Liquidity booster for discoms to save 9.4 GW capacity from defaults: Crisil
The government’s move to provide ₹90,000 crore loans to state power distribution companies (discoms) would help 9.4 GW private thermal coal capacities from defaulting post moratorium.
The Finance Minister’s announcement would help clear a chunk of discoms’ obligations to power generation companies, says a report by Crisil.
The ₹90,000-crore loans are to be provided through Power Finance Corporation (PFC) and Rural Electrification Corporation (REC) against receivables of discoms backed by state government guarantees.
