The government has constituted a committee under the Central Electricity Authority (CEA) to explore prepaid payments by state electricity distribution companies to power plants, a government official said. With this the government has deferred a decision on a recommendation made by Cabinet Secretary P K Sinha led panel to put in place a bill discounting mechanism ahead of elections.
The committee, constituting chairmen of distribution companies of Tamil Nadu and Maharashtra, representatives from Union power ministry and power associations, will look into problems of delayed payments from distribution companies to power generators, the official said.
The power ministry has already issued an advisory to states to shift to prepaid smart metering for all consumers in the next three years. Read More
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