{"id":285026,"date":"2019-07-30T04:57:34","date_gmt":"2019-07-30T04:57:34","guid":{"rendered":"http:\/\/infralive.com\/web\/?p=285026"},"modified":"2019-07-30T05:13:11","modified_gmt":"2019-07-30T05:13:11","slug":"payment-security-mechanism-to-benefit-gencos-may-hurt-discoms-crisil","status":"publish","type":"post","link":"https:\/\/infralive.com\/web\/payment-security-mechanism-to-benefit-gencos-may-hurt-discoms-crisil\/","title":{"rendered":"Payment security mechanism to benefit gencos, may hurt discoms: CRISIL"},"content":{"rendered":"<p>The power generating companies (gencos) may gain from new payment security mechanism but its compliance would hurt discoms, consumer and states, said CRISIL Research in a report. <\/p>\n<p>The Union power ministry has made it mandatory for discoms to open and maintain sufficient letters of credit (LC) as a payment-security mechanism under power purchase agreements (PPAs) signed with generation companies (gencos or generators) from August 1, 2019. <\/p>\n<p>&#8220;Genco gain spells discom discomfort. The LCs to induce discipline, but may stretch discom financials. The compliance with LC mechanism will hurt discoms, consumers and states,&#8221; the report said.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>The power generating companies (gencos) may gain from new payment security mechanism but its compliance would hurt discoms, consumer and states, said CRISIL Research in a report. The Union power ministry has made it mandatory for discoms to open and maintain sufficient letters of credit (LC) as a payment-security mechanism under power purchase agreements (PPAs) signed with generation companies (gencos or generators) from August 1, 2019. &#8220;Genco gain spells discom discomfort. The LCs to induce discipline, but may stretch discom financials. The compliance with LC mechanism will hurt discoms, consumers and states,&#8221; the report said.<\/p>\n","protected":false},"author":40,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[135,130,232],"tags":[],"class_list":["post-285026","post","type-post","status-publish","format-standard","hentry","category-business-standard-newspapers","category-newspapers","category-power-business-standard-newspapers"],"acf":[],"_links":{"self":[{"href":"https:\/\/infralive.com\/web\/wp-json\/wp\/v2\/posts\/285026","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/infralive.com\/web\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/infralive.com\/web\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/infralive.com\/web\/wp-json\/wp\/v2\/users\/40"}],"replies":[{"embeddable":true,"href":"https:\/\/infralive.com\/web\/wp-json\/wp\/v2\/comments?post=285026"}],"version-history":[{"count":0,"href":"https:\/\/infralive.com\/web\/wp-json\/wp\/v2\/posts\/285026\/revisions"}],"wp:attachment":[{"href":"https:\/\/infralive.com\/web\/wp-json\/wp\/v2\/media?parent=285026"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/infralive.com\/web\/wp-json\/wp\/v2\/categories?post=285026"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/infralive.com\/web\/wp-json\/wp\/v2\/tags?post=285026"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}