NTPC threats power cuts in AP, Telangana and Karnataka due to unpaid dues

The citizens of Andhra Pradesh, Telangana and Karnataka may soon face a problem of electricity with power cuts or load shedding.

The reason for this being that the state government has not paid the electricity bills.

A warning has been received to these three Southern stated by the State-owned electric power generation company - National Thermal Power Corporation over unpaid dues.

NTPC has issued a threat that power supply to these three states can be cut in the coming days. As per the protocols, power cuts will start in a week or so (February 9th, to be precise), and will continue to three months, in case dues are not cleared.

As of February 1st, NTPC owes Rs 7859 crore from various states. Out of this, the biggest amount of around 4890 crores is to be paid by these three states. The warning has been sent to their states based on a regulation: the rule states, “In case of the outstanding dues or in case the required letter of credit or any other agreed payment security mechanism is not maintained as per the agreement, the generating company may serve a notice for regulation of power supply, on the defaulting entity, for reducing the drawl schedule.”