Revise your Feb 12 guidelines on stressed loans: Power producers to RBI

New set of guidelines ignore practical issues in segment, they plead, lessening banks' incentive to help those in genuine difficulty; want debt restructuring to continue

Power producers have asked the Reserve Bank of India (RBI) to revise its February 12 guidelines on doing away with some earlier debt reorganising instruments, such as Statutory Debt Restructuring (SDR) or the Scheme for Sustainable Structuring of Stressed Assets (S4A).

They have asked that where these had already been invoked, the provisions be allowed to be carried over, at least for 12-18 months. The revised framework, they also feel, should provide for implementation of a resolution plan (RP) if approved by 75 per cent of lenders by value, in line with the Insolvency and Bankruptcy Code. And, that the schedule