Power gencos send payment due notices to state discoms

Consumers across India could face power supply disruptions as central public sector undertakings (CPSUs) including NTPC, NHPC and Damodar Valley Corporation have begun issuing regulation notices to state distribution companies for non-payment of dues.

On Thursday, NTPC issued notices to power utilities of Sikkim, Jammu & Kashmir, Puducherry and two discoms of Karnataka for discontinuation of aggregate 3,000-mw beginning next Friday. Government officials said all CPSU power generators have decided to issue similar warnings threatening discontinuation of power supply to defaulting distribution companies.

Officials in various electricity distribution companies said their financial positions deteriorated due to the impact of Covid-19 on power consumption and billing and collections.

A senior NTPC official said more notices are likely to be issued to large defaulters such as Uttar Pradesh, Andhra Pradesh, Telangana Madhya Pradesh and Assam.

ET News
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