BSES coughs up Rs 50 cr, assures Rs 350 cr by Dec

Heeding to the warning issued by newly-appointed principal secretary (power) RK Verma, power distribution company BSES has released Rs 50 crore to the Delhi government owned power generation companies (GENCO) Pragati Power Corporation Limited(PPCL) and Indraprastha Power Generation Company Limited(IPGCL). The Reliance Anil Dhirubhai Ambani owned power distribution firm owes more than Rs 3,400 crore to the power generation companies.

According to government sources, BSES has assured that another Rs 350 crore would be released by December this year.

Verma had summoned on 22 August last , Chief executive officers of BSES( Yamuna and Rajdhani) and handed them notice to make part payment of Rs 3,400 crore outstanding. Earlier, Delhi chief minister Sheila Dikshit had also written a letter to Anil Ambani, chairman of Reliance Infrastructure, which runs two power distribution companies. A reply to CM’s letter is awaited.

A senior power department official said there is a heavy outstanding against BSES on an account of non-payment of dues , which have accumulated over the years. Of the total dues that is Rs 3,400 crore, Rs 2,700 crore is due towards Gencos (PPLC and IPGCL). The discom also owes Rs 700 crore to the Delhi Transco Limited.

On the other hand, the third private power distribution company Tata Power has no outstanding against its account. 

Sources said, the payment crisis has arisen as the banks have so far refused to fund the huge bill either by loan or over draft, given the poor track record of BSES.