In a shocking revelation, Andhra Pradesh Electricity Regulatory Commission has disclosed that the electricity distribution companies (Discoms) in the state are facing an alarming financial situation, as the dues from government departments and local bodies in the state mount to more than Rs 25,000 crore.
In a letter written to chairman and managing directors of all distribution companies and also chief secretary, the APERC said the Discoms had written letters to the commission on pending dues from the state government towards tariff subsidy and the local bodies and government departments towards power consumption charges.
It observed that the dues from the government towards tariff subsidy, which were around Rs 16,568 crore, had been reduced to Rs 15474 crore and the consumption dues from local bodies and government departments have increased from Rs 8391.45 crores to Rs 9783.37 crore as of September 30, 2021 for all the Discoms put together.
“The situation looks alarming, to say the least, and the very survival of the Discoms is at stake. If not addressed, it will also adversely impact the consumers in the State,” the commission said.
It expressed regrets that the Discoms have not realized the seriousness of the situation and are not making their best efforts to collect the dues, in spite of the proactive steps taken by the Commission to support the Discoms in bailing them out of the financial crisis.
The commission has directed that the Discoms to serve fresh notices to all the local bodies and government departments offering them the last chance to clear the pending dues within 14 days failing which their services shall be disconnected.
Further, they are also directed to pursue with the state government to release the pending tariff subsidy amounts on a war-footing.
The Discoms have been asked to submit the compliance reports to the Commission on the above directions within 15 days.
