State-owned power company gives shock to PSU profit in Chhattisgarh

CAG pegs PSUs' loss at Rs 1,108.05 crore

Chhattisgarh’s state public sector undertakings (PSUs) have incurred a loss of Rs 1,108.05 crore, with state-owned power company accounting for a major part. During the period (2015-16), out of the 22 working PSUs (in Chhattisgarh), 12 earned total profit of Rs 488.93 crore and eight PSUs incurred total loss of Rs 1,596.98 crore, the Comptroller and Auditor General (CAG) report on PSUs said. Since 2012-13, the state PSUs are running in loss though it had reduced slightly as compared to previous financial year.

In 2014-15, the Chhattisgarh PSUs incurred a loss of Rs 1,232.64 crore. “The losses (in 2015-16) were mainly incurred by Chhattisgarh State Power Distribution Company Limited (Rs 1,554.17 crore) and Chhattisgarh State Power Transmission Company Limited (Rs 40.32 crore), Bijay Kumar Mohanty, Accountant General (Audit), said.
 

However, Chhattisgarh State Power Generation Company had registered a profit of Rs 354.15 crore.

According to power distribution company officials, subsidised power is not the only reason for incurring heavy loss. “The power theft and transmission loss are the major factors,” they said, adding that the company is trying to plug the loopholes.

The state PSUs are incurring loss despite the state government’s investment has been increasing over the years. As on March 31, 2016, the investment (capital and long-term loans) in 22 PSUs was Rs 2,7881.71 crore.

The CAG report said that of the total investment, 44.28 per cent was towards capital and 55.72 per cent towards long-term loans. The investment has grown by 57.22 per cent from Rs 1,7734.35 crore in 2011-12 to Rs 2,7881.71 crore.