SHILLONG: The MeECL has proposed a long-term plan — Financial Restructuring Plan (FRP) — to clear the outstanding dues of the power distribution companies.
Informing this in the State Assembly on Tuesday, Power Minister Clement R Marak said the proposal has been approved by the Ministry of Power.
“As per the plan, all the short-term loans and power purchase liabilities will be restructured by the nodal bank (State Bank of India) and 50 per cent of these will be converted into long-term loans with moratorium payment of principal up to three years,” Marak said while replying to a question raised by NPP legislator James K Sangma during Question Hour.
He also said that remaining 50 per cent of the liabilities would be converted to bonds to be sold by the distribution company and funds would be immediately made available then to meet the power purchase liabilities.
The Power Minister said that the Government would try to liquidate the dues of NEEPCO and other agencies at the earliest.
Earlier, he informed that the outstanding amount due to NEEPCO is Rs 295.34 crore.