Home News Reports Modi government plans to make power companies pay penalty for load-shedding

Modi government plans to make power companies pay penalty for load-shedding

The Modi government is planning on penalising power distribution companies – also known as discoms, if they indulge in load shedding from the next financial year, Times of India has reported. The quantum of the penalty would be decided by the power regulatory authority present in every state.

As per power minister RK Singh, this proposal has been included in the Centre’s draft power policy which would soon be made accessible to the public for its input, following which a finalised document would be implemented from Financial Year 2019.

Under the draft, the government has also proposed that discoms have to bear the aggregate transmission and commercial losses exceeding 15 per cent.

- Advertisement - - Article resumes -

As per a Deccan Herald report, the draft amendment to the 2016 National tariff policy proposes that it would be mandatory for a power company to prove to the electricity regulatory commission that it has made medium to long-term power purchase agreements which would be enough for meeting the average requirement of its clients.

The amendment as per the report warns that, failing to prove the same would render the discom liable for getting its license revoked. The draft also proposes that power cuts not emanating out of technical failures and force majure conditions would be liable for a penalty, as deemed fit by state electricity regulatory commission (SERC).

Such a proposal by the Delhi government was also recently approved by LG Anil Baijal wherein power companies would need to pay Rs 100 per hour, after the first hour, to customers owing to power cuts.

Incidentally, it isn’t the only proposal made by the Modi government to try and make state service providers accountable for their actions.

We had reported how Railway Minister Piyush Goyal had warned zonal general managers about their promotions being hampered if they failed to arrest the chronic problem of train delays in their respective zones. The general managers were given a time up to 30 June to improve the situation.

Share This Post With Your Friends & Fans:
We need your support to survive in the media industry. Please consider paying us for the content we produce:

To know more about these payments, please click here.

Election 2019 Live Updates

Track all the updates on one page as the results and trends trickle in

The Left has lost its deposit. It is time for the Right to fight Modi

Modi 2.0 heralds a new beginning for India and her people. It must not be allowed to cultivate the habits of Modi 1.0.
Shehla Rashid remembers 2014, says she had wanted Kejriwal as PM

Shehla Rashid loses it early on counting day, says “Felt like a Muslim when ‘mass murderer’ won in 2014”

As early trends show an NDA victory, Shehla Rashid calls him a mass murderer, says she had wanted Arvind Kejriwal as PM in 2014 and she had felt like a 'Muslim'.
NYT peddles Modi 2.0 as victory of India's most divisive leader

Dear New York Times, India has chosen Modi 2.0, deal with it

When India gives a thumping, unprecedented, overwhelming victory to a man who has made every single Indian feel proud of their nation and heritage, the NYT's heartburn is expected. 

The story of BJP’s rise and rise in West Bengal: The story starts not in 2019 but 2017 Ram Navami

History may remember the 23rd of May, 2019 as the day when the future of Bengal Politics changed forever. However, it was on the 5th of April, 2017, on the auspicious day of Ram Navami that the seeds of it were sown.
Rana Ayyub had a meltdown seeing BJP securing an unprecedented victory

Unprecedented Modi victory triggers meltdown for controversial journalist Rana Ayyub

Prospect of a stunning Narendra Modi victory in 2019 Lok Sabha election triggered a mental collapse for controversial journalist Rana Ayyub

A tribute to OpIndia’s fallen star

On 13th May 2019, Devandhu Rajput succumbed to cancer.

Rahul Gandhi should not fire his data analysis chief, but promote him. Here is why

The divine vision of Praveen Chakravarty, "Big Data" head of Congress, is too precious

Smriti… who? Smriti, the one who gave your brother a run for his money

In a major upset for Congress, BJP's Smriti Irani won the Congress 'family seat' Amethi defeating Congress President Rahul Gandhi by over 50,000 votes

Kanhaiya Kumar’s family uses LPG stove to prepare for his victory, contrary to his claims just a few weeks ago

Kanhaiya had claimed that his mother cooked on a Chullah and not on an LPG stove as it was not viable because of being too expensive and also exhausted within 3-4 days.
Subscribe to Day's Top Stories

Latest articles

Connect with us

Share This Post With Your Friends & Fans: