Telangana discoms default on payment to solar developers
New Delhi: Telangana state electricity distribution companies (discoms) have not paid outstanding dues of around ₹3,200 crore to solar power developers, two people in the know said, requesting anonymity.
The last payment made by state discoms was for electricity supplied till March 2020.
The development may dent India’s image as a green energy champion, they added. Solar firms, such as Acme Solar, Rays Power Infra, Goldman Sachs-backed ReNew Power, Actis Llp’s Sprng Energy, Global Infrastructure Partners’ Vector Green Energy, and GIC Holdings Pte. Ltd-backed Greenko, have not received any payment from the discoms since then.
Telangana’s 3.6 gigawatt (GW) installed solar power generation capacity was set up with an investment of about ₹20,000 crore.
India has also been witnessing certain regulatory uncertainties in green energy contracts in Gujarat, Andhra Pradesh and Punjab. At the same time, several deals are in play.
To be sure, cash-strapped distribution firms from across states owe ₹1.27 trillion to power generation companies (gencos) as of January, according to data available on Union power ministry’s PRAAPTI portal.
In a letter to Telangana chief minister K. Chandrashekar Rao, Telangana Solar Power Developer’s Association said: “Some projects have already become NPAs (non-performing assets) for non-payment of instalments to lenders and almost all of them are on the verge of becoming NPAs .” The letter was reviewed by Mint.
“This present financial position of our projects is also hurting the business sentiments of global investors to invest further in the state,” it added.
Source: livemint
