Weekly Power Sector Round up: 27th March 2021

Rs 46,321 cr out of the sanctioned 1.35 lakh cr liquidity package disbursed to DISCOMs so far

Distribution companies (DISCOMs) have been disbursed Rs 46,321 cr out of the 1.35 lakh cr sanctioned loans under the liquidity infusion scheme. This, according to Power Minister R.K. Singh in a written reply to the Rajya Sabha.

The Liquidity infusion scheme was announced by the Govt in the wake of the COVID pandemic to help inject liquidity into the DISCOMs and help them clear their dues to the power producers.

Basic Customs Duty to cost DISCOMs Rs 9 billion annually: Ind-Ra

The imposition of a basic customs duty on solar cells and modules effective 1st April 2022 would lead to an increase in the overall power tariff and reduce the overall attractiveness of solar projects to off-takers and end consumers, according to India Ratings and Research (Ind-Ra).

Considering that about 10GW of solar capacity will be be added in the next year, the increase in tariffs will increase power purchases by Rs 9 billion annually, said Asmita Pant, senior analyst with Ind-Ra.