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GOVERNMENT OF INDIA
MINISTRY OF POWER
LOK SABHA
UNSTARRED QUESTION NO.6364
ANSWERED ON 02.04.2026
IMPACT OF ELECTRICITY RULES ON IMPROVING PAYMENT DISCIPLINE AMONG
DISCOMS
6364. SHRI MANISH JAISWAL:
SHRI RAVINDRA SHUKLA ALIAS RAVI KISHAN:
Will the Minister of POWER
be pleased to state:
(a) the impact of the Electricity (Late Payment Surcharge and Related Matters) Rules
on improving payment discipline among Power Distribution Companies (DISCOMs);
(b) the total amount of outstanding dues of DISCOMs to power generation companies
that has been cleared since the implementation of these rules;
(c) whether the Government has reviewed the financial stability of the power sector
and the status of power supply infrastructure in various regions including districts such
as Hazaribagh and Ramgarh in Jharkhand and if so, the details thereof; and
(d) the measures taken to ensure financial sustainability of the power sector and
timely payments across the electricity supply chain?
A N S W E R
THE MINISTER OF STATE IN THE MINISTRY OF POWER
(SHRI SHRIPAD NAIK)
(a) & (b) : As a result of the Electricity (Late Payment Surcharge and Related Matters)
Rules, 2022 (LPS Rules), the outstanding legacy dues have reduced from Rs 1,39,947
crore as on 03.06.2022 to. Rs. 3,330 crore as on 27.03.2026. DISCOMs are also paying
their current dues in time to avoid regulations under the rule.
(c) & (d): Electricity being a concurrent subject, supply and distribution of electricity
to all consumers is within the purview of the respective State Government/ distribution
utility. Government of India (GoI) supplements the efforts of the States through various
schemes to help achieve the objective of providing quality and reliable supply of power
to all consumers. This includes works amounting to Rs 1.85 lakh crore executed under
earlier schemes of DDUGJY, Integrated Power Development Scheme (IPDS), and
SAUBHAGYA, including Rs 11,431 crore in the State of Jharkhand, including districts such
as Hazaribagh and Ramgarh.
………2.- 2 -
Now under Revamped Distribution Sector Scheme (RDSS), launched with the
objective of improving the quality and reliability of power supply to consumers through a
financially sustainable and operationally efficient distribution sector, distribution
infrastructure works including smart metering works worth Rs. 2.83 lakh crore have been
sanctioned. This includes works amounting to Rs 4,326 crore for the State of Jharkhand
(district wise details are enclosed at Annexure). Financial support under RDSS is
contingent upon performance of the utilities against various operational and financial
parameters.
In addition to LPS Rules and RDSS, GoI has been supporting the distribution utilities
to improve their operational performance and financial viability through various
initiatives. Some of the key initiatives taken are as under:
i. Additional borrowing space of 0.5% of Gross State Domestic Product (GSDP) has
been made available to State Governments, which is conditional upon them
undertaking specific reforms in the power sector including financial performance
of the distribution utilities.
ii. Additional Prudential Norms have been laid down for sanctioning of loans to State-
owned power utilities based on performance of power distribution utilities against
prescribed conditions.
iii. Rules for implementation of Fuel and Power Purchase Costs Adjustment (FPPCA)
and cost-reflective tariff have been framed so as to ensure that all prudent costs
for supply of electricity are passed through.
iv. Rules and Standard Operating Procedure have been issued for proper subsidy
accounting and their timely payment.
With concerted efforts of Central and State Governments, the Aggregate Technical
and Commercial (AT&C) losses at national level have reduced from 21.91% in FY21 to
15.04% in FY25 and the gap between Average Cost of Supply and Average Revenue
Realized (ACS-ARR) has narrowed from Rs. 0.69/kWh to Rs. 0.06/kWh.
*****************ANNEXURE
ANNEXURE REFERRED IN REPLY TO PARTS (c) & (d) OF UNSTARRED QUESTION
NO. 6364 ANSWERED IN THE LOK SABHA ON 02.04.2026
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District wise sanctioned cost of works* in Jharkhand under RDSS
District Sanctioned cost (Rs crore)
Bokaro 220
Chatra 72
Deoghar 218
Dhanbad 298
Dumka 78
East Singhbhum 469
Garhwa 195
Giridih 234
Godda 110
Gumla 141
Hazaribagh 201
Jamtara 97
Khunti 45
Koderma 102
Latehar 78
Lohardaga 89
Pakur 82
Palamu 276
Ramgarh 214
Ranchi 622
Sahebganj 91
Saraikela Kharsawan 102
Simdega 90
West Singhbhum 150
Sub Total 4,272
PMA charges 54
Total 4,326
*Including smart metering works.
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