The state-owned power distribution companies are facing financial constraints despite improving their aggregate technical and commercial losses, according to an Icra report. The agency has cited delays in realising payments from state government departments for power supply as one of the reasons for the constrain of discom finances and assigned a negative outlook for the power distribution segment. The all-India aggregate technical and commercial (AT&C) losses for state-owned discoms declined from 23 per cent in FY2021 to 16.5 per cent in FY2022 and further to 15.8 per cent in FY2023 due to infrastructure upgrades and higher subsidy payout. Despite this progress, losses remain particularly high at over 20 per cent for the discoms in Bihar, Jharkhand, Madhya Pradesh, Odisha and Uttar Pradesh, Icra noted. "The performance of state-owned discoms remains constrained by inadequate tariffs relative to the cost of supply, higher-than-regulator-approved AT&C losses, and a considerable
Discoms' regulatory assets cumulatively increased to Rs 88,720 crore by June 30, showed government data
ICRA in March in an analysis had indicated that discom losses will increase to Rs 90,000 crore in FY21, under a particular scenario
Total outstanding dues owed by electricity distribution utilities or discoms to power producers fell 11.2% to Rs 81,628 crore in April 2021 from a year ago
The outstanding overdues of power distribution utilities fell by over Rs 15,118 crore to Rs 74,510 crore in March this year, as compared to the preceding month, according to PFC Consulting Ltd data
The portal was launched in May 2018 to bring in transparency in power purchase transactions between the generators and discoms
Discoms in Rajasthan, Uttar Pradesh, Jammu & Kashmir, Telangana, Andhra Pradesh, Karnataka and Tamil Nadu account for the major portion of dues to power gencos
At the end of FY16, the total outstanding debt of DISCOMs stood at Rs 4,146 billion and annual losses stood at Rs 657 billion