Ministry of Power proposes waiver to power plants
State and Central generating companies including NTPC also face problems
The Union Ministry of Power has asked the Ministry of Coal and Railways to exempt power plants from advance coal and freight payments for three months, in order to avoid electricity supply disruptions amid Corona virus pandemic.
A short-term dispensation was requested by private power companies that constitute 35% of Indian electricity generation base as they cited cash crunch due to non-payment by discoms.
State and Central generating companies including NTPC also face problems, but the Ministry of Power directed them to supply electricity to even defaulting state electricity distribution companies through a three- month moratorium.
The Ministry of Power’s demand was being evaluated though Rs 14,000 crore outstanding receivables from state-run power projects.