CONFIRMATION OF MINUTES OF 8 - Northern … & B phase CVT voltage on Jamalpur-Jalandher 1 &2 is...

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Transcript of CONFIRMATION OF MINUTES OF 8 - Northern … & B phase CVT voltage on Jamalpur-Jalandher 1 &2 is...

9th meeting of Commercial Sub-committee (05.09.2008)-Agenda

AGENDA FOR

9TH MEETING OF COMMERCIAL SUB-COMMITTEE

Time of meeting : 14:30 Hrs. Date of meeting : 5th September, 2008 (Friday). Venue : Hotel Samrat, New Delhi

A . C O N F I R M A T I O N O F M I N U T E S CONFIRMATION OF MINUTES OF 8th MEETING OF COMMERCIAL SUB-COMMITTEE OF NRPC.

The minutes of 8th meeting of Commercial Sub-committee held on 12th June,2008 were circulated vide letter No. NRPC / SE(C) / 8-CSC / 08 / 3014-3051 dated 23rd June,2008. Comments have been received from POWERGRID on the minutes and following amendments are sought :

Item C.4 DECLARTION OF COMMERCIAL OPERATION OF SPECIAL PROTECTION SCHEME FOR RIHAND–DADRI HVDC BIPOLE AND GORAKHPUR- MUZZAFARPUR 400 kV LINE POWERGRID informed that their views on this issue of have not been recorded correctly. They want to include following to the minutes of para C.4: “POWERGRID informed that the SPS were tested in December, 2007 and satisfactory work of the scheme was also confirmed by NRLDC as recorded in NRPC MOM dt 19/20.12.07. However a meeting of NRPC Sectt., NTPC & POWERGRID may be called at NRPC office for any further clarification on this issue.”

The Sub-committee may like to confirm the same.

I T E M S F O R D I S C U S S I O N

B . F O L L O W U P A C T I O N B.1. ERRONEOUS RECORDING OF DATA BY SEMs. The constituents may give feedback in regards to the action taken by them to

eliminate the continued erroneous recording of energy by following meters: i) The CT Supply to meter UA-32 / NP-1789-A installed on 132 kV

Saharanpur-I feeder at PTCUL Roorkee is not proper since 0245 hrs block of 18.07.2006 after a shutdown. The meter is reading zero values without * marks since 0245 hrs block of 18.07.2006.

PTCUL representative was not present in the meeting. POWERGRID

expressed that PTCUL may be requested to charge the line to test meter accuracy .

9th meeting of Commercial Sub-committee (05.09.2008)-Agenda

POWERGRID/PTCUL may update the status.

ii) High negative losses are being observed on 220 kV Dehar–Kangu (8-10 %). CT/CVT supply at BBMB Dehar and HP Kangu need to be checked up on the above line.

BBMB informed that at present they have provided supply from

Bus CVT as stopgap arrangement but HPSEB need to procure and install their CVTs. HPSEB informed that it had started action for procurement of CVTs and it would take few months (3 to 4 months) to complete the work. HPSEB may update the status.

iii) High Negative losses are observed on all the five 400/220 ICTs at

NTPC Dadri. The meters installed on 400 kV side are reading more than those installed on the 220 kV side of the ICTs.

NTPC informed that after extensive field testing, they had not

found any abnormalities. Possible cause of this might be longer distance of control room from 220 kV switchyard.

NTPC requested POWERGRID to take testing of these meters to

check accuracy & calibrations and also assured full cooperation of NTPC in the matter. In the last sub- committee meeting it was decided that NTPC and POWERGRID would jointly discuss the issue and submit report to NRPC/NRLDC.

NTPC/POWERGRID may update the status.

iv) Huge Bus mismatch was observed at BBMB Ganguwal HPS from 16.11.2007. After enquiring over phone, it was confirmed by BBMB Officials that CT Ratio on 132 Kv Kotla-2 (GW-24/NP-1360-A at Ganguwal HPS had been changed from 400/1 to 600/1 on 16.11.2007. No such information was intimidated to NRLDC. Reading of meter HP-16/NP-1018-A installed on 33 kV Bilaspur-1 at Ganguwal HPS is continuously * marked since 22.10.2007. However after telephonic discussion it was confirmed that that reading is ok but reason for * marking is to be investigated. In the last meeting BBMB informed that meter was reading OK. There was confusion regading whether the meter has been changed. POWERGRID later confirmed that this meter has not been changed. MS,NRPC enquired about the problems in the faulty meters which was rectified by BBMB. As the BBMB could not explain in detail, it was decided that they would investigate the matter regarding faults/action taken to repair the meter with field staff and submit the

9th meeting of Commercial Sub-committee (05.09.2008)-Agenda

report to NRPC/NRLDC within 15 days time. No report has been received in NRPC. BBMB may update the status.

v) Negative losses on ICT-1 (3%) and ICT-2 at BBMB Panipat is 4.5-5.0 %. Bus mismatch at BBMB panipat is also high. It is seen from SEM data that 400 kV side of 400 /220 kV side ICT is not O.K. Data of 220 kV Dhulkote 1 & 2 feeders, 400/220 kV ICT1 & 2 (220 kV side) & 220/132 kV Transformer 1 &2 (220 kV side) is not matching. Necessary action may kindly be taken up for the investigation of above. In the last meeting, POWERGRID informed that BBMB had taken some action and two days backs informed that supply given through BUS-1 CVT and BUS 2 CVT was not in order and need to be replaced. NRLDC informed that CT terminals were short. MS, NRPC advised BBMB to investigate the reason for this and furnish report to NRLDC/NRPC. No report has been received in NRPC. BBMB may update the status.

vi) CVT Supply to meter HP-29/NP-1583-A installed on 132 kV Giri feeder

at BBMB Jagadhari is not proper since 06.08.2007. Readings are continuously * & low during the above period. It is informed by BBMB Jagadhari that 2 number CVTs installed on above line have been damaged on 20.05.2007 and replacement/repair of the same is required.

HVPN informed that there was no power flow on this line since

one year and decision to replace CVT would be taken only after deciding as to whether this line would be required in future or not. The bay presently had been used for other line. As this line being inter- state line between HP & Haryana, the matter would be discussed bilaterally between them. HVPN assured to convey the decision by next Commercial sub-committee meeting.

HVPN may update the status.

vii) High negative losses are observed on 220 kV PDD Hiranagar-PSEB

Sarna line. Necessary action may kindly be taken for the investigation of above Discrepancy. Also, the CT and CVT supplies to the meters installed at both the ends may please be checked and reported to NRLDC.

POWERGRID informed that Sarna side was OK as per information received from PSEB. It was decided in the last meeting that PSEB representative would coordinate this with J&K to sort out the matter.

PSEB/J&K may update the status.

9th meeting of Commercial Sub-committee (05.09.2008)-Agenda

viii) Negative losses are observed on ICT-1 and ICT-2 (3.0-3.2 %) at BBMB Sangrur. However main meters installed on 220 kV sides of these ICTs were used to compute the drawl of Punjab at BBMB Sangrur.

BBMB informed that PT supply was set right on 4.3.2008. NRLDC informed that now positive losses were appearing.As BBMB could not explain reasons of the same, It was decided in the last meeting that BBMB would obtain the detailed report from the field and submit it to NRLDC/NRPC.

BBMB may update the status.

ix) Losses on Jamalpur-Jalandher 1 is 5-6 %, Jamalpur-Jalandher 2 is 4 %. Jamalpur-Ganguwal-1 is 4 %. As per the report enclosed by BBMB- Chandigarh following are observed: At Jamalpur: R & B phase CVT voltage on Jamalpur-Jalandher 1 &2 is lower than Y phase

At Jalandher: R & B phase CVT voltage on Jalandher- Jamalpur 1 &2 is lower than Y phase

CVT may kindly be tested and action may be taken immediately to sort out the above discrepancy.

BBMB informed that there was problem in CVT of R&B phases and

these CVTs needs to be replaced. BBMB assured to replace it at the earliest. and in the last meeting BBMB assured to check the possibility of feeding SEMs through BUS CVT. MS, NRPC advised BBMB to look into cause of problem in four CVTs as it would be affecting protection system also.

BBMB may update the status x) CT/CVT Supply to meter UQ-21/ NP-5400-A installed on 400kV Lucknow

(PG) at 400 kV Sultanpur-UPPCL is not proper since commissioning. It’s direction is not ok from 00 Hrs of 28.12.2007, however magnitude is matching perfectly with other end meter NG-29, therefore meter UQ-21 with negative sign will be used this week to compute the UPPCL drawl on 400 kV PG lucknow line at UPPCL Sultanpur. CT & PT ratio has not received in writing even after so many requests from NRLDC. However as confirmed over telephone CT ratio of 1000/1 and PT ratio of 400 kV /110 V is used in database for energy computation of the above meter.

UPPCL informed that connection had been changed on 29.5.2008

and assured to confirm the CT and PT ratios in writing. UPPPCL to update the status.

xi) CT/CVT Supply to meter NR-24/NP-1106-A installed on 400 kV Bhiwadi at

Ballabgarh-PG is low from 00 hrs block of 11.02.2008 to 2345 hrs block of 17.02.2008. Readings are without * marked & low during the above

9th meeting of Commercial Sub-committee (05.09.2008)-Agenda

period. However being the loss meter its readings were not used to compute the drawl during the above period.

In the last meeting POWERGRID informed that meter had been

replaced. MS, NRPC advised POWERGRID to investigate cause of fault and report to NRLDC/NRPC

No report has been received in NRPC POWERGRID may update

the status.

. B.2 OUTSTANDING DUES.

B.2.1 UI charges outstanding against J&K J&K representative was not present at the last Commercial sub

committee meeting. Outstanding UI charges upto the 31.7.2008 were Rs 506.9 Crore. No payment was made by J&K in July,2008. NRLDC had taken up the matter with J&K.

CERC vide its order dated 13.05.2008 had directed Power

Development Department, J&K to liquidate its outstanding UI dues of Rs 666.68 Crore (upto 30.4.2008) in six monthly installement of Rs 111 Crore with effect from June, 2008.

J&K may update the latest status and Members may like to

discuss.

B.2.2 UI charges outstanding against UP UPPCL had paid Rs.64 Crore in July, 08 and the outstanding of UP

upto 31.7.2008 was Rs.607.2 Crore. CERC vide order dated 11.4.2008 directed UPPCL to liquidate

outstanding dues in six equal monthly installements by paying RS. 128 Crore every month starting from May, 2008.

On appeal by UPPCL, High Court of Allahabad, Lucknow bench vide

order dated 2.5.2008 allowed UPPCL to deposit its outstanding dues in 12 equal monthly installements alongwith current UI dues at the rate of Rs 7.45 per unit.

UP may update the latest status and Members may like to discuss.

B.2.3 Reactive energy charges outstanding against J&K

It was informed in the 9th NRPC meeting that the J&K had still to pay Rs. 26.364 crore of reactive energy charges for the period 2006-08 and Rs1.19 crore for the current year.

9th meeting of Commercial Sub-committee (05.09.2008)-Agenda

NRPC vide its letter No. NREB/SE (c)/REACT/06 /2277 dated 10.04.2008 had sanctioned Rs 22 Crs from Reactive pool account of NR to J&K for installation of capacitors .

J&K may intimate the status of installation of capacitors as well as

status of Payment of maximum charges as above. B.2.4 Reactive energy charges of HPSEB outstanding against PSEB & HVPN.

During last meeting, HPSEB informed that they had received letters

from PSEB and HVPN for reconciliation of bills and most of the bills had already been checked. HPSEB would reconcile all bills and inform PSEB and HVPNL by June 2008.

HPSEB may update the latest status.

B.3 TESTING OF SPECIAL ENERGY METERS (SEMs)

In the 8th TCC meeting , POWERGRID explained their procedure of CVT testing to prevent drift in CT/CVTs. Constituents were not satisfied with their procedure and enquired as to whether corresponding amendments had been done in commercial accounting where CT / CVTs has had been tested and replaced. Accordingly it was decided that commercial implications of CVT replacement would be discussed in the commercial sub-committee meeting.

During discussion in 9th NRPC on 1.7.2008 Chairperson, NRPC expressed that error in CT/PTs results in incorrect meter reading which has commercial implications on the energy accounting. He suggested all the utilities should support the CPRI proposal to establish facility of CT/PTs testing. Accordingly, it was decided that Member Secretary, NRPC would find out from CPRI as to whether any proposal had been sent to MOP for clearance and sanction of requisite fund to establish CT/ CVTs testing facility in the country.

MS, NRPC had taken up the matter with CPRI vide letter dated

29.7.2008. The CPRI vide their letter dated 05.08.2008 have informed that Ministry of Power, GOI had approved their project for establishment of mobile test laboratory. The same is expected to be operational by April 2010. In view of time frame of operationilsation of mobile test laboratory for CT/ CVTs by CPRI, the testing of SEMs alone could be taken up in the first instance.

Members may like to discuss. B.4 UTILISATION OF 25% SHORT TERM OPEN ACCESS (STOA) CHARGES

BY POWERGRID In the 9th NRPC meeting held on 1.7.2008, Chairperson, NRPC

requested CMD, POWERGRID to send their opinion in writing that the STOA charges are being used for development of future transmission system as form of revenue available to POWERGRID. No communication has been received

9th meeting of Commercial Sub-committee (05.09.2008)-Agenda

from POWERGRID in the matter.

POWERGRID may update the status. B.5 DELAY IN SUBMISSION OF SEM DATA BY CONSTITUENTS TO NRLDC.

In the last commercial meeting, POWERGRID informed that the

instance of late receipt of data had since been decreased. However, they stated that at few locations like Rihand Hydro and Lehra Muhabbat, there were instances of data collection/ downloading before stipulated time of 00:00 hrs. MS, NRPC advised that data collection should be done only after 00:00 hrs.

Members may like to discuss. B.6 BULK POWER TRANSMISSION AGREEMENT WITH PARBATI KOLDAM

TRANSMISSION CO., LTD. (PKTCL) The sub-group to develop model BPTA to be signed with JV

transmission companies in future, met thrice on 6.5.2008, 21.5.2008 and on 18.7.2008. Based on the modifications suggested by the sub-group in BPTA, the Parbati- Koldam Transmission Company had submitted modified BPTA. The same has been sent to members of sub-group on 23.07.2008 for further comments. NRPC secretariat has not received any comments. A copy of the BPTA is enclosed at Annex-I for further necessary action by the beneficiaries.

B.7 TIME CORRECTION OF SEMs

In the last commercial committee meeting it was decided that constituents would make necessary efforts to correct time mismatch every week while sending data to NRLDC. The quantum of time mismatch in meters may also be furnished along with meter readings. NRLDC requested constituents to report the cases in which the problem of time drift reappears again after time correction.

As per recent list given by NRLDC time correction is required in 265 nos of meters out of 1100 meters installed in Northern Region (Annex -II). This time mismatch is resulting in error in meter reading. It results in huge mismatch between UI receivable and UI payable.

NRLDC may update status on this.

B.8 DECLARTION OF COMMERCIAL OPERATION OF SPECIAL PROTECTION

SCHEME FOR RIHAND–DADRI HVDC BIPOLE AND GORAKHPUR- MUZZAFARPUR 400 kV LINE.

POWERGRID vide its letter dated 26.05.2008 had informed that Special

Protection Scheme (SPS) for Rihand–Dadri HVDC Bipole and Gorakhpur- Muzzafarpur 400 kV Line was put to operation in the Dec, 2007. POWERGRID stated that they had completed their scope of works, therefore, the scheme was declared on commercial operation on 1.1.2008.

9th meeting of Commercial Sub-committee (05.09.2008)-Agenda

The issue was discussed in the 8th commercial sub-committee meeting held on 12.06.2008. MS, NRPC stated that in the meeting held on 16.5.2008 with NTPC and POWERGRID to discuss SPS to take care of tripping of Rihand –Dari HVDC Bipole and Gorakhpur –Muzzafarpur line, representative of POWERGRID informed that the trigger command would be made available at Singrauli by 15.6.2008. Members opined that till the completion of this work, the SPS scheme of POWERGRID should not be treated as under commercial operation. POWERGRID agreed to examine the matter. During the 6th TCC meeting held on 19.12.2007, NRLDC intimated that the satisfactory working of the scheme has been demonstrated on 14.12.07 when one HVDC Rihand Dadri pole tripped and other pole auto reclosed. The load shedding as planned was obtained at four load centres due to operation of SPS. During the 8th TCC meeting held on 30.06.2008, POWERGRID stated that initially, they had provided a potential free contact in (NTPC) switchyard control room. However, NTPC requested for providing potential free contact in unit control room for which a control cable of about 4.4-km was required to be laid. POWERGRGRID mentioned that the modified arrangement as suggested by ABB would be completed by Aug. 2008. The above indicate that the SPS scheme of generating stations was not complete till June 2008. The matter regarding declaration of assets under commercial operation on retrospective effect was discussed in the 8th TCC meeting in the context of COD of Yamuna Nagar TPS in Haryana. TCC decided that for all the assets the date of COD would be done from prospective effect only.

Members may discuss the proposal of POWERGRID.

C . N E W I T E M S

C.1 DUES RECEIVABLE BY RVPN FROM PSEB AND U.T. OF CHANDIGARH RVPN informed that an outstanding amount of Rs 7.12 Crs and Rs.

37.22 lac are payble by PSEB and U.T. of Chandigarh

PSEB: This amount is due to revision of booking from Salal Power from Oct, 1996 as per decision taken in 111th meeting of Commercial Sub Committee held on 17.03.2003. It is noted that RVPNL have taken up the matter with PSEB vide their letter dated 16.10.2003 and 06.10.2007 to release the dues considering the revision proposed by PSEB. Chandigarh: This amount is due to bills against Overlay exchange of power, polled losses of BBMB and whelling charges. RVPNL have mentioned that the matter had been taken up with UT of Chandigarh vide their letter dated 27.09.2007 and 16.04.2007 for release of dues.

9th meeting of Commercial Sub-committee (05.09.2008)-Agenda

RVPNL have mentioned that even after regular pursuance, the payments are not being released by PSEB and UT of Chandigarh. The details enclosed at Annex-III. PSEB and UT of Chandigarh may like to clarify the position.

C.2 NEW INSTANCES OF CONTINUED ERRONEOUS RECORDING OF DATA

BY THE SEMs The instances of continued erroneous recording of data by the SEMs

due to improper CVT / CT inputs at certain locations, as per latest discrepancy report of NRLDC for the week 11th Aug, 2008 – 17th Aug, 2008 are shown at Annexure-II.

Members may like to discuss.

C.3 INTEREST AMOUNT ON RECONCILIATION OF UI POOL ACCOUNT. Due to reconciliation of the interest paymenet of UI pool account for

2002-04, Rs. 5904809 /- was returned to Haryana in July, 2007, which was deposited by Haryana on 16.8.2004 as due to interest charges for delay in UI payment.

Haryan Power Purchase Center (HPCC) is now demanding interst @

0.05% on this amount. The amount was not retained by NRLDC but it was distributed among constituents before reconciliation of UI accounts.

Member may like to discuss.

C.4 INTEREST LIABILITY ON DELAYED /OUTSTANDING UI PAYMENT During the discussion on UI outstanding in 8th TCC, BSES requested

that in the statement of Status of UI charges, additional information of interest liability may also be included.

The Outstanding amount is shown in the Disbursement of UI charges

letter issued by POWERGRID. To show interest amount all earlier years UI account need to be reconciled first.

Members may like to discuss.

C.5 DATE AND TIME OF THE NEXT MEETING

Next (10th) meeting of the Commercial Sub-committee will be held in

December 2008. Date & time of the meeting shall be intimated later.

***************

ANNEXURE-I Page 1 of 36:

BULK POWER TRANSMISSION AGREEMENT

FOR

TRANSMISSION LINES ASSOCIATED WITH PARBATI-II AND KOLDAM HEP

BETWEEN

JVCO

AND

[NAME OF THE BENEFICIARY]

ANNEXURE-I Page 2 of 36:

TABLE OF CONTENTS

SECTION-1: DEFINITIONS & INTERPRETATIONS..................................................................................... 5 SECTION-2: EFFECTIVENESS AND TERM.................................................................................................... 7 SECTION-3: PAYMENT & BILLING OF TRANSMISSION CHARGES..................................................... 8 SECTION-4: FORCE MAJEURE....................................................................................................................... 11 SECTION-5: REPRESENTATIONS AND WARRANTIES ........................................................................... 14 SECTION-6: CHANGE IN LAW ........................................................................................................................ 15 SECTION-7: TERMINATION ON DEFAULT................................................................................................. 15 SECTION-8: LIABILITY AND INDEMNIFICATION................................................................................... 15 SECTION-9: ASSIGNMENTS AND CHARGES.............................................................................................. 15 SECTION-10: GOVERNING LAW AND DISPUTES ..................................................................................... 15 SECTION-11: CONFIDENTIALITY ................................................................................................................. 15 SECTION-12: MISCELLANEOUS PROVISIONS .......................................................................................... 15 SCHEDULE I: DESCRIPTION OF THE TRANSMISSION SYSTEM/PROJECT .................................... 15 SCHEDULE IA: LETTER OF SELECTION ISSUED BY POWERGRID................................................... 15 SCHEDULE II: DEFINITIONS .......................................................................................................................... 15 SCHEDULE III: INTERPRETATIONS ............................................................................................................ 15

ANNEXURE-I Page 3 of 36:

BULK POWER TRANSMISSION AGREEMENT

THIS BULK POWER TRANSMISSION AGREEMENT (hereinafter called “Agreement”), entered into on the [●] day of [●] 2008

BETWEEN

PARBATI KOLDAM TRANSMISSION COMPANY LIMITED, a company incorporated under the Companies Act, 1956, having its registered office at B-9, Qutab Institutional Area, New Delhi-110016 (hereinafter referred to as “JVCO” or "Company" which expression shall unless repugnant to the context or meaning thereof include its successors and permitted assigns) as Party of the First Part.

AND

[●] having its office at [●] (hereinafter referred to as “the Beneficiary”, which expression shall unless repugnant to the context or meaning thereof include its successors and permitted assigns) as Party of the Other Part.

AND WHEREAS

A. The Beneficiary has entered into agreements for purchasing power from the:

(i) 800 MW Parbati-II HEP Station, owned by National Hydroelectric Power Corporation Limited, situated in Kullu District, Himachal Pradesh, India ( hereafter referred to as “Parbati-II HEP”); and

(ii) 800 MW Koldam HEP Station, owned by National Thermal Power Corporation Limited, situated in Bilaspur District, Himachal Pradesh, India (hereafter referred to as “Koldam HEP”).

B. Based on the need to augment the evacuation system in the Northern Region, and in particular to establish a suitable evacuation capacity for Parbati-II HEP and Koldam HEP, the Standing Committee on Transmission System Planning of Northern Region (consisting of CEA, the Northern Region Beneficiary(s) and others, referred to as “the Standing Committee”) in its 14th meeting held on December 30, 2002, and as modified by the subsequent 15th meeting of May 30, 2003 discussed and decided to construct an Associated Transmission System (as per Schedule-I) (“Project”).

C. Accordingly, POWERGRID had incorporated the JVCO as a special purpose vehicle, inter-alia, to build, own, finance, operate and maintain the Project as approved by CERC in the Transmission License on BOO basis and for the purpose of making available the Project’s Available Capacity to the Northern Region Beneficiaries on the terms and conditions contained in this Agreement. REL has subscribed to 74% equity in the JVCO. Accordingly the letter of selection was issued to REL on 26.12.2005. Copy of the letter is placed as Schedule IA.

D. POWERGRID is facilitating the execution of transmission lines associated with the Project for the use by the Beneficiary pursuant to the Implementation Agreement dated 23.11.2007 entered into between POWERGRID and the JVCO.

E. Beneficiary agrees, on the terms and conditions of this Agreement, to use the Allocated Capacity and pay JVCO the Transmission Charges in accordance with the

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CERC (Terms and Conditions of Tariff) Regulations 2004 as amended from time to time.

F. The terms and conditions stipulated in the Transmission License issued by CERC to JVCO shall be applicable to this Agreement.

G. In this Agreement, JVCO and the Beneficiary shall be individually referred to as a “Party” and collectively referred to as the “Parties”.

NOW, THEREFORE, IN CONSIDERATION OF THE PREMISES AND MUTUAL AGREEMENT, COVENANTS AND CONDITIONS SETFORTH HEREIN IT IS HEREBY AGREED BY AND BETWEEN THE PARTIES HERETO AS FOLLOWS:

ANNEXURE-I Page 5 of 36:

SECTION-1: DEFINITIONS & INTERPRETATIONS

1.1 Definitions

All terms used in this Agreement shall bear those meanings as defined in Schedule-II unless the context requires otherwise.

1.2 Interpretations

This Agreement shall be interpreted in accordance with Schedule-III unless the context requires otherwise.

1.3 Agreement Documents

All documents forming part of the Agreement (and all parts thereof) are intended to be correlative, complementary and mutually explanatory. The Agreement shall be read as a whole.

1.4 Save where the contrary is indicated, any reference in this Agreement to:

(i) words importing the singular shall include the plural and vice versa;

(ii) a Person shall be construed as including a reference to its successors, permitted transferees and permitted assigns in accordance with their respective interests. Words importing persons or Parties shall include firms, corporations and government entities;

(iii) this Agreement or any other agreement or document shall be construed as a reference to that agreement or document as it may have been, or may from time to time be, amended, varied, novated, replaced or supplemented;

(iv) a statute or enactment shall be construed as a reference to such statute as it may have been or may from time to time be modified, amended or re-enacted;

(v) a time of Business Day shall be construed as a reference to Indian Standard Time; and

(vi) reference to clauses and Sections shall be to clauses and Sections of this Agreement.

1.5 Table of Contents and Headings

The table of contents and any headings in this Agreement are for ease of reference only and shall not affect the interpretation of this Agreement.

1.6 Interest

All interest payable under the Agreement shall accrue from day to day and be calculated on the basis of a year of three hundred and sixty five (365) Days.

1.7 General Clauses Act

Any word or expression used in this Agreement shall, unless otherwise defined or construed in this Agreement, bear the same meaning as in the General Clauses Act failing which it shall bear its ordinary English meaning.

ANNEXURE-I Page 6 of 36:

1.8 Language

All agreements, correspondence and communications to be given and all other documentation to be prepared and supplied under the Agreement shall be written in English, and the Agreement shall be construed and interpreted in accordance with that language.

If any of agreements, correspondence or communications are prepared in any language other than English, the English translation of such documents, correspondence or communications shall prevail in matters of interpretation.

1.9 Applicability of the CERC Regulations

The Parties to this Agreement agree to be bound by the Central Electricity Regulatory Commission (Terms and Conditions of Tariff) Regulations, 2004 and any amendments thereto.

1.10 Discrepancy

In case of discrepancy between terms and conditions stipulated in Transmission License issued by CERC to the JVCO and the agreement(s) executed between Beneficiary and the JVCO, the terms and conditions of Transmission License shall prevail.

1.11 Independent Entity

The JVCO shall be an independent entity performing its obligations pursuant to this Agreement. Subject to the provisions of this Agreement, the JVCO shall be solely responsible for the manner in which its obligations under this Agreement are performed.

ANNEXURE-I Page 7 of 36:

SECTION-2: EFFECTIVENESS AND TERM

2.1 Effective Date

This Agreement shall become effective from date of its signing by the Parties. However, the respective obligations of the Parties under this Agreement in connection with each Transmission Line Element of the Project shall come into effect from the Commercial Operation Date of that Transmission Line Element.

2.2 Duration of Agreement

2.2.1 This Agreement shall continue to be in force for a period of 25 (twenty five) years from the date of issue of the Transmission License to the JVCO or such extended period as granted by the CERC, provided that this Agreement may be mutually be extended, renewed or replaced by another agreement on such terms and for such further period as the Parties may mutually agree.

2.2.2 Notwithstanding anything to the contrary contained anywhere in this Agreement, the Beneficiaries agree that ninety days prior to the expiry of the Transmission License, the JVCO shall have the right to approach the CERC for renewal of the license. In case of any extension of the Transmission License granted by the CERC, the Parties agree that the Beneficiaries shall pay the TC in accordance with the applicable CERC regulations at that time.

2.3 Right to terminate

2.3.1 This Agreement shall automatically terminate on the termination of the joint venture between POWERGRID and the JVCO prior to the Commercial Operation Date of the first Transmission Line element of the Project.

2.4 Survival

The expiry or termination of this Agreement shall not affect any accrued rights, obligations and liabilities of the Parties under this Agreement including those as set out in Section 3, 8, 10 and 11 and those which will survive the termination or expiry of the Agreement.

ANNEXURE-I Page 8 of 36:

SECTION-3: PAYMENT & BILLING OF TRANSMISSION CHARGES

3.1 Calculation of Monthly Transmission Charges

The monthly transmission charges shall be the TC divided by 12, apportioned amongst the Beneficiaries as per entitlement mentioned in the Regional Energy Accounts (“REA”) issued by NRPC. However, as and when a change in the methodology of apportionment is notified by CERC the same shall be applicable.

3.2 Delivery of Invoices

3.2.1 JVCO's Invoice

(i) JVCO shall present an invoice to the Beneficiary, for the monthly transmission charges as per Regional Energy Accounts by the eighth (8th) day of each succeeding Month in the Agreed Form (the “Monthly Invoice”) setting out the monthly transmission charges payable by Beneficiary to the JVCO in re-spect of the immediately preceding Month.

(ii) If NRPC gives provisional accounts in the first instance, JVCO shall raise the Monthly Invoice on such provisional accounts and the Beneficiary shall pay the same as provided hereunder. In the event of any revision in energy accounts, JVCO shall adjust the difference between the transmission charges already invoiced and the revised figure of transmission charges in the Monthly Invoice raised by JVCO for the immediately succeeding month.

(iii) If the REA is not issued by NRPC by eight (8th) day of the month then JVCO shall issue the Monthly Invoice as per the REA of previous month. Provided that upon REA for such month being issued by NRPC, necessary adjustments to the Monthly Invoice shall be made by JVCO in the immediately succeeding month.

3.2.2 JVCO shall carry out invoice and associated functions and would submit the invoice to the nominated authority of the Beneficiary. The Monthly Invoice of JVCO shall be inclusive of all billable charges for that month in accordance with the provisions of this Agreement. If for certain reasons some of the billable charges cannot be included in the Monthly Invoice, such charges shall be adjusted in the Monthly Invoice raised by JVCO in the immediately succeeding month.

3.2.3 At the end of a financial year, JVCO shall deliver to the Beneficiary, an invoice in the Agreed Form, setting out the incentive/disincentive amount as determined in accordance with the Central Electricity Regulatory Commission (Terms and Conditions of Tariff) Regulations, 2004 as amended from time to time (“Incentive Invoice”) and such amount shall either be payable to the JVCO, in case of an incentive or be adjusted in the subsequent Monthly Invoice, in case of a disincentive.

3.2.4 Taxes and duties shall be billed in accordance with the Central Electricity Regulatory Commission (Terms and Conditions of Tariff) Regulations, 2004 as amended from time to time.

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3.3 Payment of Invoices

3.3.1 Any amount payable under a Monthly Invoice shall be paid in accordance with the Central Electricity Regulatory Commission (Terms and Conditions of Tariff) Regulations, 2004 as amended from time to time.

3.4 Disputed Invoice.

3.4.1 In case of a dispute, the Beneficiary shall file a written objection with JVCO (“Invoice Dispute Notice”) as soon as possible preferably within 45 (forty five) days of presentation of the Monthly Invoice, giving following particulars, namely:

(a) items disputed, with full details/data and reasons of dispute, and

(b) amount disputed against each item.

Provided that if either Party does not question or dispute an invoice within ninety (90) days of receiving it, the said invoice shall be considered correct and complete and conclusive between the Parties.

Provided that the above time line relating to raising a dispute on an invoice within ninety days shall not be applicable to disputes that may arise out of:

(a) notifications issued by CERC;

(b) observations made by the statutory auditors; and

(c) notification of NRPC allocations.

JVCO shall resolve the above dispute(s) with the Beneficiary as soon as possible but within 45 (forty five) days of the dispute being raised. There will be no surcharge applicable on the disputed amount of bills.

3.4.2 If JVCO agrees with the Invoice Dispute Notice to which it relates, it shall make suitable adjustments in the Monthly Invoice raised for the immediately succeeding month.

3.4.3 However, all notified transmission charges and provisional transmission charges shall be treated as undisputed and late payment surcharge shall be applicable as per notification issued by CERC from time to time.

3.5 Payment Security Mechanism

3.5.1 Establishment of letter of credit

(i) Beneficiary shall at its own cost, not later than one (1) month before the Commercial Operation Date provide to the JVCO an irrevocable and unconditional revolving letter of credit issued in favour of the JVCO by a scheduled bank or banks in India, such letter of credit (a “Beneficiary Letter of Credit”), to be in the form agreed to between the Beneficiary and the JVCO.

(ii) If the Monthly Invoice and/or Incentive Invoice is not paid by the Beneficiary within the Due Date, then an amount equal to the amount due and payable

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under the Monthly Invoice and/or the Incentive Invoice alongwith applicable surcharge may be recovered by the JVCO by invoking the Beneficiary Letter of Credit by giving a declaration to the relevant issuing bank that the amount due under such Monthly Invoice and/or Incentive Invoice has not been paid by Beneficiary by the Due Date of the Monthly Invoice and/or Incentive Invoice to the bank. In case of disincentive, the amount shall be adjusted in the subsequent month bill by JVCO.

(iii) The value of a Beneficiary Letter of Credit on the date of issue and on the first Business Day of each financial year will be equal to one hundred and five (105) percent of the estimated value of the monthly transmission charges, assuming normative Availability.

(iv) The initial Beneficiary Letter of Credit shall be for a term of one year and shall be renewed thereafter every six months. Any change required in the Beneficiary Letter of Credit shall be intimated by JVCO to Beneficiary at least thirty (30) Business Days before such change is required. However, the changes shall be effected while renewing of LC.

(v) The Beneficiary Letter of Credit shall be fully revolving such that it will be renewed to its full value upon each call being made on the Beneficiary Letter of Credit.

(vi) The mere provision of the Beneficiary Letter of Credit shall not relieve Beneficiary of any of its payment obligations under this Agreement. Beneficiary shall only be relieved of such obligation to the extent that the issuing bank actually pays under the Beneficiary Letter of Credit in accordance with this Agreement.

3.5.2 Non-payment of bills and non-establishment of letter of credit

Without prejudice to the other provisions as contained in this Agreement and remedies as available to the JVCO in Law, the Beneficiary agrees that in case of default in the payment of Monthly Invoice and/or Incentive Invoice as provided for in this Agreement, a suitable payment security mechanism as per prevailing CERC orders or the orders passed by any other Indian Governmental Instrumentality, as the case may be, and as amended from time to time shall be applicable.

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SECTION-4: FORCE MAJEURE

4.1 Available Relief for a Force Majeure Event

Except as expressly provided in this Agreement, no Party shall be in breach of its obligations pursuant to this Agreement or otherwise liable to the other Party for any hindrance or delay in performance or any non-performance of any such obligations if and to the extent that such hindrance or delay or non-performance is due to a Force Majeure Event as defined in clause 4.3, provided that:

(i) the affected Party could not have avoided the effect of Force Majeure by taking precautions which having regard to all matters known to it before occurrence of the Force Majeure Event and all relevant factors it ought reasonably to have taken but did not take; and

(ii) the affected Party has used its best endeavours to mitigate the effect of the Force Majeure Event and to carry out its obligations under this Agreement in any other way that is reasonably practicable.

4.2 Duty to Report

4.2.1 Neither Party may claim relief for a Force Majeure Event unless it shall have notified the other Party in writing of the occurrence of the Force Majeure Event as soon as reasonably practicable, and in any event within seven (7) Business Days after the affected Party knew, or ought reasonably to have known, of its occurrence and that the Force Majeure Event would be likely to have a Material Adverse Effect on its performance of its obligations under this Agreement.

4.2.2 Detailed notice subsequent to intimation pursuant to clause 4.2.1 shall include full particulars of:

(i) the nature of each Force Majeure Event which is the subject of any claim for relief under this Agreement;

(ii) the effect which such Force Majeure Event is having on the affected Party's performance of its obligations under this Agreement;

(iii) the measures which the affected Party is taking, or proposes to take, to alleviate the impact of those Force Majeure Events; and

(iv) any other information relevant to the affected Party's claim.

4.2.3 For so long as the affected Party continues to claim to be affected by a Force Majeure Event, it shall provide the other Party with regular written reports, at least once in every Month containing:

(i) the information called for by clause 4.2.2; and

(ii) such other information as the other Party may reasonably request about the affected Party's claim.

4.2.4 Where the JVCO is the affected Party, it shall promptly notify Beneficiary in writing when any Force Majeure Event which is the subject of any claim under this

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Agreement ceases or when there is any Material change in its impact on the JVCO’s performance of its obligations under this Agreement.

4.2.5 Where the Beneficiary is the affected Party, it shall promptly notify the JVCO in writing when any Force Majeure Event which is the subject of any claim under this Agreement ceases or when there is any Material change in its impact on the Beneficiary’s performance of its obligations under this Agreement.

4.3 Force Majeure Events

A “Force Majeure” means any event or circumstance or combination of events and circumstances including those stated below that wholly or partly prevents or unavoidably delays an affected Party in the performance of its obligations under this Agreement, but only if and to the extent that such events or circumstances are not within the reasonable control, directly or indirectly, of the affected Party and could not have been avoided if the affected Party had taken reasonable care or complied with Prudent Utility Practices.

Without prejudice to the foregoing, Force Majeure shall include but not be limited to the occurrence of any of the following events-

A. Natural Force Majeure Events

(i) act of God, including, but not limited to lightning, drought, fire and explosion (to the extent originating from a source external to the Site), earthquake, volcanic eruption, landslide, flood, cyclone, typhoon, tornado, or exceptionally adverse weather conditions which are in excess of the statistical measures for the last hundred (100) years.

B. Non-Natural Force Majeure Events

(i) any act of war (whether declared or undeclared), invasion, armed conflict or act of foreign enemy, blockade, embargo, revolution, riot, insurrection, terrorist or military action; or

(ii) Change in Law to the extent not covered under tariff adjustments as per Section 6; or

(iii) expropriation or compulsory acquisition by any Indian Governmental Agency of any material assets or rights of the JVCO; or

(iv) radio active contamination or ionising radiation; or

(v) Countrywide strikes and labour disturbances affecting the industries in general; or

(vi) any event or circumstance of a nature analogous to any of the above.

4.4 Notwithstanding anything contained in this Section-4, insufficiency of funds shall not constitute a Force Majeure Event.

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4.5 Duty to Mitigate

For so long as a Force Majeure Event which is the subject of any claim under this Agreement is continuing, the affected Party shall use all reasonable endeavours to alleviate its effects on the affected Party's performance of its obligations under this Agreement.

4.6 Breakdown of Communication

If a Force Majeure Event causes a breakdown of communication such that a Party is unable to serve any notice under this Agreement, the period for the serving of such notice (if any) shall be extended for each Business Day whilst such Force Majeure Event prevents the service of such notice.

4.7 Payment for transmission charges under Force Majeure

The Parties agree that the payment for transmission charges under Force Majeure shall be in accordance with the CERC (Terms and Conditions of Tariff) Regulations, 2004, as amended from time to time.

4.8 Continuance of Force Majeure

Without prejudice to any of the foregoing, the Parties agree that if a Force Majeure event continues for a period of more than 180 days after the Commissioning of a Transmission Line Element of the Project, the Parties agree that they shall approach the CERC for suggesting further course of action in the manner prescribed under the Electricity Act.

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SECTION-5: REPRESENTATIONS AND WARRANTIES

5.1 Representation and Warranties of the Beneficiary

Beneficiary hereby represents and warrants to and agrees with the JVCO as follows and acknowledges and confirms that JVCO is relying on such representations and warranties in connection with the transactions described in this Agreement:

(a) It has all requisite power authorizing and has been duly authorized to execute and consummate this Agreement;

(b) This Agreement is enforceable against it in accordance with its terms;

(c) The consummation of the transactions contemplated by this Agreement on the part of Beneficiary will not violate any provision of nor constitute a default under, nor give rise to a power to cancel any charter, mortgage, deed of trust or lien, lease, agreement, license, permit, evidence of indebtedness, restriction, or other contract to which Beneficiary is a Party or to which Beneficiary is bound, which violation, default or power has not been waived;

(d) Beneficiary is not insolvent and no insolvency proceedings have been instituted, nor threatened or pending by or against Beneficiary; and

(e) There are no actions, suits, claims, proceedings or investigations pending or, to the best of Beneficiary’s knowledge, threatened in writing against Beneficiary at law, in equity, or otherwise, and whether civil or criminal in nature, before or by, any court, commission, arbitrator or governmental agency or authority, and there are no outstanding judgments, decrees or orders of any such courts, commission, arbitrator or governmental agencies or authorities, which materially adversely affect its ability to comply with its obligations under this Agreement.

5.2 Representation and Warranties of the JVCO

JVCO hereby represents and warrants to and agrees with Beneficiary as follows and acknowledges and confirms that Beneficiary is relying on such representations and warranties in connection with the transactions described in this Agreement:

(a) It has all requisite power authorizing and has been duly authorized to execute and consummate this Agreement;

(b) This Agreement is enforceable against it in accordance with its terms;

(c) The consummation of the transactions contemplated by this Agreement on the part of JVCO will not violate any provision of nor constitute a default under, nor give rise to a power to cancel any charter, mortgage, deed of trust or lien, lease, agreement, license, permit, evidence of indebtedness, restriction, or other contract to which JVCO is a Party or to which JVCO is bound which violation, default or power has not been waived;

(d) JVCO is not insolvent and no insolvency proceedings have been instituted, nor threatened or pending by or against the JVCO;

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(e) There are no actions, suits, claims, proceedings or investigations pending or, to the best of JVCO’s knowledge, threatened in writing against JVCO at law, in equity, or otherwise, and whether civil or criminal in nature, before or by, any court, commission, arbitrator or governmental agency or authority, and there are no outstanding judgments, decrees or orders of any such courts, commission, arbitrator or governmental agencies or authorities, which materially adversely affect its ability to execute the Project or to comply with its obligations under this Agreement.

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SECTION-6: CHANGE IN LAW

6.1 Notification of Change in Law

6.1.1 If the JVCO is affected by a Change in Law in accordance with section 6.2 and wishes to claim a Change in Law under this Section-6, it shall give notice to the Beneficiary of such Change in Law as soon as reasonably practicable after becoming aware of the same.

6.1.2 The JVCO shall be obliged to serve a notice to Beneficiary under this section 6.1 even if it is beneficially affected by a Change in Law.

6.1.3 Any notice served pursuant to this section 6.1 shall provide, amongst other things, precise details of the Change in Law and its effect on the JVCO.

6.2 Change in Law

6.2.1 Change in Law means the occurrence of any of the following with respect to the Law applicable on the date, which is seven (7) Business Days before the date execution of this Agreement-

(a) the enactment, bringing into effect, adoption of promulgation of any new Law;

(b) the repeal, amendment, modification or re-enactment in whole or in part of any existing Law;

(c) the commencement of any Law which has not yet entered into effect;

(d) a change in the interpretation or application of any Law by any Indian Governmental Instrumentality having the legal power to interpret or apply such Law;

(e) the extension of any existing Law to the Project, which prior to the execution of this Agreement was not applicable to similar projects as contemplated under this Agreement;

(f) the imposition of a requirement for a Consent which did not exist as at the date of this Agreement;

(g) a change in the terms and conditions attaching to a Consent after it has been given or the attachment of any new terms or conditions to such Consent;

(h) the revocation or cancellation (other than for cause) of any Consent;

(i) it also includes any change in the corporate tax at the relevant time.

6.2.2 Change in law shall be given effect to in accordance with CERC Regulation on tariff dated 26th March 2004 and as amended from time to time.

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SECTION-7: TERMINATION ON DEFAULT

7.1 Termination

7.1.1 JVCO Events of Default

The occurrence and continuation of any of the following events shall constitute a JVCO Event of Default, unless any such JVCO Event of Default occurs as a result of a breach by Beneficiary of its obligation under this Agreement, a Beneficiary Events of Default or a Force Majeure Event:

(i) The Material failure of the JVCO to maintain the Project in accordance with Prudent Utility Practices;

(ii) Any breach by the JVCO of any of its Material obligations under this Agreement pursuant to JVCO default; and

(iii) Revocation of Transmission License of the JVCO.

7.1.2 Beneficiary Events of Default

The occurrence and continuation of any of the following events shall constitute a Beneficiary Event of Default, unless any such Beneficiary Event of Default occurs as a result of a breach by the JVCO of its obligations under this Agreement, a JVCO Event of Default or a Force Majeure Event:

(i) The dissolution or transfer, pursuant to Law, of Beneficiary or all or a substantial portion of the assets or undertakings of Beneficiary, unless such dissolution is in connection with the reorganization or restructuring of the power sector and provided that-(a) Beneficiary’s successor under this Agreement expressly assumes the obligations of Beneficiary under this Agreement; and (b) is otherwise capable of performing the obligations of Beneficiary under this Agreement;

(ii) Beneficiary is in breach of its Material obligations or if the JVCO has made a valid demand on the Beneficiary(s) Letter of Credit and the Beneficiary has not satisfied the dues of JVCO raised under the Monthly Invoice and/or Incentive Invoice and such dues has remained unpaid for a period of more than thirty (30) Business Days from the Due Date; and

(iii) If it fails to maintain in full force and effect, its existing licenses and approvals granted by the appropriate authority throughout the period of the Project.

7.1.3 Termination Procedure for JVCO Events of Default

7.1.3.1 Upon the occurrence of a JVCO Event of Default, Beneficiary may serve notice on JVCO of its intention to terminate this Agreement (a "Beneficiary Preliminary Termination Notice") which notice shall specify in reasonable detail, the circumstances giving rise to such Beneficiary Preliminary Termination Notice.

7.1.3.2 Following the giving of a Beneficiary Preliminary Termination Notice, the Parties shall consult for a period of up to two (2) Months (or such longer period as they may agree) (the "Notice Period") as to what steps shall be taken with a view to mitigating the consequences of the relevant event having regard to all the circumstances.

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Provided further that during the Notice Period, the JVCO shall not remove any Equipment or any part of the Project, without the prior written consent of Beneficiary.

7.1.3.3 During any Notice Period, both Parties shall, save as otherwise provided in this Agreement, continue to perform their respective obligations under this Agreement.

7.1.3.4 Within the period of five (5) Business Days following the expiry of the Notice Period and unless the Parties shall have otherwise agreed or the circumstances giving rise to Beneficiary Preliminary Termination Notice shall have ceased to exist or shall have been remedied, Beneficiary may terminate this Agreement by giving written notice (“Beneficiary Termination Notice”) to the JVCO with a copy to CERC and Lender’s Representative, whereupon:

(i) Subject to the Laws and approval of CERC, lenders have right to exercise or beneficiary may require lenders to exercise their right to seek substitution of JVCO by a Selectee for the residual period of BPTA to secure total amount from JVCO & perform obligation of JVCO and the beneficiaries would have no objection to lenders exercising their rights.

(ii) JVCO or Beneficiary shall within thirty (30) Business Days of such Beneficiary Termination Notice, approach CERC for further course of action in the manner as prescribed under the Electricity Act.

7.1.4 Termination Procedure for Beneficiary Events of Default

7.1.4.1 Upon the occurrence of a Beneficiary’s Event of Default, the JVCO may serve notice on Beneficiary of its intention to terminate this Agreement (a "JVCO Preliminary Termination Notice") which notice shall specify in reasonable detail the circumstances giving rise to such JVCO Preliminary termination Notice.

7.1.4.2 Following the giving of a JVCO Preliminary Termination Notice, the Parties shall consult for a period of up to two (2) Months (or such longer period as they may agree) (the "Notice Period") as to what steps shall be taken with a view to mitigating the consequences of the relevant event having regard to all the circumstances.

7.1.4.3 During any Notice Period, both Parties shall, save as otherwise provided in this Agreement, continue to perform their respective obligations under this Agreement.

7.1.4.4 Within the period of five (5) Business Days following the expiry of the Notice Period and unless the Parties shall have otherwise agreed or the circumstances giving rise to the JVCO Preliminary Termination Notice shall have ceased to exist or shall have been remedied, the JVCO may terminate this Agreement by giving written notice (“JVCO Termination Notice”) to Beneficiary with a copy to CERC, whereupon:

(i) Beneficiary or JVCO shall within thirty (30) Business Days of such JVCO Termination Notice, approach CERC for further course of action in the manner as prescribed under the Electricity Act.

7.1.4.5 In case of termination of this Agreement, leading to sale of the Project, the JVCO shall provide to the purchaser of the Project full names and addresses of its Contractors as well as engineering drawings, manufacturing drawings, material specifications and technical informations, as available with JVCO.

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SECTION-8: LIABILITY AND INDEMNIFICATION

8.1 Limitation of Liability

Notwithstanding any other term or provision of this Agreement, the aggregate liability which each of the Parties shall have for all claims made under this Section-8 shall not exceed the limit fixed as per the terms of this Agreement.

8.2 Loss of or damage to property, death or injury to person

8.2.1 Indemnification by Beneficiary

Beneficiary agrees with the JVCO (itself and as trustee on behalf of JVCO’s Contractors) to indemnify and hold harmless the JVCO and each of the JVCO's Contractors for loss of or damage to property, death or injury to person (or any related claim against the JVCO and/or any of the JVCO's Contractors) and all related expenses (including without limitation reasonable legal fees) suffered by the JVCO and/or any of the JVCO's Contractors in connection with this Project to the extent resulting from any negligent act or omission of Beneficiary and/or any of Beneficiary's contractors or their respective employees, without recourse to the JVCO and/or any of JVCO's Contractors and hold the JVCO and/or the JVCO's Contractors fully indemnified in respect of any such loss of or damage to property, death or injury to person provided that:

(i) such indemnity shall not extend to any loss, damage, death or injury (or any related claim) or any related expenses to the extent that;

(a) it arose from a claim made outside India, or

(b) it was caused by any act or omission of the JVCO and/or any of JVCO's Contractors or the failure of the JVCO and/or any of the JVCO's Contractors to take reasonable steps to mitigate that loss, damage, death or injury; and

(ii) nothing in this clause 8.2.1 shall apply to any loss, damage, cost or expense in respect of, and to the extent that, the JVCO and/or any of the JVCO's Contractors are compensated pursuant to the terms of any agreement or under any policy of insurance (including but not limited to the Insurances).

8.2.2 Indemnification by the JVCO

The JVCO agrees with Beneficiary to indemnify and hold harmless Beneficiary for loss of or damage to property, death or injury to person (or any related claim against Beneficiary and all related expenses (including without limitation reasonable legal fees) suffered by Beneficiary in connection with this Project to the extent resulting from any negligent act or omission of the JVCO and/or any of the JVCO's Contractors or their respective employees, without recourse to Beneficiary and will hold Beneficiary fully indemnified in respect of any such loss of or damage to property, death or injury to person provided that;

(i) such indemnity shall not extend to any loss, damage, death or injury (or any related claim) or any related expenses to the extent that:

(a) it arose from a claim made outside India; or

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(b) it was caused by any act or omission of Beneficiary or the failure of Beneficiary to take reasonable steps to mitigate that loss, damage, death or injury; and

(ii) nothing in this clause 8.2.2 shall apply to any loss, damage, cost or expense in respect of, and to the extent that Beneficiary is compensated pursuant to the terms of any agreement or under any policy of insurance (including but not limited to the Insurances).

8.3 Assertion of Claims

Each Party shall notify the other Party promptly of its entitlement, and intention, to make any claim for indemnification pursuant to this Section-8.

8.4 Defence of Claims

8.4.1 The person indemnified pursuant to this Section-8 shall have the right, but not the obligation, to contest, defend and litigate any claim, action, suit or proceeding by any third party alleged or asserted against such person in respect of, resulting from, related to or arising out of any matter for which it is entitled to be indemnified under this Section-8 and the reasonable cost and expenses incurred by the person indemnified shall be subject to the indemnification obligation of the person indemnifying under this Section-8 provided that if the person indemnified is indemnified in respect of loss to the full extent provided by this Section-8, the person indemnifying shall be entitled, at its option, to assume and control the defence of such claim, action, suit or proceeding liabilities, payments and obligations at its expense and through counsel of its choice if it gives prompt notice of its intention to do so to the person indemnified and reimburses the person indemnified for the reasonable cost and expenses incurred by the person indemnified prior to the assumption by the person indemnifying of such defence.

8.4.2 The person indemnified which exercises its rights under clause 8.4.1 shall not be entitled to settle or compromise any claim, action, suit or proceeding without the prior written consent of the person indemnifying.

8.4.3 Any person indemnified which exercises its rights under clause 8.4.1 shall have the right to employ its own counsel and such counsel may participate in such action, but the fees and expenses of such counsel shall be at the expense of such person indemnified, when and as incurred, unless:

(i) the employment of counsel by such person indemnified has been authorised in writing by the person indemnifying;

(ii) the person indemnified shall have reasonably concluded that there may be a conflict of interest between the person indemnifying and the person indemnified in the conduct of the defence of such action;

(iii) the person indemnifying shall not in fact have employed independent counsel reasonably satisfactory to the person indemnified to assume the defence of such action and shall have been so notified by the person indemnified; or

(iv) the person indemnified shall have reasonably concluded and specifically notified the person indemnifying either that there may be specific defences

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available to it which are different from or additional to those available to the person indemnifying or that such claim, action, suit or proceeding involves or could have a Material Adverse Effect upon it beyond the scope of this Agreement.

Provided that if clauses 8.4.3 (ii), 8.4.3 (iii) or 8.4.3 (iv) apply, counsel for the person indemnified shall have the right to direct the defence of such claim, action, suit or proceeding on behalf of the person indemnified and the reasonable fees and disbursements of such counsel shall constitute legal or other expenses under this Section-9.

8.4.4 Any person other than the Parties seeking the benefit of the indemnity provided pursuant to this Section-8 must acknowledge, on request and in writing to both Parties to this Agreement that, in consideration of receiving such indemnity, such person is bound by the terms of this clause 8.4.

8.5 Consequential and Indirect Losses

Except as required by this Section-8 neither Party shall be liable to the other Party in contract, tort, warranty, strict liability or any other legal theory for any indirect, consequential, incidental, punitive or exemplary damages and neither Party shall have any liability to the other Party except pursuant to or for breach of this Agreement provided that this provision is not intended to constitute a waiver of any rights of one Party against the other with regard to matters unrelated to this Agreement.

8.6 An act or exercise by any person of powers, functions and authorities so delegated to him or her in accordance with this Agreement shall be deemed to be an act or exercise by the delegating Party.

8.7 Duty to Mitigate

The Party entitled to the benefit of an indemnity under this clause 8.0 shall take all reasonable measures to mitigate any loss or damage which has occurred. If the Party fails to take such measures, the other Party’s liabilities shall be correspondingly reduced.

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SECTION-9: ASSIGNMENTS AND CHARGES

9.1 Assignments

Beneficiary shall at all times have the right to assign its rights, benefits and obligations under this Agreement and also convey, transfer and vest all interest held by the Beneficiary in the Project together with all beneficial interest to any entity or entities as Government of India/ State Government may from time to time direct as a part of re-organisation or restructuring of electricity industry provided that such successor entities expressly assume the obligations of Beneficiary under this Agreement and are capable of performing the obligations of Beneficiary under this Agreement.

9.2 Permitted Charges

9.2.1 Subject to the Laws and approval of CERC, the JVCO may create any encumbrance over all or part of the Payment Security Mechanism or the other assets of the Project in favour of the Lenders or the Lender's Representative as security for:

(i) amounts payable under the Financing Agreements; and

(ii) any other amounts agreed by the Parties

Provided that:

(a) the Lenders or the Lender's Representative shall have entered into the Financing Agreements; and

(b) any encumbrance granted by the JVCO in accordance with this clause 9.2.1 shall contain provisions pursuant to which the Lenders or the Lender's Representative agrees unconditionally with the JVCO to release such encumbrances upon payment by the JVCO to the Lenders of all amounts due under the Financing Agreements.

9.2.2 Clause 9.2.1 does not apply to:

(i) liens arising by operation of Law (or by an agreement evidencing the same) in the ordinary course of the JVCO carrying out the Project;

(ii) pledges of goods, the related documents of title and/or other related documents arising or created in the ordinary course of the JVCO carrying out the Project; and

(iii) security arising out of retention of title provisions in relation to goods acquired in the ordinary course of the JVCO carrying out the Project.

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SECTION-10: GOVERNING LAW AND DISPUTES

10.1 Governing Law

The Agreement shall be governed by and interpreted in accordance with the Laws of India.

10.2 Settlement of Disputes

10.2.1 Mutual Consultation

If any dispute or difference of any kind whatsoever arises between Beneficiary and the JVCO in connection with or arising out of the Agreement, including without prejudice to the generality of the foregoing, any question regarding its existence, validity or termination, or the execution of the Project, whether during the progress of the Project or after its completion and whether before or after the termination, abandonment or breach of the Agreement, the Parties shall seek to resolve any such dispute or difference by mutual consultation within thirty (30) days.

10.2.2 Dispute Resolution Procedure as per Electricity Act 2003

If the Parties fail to resolve the dispute by mutual consultation as per clause 10.2.1, then the parties may move the adjudicatory bodies competent to decide the dispute as per the provision of Electricity Act-2003.

10.3 Notwithstanding anything herein above, the Adjudication on disputes or differences shall be as per the provisions of Electricity Act 2003.

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SECTION-11: CONFIDENTIALITY 11.1 Confidential Information

Subject to clause 11.2, both Parties shall at all times during the continuance of this Agreement;

(i) use their reasonable endeavours to keep all information regarding the terms and conditions of this Agreement and any data or information acquired under or pursuant to this Agreement confidential and accordingly neither Party shall disclose the same to any other person; and

(ii) not use any document or other information (whether technical or commercial) obtained by them respectively by virtue of this Agreement concerning the other's undertaking for any purpose other than performance of the Party's obligations and exercise of its rights under this Agreement.

Provided that the provisions of this clause 11.1 shall not apply to information which at the time of disclosure was in the public domain other than by breach of the foregoing obligations of confidentiality.

11.2 Disclosure of Confidential Information

11.2.1 Each of the Parties shall hold in confidence the agreements relating to the Project and all documents and other information (whether technical or commercial) which is of a confidential nature disclosed to it by or on behalf of the other Party relating to the Project and shall not, save as may be required by Law or appropriate regulatory or statutory authorities, or to any Indian Governmental Instrumentality, or to prospective Lenders to, or Investors in the JVCO or to the professional advisors of the Parties or of those prospective Lenders or Investors, publish or otherwise disclose or use the same for its own purposes otherwise than as may be required to perform its obligations under this Agreement.

11.2.2 Either Party shall be entitled to disclose the terms and conditions of this Agreement and any data or information acquired by it under or pursuant to this Agreement without the prior written consent of the other party if such disclosure is made in good faith:

(i) to any affiliate of such Party, having made if aware of the requirements of this clause 11.2 or to any Indian Governmental Instrumentality;

(ii) to any outside consultants or advisers engaged by or on behalf of such Party and acting in that capacity, having made them aware of the requirements of this clause 11.2;

(iii) to the Lenders, the Lenders' Representative, any security trustee, any bank or other financial institution and its advisers from which such Party is seeking or obtaining finance, having made them aware of the requirements of this clause 11.2;

(iv) to the extent required by the rules of a relevant and recognised stock exchange;

ANNEXURE-I Page 25 of 36:

(v) to the extent required by any Laws of India or pursuant to an order of any court of competent jurisdiction;

(vi) to any insurer under a policy of Insurance;

(vii) to directors, employees and officers of such Party having made them aware of the requirements of this clause 11.2; and

(viii) to any person which the Parties in their absolute discretion (exercised in good faith) considers such disclosures to be appropriate; and is necessary to enable such Party to perform this Agreement or to protect or enforce its rights under this Agreement or any other Project Document or to enable it to comply with any requirement referred to in clauses 11.2.2 (iv) and 11.2.2(v) or to carry on its ordinary business.

ANNEXURE-I Page 26 of 36:

SECTION-12: MISCELLANEOUS PROVISIONS

12.1 Amendments

This Agreement shall not be amended except by written agreement between the Parties. This Agreement is intended solely for the benefit of the Parties and their respective successors and permitted assigns.

12.2 No Waiver

12.2.1 No waiver by either Party of any default or defaults by the other Party in the performance of any of the provisions of this Agreement:

(i) shall operate or be construed as a waiver of any other or further default or defaults; and

(ii) shall be effective unless in writing duly executed by a duly authorised representative of such Party.

12.2.2 Neither the failure by either Party to insist on any occasion upon the performance of the terms, conditions and provisions of this Agreement nor time or other indulgence granted by one Party to the other shall act as a waiver of such breach or acceptance of any variation or the relinquishment of any such right or any other right under this Agreement, which shall remain in full force and effect.

12.3 Relationship of the Parties

This Agreement shall not be interpreted or construed to create an association, joint venture, or partnership between the Parties or to impose any partnership obligation or liability upon either Party and neither Party shall have any right, power or authority to enter into any agreement or undertaking for, or act on behalf of, or to act as or be an agent or representative of, or to otherwise bind, the other Party.

12.4 Entirety

12.4.1 This Agreement along with its sections, schedules and appendices are intended by the Parties as the final expression of their agreement and are intended also as a complete and exclusive statement of the terms of their agreement.

12.4.2 All prior written or oral undertakings, offers or other communications of every kind pertaining to this Agreement under this Agreement between the Parties are abrogated and withdrawn.

12.5 Successors and Assigns

This Agreement shall be binding upon, and inure to the benefit of the Parties and their respective successors and permitted assigns.

12.6 Notices

12.6.1 Save as otherwise expressly provided in this Agreement, all notice or other communications which are required or permitted under this Agreement shall be in writing and sufficient if delivered personally or sent by registered or certified mail, fax, telex or telegram addressed as follows:

ANNEXURE-I Page 27 of 36:

If to the JVCO:

Address :

Attention :

Email :

Fax. No. :

Telephone No. :

If to Beneficiary:

Address :

Attention :

Email :

Fax No. :

Telephone No :

All notices or communications given by fax shall be confirmed by depositing a copy of the same in the post office in an envelope properly addressed to the appropriate Party for delivery by registered or certified mail. All Notices shall be deemed delivered upon receipt.

12.6.2 Any Party by notice of at least fifteen (15) Business Days to the other Party change the address and/or addresses to which such notices and communications to it are to be delivered or mailed.

12.7 Compliance with Notifications

Notwithstanding anything contained in this Agreement, if any provision of this Agreement shall be in deviation of, inconsistent with or repugnant to the provisions contained in the Electricity Act such provision shall be deemed to be amended to the extent required to bring it into compliance with the relevant provisions of the Electricity Act as amended from time to time.

IN WITNESS WHEREOF, THE PARTIES HAVE CAUSED THIS AGREEMENT TO BE EXECUTED BY THEIR REPRESENTATIVE/DULY AUTHORISED OFFICERS AS OF THE DATE SET FORTH ABOVE.

ANNEXURE-I Page 28 of 36:

SCHEDULE I: DESCRIPTION OF THE TRANSMISSION SYSTEM/PROJECT

The Transmission System/ Project to be implemented by Joint Venture Company are given below:

S.No Name of line Voltage Level and line length*

1. Parbati - Koldam 400 kV Quad Moose

a. S/C line –I 75km

b. S/C line –II 75 km

c. D/C line 3 km

2. Koldam – Ludhiana 400 kV D/C Triple Snowbird, 150 kms

*These are approximate lengths and shall be substituted by the actual length on commissioning of the Project.

ANNEXURE-I Page 29 of 36:

SCHEDULE IA: LETTER OF SELECTION ISSUED BY POWERGRID

ANNEXURE-I Page 30 of 36:

ANNEXURE-I Page 31 of 36:

SCHEDULE II: DEFINITIONS

The words/expressions used in this Agreement unless repugnant to the context shall have the same meaning as assigned to them by Electricity Act, 2003 as amended from time to time and the Rules framed there under. The words/expressions mentioned below shall have the meanings respectively as assigned hereunder.

"Agreed Form" in relation to any document means the form of the document most recently agreed by the Parties and initialled by them for ;

“Allocated Capacity” means the capacity in MW allocated to the Beneficiary from the Project’s Available Capacity issued by NRPC, from time to time.

Availability" shall have the same meaning as in regulations 49 (v) of the CERC (Terms and Conditions of Tariff) Regulations 2004 as amended from time to time;

“Business Day" means any day when public sector banks are open to the public for the transaction of normal banking business;

“Circuit Km” shall be as determined under Schedule I of this Agreement and as may be amended from time to time on account of Change in Project;

“CERC” means Central Electricity Regulatory Commission of India constituted under “The Electricity Regulatory Commissions Act, 1998 and operating under the Electricity Act, 2003 and any successors which fulfil the same role;

“Commercial Operation Date” means the date on which POWERGRID declares the Transmission Line Element to be Commissioned.

“Commission/Commissioned/Commissioning" in relation to each Transmission Line Element shall be the commencement of operation of such Transmission Line Element when it is declared commissioned on the date earlier of the date that POWERGRID is satisfied with the test report or the date the Independent Engineer has issued a Final Test Certificate stating that Commissioning Tests have been carried out and satisfy the criteria for the commissioning of such Transmission Line Element of the Project;

"Commissioning Tests" means such tests that are required to ensure successful and safe commissioning of each of the Transmission Lines Element and as defined in the Technical Particulars and the Technical Specifications under Schedule I of this Agreement;

"Competent Authority" means any Indian Governmental Instrumentality which has legal right over the Project, but excluding Beneficiary;

“Connection Agreement” shall have the same meaning as defined in the Indian Electricity Grid Code, 2005 as in force on the date of execution of this agreement.

"Contractors" means the engineering, procurement, construction, operation & maintenance contractors, surveyors, advisors, consultants, designers suppliers to the JVCO and each of their respective Sub-Contractors (and each of their respective successors and permitted assigns) in their respective capacities as such;

"Consent" shall mean and include all authorisations, consents, licenses, approvals, registrations, clearances, permits, waivers, privileges, acknowledgements, agreements,

ANNEXURE-I Page 32 of 36:

concessions and approvals from any Indian Governmental Instrumentality required for the Project;

“CTU” means Central Transmission Utility as referred to in the Electricity Act, which for the time being is POWERGRID pursuant to a notification issued by the Govt of India;

"D/C" means Double Circuit;

“Debt” shall mean any outstanding sum payable by JVCO to the Lenders;

“Debt Service Obligation” shall mean the sum payable by JVCO to the Lenders as per Financial Agreements

“Due Date” in relation to any invoice means the sixtieth (60th) day after that invoice is presented (or, if that day is not a Business Day, the immediately following Business Day);

“Effective Date” means the date on which this Agreement has been executed.

"Electricity Act" means the Electricity Act, 2003 as amended from time to time;

"Electricity Rules" means the rules and regulations pursuant to Electricity Act as amended from time to time;

“Equipment” means all plants, facilities, equipment, machinery, tools, apparatus, appliances or things of every kind required in or for installation, completion and maintenance of Project that are to be arranged by the JVCO, but does not include equipment, or other things intended to form or forming part of the Project;

"Financing Agreements” means the Agreements pursuant to which the JVCO is to finance the Project including the loan agreements, security documents, inter-creditor agreements, co-ordination agreements and other ancillary agreements which are a condition to the availability of funds under any such financing agreements;

“Financial Year” means period of twelve Months at midnight Indian Standard Time (IST) between first April & thirty first March;

"Force Majeure" this term has the meaning assigned hereto in Section-4;

"Force Majeure Event" this term has the meaning assigned hereto in Section-4;

"Forced Outage" means any interruption in transmission of energy through the Project and consequent reduction in Availability of the Project which is not the result of a Scheduled Outage, Unscheduled Outage or a Force Majeure Event;

“GOI” means Govt. of India;

"Implementation Agreement" or “IA” means the agreement related to the Project so entered into between POWERGRID and the JVCO in the Agreed Form;

"Indian Governmental Instrumentality" means Government of India, Government of any State of India or any Ministry, department, board, authority, instrumentality, agency, corporation or commission under the direct or indirect control of Government of India or any State Government or any political sub-division of any of them or any court or regulatory commission or tribunal or judicial body in India but excluding JVCO;

ANNEXURE-I Page 33 of 36:

“IEGC” means Indian Electricity Grid Code notified by CERC and as amended from time to time.

"Interconnection Points" means the points, to be identified prior to the target date of Financial Close, where the Project is connected with the transmission systems that are outside the scope of the Project;

"Interconnection Facilities" means the facilities as may be set up for transmission of energy through the use of Project, on either one or both side as POWERGRID or Beneficiary substations or as Beneficiary substation on one end and POWERGRID’s substation on other side of the Interconnection Points in accordance with this Agreement and which shall include, without limitation, all other transmission lines, gantries, sub-stations and associated equipments not forming part of the Project;

"Investors" at any time means all shareholders of the JVCO at that time;

“Invoice” means any invoice as issued pursuant to the provisions contained in this Agreement;

"Invoice Dispute Notice" is as defined in clause 3.4.1 of this Agreement;

"Law or Laws" shall mean and include laws, ordinances, statutes, rules, Notifications & directives, regulations, judgments, decrees, injunctions, orders and stipulations enacted or issued by any Indian Governmental Instrumentality;

"Lenders" means the banks, other financial institutions, multilateral agencies, RBI registered non-banking financial companies, mutual funds and agents or trustees of debentures / bond holders, including their successors and permitted assigns who have agreed (a) to provide the JVCO with the debt financing as described in the Financing Agreements; or (b) to refinance the existing debts of JVCO; or (c) to provide working capital to the JVCO;

"Lenders Representative" means the person (s) duly authorized by the Lenders to deal with the Parties to the Agreement with regard to the issues arising out of and contained in this Agreement;

“Liability” means all claims made under Section 8 to be borne by the Parties pursuant to the Agreement;

“License Period” means the period for which the Transmission License issued to JVCO shall remain valid and in full force;

“Material” (and the meaning of such terms as “materiality” or “materially”) in connection with the obligations of the JVCO or Beneficiary shall be in each case determined in the context of the financial conditions, business, properties and assets of the JVCO considered individually. For any obligations the failure of which to be performed would individually affect the net assets, financial results, financial positions or cash flows from the operations of the JVCO, such obligations will be deemed Material if the effect of such non-performance, together with all other non-performances by the JVCO or Beneficiary (as the case may be) would impact individually the net asset, financial results, financial positions or cash flows from operations of the JVCO in an amount greater than 5% of the gross assets of the JVCO;

ANNEXURE-I Page 34 of 36:

“Material Adverse Effect” shall mean an effect on the business, which is adverse and Material on the results of implementation, operations, financial condition, financial prospects or other conditions of the JVCO;

“Month/Months" means calendar month of English Calendar;

“Northern Region Beneficiary” shall mean all Northern Region Beneficiaries as per the Implementation Agreement

"Notification" means any notification, issued in the Gazette of India;

“NRPC” means Northern Regional Power Committee duly established by Govt. of India vide Resolution no. 23/1/2004-R&R dated 25.05.2005 and as defined in the Electricity Act, 2003

"O & M Contractor" means the entity appointed from time to time by the JVCO to maintain & repair the Project;

“POWERGRID” means Power Grid Corporation of India Ltd., a Company promoted and owned by Govt. of India and is the Central Transmission Utility (CTU) under the Electricity Act;

“Payment Security Mechanism” means the payment security as provided to the JVCO and as described in Section 3;

"Preliminary Termination Notice" means a Beneficiary Preliminary Termination Notice or JVCO Preliminary Termination Notice, as the case may be;

“Project’s Available Capacity” means the capacity of the PARBATI II & KOLDAM HEP Project

"Project Document" shall include the (i) Implementation Agreement (ii) Power Transmission Agreement, (iii)Financing Agreements and any other documents including without limitation construction contracts and operation and maintenance contracts which may be required or necessary for the implementation, operation & maintenance of the Project;

“Project Equipment” means all plants, facilities, equipment, machinery, tools, apparatus, appliances or things of every kind required in or for installation, completion and maintenance of Project that are to be arranged by the JVCO, but does not include equipment, or other things intended to form or forming part of the Project;

“Project Under Operation” means the Transmission Line Element that has been Commissioned.

"Prudent Utility Practices" means the practices, methods and standards that are generally accepted internationally from time to time by electric utilities for the purpose of ensuring the safe, efficient and economic design, construction, commissioning, operation, repair and maintenance of Project equipment and which practices, methods and standards shall be adjusted as necessary, to take account of:

(i) operation, repair and maintenance guidelines recommended by the manufacturers of plant and equipment to be incorporated in the Project;

(ii) the requirements of Law, and

ANNEXURE-I Page 35 of 36:

(iii) the physical conditions at the Site;

"Scheduled Outage" means a planned reduction in any period of Availability of the Project.

“Selectee” means a new company proposed by the Lenders for substituting the JVCO for residual period of the BPTA after approval from CERC.

“Site” means the land and other places upon which the Project is to be established and such other land or places as may be required to set up the Project;

“Sub-Contractor” including vendor means any person to whom execution of any part of the Project including preparation of any design or supply or erection of any equipment is subcontracted directly or indirectly by the Contractor and includes its legal successors or permitted assigns;

"Tax" means any Indian tax, duty, surcharge, cess, octroi, impost or levy of any nature (whether central, state or local) whatsoever and wherever and whenever charged, levied or imposed by any Indian Governmental Instrumentality;

“Transmission Charges or TC” shall mean the tariff for transmission of electricity as defined under the CERC (Terms and Conditions of Tarff) Regulations, 2004 and as amended from time to time.

“Technical Specifications” means the provisions contained in the Bid Documents through which goods and services for the Project are procured;

“Termination Notice” means a Beneficiary Termination Notice or JVCO Termination Notice, as the case may be;

“Transmission Licensee” or “Licensee” means the JVCO to whom the Transmission License has already been granted for the Project by CERC;

“Transmission License” or “License” means the authority to be granted by CERC to act as licensee for the Project;

“Transmission Line Circuit” means each circuit the Transmission Line Element as more fully described under Schedule I of this Agreement;

“Transmission Line Element” means the transmission lines which constitute the Project as set out in Schedule I to this Agreement;

“Transmission Line Element Length” means the length of the Transmission Line Element as set out in Schedule I. and as approved and adopted by CERC;

“UI rate” shall have the meaning as referred to in clause 24 of Central Electricity Regulatory Commission (Terms and Conditions of Tariff) Regulations, 2004 and subsequent amendments thereof.

ANNEXURE-I Page 36 of 36:

SCHEDULE III: INTERPRETATIONS

Any reference in this Agreement to:

an "Affiliate" of any person shall be construed as a reference to a subsidiary or holding Company, or a subsidiary of a holding Company, of such person;

“Agreement" shall be construed as including a reference to its Schedules, Appendices and Annexure’s;

"Business Day" shall be construed as a reference to a day other than Sundays on which Public sector banks are generally open for business;

"Rupee", "Rupees" and “Rs.” denote lawful currency of India;

"Encumbrance" shall be construed as a reference to a mortgage, charge, pledge, lien or other encumbrance securing any obligation of any person or any other type of preferential arrangement (including, without limitation, title transfer and retention arrangements) having a similar effect;

"Holding Company "of a Company or corporation shall be construed as a reference to any Company or corporation of which the other Company or corporation is a subsidiary;

"Indebtedness" shall be construed so as to include any obligation (whether incurred as principal or surety) for the payment or repayment of money, whether present or future, actual or contingent;

"Person" shall be construed as a reference to any person, firm, Company, corporation, society, trust, government, state or agency of a state or any association or partnership (whether or not having separate legal personality) of two or more of the above;

"Subsidiary" of a Company or corporation (the first mentioned Company) shall be construed as a reference to any Company or corporation;

(i) which is controlled, directly or indirectly, by the first-mentioned Company; or

(ii) more than half the issued share capital of which is beneficially owned, directly or indirectly, by the first-mentioned Company, or

(iii) which is a subsidiary of another subsidiary of the first-mentioned Company;

and, for these purposes, a Company or corporation shall be treated as being controlled by another if that other Company or corporation is able to direct its affairs and/or to control the composition of its board of directors or equivalent body; and the "winding-up", "dissolution", "administration", "insolvency", or "re-organisation" of a Company or corporation and references to the "liquidator", "assignee", "administrator", "receiver", "administrative receiver", "receiver" and "manager", "manager" or "trustee" of a Company or corporation shall be construed so as to include any equivalent or analogous proceedings or, as the case may be, insolvency representatives or officers under the law of the jurisdiction in which such Company or corporation is incorporated or any jurisdiction in which such Company or corporation or, as the case may be, insolvency representatives or officers is incorporated or constituted or any jurisdiction in which such Company or corporation or, as the case may be, insolvency representatives or officers carries on business including the seeking of liquidation, winding-up, re-organisation, dissolution, administration, arrangement, adjustment, protection or relief of debtors.

9th meeting of Commercial Sub-committee (05.09.2008)-Agenda Annexure-II

Page 1 of 6

Time Correction required in following Meters of Northern Region as per data of 11-Aug-

2008 to 17-Aug-2008

LocID Meter_No. Catgry Place of Installation SI-01 NP-1535-A M 132kV Renusagar at Singrauli STPS AU-01 NP-1522-A M 220kV Agra - 1 at Auraiya CCPP AU-02 NP-1507-A M 220kV Agra - 2 at Auraiya CCPP AU-06 NP-3063-A M 220kV Mehgaon at Auraiya CCPP AU-07 NP-5019-A M ICT-1 (220kV) at Auraiya CCPP AU-09 NP-1768-A M 220kV Phaphund (Railways)-1 at Auraiya CCPP AU-18 NP-1502-A C ICT-2 (220kV) at Auraiya CCPP AU-19 NP-1769-A C 220kV Phaphund (Railways)-1 at Auraiya CCPP AU-21 NP-1523-A S GT-1 (220kV) at Auraiya CCPP AU-23 NP-1527-A S GT-3 (220kV) at Auraiya CCPP AU-25 NP-1515-A S GT-5 (220kV) at Auraiya CCPP AU-27 NP-1520-A S ST-1 (220kV) at Auraiya CCPP AU-28 NP-1521-A S ST-2 (220kV) at Auraiya CCPP AU-33 NP-5038-A L 400kV Kanpur-2 at Auraiya CCPP DA-05 NP-1053-B M 6.6kV HVDC-1(aux) at Dadri-HVDC(from thermal) DA-25 NP-1889-A S 220kV Dadri GPS(NTPC)-1 at Dadri (Railways) DA-26 NP-5036-A S 220kV Dadri GPS(NTPC)-2 at Dadri (Railways) DA-31 NP-9959-A L 400kV HVDC-1 at Dadri-NTPC DA-43 NT-0003-A C (Orig No.01955842) ICT-3 (400kV) side at Dadri,NTPC UN-06 NP-1252-A M Bus-II sect. (220kV) at Unchahar TPS DL-32 NP-5175-A M 220kV Noida_Gazipur at BTPS DL-33 NP-3051-A M 220kV Ballabgarh-1 at BTPS DL-34 NP-5348-A M 220kV Ballabgarh-2 at BTPS TP-21 NP-1957-B S Genr-1 (11kV) at Tanakpur HPS RA-01 NP-3031-A M GT-1 (220kV) at RAPS-B RA-02 NP-3042-A M GT-2 (220kV) at RAPS-B RA-03 NP-3022-A M ST-1 (220kV) at RAPS-B RA-04 NP-3030-A M ST-2 (220kV) at RAPS-B RA-11 NP-3049-A C GT-1 (220kV) at RAPS-B RA-12 NP-3041-A C GT-2 (220kV) at RAPS-B RA-13 NP-3028-A C ST-1 (220kV) at RAPS-B RA-14 NP-3047-A C ST-2 (220kV) at RAPS-B RA-21 NP-3029-A S 220kV Chittaurgarh-1 at RAPS-B RA-22 NP-3048-A S 220kV Chittaurgarh-2 at RAPS-B RA-23 NP-3021-A S 220kV Udaipur at RAPS-B RA-24 NP-3035-A S 220 KV RAP C at RAPS-B RA-29 NP-1320-A M 220kV side of 220/33 kV SUT-5(35 MVA) at RAPS-C BB-15 NP-1023-B M 220/66kV ICT-1(220 kV) at Dhulkote-BBMB BB-17 NP-1013-B M 220/66kV ICT-2(220 kV) at Dhulkote-BBMB CH-01 NP-3106-A M 66kV UT Chd-1 Sec 28 at Dhulkote-BBMB CH-02 NP-1695-A M 66kV UT Chd-2 Sec28 at Dhulkote-BBMB BB-18 NP-3107-A S 220/66kV ICT-2(66 kV) at Dhulkote-BBMB BB-66 NP-1691-A M 220kV Palla-1 at Samaypur-BBMB HR-05 NP-1224-A M 66kV Gurgaon-1 at Rohtak Road-BBMB HR-45 NP-1319-A C 33kV Delhi-4 at Rohtak Road-BBMB PU-01 NP-1659-A M 220/66kV ICT-1(220kV) at Jamalpur-BBMB PU-02 NP-1658-A M 220/66kV ICT-2(220kV) at Jamalpur-BBMB PU-05 NP-1646-A M 220/132kV ICT-2(220kV) at Jamalpur-BBMB PU-07 NP-1648-A M 220kV Dhandari-1 at Jamalpur-BBMB

9th meeting of Commercial Sub-committee (05.09.2008)-Agenda Annexure-II

Page 2 of 6

Time Correction required in following Meters of Northern Region as per data of 11-Aug-2008 to 17-Aug-2008

LocID Meter_No. Catgry Place of Installation PU-08 NP-1657-A M 220kV Dhandari-2 at Jamalpur-BBMB PU-09 NP-1661-A S 220kV Ganguwal-1 at Jamalpur-BBMB PU-11 NP-1645-A S 220kV Bhakra(R)-1 at Jamalpur-BBMB PU-12 NP-1664-A S 220kV Bhakra(R)-2 at Jamalpur-BBMB PU-15 NP-1644-A S 220kV Jalandhar-1 at Jamalpur-BBMB PU-29 NP-1683-A S 220kV Barnala(BBMB) at Sangrur-BBMB CH-12 NP-1429-A S 66kV Dhulkote-2 at Sec-28 Chandigarh-BBMB UP-03 NP-1223-A M 220kV Noida at Sahibabad-UPPCL UP-07 NP-1633-A M 220kV Roorkee at Muzaffarnagar-UPPCL UP-82 NP-9904-A M 400kV Rishikesh at Muzaffarnagar-UPPCL UP-83 NP-9902-A M 400kV Meerut at Muzaffarnagar-UPPCL UP-87 NP-5187-A S 400/220 kV ICT-1(220 kV side) at Greater Noida-UPPCL UQ-04 NP-5029-A M 400/220 kV ICT-2(400 kV side) at Greater Noida-UPPCL UQ-15 NP-5013-A S 400/220 kV ICT-2(220 kV side) at Greater Noida-UPPCL UP-10 NP-1896-A M 220kV Khodri-1 at Saharanpur-UPPCL UP-11 NP-1895-A M 220kV Khodri-2 at Saharanpur-UPPCL UP-12 NP-1897-A M 132kV Roorkee-1 at Saharanpur-UPPCL UP-13 NP-1898-A M 132kV Roorkee-2 at Saharanpur-UPPCL UP-14 NP-1690-A M 132kV Khatima at Pilibhit-UPPCL UP-15 NP-1652-A M 132kV Sitarganj at Dohna-UPPCL UP-17 NP-1796-A M 132kV Kalagarh-1 at Nehtaur-UPPCL UP-22 NP-1794-A M 132kV Laskar at Nehtaur-UPPCL UP-23 NP-1795-A M 132kV Manglore at Nehtaur-UPPCL UP-24 NP-1478-A M 132kV Chilla at Nazibabad-UPPCL UP-25 NP-1696-A M 132kV Kotdwar at Nazibabad-UPPCL UP-26 NP-1757-A M 220kV Pantnagar at Baikanthpur(Bareilly)-UPPCL UP-57 NP-1222-A M 220kV Dhauliganga-1 at Baikanthpur(Bareilly)-UPPCL UP-80 NP-1781-A M 400kV Bareilly PG-1 at Baikanthpur(Bareilly)-UPPCL UP-81 NP-1324-A M 400kV Bareilly PG-2 at Baikanthpur(Bareilly)-UPPCL UP-28 NP-1728-A M 220kV Auraiya-1 at 220kV Agra-UPPCL UP-29 NP-1727-A M 220kV Auraiya-2 at 220kV Agra-UPPCL UP-30 NP-1729-A M 220kV Bharatpur at 220kV Agra-UPPCL UP-31 NP-1531-A M 400kV Singrauli at Anpara-UPPCL UP-33 NP-1286-A M 132kV Morwa at Bina-UPPCL UP-91 NP-9923-A M 400 kV Lucknow(PG)-2 at 400kV Unnao-UPPCL UP-60 NP-1239-A M 220kV Kanpur-1 at 220kV Panki-UPPCL UP-61 NP-1742-A M 220kV Kanpur-2 at 220kV Panki-UPPCL UP-41 NP-1207-A M 220kV Tanakpur-1 at CB Gunj-UPPCL UP-42 NP-1298-A M 220kV Tanakpur-2 at CB Gunj-UPPCL UP-44 NP-1295-A M 132kV Sonenagar at Rihand HPS-UPPCL UP-45 NP-1296-A M 132kV Garwa at Rihand HPS-UPPCL UP-47 NP-1045-B M Genr-1(11kV) at Khara HPS-UPPCL UP-48 NP-1026-B M Genr-2(11kV) at Khara HPS-UPPCL UP-49 NP-1047-B M Genr-3(11kV) at Khara HPS-UPPCL UP-62 NP-1755-A M 220kV NAPS at Moradabad-UPPCL UQ-14 NP-1801-A M 132kV Kashipur at Thakurdwara-UPPCL UP-63 NP-1726-A M 220kV Kanpur(PG) at Mainpuri-UPPCL UP-98 NP-9915-A S 220kV Mainpuri(PG)-2 at Mainpuri-UPPCL UP-66 NP-3034-A M 220kV Unchahar-1 at Fatehpur-UPPCL UP-68 NP-1585-A M 220kV NAPS-1 at Khurja-UPPCL

9th meeting of Commercial Sub-committee (05.09.2008)-Agenda Annexure-II

Page 3 of 6

Time Correction required in following Meters of Northern Region as per data of 11-Aug-2008 to 17-Aug-2008

LocID Meter_No. Catgry Place of Installation UP-69 NP-1586-A M 220kV NAPS-2 at Khurja-UPPCL UQ-01 NP-5030-A M 220kV NAPS at Atrauli-UPPCL UP-71 NP-3062-A M 220kV NAPS at Simbhauli-UPPCL RJ-01 NP-1032-B M 220kV Dadri-1 at Khetri-RVPNL RJ-02 NP-1033-B M 220kV Dadri-2 at Khetri-RVPNL RJ-03 NP-1016-B M 220kV Hissar(BBMB) at Khetri-RVPNL RJ-06 NP-1974-B S 132kV Hissar at Amarpura Thedi-RVPNL RJ-55 NP-1967-B M 220kV Bassi at 220kV Heerapura-RVPNL RJ-11 NP-3040-A M 220kV BTPS at Alwar-RVPNL RJ-14 NP-1068-B M 220kV RAPSB at Kota-RVPNL RJ-16 NP-1327-A M 220kV Trans. B/C at Udaipur-RVPNL RJ-27 NP-1058-B M 220kV TBC at Bhilwara-RVPNL RJ-28 NP-1056-B M 220kV Swaimadhopur at Dausa-RVPNL RJ-29 NP-1057-B M 220kV Anta-2 at Dausa-RVPNL RJ-30 NP-1738-A M 220kV TBC at Dausa-RVPNL RJ-31 NP-1736-A M 220kV Bassi-1 at Dausa-RVPNL RJ-32 NP-1737-A M 220kV Bassi-2 at Dausa-RVPNL RJ-33 NP-1874-A M 220kV Ujjain at Morak-RVPNL RJ-34 NP-1066-B M 132kV Sheopur at Sawaimadhopur-RVPNL RJ-60 NP-1192-A M 220/132kV ICT-1(220kV) at S'madhopr-RVPNL RJ-37 NP-1317-A M 220kV RAPSB-2 at Chittaugarh-RVPNL RJ-38 NP-1318-A M 220kV TBC at Chittaugarh-RVPNL NR-09 NP-1289-A M 400 kV Singrauli-2(Kanpur) at Vindyachal HVDC-PG NR-10 NP-1288-A M 400 kV Singrauli-1 at Vindyachal HVDC-PG NR-11 NP-1290-A S 400 kV Block-1 (NR) at Vindyachal HVDC-PG NR-12 NP-1291-A S 400 kV Block-2 (NR) at Vindyachal HVDC-PG NG-11 NP-5403-A S 400 kV Mau-2 at Balia-PG NG-14 NP-5341-A S 400 kV Patna-1 at Balia-PG NR-21 NP-1344-A L 400 kV Nalagarh-1(KAITHAL) at Hissar-PG HR-54 NP-5427-A M ICT-1 (400 kV) at Fatehabad-PG NR-26 NP-1566-A S ICT-1 (220 kV) at Malerkotla-PG NR-28 NP-1568-A S ICT-2 (220 kV) at Malerkotla-PG NG-32 NP-3164-A L 400 kV Ludhiana at Malerkotla-PG JK-28 NP-3159-A M 220 kV Barn-1 at Kishenpur-PG JK-29 NP-3157-A M 220 kV Barn-2 at Kishenpur-PG NR-53 NP-3005-A M ICT-3 (400 kV) at Meerut-PG NR-55 NP-3006-A S ICT-2 (220 kV) at Meerut-PG NR-56 NP-3008-A S ICT-3 (220 kV) at Meerut-PG NR-58 NP-3015-A L 400 kV Mandaula-2 at Meerut-PG NR-81 NP-9898-A S 400 kV Tehri-1 at Meerut-PG UQ-09 NP-5192-A S 220kV Lucknow at Raibarely-PG UQ-10 NP-5195-A S 220kV Chinhat at Raibarely-PG UQ-12 NP-5194-A M 220kV side of 220/132 kV ICT-3 at Raibarely-PG UQ-13 NP-5178-A S 132kV side of 220/132 kV ICT-3 at Raibarely-PG NG-26 NP-5357-A L 400kV Bareily-2 at Lucknow-PG RJ-56 NP-3009-A M 220kV Alwar at Bhiwadi (PG) RJ-57 NP-3010-A M 220kV Bhiwadi at Bhiwadi (PG) RJ-59 NP-3020-A S ICT-2 (220kV) at Bhiwadi (PG) NR-69 NP-3011-A L 400kV Bassi at Bhiwadi (PG)- PU-95 NP-3167-A M ICT-1 (400 kV) at Amritsar-PG

9th meeting of Commercial Sub-committee (05.09.2008)-Agenda Annexure-II

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Time Correction required in following Meters of Northern Region as per data of 11-Aug-2008 to 17-Aug-2008

LocID Meter_No. Catgry Place of Installation PU-96 NP-3158-A S ICT-1 (220 kV) at Amritsar-PG PU-97 NP-5474-A M ICT-2 (400 kV) at Amritsar-PG PU-98 NP-5473-A S ICT-2 (220 kV) at Amritsar-PG PJ-01 NP-5463-A M ICT-1 (400 kV) at Ludhiyana-PG PJ-02 NP-5423-A S ICT-1 (220 kV) at Ludhiyana-PG PJ-03 NP-5422-A M ICT-2 (400 kV) at Ludhiyana-PG PJ-04 NP-5421-A S ICT-2 (220 kV) at Ludhiyana-PG CH-15 NP-1356-A S 66 kV Mohali-1 at Chandigarh UT-Sec.39 CH-16 NP-1408-A S 66 kV Mohali-2 at Chandigarh UT-Sec.39 CH-17 NP-1430-A S 66 kV Mohali-1 at Chandigarh UT-Sec.52 CH-18 NP-1431-A S 66 kV Mohali-2 at Chandigarh UT-Sec.52 DL-27 NP-5335-A M 220 kV Panipat-3 at Narela-DTL DL-39 NP-5039-A M 220 kV BTPS/Noida at Ghazipur-DTL DL-42 NP-1975-B M Genr-3 (13.2 kV) at IP Station-DTL CH-10 NP-1402-A M 66 kV UT Chd-2 Sec 28 at Pinjore-HVPN HR-40 NP-3086-A M 66/11kV Transformer at Mansadevi-HVPN HR-37 NP-3087-A S 132 kV Ropar-2 at Pinjore-HVPN HP-23 NP-1404-A M 66 kV Parwanoo at Pinjore-HVPN HP-25 NP-1406-A M 220 kV Baddi at Panchkula-HVPN HR-30 NP-1339-A S 220 kV Bhiwani -2 at Bhiwani-HVPN HP-01 NP-1821-A M 220/33 kV ICT (220 kV) at Jessore-HPSEB HP-02 NP-1824-A M 220/132kV ICT(220 kV) at Jessore-HPSEB HP-13 NP-1825-A S 220 kV Ranjit Sagar Dam at Jessore-HPSEB HP-32 NP-1761-A S 220 kV Bairasuil at Jessore-HPSEB HP-33 NP-1876-A S 220 kV Pong at Jessore-HPSEB HP-03 NP-1587-A M 132 kV Shanan-1 at Bassi-HPSEB HP-04 NP-1832-A M 132 kV Shanan-2 at Bassi-HPSEB HP-05 NP-5438-A S 66 kV Shanan at Mandi Bijni-HPSEB HP-06 NP-1837-A S 33 kV Shanan at Mandi Bijni-HPSEB HP-07 NP-3137-A M 132 kV Chohal at 132kV Hamirpur-HPSEB HP-09 NP-1869-A M 132kV Kulhal at Majhri-HPSEB HP-08 NP-1868-A S 220kV Khodri-1 at Majhri-HPSEB HP-11 NP-1866-A M 220 kV Panchkula at Baddi-HPSEB HP-22 NP-1358-A M 220 kV Dehar at Kangoo-HPSEB HP-34 NP-1392-A M 132 kV Dehar at Kangoo-HPSEB HP-36 NP-1837-A S 33 kV Shanan at Paddhar-HPSEB JK-03 NP-1840-A M ICT-2 (220 kV) at Pampore-PDD JK-02 NP-1841-A S ICT-1 (132 kV) at Pampore-PDD JK-04 NP-1842-A S ICT-2 (132 kV) at Pampore-PDD JK-11 NP-1860-A M ICT-1 (220 kV) at Udhampur-PDD JK-13 NP-1862-A M ICT-2 (220 kV) at Udhampur-PDD JK-12 NP-1861-A S ICT-1 (132 kV) at Udhampur-PDD JK-14 NP-1863-A S ICT-2 (132 kV) at Udhampur-PDD JK-17 NP-1856-A M ICT-1 (220 kV) at Jammu-PDD JK-19 NP-1858-A M ICT-2 (220 kV) at Jammu-PDD JK-20 NP-1859-A S ICT-2 (132 kV) at Jammu-PDD JK-21 NP-1851-A M ICT-1 (220 kV) at Hiranagar-PDD JK-22 NP-1852-A S ICT-1 (132 kV) at Hiranagar-PDD JK-23 NP-1884-A M ICT-2 (220 kV) at Hiranagar-PDD JK-30 NP-5481-A S 220 kV Kishenpur-PG-1 at Barn-PDD

9th meeting of Commercial Sub-committee (05.09.2008)-Agenda Annexure-II

Page 5 of 6

Time Correction required in following Meters of Northern Region as per data of 11-Aug-2008 to 17-Aug-2008

LocID Meter_No. Catgry Place of Installation JK-31 NP-5482-A S 220 kV Kishenpur-PG-2 at Barn-PDD PU-37 NP-1687-A M 132 kV Kotla-1 at Ropar-PSEB PU-38 NP-1686-A M 132 kV Kotla-2 at Ropar-PSEB PU-39 NP-1685-A M 132 kV Kotla-3 at Ropar-PSEB PU-41 NP-1688-A M 132 kV Pinjore-2 at Ropar-PSEB PU-42 NP-1828-A M 132 kV Bassi-1 at Shanan-PSEB HP-27 NP-1830-A M 66 kV Mandi at Shanan-PSEB HP-28 NP-5443-A M 33 kV Mandi at Shanan-PSEB(11/33 kV ICT) PU-44 NP-5454-A M 132 kV Kangra(HPSEB) at Kangra-PSEB PU-46 NP-1871-A M 132 kV Hamirpur at Chohal-PSEB PU-47 NP-1809-A M 66 kV Kathua at Pathankote-PSEB PU-21 NP-1810-A C 66 kV Kathua at Pathankote-PSEB PU-48 NP-1807-A M 66 kV Kathua at 132kV Sarna-PSEB PU-22 NP-1808-A C 66 kV Kathua at 132kV Sarna-PSEB PU-49 NP-1877-A M 220 kV Hiranagar at 220kV Sarna-PSEB PU-50 NP-1802-A M 220 kV Udhampur at 220kV Sarna-PSEB PU-51 NP-1803-A M 220 kV Kishenpur-1 at 220kV Sarna-PSEB PU-52 NP-1804-A M 220 kV Kishenpur-2 at 220kV Sarna-PSEB PU-55 NP-1819-A S 220 kV Sarna-1 at Dasuya-PSEB PU-56 NP-1820-A S 220 kV Sarna-2 at Dasuya-PSEB PU-58 NP-1834-A M 220 kV Ganguwal-2 at Govindgarh- PSEB CH-05 NP-1559-A M 66 kV Sec 52 Chd-1 at Mohali-PSEB CH-06 NP-1560-A M 66 kV Sec 52 Chd-2 at Mohali-PSEB PU-62 NP-1848-A M 220 kV Mahilpur-1 at Jamsher-PSEB PU-88 NP-1847-A M 220 kV Mahilpur-2 at Jamsher-PSEB PU-89 NP-1815-A M 220 kV Jallandher(BBMB)-1 at Jamsher-PSEB PU-90 NP-1865-A M 220 kV Jallandher(BBMB)-2 at Jamsher-PSEB PU-64 NP-1812-A S GT-2 (220 kV) at Ranjitsagar HPS-PSEB PU-65 NP-1813-A S GT-3 (220 kV) at Ranjitsagar HPS-PSEB PU-77 NP-1676-A M 220 kV Jessore at Ranjitsagar HPS-PSEB PU-78 NP-1816-A M 220 kV Hiranagar-1 at Ranjitsagar HPS-PSEB PU-79 NP-1817-A M 220 kV Hiranagar-2 at Ranjitsagar HPS-PSEB PU-82 NP-1838-A M 220 kV Barnala (BBMB) at Lehra Mohabbat-PSEB PU-83 NP-3144-A S 220 kV Jallandhar(PG) at Kartarpur-PSEB PU-84 NP-3140-A S 220 kV Jallandhar(PG) at Nakodar-PSEB UA-01 NP-1887-A M 400 kV Muzaffarnagar at Rishikesh-UPCL UA-04 NP-1972-B M Genr-1(6.6kV) at Kulhal HPS-UPCL UA-05 NP-1073-B M Genr-2(6.6kV) at Kulhal HPS-UPCL UA-06 NP-1037-B M Genr-3(6.6kV) at Kulhal HPS-UPCL UA-07 NP-3061-A M 132kV Giri at Kulhal HPS-UPCL UA-09 NP-1723-A M 132kV Dhakrani at Dhalipur HPS-UPCL UA-10 NP-1724-A M 132kV Dehradun at Dhalipur HPS-UPCL UA-11 NP-1721-A M 132kV Khodri at Dhakrani HPS-UPCL UA-12 NP-1720-A M 132kV Dhalipur at Dhakrani HPS-UPCL UA-13 NP-1759-A M 132/33 kV ICT-1 at Dhakrani HPS-UPCL UA-14 NP-1756-A M 132/33 kV ICT-2 at Dhakrani HPS-UPCL UA-15 NP-1041-B M Genr-1(11kV) at Chibro HPS-UPCL UA-16 NP-1042-B M Genr-2(11kV) at Chibro HPS-UPCL UA-17 NP-1043-B M Genr-3(11kV) at Chibro HPS-UPCL UA-18 NP-1044-B M Genr-4(11kV) at Chibro HPS-UPCL

9th meeting of Commercial Sub-committee (05.09.2008)-Agenda Annexure-II

Page 6 of 6

Time Correction required in following Meters of Northern Region as per data of 11-Aug-2008 to 17-Aug-2008

LocID Meter_No. Catgry Place of Installation UA-19 NP-1034-B M Genr-1(11kV) at Khodri HPS-UPCL UA-23 NP-1822-A M 220kV Saharanpur-1 at Khodri HPS-UPCL UA-24 NP-1823-A M 220kV Saharanpur-2 at Khodri HPS-UPCL UA-29 NP-1798-A M 132kV Dohna at Kichcha-UPCL UA-30 NP-1758-A M 132kV Nazibabad at Chilla-UPCL UA-31 NP-1323-A M 132kV Nazibabad at Kotdwar-UPCL UA-03 NP-1891-A M 220 kV Muzaffarnagar at Roorkee-UPCL UA-32 NP-1789-A M 132kV Saharanpur-1 at Roorkee-UPCL UA-41 NP-1791-A M 132kV Saharanpur-2 at Bhagwanpur-UPCL UA-44 NP-1788-A M 132kV Nehtaur-1 at Laksar-UPCL UA-42 NP-1782-A M 132kV Nehtaur at Manglore-UPCL UA-36 NP-1751-A M 132kV Nehtaur-1 at Kalagarh-UPCL UA-37 NP-1584-A M 132kV Dhampur at Kalagarh-UPCL UA-38 NP-1792-A M 132kV Thakurdwara/Moradabad at Kashipur-UPCL UA-43 NP-1890-A M 400kV Moradabad at Kashipur-UPCL UA-40 NP-1760-A M 220kV Baikanthpur(Bareilly) at Pantnagar-UPCL

Catagory Legend: M : Main Meter C : Check Meter S : Standby Meter L : Loss Meter Total Meters where time correction is required =265

Annexure-IV

Page 1 of 3

Following discrepancies noted in the data received at NRLDC for the week 11th

Aug 2008 to 17th August 2008

(i) High Negative losses are observed on all the five 400/220 ICTs at NTPC Dadri. The meters installed on 400 kV side are reading more than those installed on the 220 kV sides of the ICTs. Power losses on the ICT are as given below:

Time mismatch has been observed on ICT-3 & 4 [Action: NTPC DADRI]

Agenda _Item B.1(iii)

(ii) Losses observed on ICT-1 and ICT-2 is 5 % (Positive) at BBMB Sangrur.

However main meters installed on 220 kV sides of these ICTs were used to compute the drawl of Punjab at BBMB Sangrur. Details of the losses are as below:

April 2007 Aug 2008

Feeder Name Losses Power flow (MW) Losses Power flow (MW)

220/66 kV ICT-1 (-) 4 % 35-45 MW (+)5 % 25-35 MW 220/66 kV ICT-2 (-) 4 % 35-45 MW (+)5 % 25-35 MW

Since power flow is less even a small difference in absolute value is

causing more difference in % term.BBMB is requested to findout the reason for the above difference. [Action: BBMB Sangrur] Agenda _Item B.1(viii)

(iii) Direction of meter BB-41/NP-5347-A installed on 66 kV side of 220/66 kV ICT-1

at BBMB-Ballabgarh is not proper from 00 hrs block of 12.05.2008 to 2345 hrs block of 17.08.2008. However being the standby meter its readings were not used to compute the drawl during the above period. [Action: BBMB Ballabgarh]

(iv) The Standby meters (installed on lines) are reading less than the Main Meters

(installed on Generators) by 4 to 5 % at BBMB Kotla. Letter was received from BBMB and wherein it was clarified that CVT is defective on 400 kV Ganguwal-Kotla line 1 & 2 and same will be replaced soonly. [Action: BBMB Kotla]

(v) Negative losses on ICT-1&2 at BBMB Panipat are 2.5-3%. Bus mismatch at

BBMB panipat is also high.A letter dtd 13.08.2008 having CT/CVT measurement report were received from BBMB Panipat .From the the letter and SEM data following points were observed:

April 2007 Aug 2008 Feeder Name Losses Power flow (MW) Losses Power flow (MW) ICT-1 0.25%-0. 3 % 200-300 0.5% 200-300 ICT-2 0.7 % 200-300 0.7% 200-300 ICT-3 0.4 % 200-300 1.0 % 200-300 ICT-4 0.5 % 200-300 0.8 % 200-300 ICT-5 0.5 % 200-300 0.5 % 200-300

Annexure-IV

Page 2 of 3

1. CVT connected to meter on ICT (400 kV) side is reading 2-3 % less compared to 220 kV side causing the –ve losses of 2.5-3 %. 2. Losses on 220 kV Panipat-Charki-Dadri feeder is minimal .It is due to the fact that Blue phase CVT of charkhi dadri feeder is reading low. In conclusion we can say that: a) Either CVT of 400 kV side ICT is reading low or CVT of 220 kV side ICT is reading

high. b) Blue phase CVT of Charkhi dadri feeder is reading low. BBMB is requested to take necessary action for repair of CVT mentioned in column (a)

and (b). BB-07/NP-1415-A installed on 220/132kV ICT-1(220kV) at Panipat-BBMB was not available to NRLDC, the above ICT has been burnt and out of service as told over phone by BBMB. CT/CVT Supply to meter BB-09/NP-1417-A installed on 400/220kV ICT-1(220kV) at Panipat-BBMB is not proper from 1015 Hr block to 2345 hr block of 17.08.08. However being the standby meter it’s reading’s were not used. Action: BBMB Panipat] Agenda _Item B.1(V)

(vi) High negative losses were being observed on 220 kV Dehar –Kangu (8-14 %)

depending on the power flow on the line. To sort out the above problem CVT supply to all phase of 220 kV Kangu line at Dehar HPS has been given from Bus-2[As confirmed over phone from AE (O&M)] and since then losses on the above line has reduced.As confirmed in 5th CC by BBMB Dehar 2 No CVT are damaged at BBMB Dehar Repair/maintenance of same is under the scope of HPSEB. HPSEB has replied that they are procuring the CVT. HPSEB /BBMB may kindly give status of CVT procurement. [Action: BBMB Dehar/HP Kangu] Agenda _Item B.1(ii)

(vii) Readings of meter CH-13/NP-1426-A, CH-14 / NP-1427-A installed on 66 kV

Pinjore – 1 & 2 feeders at Sector – 28 Chandigarh [BBMB] have not been received at NRLDC.As reported from HVPNL 66 kV Pinjore-Sec 28 line-1 & 2 has been made LILO at Kishangarh and IT Park respectively. Metrs are already shifted but details of the meter and SEM data has not been received. [Action: BBMB, UT Chandigarh,Kishangarh,IT park]

(viii) CVT Supply to meter HP-29/NP-1583-A installed on 132 kV giri feeder at BBMB

Jagadhari is not proper since 06.08.2007. Readings are continuously * & low during the above period. However being the Standby meter, It’s readings were not used to compute the drawl. It is informed by BBMB jagadhari that 2 numbers CVT installed on above line has been damaged on 20.05.2007 and replacement/repair of the same is under process.HVPNL Has informed in th 7th Commercial meeting that power flow on this feeder is 0 since long and CVT will be repaired prior to power flow on the line. [Action: BBMB Jagadhari] Agenda _Item B.1(vi)

Annexure-IV

Page 3 of 3

(ix) The data of meter CH-09/NP-1401-A installed on 66kV UT Chandigarh-1 Sec-28

at HVPNL Pinjore was not made available to NRLDC, this week. However, there was no power flow on this feeder during this week.

CT/CVT Supply to meter CH-10/NP-1402-A installed on 66kV UT Chandigarh-2/mansadevi at HVPNL Pinjore is not proper from 00 hrs block of 18.02.2008 to 2345 hrs block of 17.08.2008. Readings are without * & 0 during the above period. UT-Chadigarh to Pinjore line is T connected at mansadevi and there is no power flow from UT –Chandigarh to HVPNL, therefore it’s readings were not used to compute the drawl during the this week.

[Action: HVPN Pinjore]

(x) Time mismatch is observed at PDD Pampore, necessary action may kindly be taken for time correction of SEM at PDD Pampore. [Action: PDD Pampore]

(xi) CT/CVT Supply to meter JK-30/NP-5481-A installed on 220 kV Kishenpur-PG-1

at Barn-PDD is not proper from commissioning to 2345 hr block of 17.08.08. However being the standby meter it’s reading’s were not used for PDD J&K drawl computation. [Action: PDD Barn]

Northern Regional Power Committee

SUPPLEMENTARY AGENDA FOR

9th MEETING OF COMMECIAL SUB-COMMITTEE TO BE HELD ON 05th SEPTEMBER 2008

C6. Overhead charges on AMC charges for wide band communication

equipment installed under ULDC scheme. HVPNL vide its letter No. 4/AMC/WB dated 29.08.2008 has requested inclusion of this agenda item. HVPNL have stated that the issue of overhead charges on AMC for various packages (SCADA/EMS, wide band communication, power supply, hardware etc.) was discussed in various meetings of Northern Regional Power Committee in the past. While constituents were of the opinion that uniform overhead charges shall be paid to PGCIL. Powergrid demanded that these charges shall be continued to be paid as agreed till the validity of the existing MoUs. After the expiry of the MOUs the charges would be brought at par with SCADA/EMS package. In the 8th Northern Regional Power Committee meeting held at Udaipur on 24th /25th April, 2008, it was decided as under:

“Member Secretary, Northern regional Power Committee stated that the constituents of Southern Region had agreed for 8% overhead charges on AMC of EMS/SCADA. However, constituents of Northern Region suggested for 8 % overhead charges for entire ULDC scheme including SCADA/EMS, RTU, Communication System, Power Supply etc.

After further discussions, it was decided that 8 % overhead charges could be given to PGCIL for AMC of SCADA/EMS system. For overhead charges on other AMCs existing arrangement would be continued.” The present MoU for AMC of wide band communication equipment installed under ULDC-NR project is expiring on 15th September 2008. Powergrid has forwarded a “side letter” to the MoU extending the validity of the same for a period of 10 years commencing 16.3.2004 i.e. for another 5 years without revising the overt charges for the AMC The matter was referred back to PGCIL but they have declined to amend the charges as requested HVPNL requested that as per discussions and decisions held in Northern Region Power Committee meetings, Powergrid should honour their commitment and revise the overhead charges for AMC of various packages after the expiry of MoUs to be at par with the overhead charges for SCADA/EMS packages i. e. @ 8 %. Members may like to discuss.