SOUTHERN POWER DISTRIBUTION COMPANY OF ANDHRA PRADESH LIMITED
ANNUAL REPORT 2008-2009
M/s Southern Power Distribution Company of A.P. Limited
Your Directors have pleasure in presenting the Ninth Annual Report of the
Company relating to Financial Year 2008-09 and trust the Annual Audited
Accounts for the said year as circulated have been perused by all of you.
Rs. in Crores
Particulars Year Year
a. Total income 5302.1311 3891.6370
b. Total expenditure 5280.9660 3808.7568
c. Profit/(Loss) before tax 21.1650 82.880
d. Provision for tax
e. Income Tax 1.5636 0.10
f. Fringe benefit Tax 0.9305 0.68437
g. Profit/(Loss) after tax 18.6708 82.0958
h. Net prior period credits/(Charges) 7.6938 27.9302
i. Profit/(Loss) before Contingency 10.9769 54.1655
Contingency Reserve - -
Profit after Contingency Reserve 10.9769 54.1655
The Board of Directors have not declared any dividend during the year ended
The Company's total sales increased to 11938.50 MU in 2008-09 from 10797.99
MU in 2007-08.
Operational Performance of the Company for the year 2008-09:
Further your Directors are pleased to present some key achievements in
Particulars As on As on
1. Number of 33/11 KV Sub stations 955 843
2. Length of 33 KV line in KM 10891.65 10272.61
3. Length of 11 KV line in KM 84734.16 75012.36
4. Length of LT line in KM 139692.1 132688.92
5. Number of Distribution Transformers 226238 184972
6. Power Transformers 1261 1147
7. Number of Consumers 6021853 5656339
- The registration and release of new services was made On line since
August 2008 to ensure better monitoring. 1,81,270 nos Cat-I services, 12673
nos Cat-II and 1476 Nos,Cat-VII services were released through Customer
Service Centres during the year 2008-09. The Customer Service Centre at
Tirupati was accorded ISO 9001 : 2000 for the quality management and
- 225185 nos under BPL and 30983 under APL new connections have been added
under Rajiv Gandhi Gramin Vidyutikan Yojana (RGGVY) during 2008-09.
Continuous efforts are being made for prevention of theft of energy. Anti
Power Theft Squad (APTS) Department & DPE Wing have carried out intensive
inspection drives during the year.
A total of 18,967 theft cases were registered during the year 2008-09
assessing Rs.2,81,25,458. During the year 15,968 cases were compounded and
Rs.1,48,49,500 collected. During the year 2008-09, 292Nos. of enquiries
among them 149Nos. JMD entrusted enquiries and 143Nos. CMD entrusted
enquiries were completed and submitted. During the year 2008-09, 41 Nos.
cases are acquittal among them 12Nos. cases were convicted 27Nos. cases
were ended acquittal 1No. case is in Lok Adalat, 1No. cases is abated.
Central Government has initiated a number of policy initiatives viz.,
constitution of Appellate Tribunal for Electricity, promulgation of
National Tariff Policy, Ultra Mega Projects initiative, Efforts towards
developing an integrated Energy Policy and launch of nation wide Rural
Electricity Infrastructure and Household Electrification Programme Rajiv
Gandhi Gramin Vidyutikaran Yojana (RGGVY).
The Board of Directors of the Company are appointed / nominated by
Government of Andhra Pradesh.
The Changes which have been occurred in the composition of Board of
Directors of the Company from the date of the last report are as follows:
Name of the Director Date of Date of
1. Sri M.Gopal Rao 07.10.2006 09.01.2009
2. V.Krishna Murthy 15.12.2005 14.12.2008
3. Sri G.Rama krishna Reddy 09.01.2009 -
4. Sri Shaik Anwar 29.03.2007 28.03.2009
5. Sri.S.Viswanatham 02.12.2008
6. Z. Phillip 10.09.2009
Consequent to the above changes, the composition of the Board of Directors
on the date of this report is as follows:
Sri P.Gopal Reddy - Chairman & Managing Director
Sri Umesh Sharraf, IPS - Non Whole Time Director
Sri G.Ramakrishna Reddy - Non Whole Time Director)
Sri T.H.N.S.Damodara Rao - Director (RAC)
Sri. Y.Padmanabha Reddy - Director( Operation)
Sri. A.Venkata Reddy, IRAS - Director(Finance & IT)
Sri. P.Anjaiah - Director (Purchases)
Sri K.Rami Reddy - Director (Energy Audit)
Sri S.Viswanatham - Director (HRD)
Sri. Z.Phillip - Director(Projects)
Board Meetings 2008-09:
The Board held its meetings on 27th June, 26th July, 29th September, 30th
December all in 2008 and 2nd March in 2009 during the financial year 2008-
09 in accordance with the provisions of Section 285 of the Companies Act,
Attendance at Board of Directors Meetings:
Directors Meetings Remarks
Sri P. Gopal Redd 5
Sri.Umesh Sharraf, IPS 2 Appointed as Non
whole time Director
Sri. G.Ramakrishna Reddy 1 Appointed as Non
whole time Director
Sri. T.H.N.S.Damodara Rao 5
Sri. Y.Padmanabha Reddy 5
Sri. A.Venkata Reddy 5
Sri. P.Anjaiah 5
Sri. K.Rami Reddy 4
Sri. S.Viswanatham 1 Appointed on
Composition of Audit Committee and changes therein:
In compliance with the provisions of Section 292 A of the Companies Act,
1956, during the year under review, the Audit Committee has met on 26th
July, 2008, 29th September, 2008 and 2nd March, 2009. The composition of
the Audit Committee on the date of this report is as follows:
1. Sri Umesh Sharraf, IPS
2. Sri G.Ramaknshna Reddy
3. Sri Y.Padmanabha Reddy
The audit committee was reconstituted
Sri G. Ramakrishna Reddy, Director (Finance and Revenue), APTRANSCO was
appointed as Member of Audit Committee in place of Sri M.Gopal Rao, w.e.f
Auditors of the Company
M/s. Raju & Prasad, Chartered Accountants, No.401, 'Diamond House' Adj.
Amrutha Hills, Punjagutta, Hyderabad - 500082 were appointed by Comptroller
and Auditor General of India (C&AG) as the Statutory Auditors of the
Company for the Financial Year 2008-09 and 2009-2010.
Replies to the comments of the Statutory Auditors and CAG
Replies of the Management to comments of the Statutory Auditors,
Comptroller And Auditor General of India (CAG) and financial review by CAG
of India on the accounts of the Company for the year ended 31st March, 2009
are annexed here to and forms part of this report.
Conservation of Energy, Technology Absorption And Foreign Exchange Earning
The information in accordance with the provisions of Section 217(1) (e) of
Companies Act, 1956 read with Companies (Disclosure of Particulars in the
Report of Board of Directors) Rules, 1998 in respect of conservation of
energy, technology absorption and foreign exchange earning and outgo, is
not furnished as they are not applicable to the Company.
Particulars of Employees under Sec 217 (2A) of the Companies Act, 1956
There were no employees drawing remuneration in excess of the prescribed
limits whose details are required to be disclosed under Section 217(2A) of
the Companies Act, 1956 read with Companies (Particulars of Employees)
During the year under review, the Company has not accepted any public
deposits U/s 58A of the Companies Act, 1956 read with Companies (Acceptance
of Deposits) Rules, 1975.
Directors Responsibility Statement
The Board of Directors of your Company has met Five times during the
financial year 2008-09.
In accordance with Sec.217(2AA) of the Companies Act, 1956, the Directors
of the Company hereby state that:
The Annual Accounts are prepared as per Schedule VI of the Companies Act,
1956 and the applicable standards are followed, so as to give a true and
fair view of state of affairs of the Company as at the end of the financial
year 31st March, 2009. The rates of depreciation are adopted as per the
Gazette notifications issued by the Ministry of Power, Government of India
from time to time.
The Directors have taken proper and sufficient care for the maintenance of
accounting records; for safeguarding assets of the Company; and preventing
and detecting fraud and other irregularities.
The Annual Accounts are prepared on a going concern basis.
During the year under review, there were cordial industrial relations
amongst the working force at all levels.
Your Directors wish to place on record their appreciation and acknowledge
with gratitude the support and Co-operation extended by the Government of
Andhra Pradesh, particularly Energy Department & Finance Department, Andhra
Pradesh Electricity Regulatory Commission, APTRANSCO, Other DISCOMs,
Comptroller & Auditor General of India, Bankers, Financial Institutions
like Rural Electrification Corporation Limited and Power Finance
Corporation, suppliers and consumers.
Your Directors express their deep sense of gratitude and appreciation to
the employees for their unstinted support and relentless efforts at all
levels which enabled the overall growth of the Company.
For and on behalf of the Board of APSPDCL
P. Gopal Reddy
Chairman and Managing Director
Date : 25-09-2009