GoM suggests new debt restructuring scheme for State Discoms
A Group of Ministers (GoM) chaired by Power Minister Manohar Lal has proposed a new scheme to restructure the rising debt of State-owned power distribution companies (discoms). The panel said the liabilities should be formally recognised as obligations of the respective State governments. The Reserve Bank of India’s State Finance – A Study of Budgets of 2024-25 estimated the accumulated losses of discoms at Rs 6.5 lakh crore in FY23, equal to 2.4 per cent…