Centre invokes TPAs as gencos eye Rs 96.8K-cr from defaulting states

The power ministry recovered Rs 714 crore from Jharkhand last month

discoms
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In June 2020, the dues of discoms had touched a record high of Rs 1.3 trillion

Shreya Jai New Delhi
With the unpaid bills of distribution companies (discoms) surging, central gencos are now taking drastic measures to recover money from state discoms.

From issuing notices and regulating power supply to invoking the tripartite agreement (TPA), gencos, backed by the Union ministry of power, are hardening their stand against consistently defaulting states/discoms.

TPAs are signed among central gencos, disoms and the Reserve Bank of India. Under the agreement, the central bank can deduct the defaulting amount from the accounts of states with the RBI. According to senior officials, the Union ministry of power has invoked the TPA with Jharkhand, Karnataka and

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First Published: Sep 20 2021 | 6:10 AM IST

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