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LIQUIDATION SCHEME FOR STATE ELECTRICITY DISTRIBUTION COMPANIES – EQ

LIQUIDATION SCHEME FOR STATE ELECTRICITY DISTRIBUTION COMPANIES – EQ

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In Short : A liquidation or dues-recovery scheme for State Electricity Distribution Companies (DISCOMs) in India refers to government-led efforts to resolve massive outstanding debts and regulatory assets by restructuring repayment, enforcing time-bound liquidation of dues, and introducing reforms. Key initiatives include Supreme Court directives to clear regulatory assets by 2028 and proposed restructuring/bailout plans tied to privatization or listing for long-term financial health.

In Detail : Government of India has notified the Electricity (Late Payment Surcharge and Related Matters) Rules, 2022 (LPS Rules, 2022) on 3rd June, 2022. Under these rules, all the dues, including late payments surcharges, upto 3rd June 2022 were considered as arrears which were to be rescheduled and the distribution licensee shall pay such dues in equated monthly instalments (EMIs), starting from August 2022. 13 States reported arrears amounting to Rs. 1,39,947 Cr. as on 03.06.2022 and rescheduled them into EMIs.

As a result of these measures, 43 EMIs have been paid by the distribution utilities concerned, including pre-payment of legacy dues by some utilities, and the outstanding legacy dues have reduced to ₹4,109 crore as on 10.02.2026. State-wise details are placed below.

In view of credible improvement in the payment of their dues by the distribution utilities, there does not seem to be any requirement of a liquidation scheme for the same.

Details of State-wise outstanding dues as on 03.06.2022 and balance outstanding dues as on 10.02.2026 to be paid to Suppliers.

(In Rs. Cr.)

Sr. No. State Discom As on 03.06.2022 As on 10.02.2026
Legacy                                                Overdues as per Discoms Balance legacy dues after payment of 43 EMIs as per DISCOMs Current Overdues as per PRAAPTI Total Overdues (Current + Legacy)
1 Andhra Pradesh Andhra Pradesh Power Purchase Coordination Committee   0 1,561 1,561
2 Andhra Pradesh Andhra Pradesh Southern Power Distribution Company Limited   0 277 277
3 Andhra Pradesh Andhra Pradesh Eastern Power Distribution Company  Limited   0 76 76
4 Andhra Pradesh Andhra Pradesh  Central Power Distribution Company Limited 18,309 0 69 69
5 Arunachal Pradesh Arunachal Power Distribution Department 0 0 0
6 Assam Assam Power Distribution Company Limited 0 29 29
7 Bihar North Bihar Power Distribution Company Ltd. 430 0 71 71
8 Bihar South Bihar Power Distribution Company Ltd. 662 0 0 0
9 Chandigarh Chandigarh Power Distribution Limited 0 0 0
10 Chhattisgarh Chhattisgarh State Power Distribution Company Limited 4,162 0 68 68
11 Delhi The New Delhi Municipal Council 0 91 91
12 Delhi BSES Rajdhani Power Limited 0 2 2
13 Delhi Delhi Tata Power Distribution Limited 0 6 6
14 Delhi BSES Yamuna Power Limited 0 0 0
15 DNH & DD Dadra And Nagar Haveli And Daman And Diu Power Distribution Corporation Ltd 0 0 0
16 Goa Goa Power Department 0 1 1
17 Gujarat Gujarat Urja Vikas Nigam Limited 0 6,546 6,546
18 Haryana Haryana Power Purchase Centre 0 124 124
19 Himachal Pradesh Himachal Pradesh State Electricity Board Limited 0 36 36
20 Jammu and Kashmir Jammu And Kashmir State Power Trading Company Limited 14,164 0 943 943
21 Jharkhand Jharkhand Bijli Vitran Nigam Limited 6,000 0 809 809
22 Karnataka Bangalore Electricity Supply Company Ltd. 7,529 763 1,181 1,945
23 Karnataka Hubli Electricity Supply Company Ltd. 2,528 0 532 532
24 Karnataka Gulbarga Electricity Supply Company Ltd. 2,129 52 245 296
25 Karnataka Chamundeshwari Electricity Supply Corporation Limited 1,247 115 67 181

 

26 Karnataka Mangalore Electricity Supply Company Ltd. 125 13 1 14
27 Kerala Kerala State Electricity Board Limited 0 70 70
28 Madhya Pradesh Madhya Pradesh Power Management Co Ltd 8,500 0 645 645
29 Maharashtra Maharashtra State Electricity Distribution Co. Ltd 17,320 1,438 1,494 2,932
30 Maharashtra Adani Electricity Mumbai Limited 0 0 0
31 Maharashtra Tata Power Co Ltd-Mumbai Distribution 0 48 48
32 Manipur Manipur State Power Distribution Company Limited 161 0 43 43
33 Meghalaya Meghalaya Power Distribution Corporation Limited 0 17 17
34 Mizoram Mizoram Power Department 0 0 0
35 Nagaland Nagaland Power Department 0 21 21
36 Odisha Grid Corporation of Odisha 0 241 241
37 Puducherry Puducherry Power Department 0 0 0
38 Punjab Punjab State Power Corporation Limited 0 498 498
39 Rajasthan Jodhpur Vidyut Vitran Nigam Ltd. 8,874 0 945 945
40 Rajasthan Jaipur Vidyut Vitran Nigam Ltd. 9,264 0 443 443
41 Rajasthan Ajmer Vidyut Vitran Nigam Ltd. 4,096 0 270 270
42 Rajasthan Rajasthan Discoms Power Procurement Centre 0 0 0
43 Sikkim Sikkim Power Department 0 0 0
44 Tamil Nadu Tamil Nadu Generation & Distribution Corporation Limited 17,734 1,729 172 1,901
45 Telangana Southern Power Distribution Company Of Telangana 6,973 0 132 132
46 Telangana Telangana State Northern Power Distribution Company 2,977 0 25 25
47 Tripura Tripura State Electricity Corporation Limited 0 85 85
48 Uttar Pradesh Uttar Pradesh Power Corporation Ltd 6,762 0 2,938 2,938
49 Uttar Pradesh Noida Power Company Limited 0 1 1
50 Uttarakhand Uttarakhand Power Corporation Limited 0 57 57
51 West Bengal West Bengal State Electricity Distribution Company Ltd. 0 247 247
52 West Bengal Damodar Valley Corporation 0 2 2
53 West Bengal India Power Corporation Limited 0 52 52
    Total 1,39,947 4,109 21,178 25,287

*Suppliers include generating, transmission and trading companies.

This Information was given by The Minister of State in the Ministry of Power, Shri Shripad Naik, in a written reply in the Lok Sabha today.

Anand Gupta Editor - EQ Int'l Media Network