PRAAPTI stands for Payment Ratification and Analysis in Power Procurement for bringing Transparency in Invoicing of Generators. It is a platform aimed at enhancing transparency and encouraging best practices in Power Purchase transactions. PRAAPTI receives periodic updates/information from onboard Generation Companies (GenCo) regarding their Power sale invoicing and payment receipts from various. This information is then analyzed at portals backend and the results are presented in form of industry standard parameters.
The information received from onboard Generators including monthly details about invoices raised to and payments received from DISCOMs is available on the portal. Presently information for only Long/Medium term PPAs is available is being sourced from these Generators.
Further, a host of analyses based on aforementioned information is available. This analysis has been segregated at two levels; National level and State level.
National Level Analyses:
- An assessment of relative monthly performance among states is presented in the form of a composite index (explained in later sections). This relative assessment highlights average deviation of a states DISCOMs from an ideal payment schedule for the particular selected month.
- An aggregate level Ageing Report of pending invoices highlighting outstanding situation of various DISCOMs is available.
- A chronological aggregate level performance analysis of all DISCOMs is made available with respect to their power purchase transactions.
State Level Analyses:
- A state level drill down of parameters presented at national level is available at this level in addition to following.
- Performance of state for the particular month in terms of relative comparison of Amount billed, Payment Received and Average Payable w.r.t. individual Generator.
- A DISCOM wise invoice pendency scatter chart to map pendency of each invoice in terms of its percentage pendency and days lapsed after corresponding due dates.
Power sector resembles a typical value chain wherein generation of goods (electricity) and commercial realization occurs at two opposite ends and move in opposite directions. Inefficiencies in movement of either good or money along the value chain increases transactional costs for the entities involved and creates undue sinks of valuable resources. Most importantly, consumer ends up paying more for the same electricity as regulatory structures allow some of these costs to be passed on and finally be recovered from end consumer. This portal is aimed at enhancing commercial efficiency of Power Sectors value chain through bringing transparency in aforementioned transactions.
Consequently, the benefits are shared by entire power sector. In particular Generators facing liquidity issues due to irregular payment of power purchase invoices by DISCOMs will be immediate beneficiaries.