Discoms' outstanding dues to power gencos rise 63% to Rs 1.23 trn in April

Power producers give 60 days to discoms for paying bills for the supply of electricity. After that, outstanding dues become overdue and generators charge penal interest on that in most cases

Power producers' total outstanding dues owed by distribution firms rose nearly 63 per cent to Rs 1.23 trillion in April 2020 over the same month previous year, reflecting stress in the sector.

Distribution companies (discoms) owed a total of Rs 75,642 crore to power generation firms in April 2019, according to portal PRAAPTI (Payment Ratification And Analysis in Power procurement for bringing Transparency in Invoicing of generators).

The portal was launched in May 2018 to bring in transparency in power purchase transactions between the generators and discoms.

In April 2020, the total overdue amount, which was not cleared even after 60 days of