The payment was the result of mismanagement by PSPCL authorities when the utility resorted to over drawn of power at high rates and surrendered power at very low rates even negative rates. The power over drawn on June 22, 23 and 24 was 24.79 lakh units, 95.88 lakh units and 71.27 lakh units respectively. The average daily power over drawn rate on these days was Rs. 4.66, Rs. 4.43 and Rs. 3.37 respectively.
On June 26, PSPCL surrendered 134.62 lakh units at Rs. 1.19 per unit, despite closure of 4 thermal units in Punjab. As per official record 2 units of 210 MW each at Ropar Thermal, One unit each at Lehra Mohabatt and Bhatinda were under forced closure due to less demand. On June 25 PSPCL surrendered power 15.10 lakh units at very high frequency at Rs.-0.33 per unit.