New Delhi, April 2 The outstanding dues of power distribution utilities or discoms were reduced to Rs 3,300 crore in March this year from Rs 1.39 lakh crore in June 2022, Parliament was informed on Thursday.
The Government of India notified the Electricity (Late Payment Surcharge and Related Matters) Rules, 2022 on June 3, 2022.
According to the rules, all dues owed to generating companies (IPPs, CPSEs, and Renewable Energy Developers), traders, and TRANSCOs, including late payment surcharges, up to June 3, 2022, were classified as legacy arrears.
These arrears were required to be rescheduled, with distribution licensees paying them in Equated Monthly Installments (EMIs), stated Minister of State for Power Shripad Naik in a written reply to the Lok Sabha.
The rules also provide a framework for the time-bound clearance of current dues.
As a result, the outstanding legacy dues have reduced from Rs 1,39,947 crore as on June 3, 2022 to Rs 3,330 crore on March 27, 2026, the minister stated.
Distribution utilities, or discoms, are also paying their current dues in time to avoid regulation under the rules.
For implementation of the rules, the PRAA
