Minister of state for power says soft loans at 8-10% interest rate being given to discoms to help them pay dues
Current Affairs : The Center’s exertion in improving the liquidity position of state-possessed force conveyance organizations is a one-time help during the lockdown time frame. Proposing a three-pronged methodology, the Union service of intensity is confident that few states will come ready for buying in to the extraordinary advance plan.
Talking with Business Standard, Union Minister of State for Power, New and Renewable Energy, R K Singh, said the advances given to discoms for satisfying their obligations would be at concessional pace of intrigue. Discom overdues to age organizations contacted a record Rs 92,000 crore in February this year. For the long stretch of March, it remains at Rs 77,000 crore, as per the PRAAPTI entryway of service of intensity.
“The exceptional installment of the discoms towards power creating organizations (gencos) has a late installment overcharge of 18 percent. We diminished this to 12 percent for the time of lockdown. Be that as it may, after lockdown, it will be again be 18 percent. So against that 18 percent trouble that discoms would have given, we are offering them advance at a financing cost of 8-10 percent,” said Singh, “This is a delicate advance which will give significant alleviation to the area. Discoms will dispose of the duty and producing organizations will get paid. In this way, it will be in light of a legitimate concern for states to take this credit.”
Aditi Mehta 