SC gives states 4 years to clear ₹1.6 lakh crore dues
India's Supreme Court just told electricity regulators across the country to clean up a massive ₹1.6 lakh crore backlog of "regulatory assets"—basically, unpaid bills that have piled up because tariffs were kept too low.
They've got four years (starting April 2024) to sort this out, after Delhi's power companies flagged huge losses from these policies.
Court's order aims to ensure fair electricity rates
This move is meant to stop surprise hikes on your electricity bill and make sure power companies aren't drowning in debt.
The court spotlighted states like Tamil Nadu and Rajasthan, where these dues are especially high, and set strict rules so new backlogs don't build up again.
Plus, an independent tribunal will keep watch with regular audits—so the whole system should get more transparent and fair for everyone using electricity.