CEA issues O&M guidelines and standard format for MoU between new and existing TSP

The Central Electricity Authority (CEA) has issued operation and maintenance (O&M) guidelines and standard format for memorandum of understating (MoU) between new and existing transmission service provider (TSP).

CEA has noted that in case of the assets of the new TSP which are co-located in the existing substation, detailed scope of works as well as the roles and responsibilities of the new TSP and existing TSP have not been clearly defined in the tariff based competitive bidding (TBCB) bid documents. In view if this, these guidelines have been formulated which will be applicable to all the upcoming and under bidding inter-state transmission system (ISTS) projects and for new contracts in case of operational/under construction projects under TBCB route. All the existing contracts signed by the various TSPs for O&M activities and charges will remain in force till the end of their term. For all upcoming projects and under bidding projects, existing substation owner or agency of existing substation owner shall carryout the O&M activities in case of any bay extension as well as in case of voltage expansion works in the existing substation. The O&M charges to be paid by the new TSP to the existing substation owner, for the relevant year, shall be 30 per cent of the normative O&M expenses of relevant voltage level and transformer capacity as specified for that particular year in Central Electricity Regulatory Commission (Terms and Conditions of Tariff) Regulations as issued from time to time.

Click here to access the guidelines