CERC reduces late payment fee on discom dues to gencos, transcos

New Delhi: The central electricity regulator has reduced the late payment surcharge (LPS) payable by distribution companies to generation and transmission companies to 1 per cent per month from the previous 1.5 per cent per month during the lockdown period.

“…the Commission in exercise of its powers under Regulation 76 of the 2019 Tariff Regulations relaxes the provisions of Regulation 59 of 2019 Tariff Regulations to provide that if any delayed payment by the distribution companies to the generating companies and inter-State Transmission licensees beyond 45 days from the date of the presentation of the bills falls between 24.03.2020 and 30.06.2020, the concerned distribution companies shall make the payment with LPS at the reduced rate of 12 per cent per annum that translates into 1 per cent per month,” the Central Electricity Regulatory Commission (CERC) order issued on Friday said.