The Andhra Pradesh government is set to clear Rs 45 billion towards outstanding true-up dues of the state’s power distribution companies, relating to the period between 2019 and 2024.
The decision has been taken to avoid any retrospective tariff burden on end consumers. The true-up amounts were deferred during the earlier regime and carried forward as future claims. Recognising the potential tariff shock that could arise from recovery through consumer tariffs, the state government has agreed to clear the approved true-up dues directly on behalf of the distribution companies. The approved true-up dues comprise Rs 15.52 billion for Andhra Pradesh Southern Power Distribution Company Limited, Rs 11.63 billion for Andhra Pradesh Central Power Distribution Corporation Limited and Rs 17.83 billion for Andhra Pradesh Eastern Power Distribution Company Limited.