MERC Regulations 57Chapter · Wheeling

Section 57 · Components of tariff

- 57.1 The wheeling charges of the Distribution Licensee shall provide for the recovery of the aggregate revenue requirement, as provided in Regulation 66 of these Regulations, relating to the Distribution Business of the Distribution Licensee for the financial year, as reduced by the amount of non-tariff income and income from Other Business and shall comprise the following:Aggregate revenue requirement:(a)Return on equity capital;(b)Income-tax;(c)Interest on loan capital;(d)Depreciation, including advance against depreciation and amortisation of intangible assets;(e)Operation and maintenance expenses;(f)Interest on working capital and deposits from consumers and Distribution System Users; and(g)Contribution to contingency reserves.Wheeling charges = Aggregate revenue requirement, as above, minus:(h)Non-tariff income; and(i)Income from Other Business, to extent specified in these Regulations.

57.2

The wheeling charges of the Distribution Licensee shall be determined by the Commission on the basis of an application for determination of tariff made by the Distribution Licensee in accordance with Part B of these Regulations.

Your private note on this section

Only you can see this note.