Andhra Pradesh’s main power distribution company has sought more time to clear outstanding dues of Rs 599 crore it owes to renewable energy developers.
In an affidavit filed with the state high court on Monday, the Andhra Pradesh Southern Power Distribution Company Limited (APSPDCL) said, “The answering respondents seeking intervention of this hon’ble court to grant 4 weeks further time to clear the dues as undertaken before this hon’ble court.”
The court had directed the state discom on December 20, 2019, to clear the dues within four weeks. The order had come in the wake of the developers seeking the court’s intervention in the matter of the dues pending for several months.
“In a hearing that took place earlier this month, the judge was frustrated that the state had not complied with the order,” a person close to the development said on condition of anonymity.
According to the affidavit, the state-owned utility has paid Rs 1,955 crore to generators so far while Rs 599 crore remains to be paid.
“The answering respondents are in serious financial crisis and due to which it has become difficult to secure the required balance amount in order to clear the outstanding dues either from banks or from central government financial institutions for the answering respondents. In the said process there is a delay occasioned to the answering respondents herein,” APSPDCL said in the affidavit, a copy of which was seen by ET.
The discom also said it had taken steps to clear outstanding dues. It said it had recently secured a loan of Rs 1,250 crore from the Indian Renewable Energy Development Agency and used it to clear part of the dues.
All wind developers have been paid at a tariff of Rs 2.43 and solar developers at Rs 2.44 so far, in accordance with the court directive. Developers had filed a contempt petition on this lowered tariff and hearings have been going on.