Govt sets criteria for allocation of power from central pool to states, UTs

Electricity from the central pool will not be allocated to states and UTs which will impose taxes on clean energy projects, impede the inter-state flow of power and have not cleared subsidy dues on electricity tariff, according to an official order.

The Ministry of Power in an office order also stated that the power from the central pool will not be allocated to those states which have regulatory assets.

Regulatory assets come into existence when power regulators acknowledge that the tariffs imposed on electricity consumers do not adequately cover the power purchase costs of distribution companies (discoms).