Held that the Transfer Pricing Officer had chosen to take the price specified in the power purchase agreement as the market value. The agreement was a 20 year old agreement. The assessee was required to take statutory clearances and approvals. The price was regulated. The sale of power under the terms and conditions of the agreement could not be considered as the market value of the sale of electricity. Such sales could not be considered as made in uncontrolled conditions. Thus, while determining the arm’s length price, the assessee had correctly identified the manufacturing unit as the tested party and the comparable uncontrolled price as the most appropriate method and the purchase price of electricity in the open market from the State Electricity Board to the manufacturing units in uncontrolled conditions. Held that as regards generation of power for captive consumption, rate  to be taken at rate supplied by Electricity Board to its consumers in open market. (AY.2016-17)