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July 24, 2001
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CAG pulls up MSEB for revenue loss of Rs 1.83 bn

The Comptroller and Auditor General of India has pulled up loss-making Maharashtra State Electricity Board for incurring a potential revenue loss to the tune of Rs 1.83 billion due to forced outages and load shedding due to inadequate transformation capacity.

"MSEB's inadequate transmission and distribution capacity resulted in forced outages and load shedding of 846.51 million units during the year 1998-99 and 1999-00 with consequential loss of potential revenue of Rs 1.83 billion," the CAG said in its latest report for the year ended March 31, 2000.

It said in light of funds constraint for augmentation of capacity, effective utilisation of transformers through efficient performance, maintenance and repair of transformers, assume greater importance.

The loss-making board's aggregate power transformers capacity as on March 31, 1999 was 40,291 mw against a total connected load of 24,882 mw, it informed.

"Though the total transformation capacity was higher than the connected load, it was observed in audit that in certain areas it was less than the connected load," CAG observed.

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