PSPCL registers Rs 564 crore Q3 profit amidst reduced power purchase and increased generation

Punjab State Power Corporation Limited (PSPCL) has achieved a remarkable turnaround, registering a profit of Rs 564.76 crore for the period ending September 2023. This comes in stark contrast to the loss of Rs 1,880.25 crore incurred during the same period in the previous financial year.

The Aam Aadmi Party (AAP) government, led by Chief Minister Bhagwant Mann, has prioritized the timely payment of power subsidies to PSPCL. This has resulted in a cash inflow of Rs 12,342 crore, providing much-needed financial relief to the corporation.

The Punjab government's assistance was critical to PSPCL's Rs 564.76 crore profit. The action of the state government was critical in amplifying the power company's revenue rise and pricing modifications.

PSPCL has implemented a series of proactive measures to effectively manage its power purchase costs, ensuring a stable and affordable electricity supply for its consumers. These measures have played a crucial role in mitigating the impact of rising energy prices and maintaining the corporation's financial stability.

PSPCL has harnessed the potential of its hydropower plants, achieving a 21 per cent surge in power generation.  It generated 21 per cent more power from its own hydel plants, 14 per cent more power from BBMB hydel plants, and 13 per cent more power banking with other states.

It has registered a sharp 48 per cent reduction in power purchases through short-term agreements and trading in the exchange market from April to September 2023.

A small volume of imported coal was still utilized at the private Rajpura and Talwandi Sabo thermal plants. PSPCL's power sale in the exchange market during the same period reached Rs 924 crore, a significant rise from Rs 293 crore recorded from April to September 2022.