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Another Firm In Ap Under The Danger Of Getting Privatised?
By: Tupaki Desk | 8 Nov 2021 6:32 AM GMT
It is a known fact that the Andhra Pradesh government is not shying away in implementing the flagship schemes which in turn are increasing the financial burden on the economy. As a result of this, the situation has reached a point where the employees are unable to get the salaries on time. To shed light on the severity of the issue, a state-run firm was listed in the Nonperforming Assets (NPA) list.
The union government is said to have listed the state-owned Electricity organization Andhra Pradesh Power Generation Corporation (APGenco), under the Nonperforming Assets (NPA) list after the firm failed to pay back the debts taken from the Government. As no payment was made even 90 days after taking the debts, the Centre took the decision reportedly.
Going into details, the APGenco took loans from the Central Rural Electrification Corporation but failed to pay them back. The Corporation sought the payback but there was no response reportedly. As no payment was made in regard to the loans taken, the Union Government stepped in and listed the APGenco in Non-Performing Assets (NPA). For the unversed, NPA is a term used to call the loan where the principal amount or the interest of the amount taken was delayed.
With getting listed in NPA, the APGenco cannot get new loans and if they want to get new loans, the already taken amount should be paid first. Experts are of the doubt that the APGenco might also get privatised as the Centre is going forward in privatising the NPA assets and other assets to raise funds. If the same happens, Genco becomes the second asset to get added to the list of assets that are going to be privatised. State-owned Vizag Steel Plant is the first.
To see that the APGenco won't get privatised, the concerned officials have swung into action and left to the national capital Delhi to try their best to remove the organisation from the NPA. As the amount that has to be paid is worth thousands of crores, we have to see how the Bharatiya Janata Party-led Union Government will react to the request of the officials.
The union government is said to have listed the state-owned Electricity organization Andhra Pradesh Power Generation Corporation (APGenco), under the Nonperforming Assets (NPA) list after the firm failed to pay back the debts taken from the Government. As no payment was made even 90 days after taking the debts, the Centre took the decision reportedly.
Going into details, the APGenco took loans from the Central Rural Electrification Corporation but failed to pay them back. The Corporation sought the payback but there was no response reportedly. As no payment was made in regard to the loans taken, the Union Government stepped in and listed the APGenco in Non-Performing Assets (NPA). For the unversed, NPA is a term used to call the loan where the principal amount or the interest of the amount taken was delayed.
With getting listed in NPA, the APGenco cannot get new loans and if they want to get new loans, the already taken amount should be paid first. Experts are of the doubt that the APGenco might also get privatised as the Centre is going forward in privatising the NPA assets and other assets to raise funds. If the same happens, Genco becomes the second asset to get added to the list of assets that are going to be privatised. State-owned Vizag Steel Plant is the first.
To see that the APGenco won't get privatised, the concerned officials have swung into action and left to the national capital Delhi to try their best to remove the organisation from the NPA. As the amount that has to be paid is worth thousands of crores, we have to see how the Bharatiya Janata Party-led Union Government will react to the request of the officials.
