Ujwal DISCOM Assurance Yojana (UDAY)
Posted: Thu Dec 17, 2015 11:16 pm
The Ujwal DISCOM Assurance Yojana (UDAY) focuses on four major initiatives improving operational efficiencies of discoms; reduction of cost of power; reduction in interest cost of discoms and enforcing financial discipline on discoms through alignment with state finances says a CLSA report.
CLSA points out that collectively discoms owe banks Rs 5.5 lakh crore. This is a sum equivalent to two-and-a-half times the defence budget; roughly six times the amount that will be spent this financial year on building roads; and enough to wipe out India’s fiscal deficit. Rajasthan alone having a debt of Rs 85,000 crore, followed by Tamil Nadu at Rs 70,000 crore and UP at Rs 32,000 crore. Read more on the attachment.
CLSA points out that collectively discoms owe banks Rs 5.5 lakh crore. This is a sum equivalent to two-and-a-half times the defence budget; roughly six times the amount that will be spent this financial year on building roads; and enough to wipe out India’s fiscal deficit. Rajasthan alone having a debt of Rs 85,000 crore, followed by Tamil Nadu at Rs 70,000 crore and UP at Rs 32,000 crore. Read more on the attachment.