Discoms' outstanding dues to gencos rise 3.3 pc to Rs 1,16,127 cr in October
Total outstanding dues owed by electricity distribution companies (discoms) to power producers rose 3.3 per cent year-on-year to Rs 1,16,127 crore in October.
Total outstanding dues owed by electricity distribution companies (discoms) to power producers rose 3.3 per cent year-on-year to Rs 1,16,127 crore in October.
Discoms owed a total of Rs 1,12,384 crore to power generation firms in October 2020, according to portal PRAAPTI (Payment Ratification And Analysis in Power procurement for bringing Transparency in Invoicing of generators).
See Zee Business Live TV Streaming Below:
Total dues in October 2021 also increased sequentially compared to Rs 1,12,815 crore in September this year.
The PRAAPTI portal was launched in May 2018 to bring in transparency in power purchase transactions between generators and discoms.
In October 2021, the total overdue amount, which was not cleared even after 45 days of grace period offered by generators, stood at Rs 97,481 crore as against Rs 97,811 crore in the same month a year ago.
The overdue amount stood at Rs 96,316 crore in September this year.
Power producers give 45 days to discoms to pay bills for electricity supply. After that, outstanding dues become overdue and generators charge penal interest on that in most cases.
To give relief to power generation companies (gencos), the Centre enforced a payment security mechanism from August 1, 2019. Under this mechanism, discoms are required to open letters of credit for getting power supply.
The Centre had also given some breathers to discoms for paying dues to gencos in view of the COVID-19-induced lockdown. The government had also waived penal charges for the late payment of dues.
In May 2020, the government had announced a Rs 90,000-crore liquidity infusion for discoms under which these utilities got loans at economical rates from Power Finance Corporation (PFC) and REC Ltd. This was a government initiative to help gencos remain afloat. Later, the liquidity infusion package was increased to Rs 1.2 lakh crore and further to Rs 1.35 lakh crore.
Discoms in Rajasthan, Uttar Pradesh, Jammu & Kashmir, Telangana, Andhra Pradesh, Karnataka, Madhya Pradesh, Maharashtra, Jharkhand and Tamil Nadu account for the major portion of dues to gencos, the data showed.
Overdue of independent power producers amounted to 53.25 per cent of the total overdue of Rs 97,481 crore of discoms in October 2021.
The proportion of central PSU gencos in the overdue was 26.69 per cent.
Among the central public sector gencos, NLC India alone has an overdue amount of Rs 5,047.45 crore on discoms, followed by NTPC at Rs 3,974.25 crore and Damodar Valley Corporation at Rs 2,261.22 crore in October 2021.
Among private generators, discoms owe the highest overdue of Rs 25,717.97 crore to Adani Power, followed by Bajaj Group-owned Lalitpur Power Generation Company at Rs 3,645.56 crore in the month under review.
The overdue of non-conventional energy producers like solar and wind stood at Rs 17,010.44 crore in October 2021.
Get Latest Business News, Stock Market Updates and Videos; Check your tax outgo through Income Tax Calculator and save money through our Personal Finance coverage. Check Business Breaking News Live on Zee Business Twitter and Facebook. Subscribe on YouTube.
RECOMMENDED STORIES
Retirement Planning: SIP+SWP combination; Rs 15,000 monthly SIP for 25 years and then Rs 1,52,000 monthly income for 30 years
Top Gold ETF vs Top Large Cap Mutual Fund 10-year Return Calculator: Which has given higher return on Rs 11 lakh investment; see calculations
Retirement Calculator: 40 years of age, Rs 50,000 monthly expenses; what should be retirement corpus and monthly investment
SBI 444-day FD vs Union Bank of India 333-day FD: Know maturity amount on Rs 4 lakh and Rs 8 lakh investments for general and senior citizens
EPF vs SIP vs PPF Calculator: Rs 12,000 monthly investment for 30 years; which can create highest retirement corpus
Home loan EMI vs Mutual Fund SIP Calculator: Rs 70 lakh home loan EMI for 20 years or SIP equal to EMI for 10 years; which can be easier route to buy home; know maths
12:13 PM IST