APP writes to power minister alleging TANGEDCO demanding heavy discounts from IPPs

The Association of Power Producers (APP) has written to the union power ministry, alleging that Tamil Nadu Generation and Distribution Corporation Limited (TANGEDCO) was demanding heavy discounts on pending dues from independent power producers (IPPs). …

As per the letter, the IPPs supplying power to Tamil Nadu have been asked to provide 50 per cent discount on late payment surcharge dues and 20 per cent discount on pending fixed charge amounts in order to get their dues under the liquidity infusion scheme. The APP in its letter wrote that the state-run non-banking firms Power Finance Corporation Limited (PFC) and REC Limited which are implementing the centre’s liquidity infusion scheme, should be directed to release funds for payment of bills of IPPs, central generating stations and renewable energy projects together.

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