Smoke rises from a chimney as electricity pylons stand at a thermal power station in Mumbai, India. (Photographer: Dhiraj Singh/Bloomberg)

Nine Stressed Power Assets Resolved Till Date, Says Power Ministry Official  

Nine out of the 34 stressed coal-based power plants identified by the government have been resolved by lenders outside the insolvency courts, a top power ministry official said.

Jaypee Group’s Bara and Lanco’s Anpara projects were resolved recently, the official said on the condition of anonymity. A total of 11,460 megawatts of capacity has been resolved, according to the official.

The nine were among the 34 stressed power projects accounting for Rs 1.74 lakh crore of loans, a parliamentary panel report said. According to the official quoted earlier, the projects that have been resolved include:

  • GMR Kamalanga (1,050 MW).
  • GMR Emco Warora (600 MW).
  • Adani Tiroda (3,300 MW).
  • Adhunik Power (540 MW).
  • DB Power Baradhara (1,200 MW).
  • Lanco Anapara-C (1,200 MW).
  • Jaypee Bara (1,980 MW).
  • DVC Ragunathpur (1,200 MW).
  • NTPC Muzaffarpur (390 MW).

On Feb. 12 last year, the RBI had issued a circular setting a 180-day timeline starting Mar. 1 for banks to resolve large corporate defaults, failing which all these companies must be taken to bankruptcy courts. The Supreme Court has ordered status quo after the Allahabad High Court denied relief to power companies. The next hearing is on Jan. 23.

Also read: Power Producers Vs RBI: Banks Can Initiate Insolvency Proceedings, Say Experts