Gencos face ik crore loss as CERC bars payment till plants begin ops

An association of power producers on January 23 wrote to CERC on the new provision for so-called infirm power, seeking a review of the norm

- 

NEW DELHI: Power producers or power generation companies (gencos) have opposed Central Electricity Regulatory Commission's new norm of not mandating any payments for power they supply to grid before start of commercial production as it may lead to heavy losses.

An association of power producers on January 23 wrote to CERC on the new provision for so-called infirm power, seeking a review of the norm.

The decision to not pay for infirm power will lead to a huge loss. Thermal power generators can incur an expense to an extent of Rs 1,000 crore during the 6-12 month trial period towards infirm power before they achieve commercial operation of the plant.