Each state has different regulations for Open access projects. Hence, charges for such projects vary with its location and procurement model. However, most states do have favourable policies for open access and have generally exempted Open Access projects from many of these charges.
Various charges under the Open Access mechanism include:
Transmission charges - Charges are payable to the transmission company for using the transmission infrastructure.
Wheeling charges - Charges are payable to the distribution company for using the infrastructure.
Transmission losses and Wheeling losses- These are the electricity losses incurred during the transmission and distribution of power.
Cross-subsidy surcharge (CSS) - These are payable by commercial and industrial buyers to fund the tariff subsidy for agricultural and residential buyers.
Additional surcharge (AS)