Leading power trader PTC India today said it is still awaiting payment of dues worth over Rs 800 crore from Uttar Pradesh and Tamil Nadu for sale of electricity to their state-run distribution companies.

“From Uttar Pradesh, the outstanding dues are about Rs 420 crore as of now and Tamil Nadu, it is around Rs 400 crore, which at one point of time was over Rs 900 crore,” PTC India Chairman and Managing Director Deepak Amitabh said today.

According to Amitabh, who took over as CMD last month, the total outstanding to PTC is more than Rs 800 crore, accounted for by these two States.

He was speaking to reporters on the sidelines of a conference on ‘Transmission and Distribution’ in the power sector, organised by the Confederation of Indian Industry here.

PTC India trades about 90-110 million units of electricity on a daily basis.

“We had problems in getting payments from Tamil Nadu and Uttar Pradesh. Tamil Nadu, we are now receiving the payments after the tariff increases...,” Amitabh noted.

He said that he expects Uttar Pradesh to start paying the money from next month since the State recently passed an order to increase electricity tariff.

“We have been receiving Rs 50 crore, Rs 25 crore and small amounts in the last couple of months from Tamil Nadu (toward payment of outstanding dues),” he added.

The precarious health of electricity distribution companies (discoms) remains a major concern for the power sector.

Last month, the government notified a debt restructuring package for discoms, primarily to restructure their short-term loans.

Regarding his immediate priorities, Amitabh said that he would look at consolidating the company’s businesses.

“Consolidation of the various businesses we are in is the priority besides increasing the trading (of electricity),” he added.

(This article was published on November 2, 2012)
XThese are links to The Hindu Business Line suggested by Outbrain, which may or may not be relevant to the other content on this page. You can read Outbrain's privacy and cookie policy here.