Power discoms owe dues worth Rs 68 billion to renewable energy developers
POWER & RENEWABLE ENERGY

Power discoms owe dues worth Rs 68 billion to renewable energy developers

As reported, the Central Electricity Authority (CEA) stated that power distribution firms throughout the country owed dues amounting to approximately Rs 68.72 billion to renewable energy developers. This includes: 

  • Andhra Pradesh: Rs 25.9136 billion
  • Telangana: Rs13.1845 billion
  • Karnataka: Rs 9.3386 billion
  • Madhya Pradesh: Rs 6.1302 billion
  • Tamil Nadu: Rs 5.5152 billion
  • Maharashtra: Rs 4.7233 billion
  • Rajasthan: Rs 3.3947 billion
  • NTPC: Rs 0.2532 billion
  • Uttarakhand: Rs 0.1152 billion
  • Sikkim: Rs 0.0636 billion
  • Punjab: Rs 0.0506 billion
  • Himachal Pradesh: Rs 0.0201 billion
  • Odisha: Rs 0.0124 billion
  • Uttar Pradesh: Rs 0.0006 billion
Almost 70 per cent of the total payment to be made belongs solely to the three states of Andhra Pradesh, Telangana and Karnataka.

As reportedly stated, CEA, in a letter to the state distribution companies had suggested the importance of monitoring payment of dues to renewable energy companies from state power discoms.

This comes at a time when India has set an ambitious target of achieving a renewable energy capacity of 175 GW by 2022, making it all the more crucial to resolve the issue.

Additionally, the Power Ministry also made it compulsory for power distribution companies to open and maintain adequate Letters of Credit as a payment security mechanism for signed PPAs with power generating companies. Along with laying out terms for them to pay energy generators fixed charges as per the PPAs, in case power is not procured from these energy generators.

As reported, the Central Electricity Authority (CEA) stated that power distribution firms throughout the country owed dues amounting to approximately Rs 68.72 billion to renewable energy developers. This includes: Andhra Pradesh: Rs 25.9136 billionTelangana: Rs13.1845 billionKarnataka: Rs 9.3386 billionMadhya Pradesh: Rs 6.1302 billionTamil Nadu: Rs 5.5152 billionMaharashtra: Rs 4.7233 billionRajasthan: Rs 3.3947 billionNTPC: Rs 0.2532 billionUttarakhand: Rs 0.1152 billionSikkim: Rs 0.0636 billionPunjab: Rs 0.0506 billionHimachal Pradesh: Rs 0.0201 billionOdisha: Rs 0.0124 billionUttar Pradesh: Rs 0.0006 billionAlmost 70 per cent of the total payment to be made belongs solely to the three states of Andhra Pradesh, Telangana and Karnataka.As reportedly stated, CEA, in a letter to the state distribution companies had suggested the importance of monitoring payment of dues to renewable energy companies from state power discoms. This comes at a time when India has set an ambitious target of achieving a renewable energy capacity of 175 GW by 2022, making it all the more crucial to resolve the issue.Additionally, the Power Ministry also made it compulsory for power distribution companies to open and maintain adequate Letters of Credit as a payment security mechanism for signed PPAs with power generating companies. Along with laying out terms for them to pay energy generators fixed charges as per the PPAs, in case power is not procured from these energy generators.

Next Story
Infrastructure Transport

India’s Maha Kumbh of Road Construction

The RAHSTA Forum 2025, held on June 25 at Courtyard by Marriott, Mumbai, delivered powerful insights and dialogue on the future of India’s roads and highways sector. Organised by the FIRST Construction Council, the Forum served as the curtain-raiser to the much-anticipated RAHSTA Expo 2025, set to take place on 3rd and 4th September at the Jio Convention Centre, Mumbai.Union Minister of Roads Transport & Highways Shri Nitin Gadkari, while appreciating the efforts of FIRST Construction Council and ASAPP Info Global Group, commended the awards which recognise excellence across various..

Next Story
Real Estate

Built to Last, Designed to Impress

The construction and interior design industries stand at the confluence of functionality and aesthetics, where innovation powers the creation of enduring structures and inspiring spaces. At the heart of this process are materials and solutions that enable architects, designers, and builders to realise their visions with precision and reliability.Featuring iconic brands such as Fevicol—synonymous with adhesive solutions—Dr. Fixit, a complete waterproofing system renowned for addressing every critical area of construction, and Roff, a specialist in tile-fixing solutions, Pidilite has earned ..

Next Story
Infrastructure Energy

New Push to Cut India’s Air Pollution through Power Sector Reforms

In a significant stride toward environmental sustainability, Cummins India introduced CPCB IV+ compliant gensets to India on July 5, 2023, marking a paradigm shift in the power generation industry. These generators are engineered to adhere to the progressive emission norms set by the Ministry of Environment, Forest, and Climate Change. Being the first sets in the field, they have garnered praise for their remarkable achievements in emissions reduction and cutting-edge technology. Powerica, with its four-decade-long partnership with Cummins India Limited, is dedicated to consistently deliver th..

Advertisement

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

Advertisement

Advertisement

Advertisement

Talk to us?