Question : LOSS MAKING DISCOM



(a) the details of loans disbursed by the Public Sector Banks (PSBs) to various power distribution companies in the country during the last three years and the current year;

(b) whether several companies failed to repay their loans in time;

(c) if so, the details along with the losses suffered by the PSBs during the aforesaid period, bank-wise;

(d) the details of loan amount turning into Non-Performing Assets (NPAs) as a result thereof; and

(e) the steps taken/being taken by the Government/Banks to recover these loans at the earliest?

Answer given by the minister


MINISTER OF STATE IN THE MINISTRY OF FINANCE (SHRI NAMO NARAIN MEENA)

(a), (b), (c) & (d) Information in the required format is not maintained in Reserve Bank of India. As per information collected from the Public Sector Banks (PSBs) as on 31.12.2012, loans disbursed to various power distribution companies in the country is Rs. 1,37,191 crore and total NPAs amounted to Rs. 76.98 crore. Bank-wise details of NPAs is as under:

Name of the Bank	Amount (in Rs. crore)
Central Bank of India 30.63 Corporation Bank 8.82 Union Bank 37.52 State Bank of Bikaner & Jaipur 0.01 Total NPAs 76.98
Some delay in repayment of loans has been reported by many banks. Accounts of distribution companies which were under stress were restructured by the banks as per RBI norms.

(e) With a view to achieve financial turnaround of debt-ridden State Distribution Companies (Discoms), Cabinet Committee on Economic Affairs has approved the scheme for their Financial Restructuring. The Scheme contains measures to be taken by the State Discoms and State Governments for achieving turnaround by restructuring their debt with support through a Transitional Finance Mechanism.