Odisha demands to reduce interest rate of liquidity infusion in power sector

Bhubaneswar, July 3: Power Ministers’ conference was held today on VC chaired by Union Power Minister R.K.Singh. Various agendas such as liquidity infusion for stressed power sector, reform linked distribution scheme, electricity Act amendment, solar roof top schemes and renewable power obligation of states were discussed. Participating in the discussion on the liquidity infusion to power Discoms to overcome the impact of the Covid- 19 pandemic, Odisha’s Energy minister Dibyasankar Mishra demanded to reduce the interest rate of the liquidity infusion funding by REC and PFC from 9.5% to 6% and to extend the said assistance for the revenue shortfall due to less demand of power in 2020 scheme applicable for the states having done PPP in their states for better services to the consumers.  He emphasized that the proposed scheme should be such that the far long neglected tribal children get the facility similar to urban child to access the education, information. This can be achieved if stable and quality power reaches to that far and difficult places. He submitted that the consumption / demand from the commercial and Industrial consumers continues to be very low and about 25% lower than Discoms is not able to schedule the power of central Gencos NTPC. He requested to provide the rebate of the fixed charges component of unscheduled power for full year 2020 will continue. Further Mishra demanded that while finalizing the amendment of electricity Act 2003 as proposed by the Union Govt., the concurrent powers under the federal structure of the governance should be ensured. All hydro generation irrespective of their commercial operation date should be included in the Renewable power Obligation (RPO). Instead of RPO targets source wise, overall RPO target can be fixed and state can choose the source wise as per their availability of source. Mishra expressed thanks to GoI for the sanction of solarisation of the Konark city with 50: 50 contribution of state and Center. He requested to take Konark solarisation as the flagship initiative to give message to entire country. The suggestion of Captain Misha for acceleration and simplified environmental clearance of the hydro projects was highly appreciated by the Union Minister and assured to take up the matter with Union Environment Minister Prakash Javadekar.