Pending dues of power distribution companies to gencos declined sharply to Rs 713.29 crore on Friday from Rs 5,085.30 crore on August 17 after strict action against defaulting utilities .
Defaulting utilities were barred from listing on power exchanges under the Electricity (Delayed Payment Surcharge and Related Matters) Rules, 2022, notified by the power ministry in June 2022.
Last month, national grid operator Power System Operation Corporation Ltd (POSOCO) asked three power exchanges – IEX, PXIL and HPX – to restrict electricity trading in 27 discons in 13 states with outstanding quotas of to gents
The latest update on Late Payment Surcharge Fees on the PRAAPTI portal showed that three CDs in Karnataka and one in Jammu and Kashmir have total outstanding dues of Rs 713.29 crore as on 16 September 2022. The outstanding dues were Rs.5,085.30 crore as on 17 August 2022.
The PRAAPTI stands for Ratification of payments and analysis in the purchase of energy to provide transparency in the invoicing of generators.
The three drives in Karnataka are Hubli Electricity Supply Company Ltd (Rs 36.29 crore), Chamundeshwari Electricity Supply Corporation Ltd (Rs 10.49 crore) and Gulbarga Electricity
Supply Company Ltd (Rs. 11.24 crore) as last updated on 16-Sep-2022.
Jammu and Kashmir power distribution department has Rs 655.26 crore as per PRAAPTI latest update.
Under the payment security mechanism, state-owned companies can be prohibited from trading on the electricity exchanges for failure to pay fees and other charges to gencos.
It says, “The supply of power will only take place if an adequate payment security mechanism is maintained or, in the absence of such mechanism, an advance payment is made.”
POSOCO’s directive to Indian Energy Exchange (IEX), Power Exchange of India (PXIL) and Hindustan Power Exchange (HPX) was given last month to restrict electricity trading by utilities in 13 states, including of Maharashtra, Madhya Pradesh, Rajasthan. , Karnataka, Andhra Pradesh, Telangana, Tamil Nadu, Bihar, Chhattisgarh and Jharkhand.
POSOCO, a public sector undertaking under the Union power ministry, manages the integrated operation of the Indian power system.
In a letter sent to the three exchanges, POSOCO had said that buying and selling transactions in all power market products for discs (27 discs in 13 states) would be completely restricted until further notice from the date of delivery (of power) of August 19, 2022.
In the letter it was explained that the decision is taken in view of the pending of these utilities according to the information available at PRAA