Don’t insist on guarantees for loans to power distribution companies: Southern Regional Power Committee chairman D Prabhakar Rao

HYDERABAD: Southern Regional Power Committee (SRPC) chairman D Prabhakar Rao has urged the Power Finance Corporation (PFC) not to insist on state guarantees for granting loans to the power distribution companies.

He said the state government guarantees to the discoms were also being bracketed under the Fiscal Responsibility and Budget Management (FRBM) rules by the Centre. Speaking at the SRPC utilities’ meeting held in Bhopal, Rao said 95% of the discoms in the country were suffering losses while Gencos and Transcos were in profits.