**Executive Summary**
The document addresses outstanding dues payable by Distribution Companies (DISCOMs) to power generation companies in India, in response to an unstarred question in Lok Sabha. It details the implementation of the Electricity (Late Payment Surcharge and Related Matters) Rules, 2022 (LPS Rules, 2022) as of June 3, 2022. The document outlines the impact of delayed payments, and the government's action plan to mitigate future accumulation of dues, with data current to February 10, 2026.
**Key Points / Main Content**
* **LPS Rules 2022:**
* Implemented on June 3, 2022, to address outstanding dues, including late payment surcharges.
* Treated outstanding dues as of June 3, 2022, as legacy arrears and rescheduled them into Equated Monthly Installments (EMIs) for distribution licensees.
* Established a framework for time-bound clearance of current dues and regulation of access for persistent payment defaults.
* **Impact of Implementation:**
* 13 States reported arrears of ₹1,39,947 crore as on June 3, 2022, which were rescheduled under EMI.
* 43 EMIs have been paid, reducing outstanding legacy dues to ₹4,109 crore as of February 10, 2026.
* DISCOMs are largely paying current dues to avoid action under the rules.
* **Consequences of Delayed Payments:**
* Leads to cash flow problems for Generation Companies (GENCOs).
* Hinders GENCOs' ability to procure fuel, potentially reducing plant output and causing power shortages.
* Discourages investment in new generation capacity, including renewable energy projects.
* **Government Actions and Schemes:**
* LPS Rules help enforce timely payment of GENCOs' dues, ensuring reliable power supply.
* Compliance to LPS Rules is a pre-qualifying criterion for DISCOMs seeking financial assistance under the Revamped Distribution Sector Scheme (RDSS).
* Additional Prudential Norms introduced, making loans to State DISCOMs/TRANSCOS/GENCOs contingent on compliance with LPS Rules.
* **Data on Outstanding Dues:**
* State-wise outstanding dues payable by DISCOMs under LPS Rules are enclosed in Annexure-I.
* Outstanding dues payable to State power generation companies of major states are enclosed in Annexure-II.
**Impact Analysis**
**DISCOMS**
* **Impact:** Required to adhere to the LPS Rules for payment of dues, including legacy arrears, through EMIs. They risk losing access to financial assistance under RDSS and new loans if they fail to comply.
* **Action Required:** Ensure timely payments of EMIs and current dues to avoid penalties and maintain access to financial assistance.
**GENCOS**
* **Impact:** LPS Rules aim to ensure timely payment of dues, improving cash flow and enabling fuel procurement for consistent power generation.
* **Action Required:** Monitor payments from DISCOMs and report any non-compliance with LPS Rules to the Ministry of Power.
**State Governments/Utilities**
* **Impact:** State-owned utilities, including DISCOMs, TRANSCOs, and GENCOs, must comply with LPS Rules to be eligible for loans.
* **Action Required:** Ensure State utilities adhere to LPS Rules and prescribed conditions to secure financial assistance and maintain a reliable power supply.
Key Entities Referenced
Electricity (Late Payment Surcharge and Related Matters) Rules, 2022 (LPS Rules, 2022): Rules notified by the Ministry of Power in June 2022 to address outstanding dues of power generating companies.
Revamped Distribution Sector Scheme (RDSS): A scheme launched in 2021 where compliance with LPS Rules is a pre-qualifying criterion for DISCOMs to receive financial assistance.
Ministry of Power: The primary regulator and governing body for power sector policies mentioned.
Distribution Companies (DISCOMs): Entities responsible for distributing electricity to end consumers, key stakeholders of the policy.
States of India: Location, in the context of the applicability of the policy for outstanding power dues.
GOVERNMENT OF INDIA
MINISTRY OF POWER
LOK SABHA
UNSTARRED QUESTION NO.2134
ANSWERED ON 12.02.2026
OUTSTANDING DUES PAYABLE BY DISCOMS
†2134. SHRI RAVINDRA SHUKLA ALIAS RAVI KISHAN:
SMT. ROOPKUMARI CHOUDHARY:
Will the Minister of POWER
be pleased to state:
(a) the details of total outstanding dues payable by Distribution Companies
(DISCOMs) to Union, State and Private Power Generation Companies in the country,
State-wise;
(b) whether any scheme has been proposed for settlement of the said dues and if so,
the details thereof;
(c) whether Uttar Pradesh, Maharashtra and Andhra Pradesh are among the States
having the highest outstanding dues and if so, the details thereof;
(d) the details of the said outstanding dues indicating separately the share pertaining
to coal based, gas based, hydro power and renewable energy generating companies,
category-wise;
(e) whether the total outstanding dues were approximately 1.39 lakh crore in the
year 2022 which have been reduced through various schemes and if so, the major
reasons for such reduction;
(f) the impact of delayed payments on power generation and fuel supply; and
(g) the details of the Government's action plan to prevent accumulation of such
outstanding dues in future?
A N S W E R
THE MINISTER OF STATE IN THE MINISTRY OF POWER
(SHRI SHRIPAD NAIK)
(a) to (g): (i) The Ministry of Power, Government of India notified the Electricity (Late
Payment Surcharge and Related Matters) Rules, 2022 (LPS Rules, 2022) on 3rd June
2022. Under these rules, all outstanding dues, including late payment surcharge, of
generating companies (Independent Power Producers, Central Public Sector Enterprises
and renewable energy developers), inter-State transmission licensees, and trading
licensees, outstanding as on 3rd June 2022, were treated as legacy arrears and
rescheduled with re-determined due dates for payment by distribution licensees in
Equated Monthly Instalments (EMIs). Accordingly, 13 States reported arrears
amounting to ₹1,39,947 crore as on 03.06.2022 which were rescheduled under the EMI
mechanism.
……….2.- 2 -
The LPS Rules also lay down a framework for time-bound clearance of current
dues and provide for progressive regulation of access in the event of persistent payment
defaults by distribution licensees.
(ii) As a result of these measures, 43 EMIs have been paid by the distribution utilities
concerned, including pre-payment of legacy dues by some utilities, and the outstanding
legacy dues have reduced to Rs. 4,109 crore as on 10.02.2026. DISCOMs are also largely
paying their current dues in time to avoid action under the rules.
(iii) Delayed payments by Distribution Companies (DISCOMs) to Generation
Companies (GENCOs) lead to cash flow problems, hindering GENCOs’ ability to buy
enough fuel on time, which may lead to reduced plant output and power shortages. Such
delays also discourage investments in new power generation capacity, including
renewable energy projects. LPS rules have helped in enforcing timely payment of
GENCOs’ dues facilitating reliable supply of power.
(iv) Further, under the Revamped Distribution Sector Scheme (RDSS) launched by
Government of India in the year 2021, compliance to LPS Rules by DISCOMs has been
prescribed as a pre-qualifying criterion under the Result Evaluation Framework for
evaluating the DISCOMs for availing financial assistance under the scheme.
(v) Also, Ministry of Power has introduced Additional Prudential Norms for
sanctioning of loans to State DISCOMs/ TRANSCOs/ GENCOs. These essentially entail
that loans to DISCOMs and other State owned utilities would be contingent to their
performance against prescribed conditions, which includes compliance to LPS Rules by
DISCOMs.
(vi) The State-wise outstanding dues payable by DISCOMs under the LPS Rules are
enclosed at Annexure-I. Further, the outstanding dues payable to State power
generation companies of major states are enclosed at Annexure-II.
*********ANNEXURE-I
ANNEXURE REFERRED IN REPLY TO PARTS (a) TO (g) OF UNSTARRED QUESTION
NO. 2134 ANSWERED IN THE LOK SABHA ON 12.02.2026
*************
Details of State-wise outstanding dues as on 03.06.2022 and balance outstanding dues as on 10.02.2026 to be
paid to Suppliers*
(In Rs. Cr.)
As on
As on 10.02.2026
03.06.2022
Balance
legacy
Sr. Current Total
State Discom Legacy d u e s a f t e r
No. Overdues Overdues
Overdues as payment of
as per (Current +
per Discoms 43 EMIs as
PRAAPTI Legacy)
per
DISCOMs
Andhra Pradesh Power
1 Andhra Pradesh Purchase Coordination 0 1,561 1,561
Committee
Andhra Pradesh Southern
2 Andhra Pradesh Power Distribution 0 277 277
Company Limited
Andhra Pradesh Eastern
3 Andhra Pradesh Power Distribution 0 76 76
Company Limited
Andhra Pradesh Central
4 Andhra Pradesh Power Distribution 18,309 0 69 69
Company Limited
Arunachal Arunachal Power
5 - 0 0 0
Pradesh Distribution Department
Assam Power Distribution
6 Assam - 0 29 29
Company Limited
North Bihar Power
7 Bihar 430 0 71 71
Distribution Company Ltd.
South Bihar Power
8 Bihar 662 0 0 0
Distribution Company Ltd.
Chandigarh Power
9 Chandigarh - 0 0 0
Distribution Limited
Chhattisgarh State Power
10 Chhattisgarh Distribution Company 4,162 0 68 68
Limited
The New Delhi Municipal
11 Delhi - 0 91 91
Council
BSES Rajdhani Power
12 Delhi - 0 2 2
Limited
Delhi Tata Power
13 Delhi - 0 6 6
Distribution Limited
BSES Yamuna Power
14 Delhi - 0 0 0
Limited
Dadra And Nagar Haveli
And Daman And Diu
15 DNH & DD - 0 0 0
Power Distribution
Corporation Ltd
16 Goa Goa Power Department - 0 1 1
Gujarat UrjaVikas Nigam
17 Gujarat - 0 6,546 6,546
Limited
Haryana Power Purchase
18 Haryana - 0 124 124
Centre
Himachal Himachal Pradesh State
19 - 0 36 36
Pradesh Electricity Board LimitedJammu And Kashmir
Jammu and
20 State Power Trading 14,164 0 943 943
Kashmir
Company Limited
Jharkhand Bijli Vitran
21 Jharkhand 6,000 0 809 809
Nigam Limited
Bangalore Electricity
22 Karnataka 7,529 763 1,181 1,945
Supply Company Ltd.
Hubli Electricity Supply
23 Karnataka 2,528 0 532 532
Company Ltd.
Gulbarga Electricity
24 Karnataka 2,129 52 245 296
Supply Company Ltd.
Chamundeshwari
25 Karnataka Electricity Supply 1,247 115 67 181
Corporation Limited
Mangalore Electricity
26 Karnataka 125 13 1 14
Supply Company Ltd.
Kerala State Electricity
27 Kerala - 0 70 70
Board Limited
Madhya Madhya Pradesh Power
28 8,500 0 645 645
Pradesh Management Co Ltd
Maharashtra State
29 Maharashtra Electricity Distribution 17,320 1,438 1,494 2,932
Co. Ltd
Adani Electricity Mumbai
30 Maharashtra - 0 0 0
Limited
Tata Power Co Ltd-
31 Maharashtra - 0 48 48
Mumbai Distribution
Manipur State Power
32 Manipur Distribution Company 161 0 43 43
Limited
Meghalaya Power
33 Meghalaya Distribution Corporation - 0 17 17
Limited
Mizoram Power
34 Mizoram - 0 0 0
Department
Nagaland Power
35 Nagaland - 0 21 21
Department
Grid Corporation of
36 Odisha - 0 241 241
Odisha
Puducherry Power
37 Puducherry - 0 0 0
Department
Punjab State Power
38 Punjab - 0 498 498
Corporation Limited
Jodhpur VidyutVitran
39 Rajasthan 8,874 0 945 945
Nigam Ltd.
Jaipur VidyutVitran
40 Rajasthan 9,264 0 443 443
Nigam Ltd.
Ajmer VidyutVitran Nigam
41 Rajasthan 4,096 0 270 270
Ltd.
Rajasthan Discoms Power
42 Rajasthan - 0 0 0
Procurement Centre
43 Sikkim Sikkim Power Department - 0 0 0
Tamil Nadu Generation &
44 Tamil Nadu Distribution Corporation 17,734 1,729 172 1,901
Limited
Southern Power
45 Telangana Distribution Company Of 6,973 0 132 132
Telangana
Telangana State Northern
46 Telangana Power Distribution 2,977 0 25 25
CompanyTripura State Electricity
47 Tripura - 0 85 85
Corporation Limited
Uttar Pradesh Power
48 Uttar Pradesh 6,762 0 2,938 2,938
Corporation Ltd
Noida Power Company
49 Uttar Pradesh - 0 1 1
Limited
Uttarakhand Power
50 Uttarakhand - 0 57 57
Corporation Limited
West Bengal State
51 West Bengal Electricity Distribution - 0 247 247
Company Ltd.
Damodar Valley
52 West Bengal - 0 2 2
Corporation
India Power Corporation
53 West Bengal - 0 52 52
Limited
Total 1,39,947 4,109 21,178 25,287
*Suppliers include generating, transmission and trading companies.
******************ANNEXURE-II
ANNEXURE REFERRED IN REPLY TO PARTS (a) TO (g) OF UNSTARRED QUESTION
NO. 2134 ANSWERED IN THE LOK SABHA ON 12.02.2026
*************
Outstanding dues payable to State power generation companies of major states as on
31.03.2025
Receivables for sale of Power
Major States
(Rs crore)
Andhra Pradesh
APGENCO 8,538
Assam
APGCL 446
Chhattisgarh
CSPGCL 2,590
Gujarat
GSECL 331
Haryana
HPGCL 905
Jharkhand
JUUNL 29
Karnataka
KPCL 12,398
Madhya Pradesh
MPPGCL 6,205
Maharashtra
MSPGCL 25,454
Meghalaya
MePGCL 552
Odisha
OPGCL 521
Rajasthan
RRVUNL -
Telangana
TSGENCO 11,649
Uttar Pradesh
UPRVUNL 7,090
Uttarakhand
UJVNL 322
West Bengal
WBPDCL 10,917
Total 87,948
*************