Distribution Firms’ Dues Down By Rs 24,680 Crore In Last 6 Months: Ministry

Distribution Firms' Dues Down By Rs 24,680 Crore In Last 6 Months: Ministry

Excellent dues of discoms on the set off date have been lowered to Rs 205 crore.(File)

New Delhi:

The Ministry of Energy in the present day mentioned excellent dues of electrical energy distribution corporations (discoms) in the direction of gencos, transcos and merchants have come down by Rs 24,680 crore to Rs 1,13,269 crore within the final six months.

“With the implementation of Electrical energy (LPS and Associated Issues) Guidelines, 2022, exceptional enchancment has been seen in restoration of excellent dues of Suppliers together with Producing Corporations, Transmission Corporations and Merchants,” an influence ministry assertion mentioned.

The entire excellent dues of states (discoms) which had been at Rs 1,37,949 crore as on June 3, 2022 have been lowered by Rs 24,680 crore to Rs 1,13,269 crore with well timed cost of simply 4 EMIs (equated month-to-month installments), it acknowledged.

For the cost of EMI of Rs 24,680 crore, 5 states have taken a mortgage of Rs 16,812 crore from PFC (Energy Finance Company) and REC Ltd and eight states have opted to make their very own association, it mentioned.

Distribution firms are additionally paying their present dues in time to keep away from rules underneath the rule.

Distribution firms have paid nearly Rs 1,68,000 crore of present dues within the final 5 months.

Presently, just one distribution utility, JBVNL, is underneath the regulation for non-payment of present dues.

Excellent dues of distribution firms on set off date have been lowered to Rs 205 crore from Rs 5,085 crore as on August 18, 2022, it mentioned.

Based mostly on the outcomes achieved thus far, it’s anticipated that strict implementation of the Late Cost Surcharge (LPS) Guidelines will carry again monetary viability of the ability sector within the nation and would appeal to funding to make sure dependable 24×7 electrical energy to customers, it added.

This rule has not solely ensured that the excellent dues are liquidated however has additionally ensured that present dues are paid in time. It could be seen that the rule has performed a significant position in guaranteeing the monetary self-discipline in Discoms, it mentioned.

(Aside from the headline, this story has not been edited by NDTV workers and is printed from a syndicated feed.)

Featured Video Of The Day

Financial institution of England Delivers Largest Curiosity Charge Hike In 30 Years

Source