FSA -APCPDCL Calculation Methodology
CENTRAL POWER DISTRIBUTION COMPANY OF A.P.Ltd
EXPLANATORY NOTE FOR THE FSA FILINGS MADE BY DISCOM
FOR FY 2008-09 & 2009-10:
METHODOLOGY APPLIED:
As per the methodology envisaged vide AP Gazette no.30. dt.17.07.2003 the FSA
is to be computed as per the formula given below.
Fi (FSA) = (Pi X Ei+ FCi + Z+ Ai)/Qi.
The amount eligible for recovery through the Fuel Surcharge Adjustment
formula is for the price and mix variance in the quantity of energy to be purchased as per
the tariff order during quarter ‘i’. This is to be computed for each of the month and
aggregated for the quarter ‘i’
Where,
Pi is the difference in the Weighted Average Variable Cost of power
purchase cost in quarter ‘i’ for the power purchase quantity mentioned
in the tariff order compared to the Weighted Average Variable Cost
adopted in the most recent Tariff order.
Ei is the energy purchased as mentioned in the tariff order in Kwhr during
the quarter to be submitted for each of the generating stations.
Fci is Difference in the Actual total fixed charges of the generating
stations from the base values adopted in the most recent tariff order.
Qi is the actual energy sold to all categories (except agriculture) in the
quarter
Z is the changes in the cost as allowed by the Commission for a period
extending in the past beyond the relevant quarter .
Ai Adjustment is to account for the financial impact of demonstrated
incidents of merit order on account of controllable factors or any other
events the financial impact of which, in the commission’s view should
be given appropriate treatment.
Explanatory Note:
The category wise actual sales for each of the Discoms are taken for all categories
restricting Agriculture sales to the extent of actual sales or APERC approved
quantities whichever is less on the demand side or sales side by grossing up with
normative Distribution and Transmission losses. The quantities arrived are
termed as purchases required to be made for sales by DISCOMs.
The merit order was prepared duly taking calculated power purchase quantities
instead of Tariff order purchase quantities wherever Tariff Order quantities are
more than calculated power purchase quantities considering sales.
The actual quantity of each generating station is taken as base to calculate actual
rate for each generating station.
The fixed cost approved for each station for the month is taken to find out the
differential fixed cost to be claimed through FSA.
The quantities purchased over and above the tariff approved quantities (or) power
purchase quantities calculated based on sales are excluded from the marginal
stations.
The prior period expenses and incomes are for each month are either added or
subtracted from the variance cost (FSA).
