Arvind Kejriwal Government’s announcement of 50 per cent power subsidy has hit rock bottom for want of funds to pay the discoms. The Government has to collectively pay Rs 400 crore to the three power discoms in the Capital by Saturday. However, it even failed to introduce the Appropriation Bill in this regard in Delhi Assembly on Thursday.
Despite being at a grave risk of a major power black out beyond March 26, the government seems hell-bent to adjust its subsidy dues for the Reliance owned power utilities with its outstanding payment against state-owned generation companies. As the BSES Rajdhani and Yamuna Power limited continue to demand that the subsidy be directly paid to them, the prolonged arm-twisting between the Government and the two companies has reached a point where, in any case, the consumers only are set to be adversely affected.
While threatening the BSES of suspending their licences, the Delhi Government had cited subsidy dues would be given by February 15. By Saturday, the Government has to pay BSES Rajdhani Rs 37 crore for the October-December quarter and Rs 25 crore to BSES Yamuna for the same period. After the AAP Government announced a 50 per cent subsidy on bills, now it has to pay BSES Rs 228 crore for the increased subsidy from this quarter. Similarly, it owes Tata Power Delhi Rs 110 crore in subsidy dues.
Even as the BSES received a breather after the Supreme Court directed central power generating company NTPC to give two weeks time to them within which they would pay Rs 50 crore, the issue is bound to come up again. After the initial payment, the BSES would still have to pay around Rs 642 crore to NTPC. This comes at a backdrop when the two power utilities owe the government owned PPCl, IPGl and Transco a whopping Rs 4,000 crore.
The bone of contention between the government and the BSES is how the power utilities would get their dues. “Instead of giving the amount to the discoms, the government is planning to pay the due to PPCl and IPGCl. That amount would be deducted in the outstanding payment discoms owe to the two gencos. The BSES on the other hand has kept repayment of NTPC dues as its first priority. Because of which it is asking the Government to either directly pay the subsidy due to them or NTPC,” said PD Sudhakar, chairman, DERC.
While the BSES claims that adjustment of this kind is ‘illegal’, power experts claim that it is possible. “When the BSES has given an alternative that the Government should directly pay to the NTPC, then the Government deciding it to pay it to IPGCl or PPCl is also possible,” said Shakti Sinha, former Delhi power secretary.