"NTPC has been constrained to give notices for discontinuance/regulation of power supply effective from first week of June, 1999 to the seven defaulting utilities whose arrears in number of months of billing are the highest", company said in a statement.

The outstanding dues payable by various state electricity boards/utilities have been mounting rapidly and have accumulated to Rs 10,408.55 crore including a surcharge of Rs 3,708.59 crore as on March 31, 1999 corresponding to 5.8 months of billing as against level of two months agreed in the covenant with the world bank. The outstanding dues from the seven major defaulters are Rs 7,721.01 crore including a surcharge of Rs 2,442.19 crore accounting for nearly 77 per cent of total outstanding dues.

Uttar Pradesh is top on the list with Rs 2.036.05crore as outstanding dues followed by Delhi with Rs 2,024.54 crore and Bihar with Rs 1,793.95 crore. Other states which include West Bengal has outstanding dues towards NTPC to the tune of Rs 944.32 crore, Orissa Rs 461.35 crore, DVC Rs 441.85 crore and Sikkim Rs 18.95 crore.

According to NTPC, vigorous efforts are continually made with various authorities in state electricity boards as well as in state governments to diffuse the payment crisis. However, payment position has not improved and therefore, the company was constrained to such measures. NTPC has also approached the member secretaries of Eastern Regional Electricity Board (EREB) and Northern Regional Electricity Board for finalising the programme for regulation after taking care of the grid reliability and safety, a release said.