ORDER

(DATE OF HEARING: 3.3.2005)

The petitioner, National Thermal Power Corporation Ltd seeks revision of annual fixed charges for the period 14.1.2000 to 31.3.2004 as a consequence of incurring additional capital expenditure in respect of Tanda Thermal Power Station located in the State of Uttar Pradesh. The respondent herein is the only beneficiary of the generating station. The facts leading to filing of the present application are discussed in the succeeding paragraphs.

2. The erstwhile Uttar Pradesh State Electricity Board (UPSEB) (the predecessor of the respondent herein) constructed Tanda Thermal Power Station (4X110 MW), with a total installed capacity of 440 MW. The first three units were commissioned in 1987-88 to 1988-89. The last unit was commissioned in the year 1997-98.

3. The generating station was transferred to the petitioner on 14.1.2000 under the Uttar Pradesh Electricity Reforms (Transfer of Tanda Undertaking) Scheme, 2000 (the Scheme) for a total consideration of Rs.1, 000/- crore. The Scheme was framed by the State Government of Uttar Pradesh by virtue of powers under Section 23 of the Uttar Pradesh State Electricity Reforms Act, 1999. The petitioner and UPSEB ha