AP among 10 states to avail Central power scheme

17 May, 2013 20:43 IST|Sakshi
AP among 10 states to avail Central power scheme

As many as 10 states have come on board to avail of Centre's ambitious financial restructuring scheme for discoms, the Ministry of Power said on Friday.  

The states which have conveyed their in-principle willingness to participate in the scheme as on April 25 are Andhra Pradesh, Bihar, Haryana, Himachal Pradesh, Jharkhand, Kerala, Meghalaya, Rajasthan, Tamil Nadu and Uttar Pradesh, an official statement said.

Last year, the government announced the financial restructuring package for the power distribution companies (discoms) which are reeling under losses of Rs 2.46 lakh crore (as on March 2012).  The government will recast Rs 1.5 lakh crore debt of the state electricity boards.  As per the plan, the central government will provide 25 per cent capital reimbursement of principal repayment by the state government on the liability taken over by it.

 Under the scheme for state-owned discoms, the respective state governments are to take over 50 per cent of outstanding short-term liabilities up to March 31, 2012.  This will be first converted into bonds to be issued by discoms to participating lenders, duly backed by State Government guarantee.

 Takeover of the liability by state government from discoms in the next 2-5 years by way of special securities and repayment and interest payment will be done by the state government till the date of takeover.  The last date for the states to register for the recast plan has been extended to July 31, from March 31 earlier. 

-News Delhi, PTI

 

Load Comments
Hide Comments
More News
YS Jagan Govt Spent Rs 40K Cr To Benefit 3.57 Cr People
AP Releases Vehicles Seized During Lockdown
School teacher nabbed with Araku maal
Now, Telangana junior colleges to get mid-day meal
Inter-state thieves arrested, huge haul of gold, bikes seized 
KCR assures of compensation as per farmers’ demands  
Khairatabad Ganesh to have Telangana laddu    
Consultant defrauds 20 men offering software jobs
Heatwave continues in Telangana, toll rises to 178
Ants Bite Four-Day-Old to Death
Entertainment
This Is The First Selfie Of NickYanka!
Akshay Kumar, First Bollywood Star To Shoot Outdoor
Rashmika's Reaction To David Warner TikTok Video!
Karan Johar: Two Household Staff Tests Positive For COVID-19
Bigg Boss Telugu Season 4 From August?
RRR: First Tollywood Venture To Resume Shooting?