October 25, 2020

Bengal takes Rs 1,022 crore mortgage from Centre to iron out discom liquidity stress – enterprise information

West Bengal has taken a Rs 1,022 crore transition mortgage from the Centre to assist its energy distribution firm tide over liquidity stress amid the Covid-19 pandemic.

The mortgage is a part of the central authorities’s Rs 90,000-crore ‘Atmanirbhar Bharat Abhiyan’ package deal to help confused distribution corporations.

The West Bengal State Electrical energy Distribution Co Ltd (WBSEDCL) has been going through monetary woes with minuscule collections in April and Could leading to an over Rs 2,000 crore shortfall, officers mentioned.

With a shopper base of about two crore, WBSEDCL caters to your complete state besides Kolkata and part of its adjoining districts.

“We’ve got taken a Rs 1,022-crore mortgage to clear dues of varied Central and state entities,” West Bengal Energy Minister Sobhondeb Chattopadhyay informed PTI.

The Centre had on Could 13 determined to make an infusion of Rs 90,000-crore by means of Energy Finance Company (PFC) and Rural Electrification Company (REC), as part of the ‘Atmanirbhar Bharat Abhiyan’.

Underneath this intervention, REC and PFC would prolong particular long-term transition loans as much as 10 years.

In accordance with stories, the 10-year mortgage to the West Bengal authorities has a three-year moratorium interval and is repayable in 84 EMIs.