DISCOMs Owed Power Generators Rs 6.73 Bn in December 2024
POWER & RENEWABLE ENERGY

DISCOMs Owed Power Generators Rs 6.73 Bn in December 2024

DISCOMs owed power generators Rs 672.91 billion (~$7.84 billion) in total dues for the monthly billing cycle in December 2024, according to the Ministry of Power’s payment ratification and analysis portal PRAAPTI. The DISCOMs owed power generators Rs 653.51 billion (~$7.71 billion) in November. The current outstanding dues, excluding the latest monthly dues of Rs 368.14 billion (~$4.29 billion), are Rs 304.77 billion (~$3.56 billion). 

The overdue before the trigger date is Rs 302.97 billion (~$3.53 billion), after which the amount will increase by Rs 1.79 billion (~$21 million) as the late payment surcharge would apply. 

The trigger date is one month after the payment due date or two and a half months after the generating company presents the bill, whichever is later. The DISCOMs are allowed to pay the outstanding amount in up to 48 installments. 

Recently, the Grid Controller of India released an updated procedure to implement the Electricity (Late Payment Surcharge and Related Matters) Rules 2022 and subsequent amendments. The procedure applies to intra-state and inter-state generators, licensees, and distribution entities, focusing on payment security, power scheduling, and addressing non-payment scenarios. 

In October 2024, the Ministry of Power issued the Electricity Distribution (Accounts and Additional Disclosure) Rules, 2024, to enhance transparency in financial disclosures and bolster regulatory compliance for DISCOMs. The rules aim to ensure that entities are financially safeguarded against long-term defaults by mandating provisions for receivables and enforcing the reporting of trade receivable days. 

In March, the twelfth annual integrated ratings of DISCOMs recorded significant financial and operational performance shifts. Of the 55 DISCOMs evaluated for the financial year 2023, 17 improved their grades, while 14 were downgraded. 

Fourteen DISCOMs achieved an A+ grade compared to 10 last year. Six of these top DISCOMs are from Gujarat, three from Odisha, and two from Haryana. Eight of these top performers are privately owned companies.

DISCOMs owed power generators Rs 672.91 billion (~$7.84 billion) in total dues for the monthly billing cycle in December 2024, according to the Ministry of Power’s payment ratification and analysis portal PRAAPTI. The DISCOMs owed power generators Rs 653.51 billion (~$7.71 billion) in November. The current outstanding dues, excluding the latest monthly dues of Rs 368.14 billion (~$4.29 billion), are Rs 304.77 billion (~$3.56 billion). The overdue before the trigger date is Rs 302.97 billion (~$3.53 billion), after which the amount will increase by Rs 1.79 billion (~$21 million) as the late payment surcharge would apply. The trigger date is one month after the payment due date or two and a half months after the generating company presents the bill, whichever is later. The DISCOMs are allowed to pay the outstanding amount in up to 48 installments. Recently, the Grid Controller of India released an updated procedure to implement the Electricity (Late Payment Surcharge and Related Matters) Rules 2022 and subsequent amendments. The procedure applies to intra-state and inter-state generators, licensees, and distribution entities, focusing on payment security, power scheduling, and addressing non-payment scenarios. In October 2024, the Ministry of Power issued the Electricity Distribution (Accounts and Additional Disclosure) Rules, 2024, to enhance transparency in financial disclosures and bolster regulatory compliance for DISCOMs. The rules aim to ensure that entities are financially safeguarded against long-term defaults by mandating provisions for receivables and enforcing the reporting of trade receivable days. In March, the twelfth annual integrated ratings of DISCOMs recorded significant financial and operational performance shifts. Of the 55 DISCOMs evaluated for the financial year 2023, 17 improved their grades, while 14 were downgraded. Fourteen DISCOMs achieved an A+ grade compared to 10 last year. Six of these top DISCOMs are from Gujarat, three from Odisha, and two from Haryana. Eight of these top performers are privately owned companies.

Next Story
Infrastructure Urban

NHAI Defends Use of Mamallapuram Pond for ECR Project Ramp

                                                The National Highways Authority of India (NHAI) has informed the National Green Tribunal (NGT) that it was compelled to use a portion of a pond in Mamallapuram to construct an exit ramp for the East Coast Road (ECR) four-laning project between Mamallapuram and Puducherry. The clarification comes in response to a petition alleging that the construction encroached on the waterbody without valid justification.In its submission..

Next Story
Infrastructure Transport

Tiruvallur Begins Full Audit of Accident-Prone Roads

Tiruvallur, a fast-growing logistics and residential hub on Chennai’s northwestern edge, has begun a comprehensive audit of fatal and non-fatal road accidents across the district.Special task forces made up of transport, police, and revenue officials have started field investigations at high-risk locations such as Red Hills, Poonamallee, and Tiruvallur town.The initiative follows an alarming 188 road crashes, including 49 fatalities, reported in February alone. Tiruvallur Collector M. Prathap has directed officials to analyse five years’ worth of crash data to assess if road design flaws o..

Next Story
Infrastructure Urban

Modi Hands Over 51K Job Letters, Urges Youth to Drive Growth

Prime Minister Narendra Modi on Monday distributed over 51,000 appointment letters to newly recruited youth in various government departments and organisations, addressing them via videoconferencing during the Rozgar Mela.Speaking to the gathering, Modi said today marks the beginning of new responsibilities for the recruits. He urged them to strengthen India’s economy, boost internal security, help build modern infrastructure, and bring meaningful change to people's lives. The sincerity with which they perform their duties, he said, would directly impact India’s journey towards becoming a ..

Advertisement

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

Advertisement

Advertisement

Advertisement

Talk to us?