The government will soon issue guidance to the central power companies including NTPC, NHPC and Power Grid Corp (PGCIL) advising them to defer fixed charges on electricity not drawn by distribution companies and offer rebates, a top government official said adding this could hit revenues of the entities by Rs 3000 crore.
The guidance is expected to clear ambiguity in the industry over fixed charges. Shares of NTPC fell 3.92% to Rs 89.35 on Thursday on the Bombay Stock Exchange while those of PGCIL closed 3.42% down at Rs 160.95 following a tweet by the power and renewable energy minister R K Singh on Wednesday saying the government has decided to waive off fixed charges and interstate transmission charges of CPSEs against the power not drawn during lockdown.
“There will be guidance issued from the power ministry to CPSEs for deferring the fixed charges for electricity not drawn and collecting it in three monthly installments. The CPSEs will also be advised to give some general rebate to help the discoms in testing times. It would be upto the boards of the CPSEs to decide the rebate. The total hit for all CPSEs will be around Rs 3000 crore,” the top official said.
Finance minister Nirmala Sitharaman on Wednesday announced Rs 90,000 crore liquidity infusion package for the power sector in the first tranche of Rs 20 lakh crore stimulus.