Discoms’ dues to power gencos rise 45
New Delhi: Power producers’ total outstanding dues owed by distribution companies increased around 45 percent to $81,085 crore in November 2019 over the exact same month previous year, representing stress in the industry.
Distribution companies (discoms) owed a total of $54,834 crore to power generation companies in November 2018, according to portal PRAAPTI (Payment Ratification And Analysis in Power procurement for bringing Transparency in Invoicing of generators). The portal was launched to bring in transparency.
In November 2019, the total overdue amount, that was not cleared even after 60 days of grace period offered by generators, stood at $71,782 crore as against $41,503 crore in the same month of the preceding year.
Power manufacturers give for paying bills for the supply of electricity to discoms.
So as to provide relief to power generation companies (gencos), the Centre enforced a payment security mechanism from August 1. Under this mechanism, discoms are needed to open letters of credit for getting power supply.
According to the information on the portal, outstanding dues in November has improved over the preceding month. At $80,635 crore, total outstanding dues on discoms stood in October 2019.
The amount in November has also increased over the preceding month. The total overdue amount was $70,477 crore in October 2019.
Among major nations, Andhra Pradesh tops the list with 943 days to make payments, followed by Rajasthan (942 days), Bihar (942 days), Haryana (940 days), Tamil Nadu (938 days), Madhya Pradesh (927 days) and Telangana (920 times ).
Delhi takes to make payments to power gencos.
Overdues of independent power producers amount to over 26 per cent of the total overdue of $71,782 crore on discoms in November 2019.
Among private generators, discoms owe the greatest overdue of $3,201.68 crore to Adani Power, followed by Bajaj Group-owned Lalitpur Power Generation Company Ltd at $2,212.66 crore and GMR at $1,930.16 crore.