interest on GPF (Rs.14.26 crore). 63. RP NO.2/2019 Order dated 21/05/2019 on Review of the Order in OA 6/2018 dated 21-8-2018 on Truing up of Accounts of KSEB Ltd for the year 2015-16 M/s KSEB Ltd in filed a petition dated 6-2-2019 for Review of the Order of the Commissionin OA 6/2018 dated 21-08-2018 on Truing up of Accounts of KSEB Ltd for the year 2015-16 for rectifying the error on the estimation of normative loan for the year 2015-16. The Commission after considering the petition and views of the stakeholders decided that there are no sufficient grounds placed by the petitioner for a review of the Order dated 21-8-2018 on the truing up of accounts of the Kerala State Electricity Board Ltd for 2015-16. 64. RP No.4/2019- Order dated 3-12-2019 on the Review of the order dated 15-7-2019 in OA 14/2018 on Truing Up of the Accounts of M/s Rubber Park India (P) Limited for the year 2016-17 M/s Rubber Park India (P) Ltd filed a petition dated 29-08-2019 for the Review of the Order of the Commission in OA No. 14/2018 dated 15-07-2019 on the Truing up of Accounts for the year 2016-17. The petition was admitted as RP No.4/2019. The licensee filed the review petition seeking review on the decision of the Commission on the approval of interest on normative loan and approval of non-tariff income. The Commission after considering the petition concluded that there is no ground placed by the petitioner for a review of the Order dated 15-7-2019. 65. Order dated 21.08.2019 in OA 01/2019 in petition filed by Smt. Renjini Sasidharan under Section 67(4) of Electricity Act,2003, read with the works of Licensees Rule,2006, as per direction of Hon’ble High Court of Kerala The officials of Electrical section, KSEB Ltd, Kothamangalam made an attempt to install a 100 kVA transformer on the side of the road in front of the property of Smt. Renjini Sasidharan, Rohini, Thrikariyoor P.O. Kothamangalam. Aggrieved by this, she approached the Hon’ble High Court of Kerala with a writ petition, WP(C) No.39622 of 2018. The Hon’ble High Court of Kerala vide its judgement dated 13.12.2018,directed to approach the Kerala State Electricity Regulatory Commission with an application so that the Authority can consider whether KSEB Ltd authorities have acted as per Section 67 of the Electricity Act,2003 and the transformer in question can be shifted to any other suitable area. Smt. Renjini Sasidharan preferred a petition before the Commission

KSERC Annual Report 2019-20 39 on 11.01.2019. The Commission after hearing, has ordered on 21.08.2019, to shift the transformer structure to the western side of the petitioner’s property itself, as per the Sketch attached as annexure 1 in the order. 66. Order dated 05.07.2019 in CP 02/2019 in petition filed by Sri.K.Sainudheen in the matter of Non-compliance of CGRF(N) order dated .22.05.2018 in OP.No.220/2017-18 Shri. K. Sainudeen, Kurical Kalathil House,Vettom P.O. Malappuram has submitted a compliance petition on 07.02.2019 against the Assistant Executive engineer, Electrical sub division, KSEB Ltd, Alathiyur for the non-compliance of CGRF(North) order dated 22.05.2018 in O.P.No.220/2017-18. CGRF(North) ordered to provide electrical connection to the petitioner for a connected load of 70 HP without realising cost for enhancing the capacity of the existing transformer from 100 kVA to 160kVA within the timeframe stipulated in Supply Code, 2014. The petitioner withdrew the petition on 19.06.2019.Hence, the petition became infructuous. 67. Order dated 21.05.2019 in CP 01/2020 in petition filed by Smt. Binny Mathew in the matter Non-Compliance of CGRF(S) order dated 21-11-2019 in OP.No.103/2019 Smt. Binny Mathew, Chirakkel House,Kalaketty, P.O. Kottayam has submitted a compliance petition on 29.11.2019 against the Assistant Executive engineer, Electrical sub division, KSEB Ltd, Erattupetta for the non-compliance of CGRF(South) order dated 21.11.2019 in O.P.No.103/2019. CGRF (South) ordered to provide electrical connection to the petitioner’s agricultural premises through the nearby rubber estate which is the cheapest and shortest way. The Commission dropped further proceedings on the petition since the reply to the showcause notice to the respondent was satisfactory. 13. USE OF INFORMATION TECHNOLOGY The Office of the Commission is equipped with local area network and all officers are provided with internet services. The Commission has a website (www.erckerala.org) and it is regularly updated with various orders, regulations, notices issued, minutes of meetings, etc. 14. ASSOCIATION WITH OTHER BODIES i. Forum of Regulators (FOR): Government of India has as per the provisions of the Electricity Act 2003 had constituted a body named Forum of Regulators comprising of chairpersons of Central Electricity Regulatory Commission and State Electricity Regulatory Commissions. KSERC is a member of the Forum of Regulators and is actively attending the activities of the proceeding of the Forum. FOR undertakes analysis of the tariff orders and other orders of Central Commission and State Commissions and compilation of data arising out of the said orders, highlighting, especially the efficiency improvements of the utilities; harmonisation of regulation in the power sector, sharing information among its members, laying standards of performance of licensees, and evolving measures for protection of interest of consumers and promotion of efficiency, economy and competition in power sector. The Commission is an active participant in the proceedings of FOR. FOR has established a Technical Committee headed by the Chairperson of the KSERC for Implementation of Framework on Renewables

40 KSERC Annual Report 2019-20 and formulating protocols and agreement for aggregators of renewable energy generation. 9 meetings of the Standing Committee/ Technical Committee/Sub Committee of FOR were held during 2019-20 ii) Forum of Indian Regulators (FOIR) The Commission is also a member of the FOIR, which is an association of the Chairpersons and Members of the Electricity Regulatory Commissions. Other regulatory bodies like Petroleum and Natural Gas Regulatory Board (PMGRB), Competition Commission of India (CCI), Airports Economic Regulatory Authority (AERA), Tariff Authority of major Ports, Administrative Staff College of India and The Energy and Resources Institute (TERI), New Delhi are also members. The Forum provides a venue for exchange of views and information among Indian Regulators in various fields. The 20th Annual General Body Meeting of FOIR was held on 21st June, 2019 at Juniper Hall, India Habitat Centre, New Delhi. Sri.K.Vikraman Nair, Member, participated in the meeting. iii) Southern Electricity Regulatory Forum (SERF) is a forum constituted for interaction among the Regulatory Commissions of the Southern States of Andhra Pradesh, Karnataka, Tamil Nadu, Telangana and Kerala. The objective of the forum is to discuss the common issues, problems and proposals of the five States. No meeting of the forum was held during the year. iv) South Asia Forum for Infrastructure Regulation (SAFIR) SAFIR is an association of the Regulators in the field of infrastructure from SAARC countries. No meeting of the forum was held during the year. 15. CONSUMER GRIEVANCE REDRESSAL FORUM The Electricity Act, 2003 requires that every distribution licensee shall establish a forum for redressal of the grievances of consumers. All the licensees have established the forum under sub-section (5) of Section 42 of the Act with the following officers as the Chairpersons: Sl. Name of Licensee Redressal Forum No 1 Kerala State Electricity 1) Southern Region: Board Limited Deputy Chief Engineer (Ele), Consumer Grievance Redressal Forum, KSEB Ltd., Vydhyuthi Bhavanam, Kottarakkara – 691 506 2) Central Region: Deputy Chief Engineer (Ele) Consumer Grievance Redressal Forum, KSEB Ltd., 220 kV Substation Compound, HMT Colony P.O., Kalamassery- 683 503. 3) Northern Region: Deputy Chief Engineer (Ele), Consumer Grievance Redressal Forum, KSEB Ltd., Vydyuthi Bhavanam, Beach Road, Kozhikode.

KSERC Annual Report 2019-20 41 2 Cochin Port Trust The Deputy Chief Mechanical Engineer, Consumer Grievance Redressal Forum Cochin Port Trust, W.Island, Cochin – 682 003 3 Kanan Devan Hills Plantations Executive (Engineering Department), Company Private Limited Consumer Grievance Redressal Forum, KDHPC, Munnar Workshop, Munnar – 685 612 4 Technopark, Thiruvananthapuram Chief Executive Officer Consumer Grievance Redressal Forum Technopark, Technopark Campus, Thiruvananthapuram – 695 581 5 Cochin Special Economic Zone Assistant Development Commissioner, Consumer Authority, Cochin Grievance Redressal Forum, Cochin Special Economic Zone, Ministry of Commerce and Industry, Government of India, Kakkanad Cochin – 682 037 6 Rubber Park India Private Limited, Managing Director, Cochin Consumer Grievance Redressal Forum Rubber Park India Pvt. Ltd, 2A, Kautileeyam Rubber Park, Valayanchirangara, Ernakulam 7 KINESCO, Cochin The Chief Executive Officer, Consumer Grievance Redressal Forum KINESCO Power Utilities Limited IX/159 A, Kusumagiri P.O., Kakkanad, Cochin–30 8 Thrissur Corporation Electricity Electrical Engineer, Department Consumer Grievance Redressal Forum Thrissur Corporation, Thrissur. The CGRFs consist of three members including the Chairperson. Of the three members, two members are appointed by the licensees and the third member is nominated by the Commission. The following persons were nominated by the Commission as the Third Member of various CGRFs. CGRF & Licensee Name of Third member CGRF, Southern Region, KSEB Ltd, Kottarakkara Sri.A.R. Vijayasundaran, Advocate CGRF, Northern Region, KSEB Ltd, Kozhikode. Sri.Robin Peter, Advocate CGRF, Central Region, KSEB Ltd, Ernakulam Sri.Jefrin Manuel, Advocate CGRF, Rubber Park India Limited Sri.Jonny Kuriakose, Advocate CGRF, CSEZA, Kakkanad, Kochi Sri.Jonny Kuriakose, Advocate CGRF, Cochin Port Trust Smt.A. Girija, Advocate CGRF, Thrissur Corporation Sri.M.G.Rajagopal, Chief Electrical Inspector (Rtd) CGRF, KDHPCL, Munnar Sri.P.Udayabhanu, Advocate CGRF, Technopark Sri.A.R.Vijayasundaran, Advocate CGRF KINESCO Sri. V.Madhusudhanan, Advocate

42 KSERC Annual Report 2019-20 The above mentioned third members continued till 11.06.2019. The Commission had already initiated action for selecting new third members in various CGRFs. A summary of the petitions received and disposed of by the various CGRFs during 2019- 20 is given below.- No. of petitions received and disposed of by the various CGRFs No. of petitions Pending Received Disposed Pending Disposed Number Name of the CGRF as on during during as on in favour of sittings 1-4-2019 2019-20 2019-20 31-3-2020 of during consumers the year CGRF, Kottarakkara 25 131 140 16 90 46 CGRF, Ernakulam 28 124 126 26 82 35 36 OP 149 OP 168 OP CGRF, Kozhikode 17 OP 110 OP 44 + 1 RP + 6 + 7 RP CGRF, Thrissur Corporation, Thrissur 0 11 7 4 3 8 CGRF, Technopark, Trivandrum 1 Nil Nil 1 Nil Nil CGRF, Cochin Port Trust, Kochi CGRF, KPUPL, Kochi Nil Nil Nil Nil Nil Nil CGRF, CSEZA, Kochi Nil Nil Nil Nil Nil Nil CGRF, Rubber Park India (P) Ltd, Kochi Nil Nil Nil Nil Nil Nil CGRF, Infopark, Kochi Nil Nil Nil Nil Nil Nil CGRF, Smartcity, Kochi Nil Nil Nil Nil Nil Nil CGRF, KDHPCL, Munnar Nil Nil Nil Nil Nil Nil

16. ELECTRICITY OMBUDSMAN Electricity Ombudsman is a statutory authority appointed by the Commission under sub-section (6) of Section 42 of the Electricity Act, 2003, to settle grievances of consumers, aggrieved by non redressal of their grievances by the Consumer Grievance Redressal Fora. Shri.A.S.Dassapan continued as Ombudsman. The Office of the Electricity Ombudsman is located at Pallikkavil Building, Mamangalam – Anjumana Temple Road, Opp. Corporation Regional Office, Edappally, Kochi 682 024 (Phone : 0484-2346488). Abstract of the petitions received and disposed of during the year under report is given below. Sl.No Particulars No of petitions 1 Petitions pending as on 1.4.2019 15 Appeals 1 Review 2 Petitions received during 2019-20 102 Appeals 3 Reviews 3 Petitions disposed during 2019-20 100 Appeals 4 Reviews 4 Petitions pending as on 31.3.2020 17 Appeals - 5 Petitions disposed in favor of the consumers 56 Appeals 4 Reviews 6 No of sittings conducted 119 Sittings

KSERC Annual Report 2019-20 43 17. COMPLIANCE OF THE ELECTRICITY ACT 2003 AND THE RULES AND REGULATIONS MADE THEREUNDER.

As provided in clause 19 of part III of the Licensing Regulation, 2006, the conditions of licence for distribution licensees, for monitoring the compliance of the provisions of the Act, Rules and Regulations and orders, by the licensees, a Compliance Examiner has been appointed by the Commission. Violations by the licensees are being strictly monitored. Inspections to verify compliance and initiating penal action for non-compliance are one of the main functions of the Compliance Examiner. The compliance wing conducts spot inspections in the distribution section offices of KSEB Ltd and other licensees in the State and corrective actions are also taken up with the licensees. Discriminatory billing of consumers, realisation of higher amounts as additional deposits, delay /denial of payment of interest on security deposit to consumers, discrepancies in tariff allocation, realisation of excess charges for service connection, non adherence of the performance standards are a few of the irregularities brought to the attention of the Commission by the Compliance Examiner are taken up with the licensees for corrective actions.

Consumer Advocacy Cell (CAC)

Consumer Advocacy Cell is formed for creating awareness among the consumers about the power sector and the regulatory process thereby ensuring consumer participation in the electricity regulatory process. Compliance Examiner is entrusted with the responsibilities relating to consumer advocacy, consumer protection and awareness initiatives of the Commission The Consumer Advocacy Cell also monitors the functioning of the Ombudsman and CGRFs.

Objectives of CAC 1. to empower consumers to participate effectively in the regulatory process.

2. to act as a clearing house of information to consumers on electricity issues

3. to arrange workshops and training programs for consumer groups.

4. to publish pamphlets and other informative materials.

To achieve the above objectives, meetings were held with voluntary organisations, resident associations and other consumer groups at various places with a view to forming consumer fora across the state to interact with ordinary consumers in their area. In addition to the above activities, complaints of general nature received from consumers/ consumer groups were taken up appropriately with the concerned officials of the licensees and settled. The Commission has also engaged Junior Consultants consumer advocacy for conducting inspections in various sections across the State. The details of the inspections conducted are attached as Annexure II.

44 KSERC Annual Report 2019-20 Petitions Disposed during-2019-20 Sl. Petition No. Name of Name of Subject Nature of No. with date petitioner Respondent Disposal 1 OA 1/2019 Smt.Renjini KSEB Ltd Petition filed under Order dated 11.01.2019 Sasidharan, Section 67(4) of Electricity 21.08.2019 Rohini, Act,2003, read with the In favour of Trikkariyoor.P.O, works of Licensees Rule, the petitoner Kothamangalam, 2006-as per direction of Ernakulam (Dist.) Hon’ble High Court of Kerala 2 CP 02/2019 Sri.K.Sainudheen, KSEB Ltd Non-compliance of CGRF(N) Order dated 11-02-2019 Kurikkal Kalathil House, order dated .22.05.2018 in 05.07.2019 Vettom.P.O, OP.No.220/2017-18 Petition became Malappuram. infructuous since withdrawn 3 CP 01/2020 Smt.Binny Mathew KSEB Ltd Non-Compliance of CGRF(S) Order dated 02.12.2019 Chirackal House, order dated 21-11-2019 21.05.2019. Kalaketty.P.O in OP.No.103/2019 Petition dropped since the reply to show cause notice u/s 142 of the Electricity Act, 2003 is satisfactory

Files pending in 2019-20

Sl. Petition No. Name of Name of Subject Remarks No with date petitioner respondent 1 CP 02/2018, Sri.George Antony, KSEB Ltd Non -complaince of File kept in 25.04.2018 Pothanikat House, Electricity Omdudsman abeyance till Kothamangalam. order dated. 29-12-2017 in disposal of WP(C) appeal Petition No. No.29261/18 P/103/2017 pending before the Hon’ble High Court of Kerala 2 CP 03/2018, Smt K.G. Sujatha, KSEB Ltd Non-Compliance of File kept in 23.04.2018 Kandathil Veeedu, CGRF (C) order dated. abeyance till Punnamada 20.01.2018 in disposal of WP(C) Avalukunnu.P.O, O.P No.50/2017-18 No. 20156/18 Alappuzha-688006 pending before the Hon’ble High Court of Kerala

KSERC Annual Report 2019-20 45 3 CP 03/2019, Sri.Manoj Shenoy KSEB Ltd Non-Compliance of File kept in 16.10.2018 C/o,Tata Consultancy CGRF(N) order abeyance till Services Ltd, Passport dated. 20.08.2018 disposal of WP(C) Seva Kendra, Meempatt in O.P No.11/2018-19 No. 17224/2019 Mall, Moonampadi, pending before Malappuram District. the Hon’ble High Court of Kerala 4 CP.1/2019, Mohan Rajan, KSEB Ltd Non -complaince of File kept in 06.02.2019 Divan P.V.C Pipes, Electricity Omdudsman abeyance till Villoonni.P.O Kottayam order dated 26.11.2018 disposal of WP(C) in appeal Petition No. No.16629/2019 P/075/2018 pending before the Hon’ble High Court of Kerala 5 CP 01/2017 M/s. Capithan Exporting KSEB Ltd Non-Compliance of File kept in 03.04.2017 Company, Port Road, CGRF(S) order abeyance till Sakthikulangara, dated. 07.12.2015 in disposal of WP(C) Kollam O.P No.1532/2015 No.19254/2017 pending before the Hon’ble High Court of Kerala 6 CP 02/2017 Sri.G.Ravindran Nair, KSEB Ltd Non -complaince of File kept in 24.08.2017 General Manager, Electricity Omdudsman abeyance till Mata Amrithanandamayi order dated 29.05.2017 disposal Matha Medical & in appeal Petition No. of WP(C) Research P/005/2017 No.2995/2017 Centre Kochi. pending before the Hon’ble High Court of Kerala

18. ENGAGEMENT OF AUDITORS M/s. Krishna Nayagam and Associates were the internal auditors for auditing the accounts of the Commission for 2019-2020.

19. IMPLEMENTATION OF THE RIGHT TO INFORMATION ACT - 2005 Following officers have been designated as Public Information Officers during 2019-20.

i. Public Information Officer Sri.C.R.Satheesh Chandran, Administrative Officer till 25.12.2019 & Sri.K.Jayaprakash, Accounts officer from 26.12.2019

ii. Assistant Information Officer Smt.P.G. Sreedevi,Conf.Assistant

46 KSERC Annual Report 2019-20 iii. Appellate Authority Sri.G.Jyothichudan, Secretary till 24.12.2019 & Sri.C.R.Satheesh Chandran, Secretary i/c from 26.12.2019. 24 petitions under the Right to Information Act, 2005 were received and all of them were disposed of during the period under report.

20. LEGAL MATTERS 7 Appeals were filed before the Hon’ble APTEL during 2019-2020 in which Commission is arrayed as Respondent. Likewise, 8 Writ Petitions were filed before the Hon’ble High Court of Kerala during 2019-2020 in which the Commission has been arrayed as a Respondent. Also, 11 Nos of Civil Appeals/Special Leave Petitions are pending before the Hon’ble Supreme Court in which the Commission is arrayed as a Party. 79 Petitions were filed before the Commission for claiming enhanced compensation towards the loss sustained by the petitioners; whose landed properties were affected consequent to cutting of the trees for drawing 400 kV Mysore-Kozhikode Inter-State double circuit line by the Respondent M/s Power Grid Corporation of India Limited. Considering the fact that all the petitions were similar in nature, they were clubbed as 3 lots and were treated as 3 petitions. After conducting hearing of the parties, 2 lots of the petitions (44 Nos.) were disposed of by the Commission vide Orders dated 13/03/2020 and 23/03/2020 in 2019-20. Name and Address of the Standing Counsel in High Court: M/s V.J. Mathew & Co., International Law Firm, Level 2, Johnsara’s Court, Giri Nagar North, Kadavanthra, Cochin, Kerala- 682 020. Name and Address of the Standing Counsel in Hon’ble APTEL: Adv. Shashwat Singh, D-246, Third Floor, Defence Colony, New Delhi- 110 024. Name and Address of the Standing Counsel in Hon’ble SC: Adv.Dhananjaya Mishra, Advocate on Record, Supreme Court of India, New Delhi D-222, 3rd Floor, Defence Colony, New Delhi- 110 024. 21. FINANCE AND ACCOUNTS The Annual Accounts of the Commission, for the year 2019-20 (yet to be audited by the Accountant General) is at Annexure-III. Separate Audit report of the Comptroller and Audit General of India on the Accounts for the year 2018-19 is at Annexure IV

KSERC Annual Report 2019-20 47 22. COVID – 19 Pandemic The COVID-19 pandemic, also known as the Corona virus pandemic, is an ongoing pandemic of Corona virus disease 2019 (COVID-19) caused by severe acute respiratory syndrome Corona virus 2 (SARS-CoV-2). The disease was first identified in December 2019 in Wuhan, Hubei, China. The outbreak was declared as Public Health Emergency of International Concern by the World Health Organisation (WHO) in January 2020, and was recognised as a pandemic in March 2020. As part of the containment activities to prevent the wide spread of COVID -19, Government of Kerala declared lock down in the entire State for one week with effect from 24.03.2020 and following this Government of lndia has also issued lockdown orders up to 14.04.2020. The Commission is following all the instructions issued in connection with containment activities to prevent the wide spread of COVID -19 and all possible steps are being taken in the matter.

48 KSERC Annual Report 2019-20 ANNEXURE I List of proceedings/hearing held by the Commission during 2019-20

Sl.No. Date & Time Venue Subject 1 03.04.2019, 11.00 am Conference Hall, CSEZA OA 8/2019 – ARR & ERC for the control period 2018-19 to 2021-22 – Cochin Special Economic Zone Authority (CSEZA) 2 04.04.2019, 11.00 am Conference Hall Rubber Park India (P) Ltd, Valayanchirangara OA 10/2019 - ARR & ERC for the control period 2018-19 to 2021-22 – Rubber Park India Ltd 3 05.04.2019, 11.00 am KDH Club Hall, Munnar OA No. 6/2019 – ARR & ERC for the control period 2018-19 to 2021-22 - Kanan Devan Hills Plantation Private Limited. OA 5/2019 – Truing up of accounts for the FY 2017-18 – Kanan Devan Hills Plantation Private Limited. 4 07.05.2019, 11.00 am Commission’s Office OP No. 9/2018, OP No. 13/2018 – to 55/2018 – Compensation for tree cutting – Bro Sebastian and Others Petitioner : Bro Sebastian and Others Respondent : Power Grid Corporation India Limited. 5 08.05.2019, 02.30 pm Commission’s Office OP No. 11/2018 – Petition for determination of project specific tariff of 1 MW wind project at Ramakkelmedu Petitioner : Kosamattom Finance Ltd. Respondent ; KSEB Ltd. 6 10.05.2019, 11.00 am Conference Hall , OA Nos. 7/2019 and 11/2019 - ARR & ERC Cochin Port Trust for the control period 2018-19 to 2021-22 and Truing up of accounts for the year 2017-18 respectively - Cochin Port Trust Petitioner : Cochin Port Trust Respondent : KSEB Ltd. 7 24.05.2019, 11.00 am Commission’s Office RP No.1/2019 – Review petition filed by M/s INOX Renewables Ltd. Petitioner : INOX Renewables Ltd. Respondent : KSEB Ltd.

KSERC Annual Report 2019-20 49 8 17.06.2019, 11.00 am Commission’s Office OP No. 43/2019 – Petition filed by Cochin Special Economic Zone Authority (CSEZA) for approval of additional capital expenditure for the FYs 2017-18. Petitioner : CSEZA Respondent : KSEB Ltd. 9 17.06.2019, 12 noon Commission’s Office OP No. 44/2019 – Petition for additional time / installments for complying with the One Time Settlement scheme approved by the Commission. Petitioner : M/s AP Steel Re-Rolling Mill Ltd 10 17.06.2019, 02.30 pm Commission’s Office OA No. 12/2019 – Reduction of Tariff for Retail Sale of Electricity to Aided Schools Petitioner : Shri. P. Muraleedharan Respondent : KSEB Ltd 11 09.07.2019, 11.00 am Commission’s Office OA No. 13/2019 – Petition for the determination of tariff for the single point supply and sharing of electric charges – M/s South Asian Plywood Mills Pvt. Ltd. Petitioner: M/s South Asian Plywood Mills Pvt. Ltd. Respondent : KSEB Ltd 12 09.07.2019, 12 Noon Commission’s Office File No. 270/DD (T)/2019 – Judgment of the Hon'ble High Court of Kerala dated 22.11.2018 in WP (C) No. 37629 of 2018 – Shri. M. Chempakamuthu. Petitioner : Shri. M.Chempakamuthu Respondent : KSEB Ltd. 13 09.07.2019, 02.30 pm Commission’s Office OP 46/2019 – Petition for approval of draft power sale agreement for 92 MW floating solar project at Rajiv Gandhi Combined Cycle Power Project at Kayamkulam. Petitioner : KSEB Ltd. Respondent : RGCCPP, Kayamkulam 14 19.07.2019, 11.00 am Commission’s Office OP No.48/2019 – Petition for exemption from the installation of special energy meters and RTU for grant of long term intra state open access for our printing centers. Petitioner : Malayala Manorama Co Ltd. Respondent : KSEB Ltd.

50 KSERC Annual Report 2019-20 15 19.07.2019, 11.30 am Commission’s Office OA No. 1/2019 – Petition filed by the petitioner in the matter of installation of transformer. Petitioner : Smt. Rengini Sasidharan. Respondent : KSEB Ltd 16 19.07.2019, 12 Noon Commission’s Office OP No. 31/2019 – Petition for issue of No Objection Certificate and concurrence for availing power through Open Access Petitioner : Southern Railway Respondent : KSEB Ltd 17 19.07.2019, 02.30 am Commission’s Office OP No. 47/2019 – Meeting power require ment during summer 2019 – cancelling bid for procuring 150MW peak power on short term basis from 15.10.2018 to 31.12.2018 & 16.2.2019 to 31.5.2019. Petitioner : KSEB Ltd. 18 20.08.2019, 11.00 am Commission’s Office OP No. 50/2019 – Implementing of grid connected solar pv rooftop systems through EPC contractors / developers under CAPEX / RESCO by KSEB Ltd – SOURA Project 19 20.08.2019, 11.30 am Commission’s Office OA No. 26/2019 – Petition filed under WP (C) No. 39396 of 2015 for Deemed HT Connection filed by Sri. P.P.Jose. Petitioner : Shri. P.P Jose. Respondent : KSEB Ltd 20 20.08.2019, 12 noon Commission’s Office Restricting the supervision charges of National Highway Authority of India (NHAI) (DO letter No. PWR-C3/452/2018- Power)Respondent:KSEB Ltd. 21 20.08.2019, 2.30 pm Commission’s Office Petition filed by KSEB Ltd – OneTime Settlement Scheme - 2019 22 16.09.2019, 11.00 am Commission’s Office OP No. 53/2019 – Petition filed by KSEB Ltd seeking approval of Power Sale Agreement (PSA) for 200 MW wind power with the Solar Energy Corporation of India Ltd on long term basis. Petitioner : KSEB Ltd. Respondent:Solar Energy Corporation of India Ltd.

KSERC Annual Report 2019-20 51 23 16.09.2019, 02.30 pm Commission’s Office OP No. 09/2018 and OP No. 13/2018 to 55/2018 – Petition filed for additional compensation for the loss sustained due to tee cutting – M/s Power Grid Corporation Limited. Petitioner : Bro Sebastian and Others Respondent : M/s Power Grid Corporation Limited. 24 24.10.2019, 10.30 pm Commission’s Office Draft – Kerala State Electricity Regulatory Commission (Renewable Energy and Net Metering) Regulations, 2019 25 24.10.2019, 2.30 pm Commission’s Office Draft – Kerala Electricity Supply Code, 2019 26 29.10.2019, 10.00 am Commission’s Office Draft - Kerala State Electricity Regulatory Commission (Kerala State Electricity Grid Code) Regulations, 2019 27 29.10.2019, 12 Noon Commission’s Office Draft-Kerala State Electricity Regulatory Commission (Power Quality for Distribution System) Regulations, 2019 28 31.10.2019, 10.30 am Town Hall, Eranakulam Draft – Kerala State Electricity Regulatory Commission (Renewable Energy and Net Metering) Regulations, 2019 29 31.10.2019, 2.30 pm Town Hall, Eranakulam Draft – Kerala Electricity Supply Code, 2019 30 15.11.2019, 10.30 am Conference Hall, CEZA, Draft – Kerala State Electricity Regulatory Kakkanadu Commission (Terms and Conditions for Determination of Tariff) – (First Amendment) Regulations, 2019 31 21.11.2019, 11.00 am Malabar Hall, Park Centre, OA 25/2019 – ARR & ERC petition filed by Technopark Campus, M/s Technopark for the control period Thiruvananthapuram 2018-19 to 2021-22. Petitioner : M/s Technopark, Tvm Respondent : KSEB Ltd. 32 21.11.2019, 11.00 am Malabar Hall, Park Centre, OP 57/2019 – Petition to meet contract Technopark Campus, demand of 7.1 MVA on multiple 11 kV Thiruvananthapuram feeder of Embassy Taurus, Technozone, Technopark, Phase III Campus. Petitioner : M/s Technopark Respondent : KSEB Ltd.

52 KSERC Annual Report 2019-20 33 25.11.2019, 11.00 am Conference Hall, KPUPL, OA No.14 to 24 of 2019 – Application for Kinfra Park Office, re-truing up of accounts for the years 2004-05 Kakkanad, Kochi-42 to 2014-15 – KPUPL Petitioner : KPUPL Respondent : KSEB Ltd 34 27.11.2019, 11.00 am Commission’s Office RP 4/2019 – Review Petition filed by M/s RubberPark India (P) Ltd against the order dated 15.7.2019 in OA 14/2018 on the Truing up for the FY 2016-17. Petitioner : RPIL Respondent : KSEB L 35 27.11.2019, 12 Noon Commission’s Office OP 58/19 – Application for approval of the draft PPA - KINFRA at Textile Park, Kanjikode, Palakkad District. Petitioner : M/s INOX Renewables Ltd. Respondents : 1 KSEB Ltd., 2. M/s Damodar Jagannath Malpani, 36 27.11.2019, 2.30 pm Commission’s Office OA 29/2019 – Petition on fuel surcharge for the period from April 2019 to June, 2019.Petitioner : KSEB Ltd 37 06.01.2020, 11.00 am Commission’s Office OP 62/2019 – Petition for entering into short term power procurement from 2/2020 to 9/2020 with PTC India Ltd and BSES Yamuna Pvt Ltd. Petitioner : KSEB Ltd. 38 06.01.2020, 12 Noon Commission’s Office Petition setting the arrears with respect to M/s Malayalam Chemicals Pvt Ltd under OTS Scheme. Petitioner : KSEB Ltd. 39 24.01.2020, 11.30 am Conference Hall, 3rd floor, OP 1/2020 – Petition filed by TCED KSFE Corporate Office for single point supply and sharing of Building, Chembukavu, Thrissur electricity charges – Thrissur Corporation Electricity Department. Petitioner : TCED : Respondent : KSEB Ltd 40 28.01.2020 Commission’s Office OA 1/2020 – Petition for the truing up of 11.30 am accounts for the FY 2017-18 – M/s Rubber Park India (P) Ltd. Petitioner :M/s Rubber Park India (P) Ltd. Respondent : KSEBL

KSERC Annual Report 2019-20 53 41 28.01.2020, 02.30 pm Commission’s Office OA 31/2019 – Truing up of accounts for the FY 2016-17 – M/s Technopark. Petitioner : M/s Technopark Respondent : KSEBL 42 14.02.2020, 11.00 am Commission’s Office OA 3/2020 – Petition for truing up of accounts for the FY 2017-18 – M/s Cochin Special Economic Zone Petitioner : CSEZA Respondent : KSEB Ltd 43 14.02.2020, 02.30 pm Commission’s Office OA 4/2020 – Petition for truing up of accounts for the FY 2018-19 – M/s Kanan Devan Hills Plantations Company Private Ltd. Petitioner : M/s KDHPCL Respondent : KSEB Ltd 44 17.02.2020, 11.00 am Conference Hall, OA 5/2020 – Petition for the truing up of Cochin Port Trust accounts for the year 2018-19 filed by M/s Cochin Port Trust. Petitioner : CoPT Respondent : KSEB Ltd. 45 19.2.2020, 11.00 am Commission’s Office OA 2/2020 – Petition on ‘Proposals to recover the additional cost incurred during the period July 2019 to September 2019 over approved level of generation and power purchase due to variation in cost of fuel – (Fuel surcharge Petition) - KSEB Ltd. 46 20.2.2020, 11.00 am Commission’s Office OP 60/2019 – Petition for approval of procedure for processing and resolving complaints of consumers - KSEB Ltd. 47 20.2.2020, 02.30 pm Commission’s Office OA 30/2019 – Petition for determination of compensatory tariff for rehabilitation of Iruttukanam Small Hydro Power Project Stage I and II . Petitioner : M/s Viyyat Power Pvt Ltd. Respondent : KSEB Ltd. 48 27.2.2020, 10.30 am Commission’s Office OP 4/2020 – Approval for inviting re- tender for implementation of 60 MWp Soura Roof Top Solar PV Scheme – KSEB Ltd. 49 27.2.2020, 11.30 am Commission’s Office OP 3/2020 – Approval for inviting Bids for implementation of EPC – RESCO under MNRE subsidy scheme – KSEB Ltd.

54 KSERC Annual Report 2019-20 50 27.2.2020, 12.30 pm Commission’s Office OP 5/2020 – Restricting the supervision charges payable to KSEB Ltd by Kochi Metro Rail Limited

51 28.2.2020, 11.00 am Commission’s Office Review Petition against the order dated 11.11.2019 on suo motu proceeding in Generation Based Incentive for off grid Captive Solar Power Plants – KSEB Ltd

52 28.2.2020, 12 Noon Commission’s Office OP 6/2020 – Approval for entering into short term power procurement arrangement through banking transactions during the period from February 2020 to September 2020 with PTC India Ltd and BSES Yamuna Pvt. Ltd. Respondent : PTC India Ltd & BSES Yamuna Pvt Ltd. Petitioner : KSEB Ltd.

53 04.03.2020, 11.00 am Commission’s Office OP 58/2019 – Petition for approval of PPA for 16 MW Wind Power Project at KINFRA park of Palakkad district of Kerala – M/s INOX Renewables Limited. Petitioner : INOX Renewables Ltd. Respondent : KSEB Ltd

54 04.03.2020, 11.30 am Commission’s Office RP 1/2020 – Review Petition on the order dated 8.11.2019 - ARR & ERC for the control period 2018-19 to 2021-22 filed by M/s Rubber Park India Pvt. Ltd. Petitioner : Rubber Park India Pvt Ltd. Respondent : KSEB Ltd.

55 04.03.2020, 02.30 pm Commission’s Office OP 56/2019 – Petition filed by Hydro Power Limited for approval of PPA. Petitioner : Hydro Power Limited Respondent : KSEB Ltd.

56 04.03.2020, 03.00 pm Commission’s Office OP 7/2020 – Determination of project specifictariff for Karikkayam Small Hydro Project (Ayyappa Hydro Power Ltd) and execution of PPA. Petitioner:M/s Ayyappa Hydro Power Ltd. Respondent : KSEB Ltd.

KSERC Annual Report 2019-20 55 57 06.03.2020, 11.00 am Conference Hall, OA 32/2019 – Petition for truing up of Guest House, Ramanilayam, accounts for the FY 2017-18 – Thrissur Thrissur Corporation Electricity Department. Petitioner : TCED Respondent : KSEB Ltd

58 06.03.2020, 12 Noon Conference Hall, OP 2/2020 – Waving Power Factor Guest House, Penalty imposed by KSEB Ltd. Ramanilayam, Thrissur Petitioner : TCED Respondent : KSEB Ltd

56 KSERC Annual Report 2019-20 ANNEXURE II

List of Electrical Sections of KSEB Ltd inspected by the Junior Consultants of the Consumer Advocacy Cell during the financial year 2019-20

Sl.No Electrical Circle Electrical section Date of inspection

1 Kadapra 13.06.2019 2 Ranny(North) 14.06.2019 3 Kumbazha 15.06.2019 4 Pathanamthitta Elavumthitta 17.06.2019 5 Kozhenchery 18.06.2019 6 Ezhamkulam 19.06.2019 7 Thiruvalla 20.06.2019 8 Mallappally 21.06.2019 9 Pala Pinnakkanadu 11.06.2019 10 Erattupetta 12.06.2019 11 Kidangoor 13.06.2019 12 Pala Ramapuram 14.06.2019 13 Vazhoor 18.06.2019 14 Kanjirapally 1906.2019 15 Pallikkathode 20.06.2019 16 Mundakkayam 21.06.2019 17 Tirur Edarikode 12.06.2019 18 Vengara 13.06.2019 19 Parappanangadi 14.06.2019 20 Tirur Thavanur 15.06.2019 21 Edappal 17.06.2019 22 Thirunavaya 19.06.2019 23 Tirur(west) 20.06.2019 24 Puthanathani 21.06.2019 25 Kannur Azheekode 11.06.2019 26 Burnassery 14.06.2019 27 Pallikunnu 15.06.2019 28 Mayyil 19.06.2019 29 Kannur Pinarayi 20.06.2019 30 Parat 22.06.2019 31 Kuthuparamba 25.06.2019 32 Thalassery(south) 26.06.2019

KSERC Annual Report 2019-20 57 33 Thiruvanathapuram Kallamballam 15.07.2019 34 Edava 16.07.2019 35 Sreekariyam 17.07.2019 36 Thiruvananthapuram Kesavadasapuram 18.07.2019 37 Pettah 19.07.2019 38 Peroorkada 22.07.2019 39 Karamana 23.07.2019 40 Fort 24.07.2019 41 Ernakulum Thrikkakara 15.07.2019 42 Tripunithura 16.07.2019 43 Palarivattom 17.07.2019 44 Ernakulam Thevara 18.07.2019 45 Ezhikkara 24.07.2019 46 North paravur 25.07.2019 47 Kumblangi 29.07.2019 48 Thoppumpady 30.07.2019 49 Manjeri Kulathoor 15.07.2019 50 Thazhekode 16.07.2019 51 Pulamanthole 17.07.2019 52 Manjeri Malappuram(east) 22.07.2019 53 Manjeri(south) 23.07.2019 54 Pulikkal 24.07.2019 55 Kizhissery 25.07.2019 56 Thrikkalangode 26.07.2019 57 Kozhikode Mavoor 15.07.2019 58 Beach 16.07.2019 59 Westhill 17.07.2019 60 Kozhikode Atholi 23.07.2019 61 Ramanattukkara 24.07.2019 62 Pantheerankavu 25.07.2019 63 Beypore 26.07.2019 64 Balussery 27.07.2019 65 Pathanamthitta Vadasserikkara 13.08.2019 66 Vennikulam 14.08.2019 67 Pathanamthitta 16.08.2019 68 Manipuzha 17.08.2019 Pathanamthitta 69 Kaipattoor 19.08.2019 70 Kalanjoor 21.08.2019 71 Pandalam 22.08.2019 72 Thottabhagam 26.08.2019

58 KSERC Annual Report 2019-20 73 Kannur Vengad 14.08.2019 74 Panoor 16.08.2019 75 Pattiam 17.08.2019 76 Kodeyeri 22.08.2019 Kannur 77 Chalode 24.08.2019 78 Peralassery 27.08.2019 79 Pappinissery 29.08.2019 80 Kannur 30.08.2019 81 Pala Pala 05.08.2019 82 Erumely 17.08.2019 83 Pampady 19.08.2019 84 Ponkunnam 20.08.2019 Pala 85 Bharanganam 22.08.2019 86 Paika 24.08.2019 87 Maragattupally 26.08.2019 88 Poojar 27.08.2019 89 Tirur Ponmundam 06.08.2019 90 Thanur 08.08.2019 91 Vallikkunnu 21.08.2019 92 Tirur Kottakal 24.08.2019 93 Thirurangadi 26.08.2019 94 Ponnani 27.08.2019 95 Changaramkulam 29.08.2019 96 Valanchery 30.08.2019 97 Ernakulam Chennamangalam 18.09.2019 98 Varapuzha 20.09.2019 99 Mattancherry 23.09.2019 100 Vytilla 24.09.2019 Ernakulam 101 Vaduthala 25.09.2019 102 College 26.09.2019 103 Vypin 27.09.2019 104 Chottanikkara 28.09.2019 105 Kozhikode Pottammel 17.09.2019 106 Kozhikode Central 19.09.2019 107 Karaparamba 20.09.2019 108 Kozhikode Feroke 23.09.2019 109 Mankavu 24.09.2019 110 Omassery 25.09.2019 111 Balussery 26.09.2019 112 Thamarassery 27.09.2019

KSERC Annual Report 2019-20 59 113 Thiruvanathapuram(U) Kulathur 18.09.2019 114 Kaniyapuram 19.09.2019 115 Manakkadu 20.09.2019 116 Poojapura 23.09.2019 Thiruvananthapuram 117 Cantonement 24.09.2019 118 Kadakkavur 25.09.2019 119 Attingal 26.09.2019 120 Kilimannur 27.09.2019 121 Manjeri Chattiparamba 16.10.2019 122 Anakkayam 17.10.2019 123 Vallumburam 19.10.2019 124 Mankada 21.10.2019 Manjeri 125 Areacode 23.10.2019 126 Angadipuram 24.10.2019 127 Attingal 26.10.2019 128 Kondotty 25.10.2019 129 Alappuzha Poochakkal 16.10.2019 130 Pathirappally 18.10.2019 131 Cherthala 19.10.2019 132 Punnapra 22.10.2019 Alappuzha 133 Pattanakkad 23.10.2019 134 Kainakary 24.10.2019 135 Edathua 25.10.2019 136 Alappuzha-North 26.10.2019 129 Kollam Cantonement 19.10.2019 130 Sakthikulagara 21.10.2019 131 Perinad 25.10.2019 132 Thevalakkara 26.10.2019 Kollam 133 Sasthamcotta 28.10.2019 134 Chathanur 29.10.2019 135 Kottiyam 30.10.2019 136 Ochira 31.10.2019 137 Irinjalakuda Koratty 10.10.2019 138 Kodakara 11.10.2019 139 KodugalloorNo.1 14.10.2019 140 Mathilakam 15.10.2019 Irinjalakuda 141 IrinjalakudaNo.1 25.10.2019 142 Parappukara 28.10.2019 143 Thriprayar 29.10.2019 144 Puthenvelikara 30.10.2019

60 KSERC Annual Report 2019-20 145 Thrissur Nadathara 12.11.2019 146 Koorkkencherry 13.11.2019 147 Mundur 16.11.2019 148 Thrissur Parappur 18.11.2019 149 Ramavarmapuram 19.11.2019 150 Wadakkancherry 20.11.2019 151 Kundannur 21.11.2019 152 Vhavakkad 23.11.2019 153 Vadakara Meladi 12.11.2019 154 Naduvannur 13.11.2019 155 Azhiyur 14.11.2019 156 Vadakara Parakkadavu 15.11.2019 157 Perambra 16.11.2019 158 Kuttiyadi 19.11.2019 159 Vadakara East 20.11.2019 160 Muttungal 21.11.2019 161 Kottayam Kottayam East 12.11.2019 162 Puthuppally 14.11.2019 163 Thengana 15.11.2019 164 Kottayam Aymanam 16.11.2019 165 Manimala 19.11.2019 166 Kuruppamthara 20.11.2019 167 Thalayolaparambu 21.11.2019 168 Vaikom 22.11.2019 169 Shornur Cherppulassery 12.11.2019 170 Perigode 14.11.2019 171 Pattambi 16.11.2019 172 Shornur Mannarkad 20.11.2019 173 Agali 21.11.2019 174 Kumaramputhur 22.11.2019 175 Thrithala 26.11.2019 176 Ottapalam 28.11.2019 177 Kollam Thangassery 16.12.2019 178 Myanadu 18.12.2019 179 Paravur 20.12.2019 180 Chavara 23.12.2019 Kollam 181 Karunagappally North 24.12.2019 182 Pallimukku 26.12.2019 183 Kajiramkuzhi 27.12.2019 184 Sooranadu 28.12.2019

KSERC Annual Report 2019-20 61 185 Irinjalakuda Pudukkad 11.12.2019 186 Vellangallur 12.12.2019 187 Kattoor 13.12.2019 188 Irinjalakuda Kaippamangalam 16.12.2019 189 Perijanam 18.12.2019 190 Valappad 19.12.2019 191 Pariyaram 27.12.2019 192 Mala. 28.12.2019 193 Alappuzha S.L.Puram 13.12.2019 194 Arthungal 16.12.2019 195 Aroor 17.12.2019 196 Cherthala East 18.12.2019 197 Alappuzha Chambakulam 20.12.2019 198 Monkombu 21.12.2019 199 Alappuzha Town 23.12.2019 200 Ambalapuzha 24.12.2019 201 Kasargode Chekala 13.12.2019 202 Manjeswar 16.12.2019 203 Kasargode 17.12.2019 204 Uduma 19.12.2019 Kasargode 205 Mavungal 20.12.2019 206 Kanhangad 21.12.2019 207 Pilicode 23.12.2019 208 Nileshwar 24.12.2019 209 Shornur Vallapuzha 13.01.2020 210 Allenallur 14.01.2020 211 Thachempara 15.01.2020 212 Shornur Shornur 16.01.2020 213 Koppam 17.01.2020 214 Chalissery 20.01.2020 215 Vaniamkulam 22.01.2020 216 Ottappalam 29.01.2020 217 Kottayam Nattakam 23.01.2020 218 GandhiNagar 24.01.2020 219 Manarkadu 25.01.2020 220 Changanassery 27.01.2020 Kottayam 221 Karukachal 28.01.2020 222 Ettumannur 29.01.2020 223 Thalayazham 30.01.2020 224 Kuruvilangadu 31.01.2020

62 KSERC Annual Report 2019-20 225 Thrissur Kandasankadavu 13.01.2020 226 Viyoor 14.01.2020 227 Ayyanthole 16.01.2020 228 Ollur 20.01.2020 229 Thrissur Mannuthy 21.01.2020 230 Kechery 22.01.2020 231 Pazhanji 23.01.2020 232 Chelakara 24.01.2020 233 Vadakara Ayanchery 14.01.2020 234 Koilandy North 15.01.2020 235 Nadhapuram 17.01.2020 236 Thikkodia 18.01.2020 Vadakara 237 Thottilpalam 22.01.2020 238 Mepayur 23.01.2020 239 Vadakara Beach 27.01.2020 240 Parappupara 28.01.2020 241 Kasargode Thrikaripur 12.02.2020 242 Bheemanadi 13.02.2020 243 Rajapuram 14.02.2020 244 Kasargode Padanna 24.02.2020 245 Uppada 25.02.2020 246 Nellikunnu 26.02.2020 247 Mulleria 27.02.2020 248 Kuttikole 28.02.2020 249 Palakkad Chittoor 17.02.2020 250 Thathamangalam 18.02.2020 251 Alathur 19.02.2020 252 Kuzhalmannam 20.02.2020 253 Palakkad Mundur 24.02.2020 254 Malampuzha 26.02.2020 255 Olavakodu 27.02.2020 256 Kizhakancherry 29.02.2020 257 Perumbavur Angamaly 11.02.2020 258 Malayattur 12.02.2020 259 Kalamassery 13.02.2020 260 Aluva North 14.02.2020 261 Perumbavur Vazhakulam 17.02.2020 262 Vellurkunnam 19.02.2020 263 Piravam 24.02.2020 264 Koothattukulam 25.02.2020

KSERC Annual Report 2019-20 63 265 Kottarakkara Perumpuzha 12.02.2020 266 Puthoor 14.02.2020 267 Kadakkal 19.02.2020 268 Kottarakkara Pathanapuram 20.02.2020 269 Ayoor 22.02.2020 270 Veliam 24.02.2020 271 Kottarakar East 26.02.2020 272 Ezhukone 28.02.2020 273 Nilambur Wandoor 10.03.2020 274 Kalikave 11.03.2020 275 Edavanna 12.03.2020 276 Nilambur Nilamboor 13.03.2020 277 Pukottumpadam 16.03.2020 278 Pothukallu 17.03.2020 279 Chunkathara 18.03.2020 280 Thiruvali 19.03.2020 281 Kalpetta Vytteli 10.03.2020 282 Meenangadi 12.03.2020 283 Kalpetta Sulthanbatheri West 13.03.2020 284 Kambalakad 16.03.2020 285 Vellamunda 17.03.2020 286 Thodupuzha Vannapuram 12.03.2020 287 Thodupuzha No.2 13.03.2020 288 Thodupuzha Adimali 16.03.2020 289 Rajakumari 17.03.2020 290 Pinavu 19.03.2020 291 Haripad Kayamkulam East 11.03.2020 292 Karthikapalli 13.03.2020 293 Haripad Chepad 16.03.2020 294 Charumoodu 18.03.2020 295 Mavelikkara 20.03.2020

64 KSERC Annual Report 2019-20 ANNEXURE III

KSERC Annual Report 2019-20 65 66 KSERC Annual Report 2019-20 KSERC Annual Report 2019-20 67 68 KSERC Annual Report 2019-20 KSERC Annual Report 2019-20 69 70 KSERC Annual Report 2019-20 KSERC Annual Report 2019-20 71 72 KSERC Annual Report 2019-20 KSERC Annual Report 2019-20 73 74 KSERC Annual Report 2019-20 KSERC Annual Report 2019-20 75 ANNEXURE IV

OFFICE OF THE ACCOUNTANT GENERAL (E&RSA) KERALA, THIRUVANANTHAPURAM

SEPARATE AUDIT REPORT OF THE COMPTROLLER AND AUDITOR GENERAL OF INDIA ON THE ACCOUNTS OF KERALA STATE ELECTRICITY REGULATORY COMMISSION FOR THE YEAR ENDED 31st MARCH 2019

We have audited the attached Balance sheet of Kerala State Electricity Regulatory Commission (Commission) as at 31 March 2019 and the Income and Expenditure Account for the year ended on that date under Section 104 of the Electricity Act, 2003. These financial statements are the responsibility of the Commission. Our responsibility is to express an opinion on these financial statements based on our audit. This Separate Audit Report contains the Comments of the Comptroller and Auditor General of India (CAG) on the accounting treatment only with regard to classification, conformity with the best accounting practices Accounting Standards and disclosure norms etc. Audit observations on financial transactions with regard to compliance with the Law, Rules and Regulations (propriety and regularity) and efficiency-cum-performance aspects etc., if any, are reported through Inspection Reports/CAG's Audit Reports separately.

We have conducted our audit in accordance with Auditing Standards generally accepted in India. These standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free from material misstatements. An audit includes examining on a test basis, evidences supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by the management, as well as evaluating the overall presentation of financial statements. We believe that our audit provides a reasonable basis for our opinion.

Based on our audit, we report that: i. We have obtained all the information and explanations, which to the best of our knowledge and belief were necessary for the purpose of our audit; ii. In our opinion, proper book of accounts and other relevant records have been maintained by the Commission as required under Section 15 of the Kerala State Electricity Regulatory Commission (Accounting) Regulations, 2005; iii. The Balance Sheet and Income and Expenditure Account dealt with by this report are in agreement with the books of accounts maintained by the Commission.

76 KSERC Annual Report 2019-20 iv. We further report as under: 1. Balance Sheet 1.1 Corpus/Capital Fund/Liabilities 1.1.1 Current Liabilities and Provisions Rs.49.47 lakh

This does not include Rs.1.76 lakh being the Dearness Allowance (DA) arrears of officers and staff payable for the period January 2018 to March 2019. The non-provision has resulted in understatement of current liabilities by Rs.1.76 lakh and corresponding overstatement of excess of income over expenditure. 2. Notes forming part of Accounts

2.1 Disclosure of accounting policies

(a) According to Para 19 of Kerala State Electricity Regulatory Commission (Accounting) Regulations, 2005, the Annual Statement of Accounts shall be in such form as prescribed by State Government in consultation with the Accountant General. No communication from State Government prescribing the form of accounts has been received so far. This fact has not been disclosed in notes

(b) According to AS-12, the accounting policy adopted for government grants, including the methods of presentation in the financial statements has to be disclosed. This has not been complied with in respect of Capital grants from State Governments (Schedule 1).

(c) Proper disclosure of accounting policy for accounting of retirement benefits and employee benefits like gratuity, leave encashment, pension contribution etc. has not been made as required by AS 1 Disclosure of Accounting Policies.

(d) The Commission has not disclosed the general description of leasing arrangements as required under AS 19 in respect of the building held on lease (from Kerala State Power and Infrastructure Corporation Limited) and land held on lease (from Government of Kerala and Kerala State Electricity Board Limited)

1. General The Commission has not received any Government grants during the current year. 2. Impact of comments The impact of the Comments on the Balance Sheet based on the above audit observations is that the Liabilities as at the end of the year was understated by Rs.1.76 lakh (Comment No.1.1.1).

v. Subject to our observations in the preceding paragraphs, we report that the Balance Sheet and Income and Expenditure Account dealt with by this Report are in agreement with the books of account.

vi. In our opinion and to the best of our information and according to the explanations given to us, the said financial statements read together with the Accounting Policies and Notes

KSERC Annual Report 2019-20 77 to accounts, and subject to the significant matters stated above, give a true and fair view in conformity with the accounting principles generally accepted in India:

a. In so far as it relates to the Balance Sheet, of the state of affairs of the Commission as at 31 March 2019, and

b. In so far as it relates to the Income and Expenditure Account, the excess of income over expenditure for the year ended on 31 March 2019.

For and on behalf of The Comptroller and Auditor General of India

Sd/- K.P.ANAND ACCOUNTANT GENERAL (E&RSA), KERALA

Thiruvananthapuram Dated: 20.2.2020

78 KSERC Annual Report 2019-20 Annexure on Internal Control

1. Adequacy of Internal Audit System

The effectiveness of controls is reviewed through an independent internal audit process. There was no separate Internal Audit Wing in the Commission. Internal audit was entrusted to a firm of Chartered Accountants. The Internal Auditor for the year 2018-19 was appointed only on 6 December 2018, who submitted report to the Commission on 26 August 2019.

The internal audit by the Chartered Accountants is not commensurate with the size and nature of activities of the Commission as it was not receiving the benefits intended from Internal Audit due to delay in appointment and absence of periodical (say quarterly) reporting by the Internal Auditor and its review by the Commission. The coverage of the Internal Audit Report was inconsistent with the terms of reference as it expressed an opinion on the financial statements and did not cover all aspects included in the work.

2. System of physical verification of Fixed Assets

The Commission has not conducted physical verification of fixed assets for the financial year 2018-19. Proper records showing full particulars including quantitative details and situation of fixed assets, however, have not been maintained by the Commission.

3. Preparation of accounting manual

No accounting manual has been prepared by the Commission.

4. Maintenance of registers

The Commission has not maintained updated registers for Fixed Deposits and Advances.

5. Regularity in Payment of Statutory Dues

The Commission has been generally regular in depositing undisputed statutory dues.

Sd/- Deputy Accountant General (E.S.I)

KSERC Annual Report 2019-20 79 80 KSERC Annual Report 2019-20 KSERC Annual Report 2019-20 81 82 KSERC Annual Report 2019-20 KSERC Annual Report 2019-20 83 84 KSERC Annual Report 2019-20 KSERC Annual Report 2019-20 85 86 KSERC Annual Report 2019-20 KSERC Annual Report 2019-20 87 88 KSERC Annual Report 2019-20 KSERC Annual Report 2019-20 89 90 KSERC Annual Report 2019-20 KERALA STATE ELECTRICITY REGULATORY COMMISSION

ANNUAL REPORT