Four south states amongst 13 disallowed from marketing, getting power: Things to understand
An overall of 13 states were disallowed from getting or marketing electrical energy from the place market for unclear pending settlements of Rs 5,085 crore to power generators.
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The Union Power Ministry on Thursday, August 18 disallowed 13 states from getting or marketing electrical energy from the place market for unclear pending settlements of Rs 5,085 crore to power generators. Among the power circulation business on the restriction checklist, discoms of Karnataka, Tamil Nadu, Andhra Pradesh and also Telangana are additionally consisted of. Spot market for electrical energy is where the electric power is traded for prompt physical distribution and also where power supply and also need are matched immediately. Here are a couple of points to understand: How this impacts power supply
Power discoms usually purchase electrical energy from the place market to satisfy prompt power demands. With the 13 states not permitted to buy power from Thursday twelve o’clock at night, industry professionals have actually stated that the government’s choice to prohibit these states from getting power can cause power interruptions in the short-term in some locations, according toMoneycontrol This is perhaps the very first time that such a high variety of states have actually been forbidden from getting power at the exact same time. How a lot do the south states owe gencos?
Telangana was provided as the greatest debtor with fees worth Rs 1381 crore, adhered to by Tamil Nadu (Rs 926 crore), Andhra Pradesh (Rs 413 crore) and also Karnataka (Rs 355 crore), according toBusiness Standard However, Telangana authorities have actually declared that the state paid all its fees of about Rs 1,380 crore on Wednesday itself, and also stated it was vague why Telangana has actually been consisted of in the checklist of debtors. TS Genco Managing Director Devulapalli Prabhakar Rao informed Deccan Chronicle that the state has actually gotten rid of all its fees with power generators. .
On Friday, the Andhra Pradesh government additionally stated that the orders do not put on the state as it has actually currently paid the fees. According to IANS, Special Chief Secretary (Energy) K Vijayanand stated the state has actually gotten rid of all its fees in the direction of electrical energy bought from the power exchange, which discoms of the state have actually paid fees of Rs 350 crore. “The restriction will not apply to Andhra Pradesh. The state was included in the list due to some communication gap,” he stated, including that the state had actually currently been eliminated from the checklist by theUnion government Has this took place prior to? .
This is the very first time that the Power System Operation Corporation (Posoco), a body of the power ministry, conjured up the Electricity (Late Payment Surcharge and also Related Matters) Rules, 2022 to quit the power circulation business (discoms) from different temporary resources, according to records. According to the Electricity (Late Payment Surcharge and also Related Matters) Rules, 2022, which were informed in June this year, discoms are called for to pay a late settlement additional charge (LPS) on the impressive quantity after the due day of settlement. Shailendra Dubey, the chairman of All India Power Engineers Federation, has apparently stated that Posoco is carrying out arrangements of the Electricity (Amendment) Bill 2022, which has actually been described the Standing Committee and also can not be come on theLok Sabha What takes place if states postpone paying their fees?
For each month of hold-up, the price of late settlement additional charge for the succeeding months of default will certainly boost by 0.5 percent, with the problem that the late settlement additional charge will certainly not be greater than 3 percent more than the base price at any moment. Reports claim that any type of additional hold-up would certainly conjure up charge arrangements, consisting of an overall restriction on getting temporary power from the place market and also ultimately law of medium-term and also lasting power supply.
Power discoms usually purchase electrical energy from the place market to satisfy prompt power demands. With the 13 states not permitted to buy power from Thursday twelve o’clock at night, industry professionals have actually stated that the government’s choice to prohibit these states from getting power can cause power interruptions in the short-term in some locations, according toMoneycontrol This is perhaps the very first time that such a high variety of states have actually been forbidden from getting power at the exact same time. How a lot do the south states owe gencos?
Telangana was provided as the greatest debtor with fees worth Rs 1381 crore, adhered to by Tamil Nadu (Rs 926 crore), Andhra Pradesh (Rs 413 crore) and also Karnataka (Rs 355 crore), according toBusiness Standard However, Telangana authorities have actually declared that the state paid all its fees of about Rs 1,380 crore on Wednesday itself, and also stated it was vague why Telangana has actually been consisted of in the checklist of debtors. TS Genco Managing Director Devulapalli Prabhakar Rao informed Deccan Chronicle that the state has actually gotten rid of all its fees with power generators. .
On Friday, the Andhra Pradesh government additionally stated that the orders do not put on the state as it has actually currently paid the fees. According to IANS, Special Chief Secretary (Energy) K Vijayanand stated the state has actually gotten rid of all its fees in the direction of electrical energy bought from the power exchange, which discoms of the state have actually paid fees of Rs 350 crore. “The restriction will not apply to Andhra Pradesh. The state was included in the list due to some communication gap,” he stated, including that the state had actually currently been eliminated from the checklist by theUnion government Has this took place prior to? .
This is the very first time that the Power System Operation Corporation (Posoco), a body of the power ministry, conjured up the Electricity (Late Payment Surcharge and also Related Matters) Rules, 2022 to quit the power circulation business (discoms) from different temporary resources, according to records. According to the Electricity (Late Payment Surcharge and also Related Matters) Rules, 2022, which were informed in June this year, discoms are called for to pay a late settlement additional charge (LPS) on the impressive quantity after the due day of settlement. Shailendra Dubey, the chairman of All India Power Engineers Federation, has apparently stated that Posoco is carrying out arrangements of the Electricity (Amendment) Bill 2022, which has actually been described the Standing Committee and also can not be come on theLok Sabha What takes place if states postpone paying their fees?
For each month of hold-up, the price of late settlement additional charge for the succeeding months of default will certainly boost by 0.5 percent, with the problem that the late settlement additional charge will certainly not be greater than 3 percent more than the base price at any moment. Reports claim that any type of additional hold-up would certainly conjure up charge arrangements, consisting of an overall restriction on getting temporary power from the place market and also ultimately law of medium-term and also lasting power supply.
