{"id":267983,"date":"2022-06-04T15:00:04","date_gmt":"2022-06-04T09:30:04","guid":{"rendered":"https:\/\/www.scconline.com\/blog\/?p=267983"},"modified":"2022-06-04T14:49:42","modified_gmt":"2022-06-04T09:19:42","slug":"electricity-late-payment-surcharge-and-related-matters-rules-2022","status":"publish","type":"post","link":"https:\/\/www.scconline.com\/blog\/post\/2022\/06\/04\/electricity-late-payment-surcharge-and-related-matters-rules-2022\/","title":{"rendered":"Electricity (Late Payment Surcharge and Related Matters) Rules, 2022"},"content":{"rendered":"<p style=\"text-align: justify;\"><span id=\"page10R_mcid84\" class=\"markedContent\"><span dir=\"ltr\" role=\"presentation\">The <\/span><span dir=\"ltr\" role=\"presentation\">Central Government in exercise of powers conferred Section 176(1) of the Electricity Act, 2003 and in supersession of the Electricity (Late Payment Surcharge) Rules, 2021 has notified Electricity (Late Payment Surcharge and Related Matters) Rules, 2022.<br \/>\n<\/span><\/span><\/p>\n<p>&nbsp;<\/p>\n<h3><span style=\"color: #000080;\">Key points:<\/span><\/h3>\n<ul>\n<li style=\"text-align: justify;\"><span id=\"page14R_mcid5\" class=\"markedContent\"><span dir=\"ltr\" role=\"presentation\">Late Payment Surcharge shall be payable on the payment <\/span><span dir=\"ltr\" role=\"presentation\">outstanding after the due date at the base rate of Late Payment<\/span> <span dir=\"ltr\" role=\"presentation\">Surcharge a<\/span><span dir=\"ltr\" role=\"presentation\">pplicable<\/span> <span dir=\"ltr\" role=\"presentation\">for the <\/span><span dir=\"ltr\" role=\"presentation\">period for the first month<\/span> <span dir=\"ltr\" role=\"presentation\">of<\/span> <span dir=\"ltr\" role=\"presentation\">default.<\/span><\/span><span id=\"page14R_mcid6\" class=\"markedContent\"><\/span><span id=\"page14R_mcid7\" class=\"markedContent\"><\/span><\/li>\n<li style=\"text-align: justify;\"><span id=\"page14R_mcid7\" class=\"markedContent\"><span dir=\"ltr\" role=\"presentation\">Rate of Late Payment Surcharge for the successive months of default shall increase <\/span><span dir=\"ltr\" role=\"presentation\">by 0.5 percent for every month of delay provided that the Late Payment Surcharge shall not <\/span><span dir=\"ltr\" role=\"presentation\">be more than three percent higher than the base rate at anytime.<br \/>\n<\/span><\/span><\/li>\n<li style=\"text-align: justify;\"><span id=\"page14R_mcid9\" class=\"markedContent\"><span dir=\"ltr\" role=\"presentation\">All payments by a distribution licensee to a <\/span><span dir=\"ltr\" role=\"presentation\">generating company or a trading licensee for power procured from it or by a user of a <\/span><span dir=\"ltr\" role=\"presentation\">transmission system<\/span> <span dir=\"ltr\" role=\"presentation\">to<\/span> <span dir=\"ltr\" role=\"presentation\">a<\/span> <span dir=\"ltr\" role=\"presentation\">transmission licensee shall be first adjusted towards<\/span> <span dir=\"ltr\" role=\"presentation\">Late<\/span> <span dir=\"ltr\" role=\"presentation\">Payment <\/span><span dir=\"ltr\" role=\"presentation\">Surcharge and thereafter, towards monthly charges, starting from the longest overdue bill.<\/span><\/span><\/li>\n<li style=\"text-align: justify;\"><span id=\"page14R_mcid10\" class=\"markedContent\"><span dir=\"ltr\" role=\"presentation\">Total outstanding dues including Late Payment Surcharge <\/span><span dir=\"ltr\" role=\"presentation\">upto the date of the notification of these rules shall be rescheduled and the due dates re- <\/span><span dir=\"ltr\" role=\"presentation\">determined for payment by a distribution licensee in the following maximum number of <\/span><span dir=\"ltr\" role=\"presentation\">equated monthly installments<\/span><\/span><\/li>\n<\/ul>\n<table style=\"height: 222px;\" width=\"514\">\n<tbody>\n<tr>\n<td style=\"text-align: center;\" width=\"201\">Outstanding dues amount (in<br \/>\nRs. Crore)<\/td>\n<td style=\"text-align: center;\" width=\"221\">Maximum no. of equated monthly<br \/>\ninstallments (months)<\/td>\n<\/tr>\n<tr>\n<td>Up to 500<\/td>\n<td>12<\/td>\n<\/tr>\n<tr>\n<td>501 &#8211; 1,000<\/td>\n<td>20<\/td>\n<\/tr>\n<tr>\n<td>1,001 &#8211; 2,000<\/td>\n<td>28<\/td>\n<\/tr>\n<tr>\n<td>2,001 &#8211; 4,000<\/td>\n<td>34<\/td>\n<\/tr>\n<tr>\n<td>4,001 &#8211; 10,000<\/td>\n<td>40<\/td>\n<\/tr>\n<tr>\n<td>&gt;10,000<\/td>\n<td>48<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<ul>\n<li style=\"text-align: justify;\"><span id=\"page14R_mcid11\" class=\"markedContent\"><span dir=\"ltr\" role=\"presentation\"><span id=\"page16R_mcid8\" class=\"markedContent\">A distribution licensee or other user of transmission system, as the case may be, shall maintain unconditional, irrevocable and adequate payment security mechanism.<\/span><\/span><\/span><span id=\"page14R_mcid30\" class=\"markedContent\"><span dir=\"ltr\" role=\"presentation\"><br \/>\n<\/span><\/span><\/li>\n<\/ul>\n","protected":false},"excerpt":{"rendered":"<p>The Central Government in exercise of powers conferred Section 176(1) of the Electricity Act, 2003 and in supersession of the Electricity (Late <\/p>\n","protected":false},"author":8808,"featured_media":265982,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[4,15],"tags":[],"class_list":["post-267983","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-legislationupdates","category-rules_regulations"],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v27.4 (Yoast SEO v27.4) - https:\/\/yoast.com\/product\/yoast-seo-premium-wordpress\/ -->\n<title>Electricity (Late Payment Surcharge and Related Matters) Rules, 2022 | SCC Times<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, 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