Account Login and Registration
Go back » » 2018 » July » 27

MSPDCL at risk of losing Rs. 540.08 crore

IMPHAL | Jul 26 : The Manipur State Power Distribution Company Limited has a high risk of losing Rs. 540.08 crore due to non-recovery of huge outstanding energy as per the report of the Comptroller and Audit General of India.

The report said that according to the November 2016 records of the managing director, MSPDCL and documents furnished by the company during November 2017, it has been revealed that the outstanding energy charges during last three years ranged between Rs. 425.73 crore and Rs. 540.08 crore.

During the period, only Rs. 389.44 crore had been collected. The outstanding balance of energy charges amounting to Rs 540.08 crore as on March 21, 2017 pertained to the defaulting consumers of the state, and out of which an amount of Rs. 68.22 crore were outstanding dues of state government’s departments (at the division level only), it added.

However, the company failed to furnish department-wise details of the amount receivable.

The energy charges have steadily been piling up over the outstanding balances of the year 2013-14 that is Rs. 425.73 crore.

The annual collections did not commensurate with the annual billings as the collections were less than the annual billing during the last three years. It indicated that there was a steady accumulation of outstanding energy charges during each financial year, said the report.

Such non-collection of the outstanding balances of energy charges was detrimental to the financial health of the company, it added.

The audit general suggested that the company should take vigorous measures to recover the due amount, from the defaulters, particularly from the government departments and institutional consumers, as the company will suffer a big loss if fails to recover the outstanding amount.

The report also stated that according to the Joint Electricity Regulatory Commission for Manipur and Mizoram Regulations, 2013, the licensee may issue a disconnection notice in writing, to any consumer who defaults on his payment of dues, after serving a notice period of 15 days to pay off dues.

For if the consumers fail to pay the dues after the notice period, the licensee is empowered to recover such charges by suit, cut off the supply of electricity and discontinue the supply until such charges together with any  extra expenses incurred by him or her in cutting off and reconnecting the supply are paid.


Flat 35% Off On Web Hosting

There are no comments for this entry yet.