Discoms can choose to discard plants, govt clarifies
Removing the ambiguity regarding the rights of electricity distribution companies (discoms) while exiting power purchase agreements (PPAs) with old thermal generating stations, the Union power ministry has clarified that discoms have the freedom to choose the specific plants from which they want to stop sourcing power.
The clarification makes it easier for Delhi’s discom BSES to de-allocate its share of electricity from NTPC’s Dadri-I unit, and sends assuring signals to other discoms in the country which also hope to exit costly PPAs with the state-run producer.
