The Punjab State Power Corporation Ltd (PSPCL) will not be paying fixed charges to private thermal and biomass power generators as it has invoked forced majeure clause under Article 12 of the power purchase agreement (PPA) following load crash in the state after the declaration of a lockdown in the country. The spread of Covid has hit the power sector badly with the 21-day lockdown estimated to cause roughly over Rs 500-crore loss.
Already under losses, the PSPCL is suffering about Rs25 crore loss per day due to the steep fall in demand and fixed charges to be paid to private thermal plants despite not using the power produced by them.
