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9th August 2016 Current Affairs Questions and Answers

9th August 2016 Current Affairs MCQs, Quiz, Questions : Current Affairs for August 2016 ,  Daily Multiple Choice Questions (MCQs) for In...

Sterlite Grid commissioned first Power Project under TBCB incentive regime

Sterlite Grid on 2 January 2016 set a new benchmark by commissioning the Transmission Project to Rajasthan Atomic Power Project (RAPP) ahead of schedule under the Tariff Based Competitive Bidding (TBCB) incentive regime. At the same time the completion of Rajasthan Atomic Power Project (RAPP) before the scheduled time makes it the first project eligible for the incentive programme (won as part of TBCB) introduced by Union Ministry of Power. Under this incentive programme Sterlite Grid will hold the transmission charge from the date of commercial operations, even if it is completed before the scheduled time. Sterlite Grid won the right to establish Rajasthan Atomic Power Project (RAPP) in 2013. They completed the Project in 12 months. This Project will benefit the following states directly – Madhya Pradesh, Punjab and Haryana.
Incentivise power transmission project
  • In June 2015 Union Government issued an order that transmission projects that are won under Tariff Based Competitive Bidding (TBCB) and as well as projects given to PowerGrid Corporation for system strengthening can gain benefit from early commissioning of Projects. This order came into force on June 12, 2015.
  • According Union Ministry of Power, the projects that will complete the commissioning early; they will start getting transmission charge from the date of commercial operations, even if it is ahead of schedule. At the same time, the length of applicability of tariff will remain unchanged with duration of 25 or 35 years as may be the case.
  • This concept of incentivizing power transmission projects were introduced to reduce congestion in the grid systems by giving the responsibility of setting the time duration for commissioning a transmission project in the hand of developers. The move was also the result of transmission constraints being suffered by northern States.