28 Mar '17, 6am

India Renewable Energy Projects Face Payment Crisis: What is the Future of Past PPAs? - Renewable Energy World

India Renewable Energy Projects Face Payment Crisis: What is the Future of Past PPAs? - Renewable Energy World

In India it is a well-known public secret that power utilities are in deep financial mess. Distribution companies together have an outstanding loan of more than INR 4.3 trillion according to the country’s central bank regulator. The industry has expressed pressing needs for a permanent solution to fix this mess fearing it may not take long for the sector to take an ugly turn, jeopardizing the entire economy. In their defence the utilities cry being victims of the intertwining of electricity tariffs and their impact on socio-political environment. Their contention is that the core reason of financial problem lies in delayed subsidy payment by the State Government and time lag in approving tariff orders by the regulators. The utilities inefficiencies and lack of willingness to act as a professional services provider seldom makes up to the list of problem statements. One of t...

Full article: http://www.renewableenergyworld.com/ugc/articles/2017/03/...

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