Major Power PSU's owe huge dues to CIL

Published on May 17, 2015 13:11:09 PM
Business
Major power generation companies such as Damodar Valley Corporation (DVC) and National Thermal Power Corporation Limited (NTPC) owe outstanding dues to Coal India which is around Rs 9000 crore.

Madhya Pradesh Power Generating Co and West Bengal Power Development Corp are among others which owe money to CIL. 

Experts opine that this situation is because of tough financial conditions and the situation of Discoms is not improved for the past one year. 

Ashok Khurana, Director General of Association of Power Producers said, "Non-payment of dues by Discoms to power and coal supplier is not sustainable, it would cause a break in supply chain. Answer lies in cost reflective tariffs and loss reduction in a time-bound manner."