The News Scroll 01 April 2021  Last Updated at 5:36 pm | Source: PTI

PGCIL tells MeECL to clear outstanding due of Rs 56.89 crore

PGCIL tells MeECL to clear outstanding due of Rs 56.89 crore
Shillong, Apr 1 (PTI) The Power Grid Corporation of India Limited (PGCIL) has served a notice to the Meghalaya Energy Corporation Limited (MeECL) demanding payment of Rs 56.89 crore or else power supply to the state will be regulated from mid-April, officials said on Thursday.

The PGCIL noted with serious concern that MeECL is consistently failing to clear the full dues against the monthly bills raised towards transmission tariff despite regular follow-up by Central Transmission Utility (CTU) and commitments by MeECL, they said.

"Accordingly, in case of failure of MeECL to clear the total outstanding dues of 60 days latest by 08.04.2021, the regulation of power supply of MeECL through their long term access shall be effected from 00.00 hours of April 14," Chief General Manager (Commercial) CTU, J Mazumder said in his letter to the CMD of MeECL Arunkumar Kembhavi on Wednesday.

The letter said power supply will be regulated from various power plants of NEEPCO, NHPC and NTPC from which MeECL has allocation of power under long term access, the quantum shall be in proportion of the allocation from NEEPCO, NHPC and NTPC may be decided by NERLDC based on merit order of dispatch.

MeECL is obliged to make timely payment of transmission tariff and to open requisite Letter of Credit towards Payment Security Mechanism in line with the Electricity Act 2003 and provisions of CERC Regulations, the letter noted.

The letter said as a consequence, total dues of MeECL have grown to a huge amount of Rs 56.89 crore as on date, of which an amount of Rs 46.51 crores is outstanding for 45 days (an amount of Rs 38.4 crore has crossed 60 days and an amount of Rs 26.51 crore has even crossed 90 days), based on the bills already raised by CTU.

CTU has been mandated with the responsibility of billing, collection and disbursement of transmission charges towards ISTS licenses from all the DICs.

"Such huge outstanding dues as brought out above are seriously affecting the cash flows of all the ISTS Licenses and causing adverse impact on the ability to carry on as a business enterprise and to fulfil loan repayment liabilities towards the creation of transmission assets," it added.

Meghalaya has been granted a Rs 1,345 loan from the Centre under the #Aatmanirbhar loans to clear pending dues to power generating companies. PTI JOP RG RG

Disclaimer :- This story has not been edited by Outlook staff and is auto-generated from news agency feeds. Source: PTI
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