In September 2020, distribution companies (discoms) total dues owed to power producer rose by 28 percent to Rs 1,38.479 year on year.
According to ‘Payment Ratification And Analysis in Power procurement for bringing Transparency in Invoicing of generators’, distribution companies owed Rs 1,07,930 crore to power generating firms in September. In May 2018, the portal was launched to keep transparency in power purchasing transactions between the generators and discoms.
The overdue amount, even after a grace period of 45 days, stood at Rs 1,26,661 crores in September 2020. The dues in September increased on a month-to-month basis. Last year in September, the outstanding amount was Rs 85,790 crores. In August 2020, the outstanding amount was recorded as Rs 1,34,928 crore and it increased in September 2020.
Power producers gave 45 days to discoms for paying their dues for the supply of electricity. The center enforced a payment security mechanism from August 1, 2019, to give relief to power generation companies. Now, discoms need to open letters of credit for getting power supply.
The government has announced a Rs 90,000 crore liquidity infusion for discoms under which these utilities would get a loan at economical rates from Power Finance Corporation and REC Ltd in May. The initiative taken by the government will help gencos to remain afloat and will increase the liquidity infusion package to Rs 1.2 lakh crore.
The data showed Discoms in states of Rajasthan, Maharashtra, Uttar Pradesh, Jammu and Kashmir, Telangana, Andhra Pradesh, Karnataka, Jharkhand, Haryana, and Tamil Nadu accounts have a major portion due to power gencos.
Independent power producers amount 32.79 percent of the total overdue of Rs 1,26,661 crore of discoms in September whereas, the proportion of central PSU gencos in the overdue was 37.18 percent.
NTPC alone overdue an amount of 22,235.02 crore rupees on discoms. NLC India owed 6,770.20 crores, Damodar Valley Corporation at Rs 5,662.10 crore, NHPC at 3,579.06 crores, and THDC India at 2,017.66 crores.
Adani Power had the highest overdue of Rs 20,153.15 crore followed by, Bajaj Group-owned Lalitpur Power Generation Company Ltd at Rs 2,957 crore and SEMB (Sembcorp) at Rs 1,697.85 crore.
In September, the overdue of non-conventional energy producers like Solar and wind stood at Rs 10,680.28 crores.
