The Financial Express [FRONT PAGE][ECONOMY]
[CORPORATE][MARKETS]
[EXPRESSIONS][LEISURE]
[BRANDWAGON][HABITAT]

Friday, May 23 1997

CEA amends thermal power guidelines

Vandana Saxena

MUMBAI, May 22: The Central Electricity Authority (CEA) has amended the guidelines relating to operations of steam generators, turbines and generating stations.

The areas where significant modifications have been carried out include those components which determine working capital, operation norms, plant load factor for different sized power stations and auxiliary power consumption.

According to the modified norms, to calculate interest, the working capital shall comprise expenses of 45 days of primary fuel consumption, including coal, lignite or petroleum coke or vacuum residue, annual operation and maintenance expenses. Primary and secondary fuel consumption will be on the basis of 75 per cent plant load factor.

The authority had, earlier, permitted fuel costs for one month. As regards fuel stock, 15 days consumption for the pit-head station and 30-days for non pit-head stations has been maintained.

However, as per the new norms, secondary fuel oil at the rated capacity can be stored for 15 days from the former level of 60 days.

Earlier, maintenance spares requirement was calculated at actual but not exceeding one year's needs. Under the changed norms, one year maintenance spares will be worked out at 40 per cent of annual O&M expenses.

Here, for each of the first three years of operation of the station, one-third of capitalised spares cost shall be deducted from the cost of one year maintenance.

These norms will apply to new and unused thermal power plants for the entire plant life. Plant efficiency will be an important factor while assessing reasonability of capital cost.

These changes, however, do not take into account special requirements which are site specific such as desulphurisation system, the notification adds.The requirements for auxiliary energy consumption for the station run on domestic coal or lignite has been cut down by one per cent to 8.5 per cent.

This will apply to stations which have cooling towers. For those without these towers, the consumption percentage stays at nine per cent.

Under the new guidelines, the annual plant load factor shall not be less than 75 per cent. In case of backing down, as directed by the regional electricity board, the available capacity shall be reckoned as power generated and deemed annual plant load factor will decide the incentives.

Copyright © 1997 Indian Express Newspapers (Bombay) Ltd.

ICICIBANK

PLANET INDIA

HUDCO
Infrastructure Bond Issue

INDIALINE

The Indian Express

IMAGE MAP

Late News | Front Page | Expressions | Economy | Markets | Corporate
Home | Habitat | Leisure | BrandWagon
Advertising | Feedback | What's New
Search | Archives
The Group