Date: 2025-08-19Category: Extra OrdinaryState: Union GovernmentCountry: India
In pursuance of Clause 5.6 (vi) of the Ministry of Power (MOP) Notification on Guidelines for Determination of Tariff by Bidding Process for Procurement of Power by Distribution Licensees
This notification, issued by the Central Electricity Regulatory Commission (CERC) on August 6, 2025, concerns the escalation rates applicable for power procurement payments by distribution licensees. It is issued in pursuance of Clause 5.6 vi of the Ministry of Power (MOP) Notification dated 19.01.2005 regarding tariff determination by bidding for power procurement, as amended, along with MOP communication dated 13.04.2022, and MOP Resolution dated 11.07.2022. These guidelines relate to long-term power procurement from thermal power stations established on a Design, Build, Finance, Own, and Operate (DBFOO) basis, sourcing fuel as per Model Bidding Documents, including coal allocation under SHAKTI Scheme.
The notification specifies the following monthly escalation rates applicable for July 2025:
1. Escalation rate for imported coal: 7.90
2. Escalation rate for transportation of imported coal: 5.78
3. Escalation rate for inland handling of imported coal: 0.11
The notification is issued under No. EcoM72025CERC and signed by Harpreet Singh Pruthi, Secretary.
Key Entities Referenced
Central Electricity Regulatory Commission: A regulatory body referred to as CERC, involved in power sector regulation.
Ministry of Power: A government ministry, referred to as MOP, responsible for power-related policies and communications.
New Delhi: The location where the notification was issued.
Guidelines for Determination of Tariff by Bidding Process for Procurement of Power by Distribution Licensees dated 19.01.2005: A set of guidelines issued by the Ministry of Power regarding tariff determination through bidding for power procurement.
SHAKTI Scheme for Harnessing and Allocating Koyala Coal Transparently in India Policy dated 6.03.2019: A policy related to coal allocation in India.
Design, Build, Finance, Own and Operate: DBFOO basis for setting up Thermal Power Stations.
Thermal Power Stations: Stations set up on Design, Build, Finance, Own and Operate DBFOO basis.
Power Purchase Agreement: Agreement entered as per the Guidelines mentioned for Procurement of Power by Distribution Licensees.
रजिस्ट्री स.ं डी.एल.- 33004/99 REGD. No. D. L.-33004/99
सी.जी.-डी.एल.-अ.-20082025-265548
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असाधारण
EXTRAORDINARY
भाग III—खण् ड 4
PART III—Section 4
प्राजधकार स ेप्रकाजित
PUBLISHED BY AUTHORITY
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No. 566] NEW DELHI, TUESDAY, AUGUST 19, 2025/SHRAVANA 28, 1947
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5520 GI/2025 (1)2 THE GAZETTE OF INDIA : EXTRAORDINARY [PART III—SEC.4]
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[जवज्ञापन-III/4/असा./299/2025-26]
CENTRAL ELECTRICITY REGULATORY COMMISSION
NOTIFICATION
New Delhi, the 6th, August , 2025
No. Eco-M7/2025-CERC.— In pursuance of Clause 5.6 (vi) of the Ministry of Power (MOP)
Notification on “Guidelines for Determination of Tariff by Bidding Process for Procurement of Power by
Distribution Licensees” dated 19.01.2005 as amended from time to time, MOP communication to the
Central Electricity Regulatory Commission (CERC) dated 13.04.2022, and MOP Resolution dated
11.07.2022 on an amendment to the “Guidelines for long term Procurement of Electricity from Thermal
Power Stations set up on Design, Build, Finance, Own and Operate (DBFOO) basis and sourcing fuel as
provided under Model Bidding Documents including allocation of coal under B (I), B(III) and B(IV) of
SHAKTI (Scheme for Harnessing and Allocating Koyala (Coal) Transparently in India) Policy” dated
6.03.2019, the CERC notifies the following escalation rates for the purpose of payment.
Monthly Escalation Rates applicable for July 2025 for the purpose of payment for Procurement of
Power by Distribution Licensees as per the Power Purchase Agreement entered into under the
Guidelines mentioned above:
Sr. Description Monthly Escalation
No. Rates for Payment
1 Escalation rate for imported coal (-)7.90%
2 Escalation rate for transportation of imported coal 5.78%
3 Escalation rate for inland handling of imported coal (-)0.11%
HARPREET SINGH PRUTHI, Secy.
[ADVT.-III/4/Exty./299/2025-26]
Uploaded by Dte. of Printing at Government of India Press, Ring Road, Mayapuri, New Delhi-110064
and Published by the Controller of Publications, Delhi-110054.