Wednesday, March 2, 2016

Chhattisgarh Signs MOU on ‘UDAY’

GOIChhattisgarh and CSPDCL (Chhattisgarh State Power Distribution Company Limited) signed a Memorandum of Understanding (MoU) for operational & financial turnaround of Discoms under the Scheme UDAY – Ujjwal Discom Assurance Yojana.
(Chhattisgarh CM – Raman Singh)
  • First MOU on “UDAY” signed was signed between the GOI, Jharkhand and the JBVNL (Jharkhand Bijli Vitran Nigam Limited) in start of Jan 2016.
About UDAY Scheme:
UDAY was approved to provide financial turnaround and revival of Power Distribution companies (DISCOMs). It envisages reducing interest burden, cost of power and AT&C losses.
  • Under the UDAY scheme, state governments which own the distribution utilities, would take over 75% debts of Discoms as on 30th September, 2015 in two years and pay back the lenders by selling bonds. For the remaining 25%, discoms will issue bonds.

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