Supreme Court LIVE Updates: Power Gencos counsel Abhishek Manu Singhvi briefs apex court on demands from the sector
Abhishek Manu Singhvi for Power Gencos to SC -
Not asking for fiscal reliefs, not asking for liquidity injections.
Seeking specific reliefs wrt RBI circulars, only seeking minor tweaks to address certain arbitrariness.
Circulars are supposed to be inclusive, but inadvertent there are significant exclusions that hurt entities like us.
Power Gencos are an abused lot, they have been recognized to have huge arrears due to unpaid dues for power supply to discoms.
Even in pre-pandemic times Parliamentary, Parliamentary panels have identified how discomfort are driving gencos into stress.
Post-Covid, Situation exacerbated stress grown manifold.
Futhermore:
Abhishek Manu Singhvi for Power Gencos to SC -
Exclusion is that people who lent to me are disallowed or disqualified from restructuring, as per RBI.
RBI can't seek for Banks to restructure, but not allow others who have the capacity to restructure.
RBI should also allow restructuring for funds borrowed from LIC, Alternate Investment Funds, Foreign Portfolio Investors, Foreign private banks - this loophole needs to be plugged.
RBI circular provides power to restructure only to Banks, Cooperatives, and NBFCs.