APP urges MPPMCL to release at least 70% of Rs 2,433-crore dues

The Association of Power Producers (APP) has urged MP Power Management Company Ltd (MPPMCL) to immediate release at least 70 per cent of long outstanding dues of Rs 2,433 crore to power producers. In a letter shot off on August 31 to Akash Tripathi, managing director of MP Power Management Company Ltd, APP has said: "In the absence of receiving regular payments against invoices raised for supply of electricity, the IPPs (independent power producers) are finding it very difficult to sustain operation of their plants without timely inflow of revenues."

The body stated that the total cumulative amount to be paid to the generators, which was around Rs 1,791 crore as on May 16, has now touched Rs 2,433 crore.

"We request your support in releasing at least 70 per cent of the outstanding payment to all the generators without any further delay in order to enable them to pay for coal, freight, water, spares and consumables, salaries of the employees and statutory dues to various agencies," it stated.


The letter added, "Your timely action on the above will help with continuation of power supply without any disruption or inconvenience to the end consumers in the state."

The copy of the letter is also marked to Vivek Kumar Dewangan, additional secretary of Ministry of Power, and Sanjay Dubey, principal secretary (energy) of Government of Madhya Pradesh.