PFC offers funding facility to discoms for timely payments of outstanding dues
New Delhi: State-owned Power Finance Corporation NSE -0.23 % has introduced a facility for electricity distribution companies (discoms) to avail funds for paying their dues to power generation companies (gencos), a move that will help in avoiding late payment charges as well as earn rebates for timely payments. Mounting outstanding dues of discoms has been a perennial issue in the country.
The outstanding dues of discoms as of August stood at Rs 1.32 lakh crore compared to nearly Rs 97,000 crore in the same month last year, as per PRAA (Payment Ratification And Analysis in Power procurement for bringing Transparency in Invoicing of generators) portal.
