The Comptroller and Auditor General has pointed out poor performance of Uttar Haryana Bijli Vitran Nigam limited (UHBVN) which resulted in under-recovery or additional cost to the Nigam amounting to `262.10 crore
In its report on PSUs, the CAG stated that the performance of the UHBVN with regard to tariff, billing and collection of revenue was found wanting on many aspects. Delay in filing of petitions of service connection charges and fuel surcharge adjustment claims before the HERC resulted in under-recovery or additional cost to the Nigam’s amounting to `262.10 crore, stated the CAG.
The report pointed out that excess supply to AP consumers resulted in cost of `425.97 crore that was non-recoverable. This impacted the liquidity of the Nigam. Further, non-adherence to the Supply Code relating to providing of electricity connections to consumers, metering and billing led to loss or non recovery of `1.71 crore.
The Nigam had not revised the Advance Consumption Deposit of `261.95 crore recoverable from the consumers on regular basis depending upon their consumption pattern of previous periods. Under-charging of meter rent, delay in issue of first bills to consumers and non-adherence to the periodicity of billing led to loss of `12.73 crore, the CAG stated
It further said that the Nigam had also sustained loss of `1,729.75 crore due to its failure to contain transmission and distribution losses as per the prescribed norms of HERC.
PSU's under scanner
In its report on PSUs, the Comptroller and Auditor General has stated that delay in finalisation of accounts of PSUs may result in risk of fraud and leakage of public money apart from violation of the provisions of the relevant statutes.
The CAG said that the actual contribution of PSUs to the State GDP for the year 2015-16 could not be ascertained and their contribution to State exchequer was also not reported to the State legislature.
During the period from October 2015 to September 30, 2016, 21 accounts were received in respect of 17 working PSUs. Of these, 14 accounts reflected profit of `306.69 crore and seven accounts reflected loss of `2,125.53 crore, said the auditor.
The major contributors to profit were Haryana State Industrial and Infrastructure Development Corporation limited (`143.75 crore), Haryana Power Generation Corporation limited (`108.21 crore) and Haryana Financial Corporation (`51.83 crore).
On the other hand, heavy losses were incurred by Uttar Haryana Bijli Vitran Nigam limited (`1,480.57 crore) and Dakshin Haryana Bijli Vitran Nigam limited (`636.16 crore), the report said.
Haryana had 23 working PSUs (21 companies and two Statutory corporations) and six non-working companies which employed 29,246 employees.