New Delhi: The government has asked power generating and transmission companies to cap late payment surcharge at 12 per cent per annum for all dues cleared under the Rs 90,000 crore liquidity infusion scheme of Power Finance Corporation (PFC) and Rural Electrification Corporation (REC) under Atmanirbhar Bharat Abhiyan.
With this measure, the financial burden on discoms will ease out, said a statement issued by the Ministry of Power on Saturday. “It will also help consumers by maintaining smooth power supply and reduction in charges despite the difficult times,” it added.
In general, the applicable rate of late payment surcharges is quite high despite the fact that interest rates have softened over the last few years.
