The Union government was trying to help states meet their power requirements and ensuring discipline in the grid, Minister of State for Power K C Venugopal said during Question Hour.
He said overdrawing of power from the grid by utilities has been prohibited.
Recently, the Commission passed orders against the constituents of Northern Region for non-compliance of the provisions of the Grid Code and issued directions to the constituents not to overdraw and to ensure smooth operation of the Grid.
Overdrawing affects consumers and utilities.
He said that time and again the Centre has emphasised that the power utilities should meet their requirement through long, medium and short term contracts and not by overdrawing from the grid as it affects stability.
In the past, Venugopal said the Central Commission and also the adjudicating officers have imposed penalties on many state utilities for non-compliance of the provisions of the Grid Code due to overdrawing from the grid.
Venugopal also said utilities can purchase power from short term open markets. PTI NKD