the Generation Tariff Order (effective from 1st June 2012 till 31st May 2017) clearly notes that while the Risk Free Rate is 18%, the nominal return on Equity is 29%. Please note that the Order is based on certain assumptions which are quite conservative as well. Your actual return will depend on your acquisition cost, O&M costs, efficiency among others.
Please go through the Tariff Order which can also be downloaded from www.nercng.org
Posted in: Commercial Matters