Delhi govt not to pay discoms money under subsidy scheme

The Delhi government has decided not to pay money to BSES discoms under the power subsidy scheme and will adjust it with dues that they owe to state-run power generation and transmission firms, reeling under severe financial crunch.

Delhi Power Minister Satyendra Jain said the government would recover the dues from BSES Rajdhani Power Ltd (BRPL) and BSES Yamuna Power Ltd (BYPL) by adjusting the subsidy component.

The two discoms owe around Rs 6,000-crore dues to the Delhi Transco Ltd and two state-run power generation companies. However, Tata Power Delhi Distribution Limited (TPDDL) does not have any outstanding towards the Delhi government’s transmission company.

When asked if the government was planning to take such a step, Jain said: “We are not thinking about it, but doing it.” He was speaking with reporters, after inaugurating an underground transmission line of the Delhi Transco Limited, laid at a cost of Rs 150 crore, in the Tikri Kalan area. The Delhi government has sent several reminders to the two discoms, asking them to clear the dues but in vain. The BSES has been maintaining that it is going through a difficult phase as it has not been allowed to recover around Rs 10,000-crore losses due to increase in power purchase cost and low tariff. 

“It (the subsidy amount) is definitely going to the power generation companies. We cannot waste money. It is the discoms that have not paid us,” Jain said.

A few days after coming to power in Delhi, the Aam Aadmi Party (AAP) government had in February announced a 50 per cent subsidy on monthly power consumption of up to 400 units. 

The Power Minister has also cautioned the discoms against outages during summer. “We will not have to face power cuts this summer, as they (discoms) have promised us that there is no shortage of power. They have given this in writing to our secretary,” Jain said.

The minister added: “It is estimated that our peak power demand will reach around 6,200MW and all three discoms have said that they have arranged around 6,500MW, which is more than our requirement.” Jain further said that the government would strictly deal with the discoms, in case of prolonged outages.

The minister said his department had received complaints regarding accidents due to overhead transmission lines. He has promised to shift the wires underground.

The Delhi Transco Limited has laid an underground 220KV cable, which will connect a new 220KV station at Peeragarhi with 400KV sub-station at Tikri Kalan. The commissioning of the new line is likely to improve power supply in West, Central and North Delhi, officials said.