Power Plants
Electricity generated by central sector generating stations is allocated to the beneficiary States and Union Territories in the electricity region by the Ministry of Power (MoP). As per the extant guidelines of MoP, 50% of power is allocated to ‘Home’ State, 15% unallocated power kept at the disposal of Government of India and 35% is allocated to other constituents (except ‘Home’ State) of that region.
The average tariff of nuclear power in the financial year 2016-17 was Rs 2.95 per unit, with tariffs of stations ranging from Rs 1.07 in case of the oldest station TAPS 1&2 to Rs 4.10 in respect of the latest station, KKNPP 1&2. The present tariff norms for nuclear power are based on recovery of relevant costs and a return on equity of 15.5%, to be grossed up with normal tax rate applicable during each year of the tariff period. The norms are similar to that notified by various Electricity Regulatory Commissions for other electricity generating technologies.
