(1)
Every licensee shall prepare and submit to the authority for approval, a five year investment plan in respect of the investments it proposes to undertake, six months from the date of commencement of these Regulations.
(2)
A licensee shall prepare and submit to the authority for approval, an annual investment plan, consistent with the five year investment plan referred to in subregulation (1).
(3)
The annual investment plan referred to in subregulation (2) shall be submitted to the authority ninety days before the end of each calendar year.
(4)
The investment plans referred to in subregulations (1) and (2) shall contain, where applicable, sufficient detail to enable effective monitoring by the authority, including-
(a)
_ the current status of the network or power plant;
(b)
a description of challenges and opportunities associated with the network or power plant as currently configured;
(c)
the expansion or reinforcement plan of transmission or distribution network;
(d)
the expected time of completion of the investment;
(e)
the expected benefit to the customer to be derived from the investment and estimated timeline of the benefit;
(f)
the estimated loss reduction in percentage and the estimated timeline in months for the loss reduction; the quality of supply improvements to be achieved by the proposed investments and the estimated timelines;
(h)
projected network growth, coverage and access to electricity;
(i)
the financing plan and capital expenditure required to implement the proposed investments;
G) an indication of sources of funding, including, shareholders equity, debt, retained earnings, grants or concessional financing;
(k)
the estimated operation and maintenance expenses relating to implementation of the proposed investment;
(I)
the expected environmental impacts and proposed mitigation measures;
(m)
the categorization and function of the investment;
(n)
the justification of technical mode of implementation and financial sequencing of the investment;
(0)
information relating to consultations with any affected licensees;
(p)
the transmission and distribution network plans, taking into account the additional anticipated generation capacity;
(q)
the prevailing standard cost database developed by a licensee and submitted to the authority and the asset owner twice a year;
(r)
the impact of the investment on private and public interests, including licensees under the Act; and
(s)
any matters that the licensee considers relevant to support its application.
(5)
The licensee shall categorize assets in the investment plan as follows-
(a)
distribution network investments, including-
(i)
overhead and underground electricity power lines, associated infrastructure and way leaves; and
(ii)
electricity substations and associated infrastructure;
(b)
distribution non- network assets, including-
(iii)
motor vehicles and trucks;
(iv)
assets procured for operational purposes or first time additions and replacement after lifetime;
(v)
replacement of assets that have not lived their useful life;
(vi)
computers and office equipment;
(ix)
communication facilities;
(xi)
closed-circuit television (CCTV) equipment;
(xii)
fire-fighting equipment; and
(xiii)
specialized equipment;
(c)
generation investments, including-
(v)
protection equipment;
(vii)
building and civil works;
(viii)
closed-circuit television (CCTV);
(x)
network management system, including, control center, work management center, supervisory control and data acquisition (SCADA); and
(d)
transmission assets connected to the national grid, including-
(ii)
communication equipment, tools and equipment;
(iv)
project generation assets suchas plant refurbishment.
(6)
The licensee shall submit to the authority the investment plans under this regulation in hard copy or electronic form as may be required by the authority.
(7)
Where a licensee proposes to undertake investments pursuant to a concession agreement, the investment plan shall be submitted to the authority and the asset owner.
(8)
The asset owner shall submit to the authority a written consent to the investment plan within fourteen days from the date of receipt of the copy of the investment plan.
(9)
Where the asset owner does not respond within the time prescribed in subregulation (8), the authority shall determine the application for approval of investment plan.
(10)
Where the asset owner refuses to give consent to the investment plan, the asset owner shall make representations in writing to the authority.
(11)
An investment plan shall be accompanied by an environment and social impact assessment certificate issued in accordance with the National Environment Act, 2019, where applicable.
(12)
Where a resettlement action plan is required to achieve the required investment, the investment plan shall include a preliminary resettlement action plan approved by the Ministry responsible for lands.
(13)
Where a licensee fails to submit its investment plan within the time prescribed in these Regulations, the Authority may reject any investments undertaken by the licensee without approval and-
(a)
may not consider the investments for purposes of computing the retail tariff; or
(b)
may not include the investments in the rate base, where applicable.
(14)
A licensee shall apply to the authority for approval of a change in the approved investment plan, where the change results into an increase in cost above ten percent of the approved cost.
(15)
The authority shall on receipt of the application under subregulation (14), communicate its decision within forty five days from the date of receipt of the application.
