The delays faced by most States in achieving financial and operational goals under the much-touted Ujwal Discom Assurance Yojana (UDAY), launched in 2015, are raising niggling questions on the efficacy of the scheme.
An analysis of data from the Power Ministry reveals that overdues by State power distribution companies (Discoms) to power generators (Gencos) have been rising, indicative of the dismal performance of Discoms in most States.
At the end of February 2019, of the total Rs. 41,707 crore owed by Discoms to Gencos, more than half was overdue. This implies that dues of Rs. 27,466 crore have not been settled within the mandated credit period.
