Telangana’s power distribution companies face losses despite implementation of UDAY

HYDERABAD: Even after the Central government implemented the Ujwal Discom Assurance Yojana (UDAY) for the revival of Discoms, the fate of the State owned power distribution companies (discoms) has barely changed.

In fact, there is a significant downside risk (leading to higher States’ liabilities) with no visible signs of turnaround. The revenue gaps of the two discoms of Telangana increased significantly, even after the implementation of the UDAY scheme, the Reserve Bank of India’s (RBI) latest report on State Finances stated this.