7. fy 2010-11
TRANSCRIPT
Karnataka Power Transmission Corporation Limited
2Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
Table of Contents
1. Director’s Report .............................................. 4
2. Comments of the C & AG of India ................... 36
3. Auditor’s Report and Replies .......................... 37
4. Balance Sheet ................................................... 68
5. Profi t & Loss Account ...................................... 70
6. Schedules ......................................................... 72
3 Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
BOARD OF DIRECTORS
List of Directors (As on the date of AGM)
Sl. No. Name Particulars
1 Kum. Shobha Karandlaje Chairperson, KPTCL
2 Sri P. Ravikumar Managing Director
3 Smt. Shamim Banu M. Director
4 Sri. K. Jothiramalingam Director
5 Sri. Yogendra Tripathi Director
6 Sri. L.V. Nagarajan Director
7 Sri. I.S.N. Prasad Director
8 Sri. N.C. Muniyappa Director
9 Sri. P. Manivannan Director
10 Dr. Aditi Raja Director (Finance)
11 Sri. S. Pratap Kumar Director (Transmission)
12 Sri. Yashavanth V Director (Adm & HR)
13 Sri. S. Shivamallu Director
14 Sri. L. Ravi Director
15 Sri. M. Nagaraju Director
COMPANY SECRETARY
Sri. R. Sridhara
FINANCIAL ADVISER
Sri. K.R. Jayaprakash
STATUTORY AUDITORS
M/s. Rao and Swami
Bangalore
COST AUDITORS
M/s KPR & Associates
Bangalore
4Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
DIRECTORS’ REPORT
Dear Members,
The Board of Directors of Karnataka Power Transmission Corporation Limited (KPTCL)
have immense pleasure in presenting the 12th Annual Report for the year 2010-11 and the
Audited Accounts of the Company for the year ended March 31st 2011.
HIGHLIGHTS
• KPTCL is one of the best Transmission utility in Country having least transmission
loss of 3.82 %
• Total Transformation capacity available in the KPTCL network is 44463 MVA
• KPTCL has a robust network with total transmission capacity of 14000 MW
• Total Energy Handled in the Grid during 2010-11 is 46903 MU
• KERC has awarded incentive to KPTCL for having System reliability of 99.70%
• KPTCL is the fi rst utility in the country to have SCADA in all Sub-Stations. First step
towards Smart grid.
• Total number of existing Sub-Stations in the State is 945
• Total length of Transmission Line existing is 29630 Ckms
• During the year 2010-11 State had recorded maximum Peak Demand of 7815
MWs
• In order to strengthen the grid and to evacuate new Generation planned in 12th Plan,
KPTCL has planned to establish 338 New Sub-Stations at total capital investment of
Rs 12,000 Crores.
• Two 765 kV Sub-Stations at Raichur and Tumkur are proposed to be established
during 12th plan period.
• Seven Gas insulated Sub-stations planned for Bangalore city.
• Bangalore is only city in the country to have 400kV, 220kV and 66kV GIS sub-stations
in the Country.
5 Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
ENERGY & DEMAND FORECAST:
Energy and Demand Forecast as per 17th EPS for the State of Karnataka is as
follows:
Year Energy in MUs Demand in MWs
2011-12 53540 8826
2012-13 58016 9551
2013-14 62866 10335
2014-15 68122 11183
2015-16 73817 12101
2016-17 79988 13095
6Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
TRANSMISSION LOSS:
6.89
4.87
4.184.33
4.70
4.37
4.30
4.20
3.82
0
1
2
3
4
5
6
7
8
2002-03 2003-04 2004-05 2005-06 2006-07 2007-08 2008-09 2009-10 2010-11
(in
%)
FINANCIAL POSITION
The Financial Position of the Company for the three Years ending 31st March 2011 is as
follows: -
(Rs. In Lakhs)
Sl.
No.Particulars 2008-09 2009-10 2010-11
Liabilities
a)Paid Up Capital (Including Share
Deposit)103326.64 117532.25 157532.25
b) Reserves & Surplus 30888.24 34593.18 42213.82
c) Borrowings
Government of Karnataka 831.70 772.29 712.89
Public Bonds 303.00 0.00 0.00
Private Bonds 0.00 0.00 0.00
Financial Institutions 446219.93 519104.01 549953.76
Cash Credit from Banks 0.00 0.00 0.00
Other Funds 31809.41 34122.82 37491.00
7 Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
d)Current Liabilities & Provisions
(including Interest Accrued & Due)461794.43 421886.09 434130.46
Total 1075173.35 1128010.64 1222034.18
Assets
e) Gross Block 688431.18 780859.28 902550.99
f) Less Depreciation 197715.00 230591.43 269601.34
g) Net Block 490716.18 550267.85 632949.65
h) Capital Work in Progress 159804.26 292222.93 259129.42
I) Current Assets, Loans & Advances 423323.87 283801.41 328225.00
j) Miscellaneous Expenditure 1329.04 1718.45 1730.11
Total 1075173.35 1128010.64 1222034.18
Capital Employed 612049.88 704406.10 786173.61
Net Worth 132885.84 150406.98 198015.96
Note:
1. Capital Employed represents Net Fixed Assets including Capital work in progress
plus working capital
2. Net Worth represents paid up capital plus Reserves & Surplus less Intangible
Assets
Working Results
The working results of the Company for the three years ending 31st March 2011 are as
follows:
Sl.
No.Particulars 2008-09 2009-10 2010-11
I) Profi t (+) / Loss (-) for the year 3543.05 1626.99 1886.51
ii) Prior Period Adjustments -1267.56 -1030.64 -1723.03
iii) Profi t (+) / Loss (-) before Tax 2275.49 596.35 163.48
iv) Tax Provision 874.10 -251.57 76.56
v) Profi t (+) / Loss (-) after Tax 1401.39 847.92 86.92
vi) Percentage of Profi t before tax to:
a) Sales 2.85 0.64 0.13
b) Gross Fixed Assets 0.33 0.08 0.02
c) Capital Employed 0.37 0.08 0.02
Sl.
No.Particulars 2008-09 2009-10 2010-11
8Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
vii) Percentage of Profi t after tax to:
a) Net Worth 1.05 0.56 0.04
b) Equity Capital 1.36 0.72 0.06
c) Capital Employed 0.23 0.12 0.01
CAPACITY ADDITION PROGRAMME BY KPTCL:
Voltage Class 2011-12 2012-13 2013-14 2014-15 2015-16 2016-17
765 kV - - 1 1 - -
400 kV - - 1 2 - -
220 kV 6 3 10 12 8 1
110 kV 25 15 30 40 24 10
66 kV 20 13 29 45 26 16
Total 51 31 71 100 58 27
Transmission
Capacity in
MWs
15200 16220 16820 18520 20560 21920
Sl.
No.Particulars 2008-09 2009-10 2010-11
9 Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
DETAILS OF NEW STATIONS AND TRANSMISSION LINES COMMISSIONED AND
AUGMENTATION WORKS CARRIED OUT DURING 2010-11
KPTCL, being the State Transmission Utility has been planning to put in place the best
System. KPTCL has planned construction of several new stations and augmenting the existing
sub-stations during the next couple of years. Year on year, in addition to augmentation, several
new stations and lines are commissioned. Following list gives details for the current year on
this count:
a. Zone-wise Details of New Substations Commissioned during the year under report
are as follows:
Sl.
No.District Station Name
MVA
added
Total
MVA
Voltage
Class in KV
Date of
Commission
Bangalore Transmission Zone
1 B’lore Urban Sir_MV_Layout 2 X 31.5 63.00 66/11 05-05-2010
2 B’lore Urban
Anand Rao_Circle
(One Transformer
commissioned)
2 X 150 150.00 220/66 28-05-2010
3 Ramanagara Chikkagangawadi 1 X 8 8.00 66/11 20-07-2010
4 B’lore Rural
Apparel park KIADB
(One Transformer
commissioned)
2 X 20 20.00 66/11 23-07-2010
5 B’lore Rural Thyamagondlu 2 X 8 16.00 66/11 28-07-2010
6 B’lore Rural
T_Begur (One
Transformer
commissioned)
1 X 12.5
1 X 88.00 66/11 30-07-2010
7 Bangalore Urban Suryanagar_KHB 1 X 20 20.00 66/11 30-09-2010
8 Bangalore UrbanBrigade Gateway_
station (DCW)2X20 40.00 66/11 15-10-2010
9 B’lore Urban REMCO (GIS) 2X31.5 63.00 66/11 03-12-2010
10 B’lore Urban East Division Compound2X150
2X31.5363.00 220/66 20-12-2010
11 Ramanagara Gudemaranahalli 2X8 16.00 66/11 20-01-2011
12 Bangalore Urban Abbigere 2X12.5 25.00 66/11 24-03-2011
Bagalkot Transmission Zone
13 Belgaum Ghataprabha2X100
1X10210.00
220/110
110/1103-12-2010
14 Bijapur Babeleshwar 1X10 10.00 110/11 18-02-2011
15 Bagalokot Kudala sangama 1X10 10.00 110/11 18-03-2011
10Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
16 Belgaum MK_Hubli2X100
1X10110.00
220/100
110/1125-11-2010
Gulbarga Transmission Zone
17 Bellary Banavikal 1 X 8 8.00 66/11 19-07-2010
18 Bellary Choranur 2 X 8 16.00 66/11 18-08-2010
19 Koppal Hiregonnagar1X10
1X1020.00
110/11
110/3316-12-2010
20 Raichur Dadesugur 2X10 20.00 110/11 31-03-2011
Hassan Transmission Zone
21 Shimoga Essur_SMG 1X10 10.00 110/11 28-01-2011
22 Shimoga Mallapura 1X8 8.00 66/11 25-03-2011
Mysore Transmission Zone
23 Kodagu Suntikoppa 1 X 12.5 12.50 66/33 11-05-2010
24 Mysore Sindhuvallipura 1 X 8 8.00 66/11 26-05-2010
25 Kodagu Madikeri 1 X 12.5 12.50 66/33 03-06-2010
26 Mandya Mahadeshwarapura 1 X 8 8.00 66/11 23-07-2010
27 Mandya Bannangadi 1 X 8 8.00 66/11 13-08-2010
28 Chamarajanagar Terakanambi 2 X 8 16.00 66/11 23-08-2010
29 Mysore Vajamangala2X75
1X20170.00
220/66
66/1112-11-2010
30 Mandya Adichunchanagiri 1X8 8.00 66/11 25-11-2010
31 Mysore Jyothinagar 2X12.5 25.00 66/11 11-03-2011
32 Kodagu Kushalnagar2X100
1X12.5212.50 220/66 26-03-2011
Tumkur Transmission Zone
33 Tumkur Heggere 1 X 6.3 6.30 66/11 13-05-2010
34 Tumkur Thimmasandra 2X8 16.00 66/11 19-01-2011
35 Davanagere Obajjihalli 1X8 8.00 66/11 09-02-2011
36 Tumkur Baktharahalli 1X8 8.00 66/11 31-03-2011
Sl.
No.District Station Name
MVA
added
Total
MVA
Voltage
Class in KV
Date of
Commission
11 Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
b. Zone-wise details of Transmission Lines Commissioned during the year under
report are as follows:
Sl.
No. Particulars District
Length
of line in
CKMs.
Date of
Bangalore Transmission Zone
1
Construction of 66 KV UG cable from
proposed Kengeri Satellite town S/S at
Sir_MV_Layout S/S
B’lore
Urban66 KV 3.73 05-05-2010
2
220 KV 1000 Sqmm single core UG
cable from Anandrao Circle to R/s NRS
at Anand Rao Circle S/S
B’lore
Urban220 KV 4.116 28-05-2010
366 KV 1000 Sqmm UG Cable line from
Peenya 220 KV Stn. at Peenya S/S
B’lore
Urban66 KV 10.20 01-06-2010
466 KV UG cable from 220 KV A Station to A
station at Ananda Rao Circle_Evacuation S/S
B’lore
Urban66 KV 1.20 09-07-2010
566 KV SC line on DC towers from Jalamangala
with a TB at Chikkagangawadi S/S66 KV 3.92 20-07-2010
6Cnstruction of 66 KV LILO line from D.B.Pura
KIADB SC line to proposed Apparel Park S/S
B’lore
Rural66 KV 0.05 23-07-2010
7
66 KV SC line on DC towers from
Nelamangala- Dobbaspet line at
Thyamagondlu S/S
B’lore
Rural66 KV 5.24 28-07-2010
866 KV tap line from Nelamangala-
Dobbaspet SC line at T-Begur S/S
B’lore
Rural66 KV 1.00 30-07-2010
9
Construction of 66 KV LILO line
from 66 KV Yerandanahalli _Anekal
DC line to 66/11 KV S/S Suryanagar.
B’lore
Urban66 KV 2.10 30-09-2010
10 66 kV LILO UG Cabel from NRS to
Brigade Gateway Station
B’lore
Urban66 KV 3.20 15-10-2010
11
Construction of 220 KV line from Anand
Rao Circle to EDC (4.02kms), EDC to
Nimhans (4.93 kms) and HAL to East Division
Compound 7.90 kms
B’lore
Urban220 KV 11.550 20-12-2010
12
66 KV 1000Sq mm XLPE cable UG cable
(2 Kms) from Vrushabavathi S/S to GIS S/S
(REMCO Line)
B’lore
Urban66 KV 2.00 03-12-2010
12Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
13
Running 66 kv, 630 sq mm. UG cable from
cable terminating structure NH7 to proposed
Attibele S/S
B’lore
Urban66 KV 4.70 31-12-2010
14 66 kV tap line from Anchepalya-magadi line Ramanagara 66 KV 12.10 20-01-2011
15
Construction of 66 kv LILO line from one of
the Peenya D>G Plant 66 kv 3&4 DC line for
a distance of 0.025 kms (Abbigere)
B’lore
Urban66 KV 0.03 24-03-2011
Bagalkot Transmission Zone
16
i) Construction of 220 KV MC & DC line
passing through KIADB land in front of
Narendra 220 KV Station
ii) 220 KV DC towers passing through KIADB
land infront of 220 KV Narendra Station
Dharwad 220 KV 2.386 09-06-2010
17110 KV DC towers passing through KIADB
land in front of 220 KV Narendra StationDharwad 110 KV 1.507 09-06-2010
18Construction of 220 kV DC line from
400kV Narendra S/S to MK Hubli StationBelgaum 220 KV 34.334 25-11-2010
19Construction of 220 kV DC line from
400kV Narendra S/S to Ghataprabha S/SBelgaum 220 KV 190.638 03-12-2010
20
110 kV link line from 220 kV S/s Ghataprabha
to Mudalagi S/s Ckt 1 and ckt 2 to Gokak line
3.759 kms, (& 3.68 kms)
Belgaum 110 KV 7.430 20-01-2011
21Construction of 110 KV line with TB
(Bableshwar line)Bijapur 110 KV 13.458 18-02-2011
22Construction of 110 KV DC line to Renebennur
220 KV station to Guttal 110 KV stationHaveri 110 KV 60.058 18-02-2011
23110 KV SC line on DC towers
from 110 KV Mache S/S 6.495 kms Belgaum 110 KV 6.495 21-02-2011
24Running 110 kv UG cable betn Tower no 4&5
of Mache to Udyambag (0.705 km)Belgaum 110 KV 0.705 21-02-2011
25Construction of 110 kv line (4.624 kms)
(Kudala sangamma)Bagalkot 110 KV 4.620 18-03-2011
Gulbarga Transmission Zone
26 66 KV DC line with TB at Banavikal Bellary 66 KV 17.50 19-07-2010
27 66 KV SC line from Kudligi - Chornur S/S Bellary 66 KV 17.92 18-08-2010
13 Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
28
110 KV SC line from proposed
Hanumasagar S/s, 13.38 kms with 110 KV
Terminal Bays
Koppal 110 KV 13.390 16-12-2010
29110 kv LILO line from Sindhanur-
Shiraguppa line (Dadesugur)Raichur 110 KV 1.869 31-03-2011
Hassan Transmission Zone
30
Construction of balance stretch of 220 KV DC
line between limits of Hulical ridge and Varahi
switch yard at Varahi S/S
Shimoga 220 KV 8.900 18-05-2010
31110 kV SC tap line on DC towers
tapping from Shiralkoppa-Shikaripura line Shimoga 110 KV 7.600 28-01-2011
3266 kV SC line from Davanagere-Shimoga
line-1 (Mallapura)Shimoga 66 KV 7.68 25-03-2011
Mysore Transmission Zone
3366 KV DC line from Kushalnagar to Madikeri
with a SC LILO at Suntikoppa S/SKodagu 66 KV 18.50 11-05-2010
34
Construction of 66 KV SC tap line on DC
towers from Nanjangur-Begur-Gundlupet line
at Sindhuvallipura S/S
Mysore 66 KV 0.045 26-05-2010
3566 KV DC line from Kushalnagar to Madikeri
with a SC LILO at Suntikoppa in Madikeri S/SKodagu 66 KV 9.00 03-06-2010
36LILO arrangement to proposed Bherya
Station & Construction of TB at Bherya S/SMysore 66 KV 0.042 04-06-2010
37
66 KV DC line from Vajamangala to M-1 line
towards FTS at Vajamangala_Evacuation_
Line1
Mysore 66 KV 0.12 22-07-2010
38
66 KV DC line from Vajamangala to M-1 line
towards SFC at Vajamangala_Evacuation_
Line2
Mysore 66 KV 0.15 22-07-2010
39
66 KV DC line from Vajamangala to M-2 line
towards FTS at Vajamangala_Evacuation_
Line3
Mysore 66 KV 0.14 22-07-2010
40
66 KV DC line from Vajamangala to M-2 line
towards SFC at Vajamangala_Evacuation_
Line4
Mysore 66 KV 0.17 22-07-2010
14Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
4166 KV SC line on DC towers from Tubinakere-
Melukote line at Mahadeshwarapura S/SMandya 66 KV 8.47 23-07-2010
4266 KV SC tap line on DC towers from
Pandavapura-KR Pet line at Bannangadi S/SMandya 66 KV 8.40 13-08-2010
43
66 KV SC Tap line on DC towers from
chamarajnagar - Gundlupet line to
Terakanambi 66/11KV S/S.
Chamaraja
nagar66 KV 5.35 23-08-2010
4466 Kv SC tap line on DC tower from
66 kV Anchepalya-BG Nagar Mandya 66 KV 7.90 25-11-2010
45
66 KV LILO line-18.259 kms b)66KV SC
line on DC towers 35.341 Kms with TB at
Santhebachahalli & Jakkanahali
Mandya 66 KV 53.60 26-11-2010
46
Construction of 220 kV LILO line from
Hootagalli-TK Halli SC line to Vajamangala
Station
Mysore 220 KV 1.40 12-11-2010
47Construction 66 kv line from FTS-SFC line
0.2 km (Jyothinagar)Mysore 66 KV 0.20 11-03-2011
48Construction of 220 kv line from
Basthipura to KushalnagarKodagu 220 KV 76.18 26-03-2011
49 Conversion of S/C to D/C line (Begur line)Chamaraja
nagar66 KV 0.49 31-03-2011
Tumkur Transmission Zone
5066 KV LILO line from Anchepalya-
Mallasandra SC line at Heggere S/STumkur 66 KV 0.40 13-05-2010
51Construction of 66 kV DC line from
Challakere S/S to Tallak Tap point.Chitradurga 66 KV 14.76 04-11-2010
52
Construction of 66 KV LILO line from
existing 66 KV Hebbur-Melekote SC line to
proposed S/S
Tumkur 66 KV 0.05 19-01-2011
5366 kV SC lin on DC towers from DVG
harapanahalli line Davanagere 66 KV 5.07 09-02-2011
54
110 kV DC line from proposed 220/110 kv
Nittur S/s to link existing KG Temple line for a
distance of 14.846 kms
Tumkur 110 KV 14.85 29-03-2011
5566 kv SC line from existing 66 kv Anchepalya
Hebbur CKT - 12.27 kms (Bhaktarahalli)Tumkur 66 KV 2.27 31-03-2011
15 Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
c) Zone-wise details of AUGMENTATION OF STATIONS during the year under
report are as follows:
Sl.
No.Name District
Voltage
ClassCapacity
MVA
Added
Date of
Commission
Bangalore Transmission Zone
1 Brindavan B’lore Urban 66 KV
Additional 3rd 1 X 20
MVA Transformer,
with TB at SRS Peenya
20.00 01-06-2010
2 YerendanahalliBangalore
Urban66 KV
Replacement of 2x20
MVA by 2x31.5 MVA,
66/11 Kv Transformer
23.00 06-02-2011
3 GokulaBangalore
Urban66 KV
Replacement of
2X12.5 MVA, 66/11
KV Trs. By 2x20 MVA
Transformer
15.00 24-02-2011
4 Nangli Kolar 66 KV
Replacement of
1x12.5 MVA by 1x20
MVA Transformer
7.50 10-03-2011
5 Srinivasapura Kolar 66 KV
Replacement of 12.5
MVA by 20 MVA
Transformer
7.50 25-03-2011
6 Tayalur Kolar 66 KV
Replacement of 6.3
MVA by 12.5 MVA
Transformer
6.20 28-03-2011
7 Sidlagatta C.B.Pura 66 KV
Replacement of 12.5
MVA by 20 MVA
Transformer
7.50 30-03-2011
Baglkot Transmission Zone
8 Gadag Gadag 110 KV
Replacement of 2 X 10
MVA Transformers
by 2 X 20 MVA
Transformers
10.00 22-06-2010
9 PH-Compound Dharwad 110 KVAdditional 1 X 10
MVA Transformer10.00 31-08-2010
10 Ainapur Belgaum 110 KV
Replacement of 1 X
10 MVA Transformer
by 1 X 20 MVA
Transformer
10.00 29-09-2010
16Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
11 H Hidkal Belgaum 110 KVAdditional 1X10 MVA
Transformer10.00 28-09-2010
12 HaliyalUttara
Kannada110 KV
Additional 1X10 MVA
Transformer10.00 30-10-2010
Gulbarga Transmission Zone
13 HB_Halli Bellary 66 KV
Replacement of 1 X
8 MVA Transformer
by 1 X 12.5 MVA
Transformer
4.50 14-06-2010
14 Valkamdinni Raichur 110 KVAdditional 1X10 MVA
Transformer10.00 24-09-2010
15Manna-Ek-
KhelliBidar 110 KV
Providing additional
1x10 MVA Transformer10.00 25-03-2011
16 Gulbarga west Gulbarga 110 KVProviding additional
1x10 MVA Transformer10.00 25-03-2011
17 Shorapur Yadgir 110 KV
Replacement of 1x10
MVA by 1x20 MV
Transformer
10.00 29-03-2011
18Shorapur_
aug_1Yadgir 110 KV
Additional 1X10 MVA
Transformer10.00 29-03-2011
Hassan Transmission Zone
19 Manipal Udupi 110 KV
Replacement of 2 X
10 MVA Transformers
by 2 X 20 MVA
Transformers
20.00 29-04-2010
20 Talaguppa Shimoga 400 KVProviding 3rd 315
MVA transformer315.00 05-05-2010
21 Shivani Chickmagalur 110 KVAdditional 1 X 10
MVA Transformer10.00 28-05-2010
22 Bharangi Shimoga 110 KVAdditional 1 X 10
MVA Transformer10.00 28-07-2010
23 Muthinakoppa Chickmagalur 110 KVAdditional 1 X 10
MVA Transformer10.00 29-07-2010
24 Bhadravathi 2 Shimoga 110 KV
Replacement of 1x10
MVA by 1x20 MV
Transformer
10.00 30-10-2010
17 Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
Mysore Transmission Zone
25 Halagur Mandya 66 KVAdditional 1 X 8 MVA
Transformer8.00 07-08-2010
26 Chikkamandya Mandya 66 KVAdditional 1 X 8 MVA
Transformer8.00 23-12-2010
27 HanurChamaraja
nagar66 KV
Replacement of 8
MVA by 12.5 MVA
66/11 kv Transformer
4.50 31-03-2011
Tumkur Transmission Zone
28 Venkatapura Tumkur 66 KVAdditional 1 X 8 MVA
Transformer8.00 26-08-2010
29 Handanakere Tumkur 110 KVAdditional 1 X 10
MVA Transformer10.00 31-08-2010
ABSTRACT OF MAJOR WORKS PROGRESS UPTO THE END OF
MARCH - 2011 [2010-11]
(a) NEW STATIONS COMMISSIONED :
Sl.
No.Voltage Class
Progress upto the end of
March 2011
Nos. MVA
1 400 KV - -
2 220 KV 6 1215.50
3 110 KV 5 70.00
4 66 KV 25 447.30
TOTAL 36 1732.80
(b) AUGMENTATION OF STATIONS :
Sl.
No.Voltage Class
Progress upto the end of March.2011
Nos. MVA
1 400 KV 1 315.00
2 220 KV - -
3 110 KV 16 170.00
4 66 KV 12 119.70
TOTAL 29 604.70
18Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
(c) TRANSMISSION LINES COMMISSIONED:-
Sl.
No.Voltage Class
Progress upto the end of March.2011
Nos. CKMs.
1 400 KV - -
2 220 KV 8 329.50
3 110 KV 11 131.98
4 66 KV 36 227.69
TOTAL 55 689.17
LOAD DISPATCH
The State Load Dispatch Centre is the nerve centre for the planning, operation,
monitoring and control of power system. Essential activities of Load Dispatch are :
(a) Pre-dispatching activities including scheduling of generation and operational
planning.
(b) Real time dispatch.
(c) Continuous monitoring for the healthiness of the system.
(d) Taking appropriate preventive as well as corrective action to deal with the system
emergencies
19 Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
(e) Post-dispatch activities relating to system performance for effi cient operation of the
power system
The State Load Dispatch centre has to closely monitor the control of the frequency,
voltage, tie line fl ows, economic generation, switching operations etc. to achieve maximum
security and effi ciency.
TENDERING AND PROCUREMENT
During the year 2010-11, KPTCL has procured various equipments like, Power
Transformers, switchgears, Circuit Breakers, Current Transformers, Isolators, Potential
Transformers CVTs, Insulators, Transformer oil required for augmenting the installed capacities
in sub stations, besides other associated equipment like Battery Chargers, Battery Sets for
replacement of deteriorated batteries in stations.
In addition to this, testing and measuring equipments like fl ash point apparatus, on
line DC Earth fault locators, Interface tension meter, transformer winding resistance meter
etc., required for meeting day to day needs of Relay Testing and R&D Wings has also been
procured.
Further, 11 KV Switchgears especially required for implementation of ‘Niranthara Jyothi’
Schemes in ESCOM’s for putting up independent and dedicated 11 KV feeders for catering
the loads of both lighting and motive power installations of the villages on 24 hrs basis, were
also procured.
Further during the year 2010-11 KPTCL has awarded many works related to construction
of new stations and lines of 66 KV, 110KV, 220 KV and 400KV voltage class covering 46 stations
and 769.77 Kms of 66/110/220 KV Over Head including UG cable lines on total turnkey basis
of the order of Rs.69514.45 lakhs.
Amongst the works awarded above, the specialized works included are :
Establishing 220KV GIS Sub-Station at EPIP and 66/11KV GIS Station at kanteerava a)
stadium.
Providing additional 400KV, 500MVA Transformers at 400KV Nelamangala and b)
Hoody Stations.
Providing 400KV 63MVAR Bus reactors at 400KV Guttur, Talaguppa, Nelamangala c)
and Hoody stations.
20Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
Laying of 66KV 1000 sqmm UG cable in Bangalore city from d)
Vishwabharathi School to 66KV/11KV Station1)
220KV A Station to 66/11KV Kanteerava Stadium2)
66/11KV BMTC to 66/11KV National College3)
220KV Nimhans Station to 66/11KV Jayanagar Station4)
220KV EPIP GIS station to 66/11KV Kadugodi5)
220KV Vikas Tech Park to 66/11KV Devarabesanahalli and Cessna Park 6)
station.
Following is an abstract of Award of works & Procurment during the fi nancial year 2010-11.
1.WORKS:-
Procurement of works during the year 2010-11
No. of Tenders fl oatedAmount in
Rs. LakhsWorks involving
110KV and below works 54 54434.37
66KV GIS Station – 2 Nos.
66KV Air insulated Stations – 16Nos.
66 O.H. Lines – 95.1 Kms.
66KV UG cable-33.46 kms.
66KV TBs – 3 Nos.
110KV Air insulated Stations-19 Nos.
110KV OH Lines – 311.33Kms.
110KV UG cable -5.75 kms.
110KV TBs – 11 Nos.
220KV & above works 7 33111.36
400KV 500MVA Additional Transformers – 2 Nos.
220KV Air insulated Stations -2Nos.
220KV GIS station – 1 No.
220KV R&M Works – 1 Nos.
220KV O.H Lines –35.17 Kms.
66KV O.H Lines –29.79 Kms.
66KV TBs –1 No.
21 Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
No. of Tenders awardedAmount in
Rs. LakhsWorks involving
110KV and below works 57 39560.88
66KV GIS Station – 1 No.
66KV Air Insulated Stations – 20Nos.
66KV O.H. Lines – 323.12 Kms.
110kv Air insulated Stations – 21 Nos.
110KV O.H. Lines – 334.813 Kms.
66KV UG cable 32.45 Kms.
66KV TB -1No
110KV TBs. – 17 Nos.
220KV & above works 10 29953.57
400KV 500MVA Additional Transformers – 2 Nos.
400KV Reactors-4Nos.
220KV Air insulated Stations – 3 Nos.
220KV GIS station- 1 No
220KV O.H. Lines – 49.597 Kms.
66 KV O.H. Lines – 29.79 kms.
220KV R&M Works-1 No.
66 KV TBs. – 1 Nos.
2. GOODS:-
Procurement of Goods during the year 2010-11
DescriptionsAmount in
Rs. LakhsWorks involving
Power Transformers, Circuit Breakers,
Current Transformers, Battery Sets,
Battery Chargers, Testing Equipments,
11 KV Switchgears, Isolators, PTs,
CVTs Insulators, Transformer oil,
fl ash point apparatus, online DC earth
fault locator, Interface tension meter
Transformer winding resistance meter,
Toshiba E Studio 305 Digit copier
ext.,and Vehicles.
8092.43 Station capacity augmentation,
replacements and testing and
measuring activities etc.,
22Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
The total cost towards procurement of works, goods and services during the
year 2010-2011 is Rs.77606.89 lakhs.
FOREST WING
During the year 2010-11, State Government Orders were issued for handing over
the corridor in forest areas for fi ve Transmission lines viz., 1) Basthipur to Kushalanagar
2) Kushalanagar to Periyapatna 3) Puttur to Karaya 4) Kundapura to Navunda 5) Substation
at Magadi. During the year, Ministry of environment and forests of Government of India issued
Stage-II approval to Malur-Somanahalli Transmission line and in principle approval (stage-I)
has also been accorded for three Transmission lines viz., 1) Vajramatti to Manthur, 2) Hassan
to Melagodu and 3) Hassan to Nandikur.
CIVIL
During the year under report a sum of Rs.1663.00 lakhs have been spent as civil works
and Rs. 1802.00 Lakhs have been spent as Revenue Expenditure on civil works. A sum of
Rs. 128.00 lakhs have been spent during the year for construction of KPTCL Training Institute
at Hoody Bangalore.
RELAY AND TESTING:
Total Nos of stations existing under each RT Circle at the end of FY 2010-11 are as
follows:
RT Circle 400kV 220kV 110kV 66kV Total
RT Circle,Bangalore 3 36 22 326 387
RT Circle,Hassan 1 18 58 171 248
RT Circle,Hubli -- 23 151 1 175
RT Circle,Gulbarga -- 13 83 20 116
Total 4 90 314 518 927
Pre-commissioning tests of new stations conducted during the Year 2010-11
RT Cirle Stations commissioned
400kV 220 kV 110kV 66kV
New Bays
commissioned
New IPP
commissioned
RT Circle, Bangalore -- 2 -- 17 28 1
RT Circle,Hassan -- 2 1 9 29 5
RT Circle,Hubli -- 3 3 -- 13 2
RT Circle,Gulbarga -- -- 2 2 2 1
Total -- 7 6 28 72 9
23 Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
41Ø numbers of new Stations commissioned during the year 2010-11.
Testing and commissioning of Ø 9 new IPP installations were carried out during
the year.
Testing and commissioning works of Ø 72 numbers of new Bays of different voltage
classes were carried out in existing Stations.
Details of Testing and Commissioning works related to enhancement of
station capacity by augmentation works, adding additional transformers in existing
stations, repairs of faulty transformers carried out either through external agency or
departmentally.
Name of the
RT CirleEnhancement
Additional
Transformer
commissioned
Transformers
repaired during
the year
No. of major
Breakdowns
attended
Bangalore 9 -- 7 180
Hassan 5 6 2 279
Hubli 1 4 5 397
Gulbarga 4 3 3 53
Total 19 13 17 909
Details of periodical calibration works carried out by the RT Divisions of various RT
circles for the year 2010-11.
RT Cirle Relays Meters IPP installations EHT consumers
RT Circle, Bangalore 21432 5187 31 47
RT Circle, Hassan 9913 2476 47 32
RT Circle, Hubli 7835 1962 33 12
RT Circle, Gulbarga 4035 583 36 23
Total 43215 10208 147 114
Details of capacitance, Tan test conducted by the RT Divisions of various RT circles for
the year 2010-11
RT Cirle Current Transformer CVT Bushings Transformer Windings
RT Circle, Bangalore 64 8 295 82
RT Circle,Hassan 196 6 608 185
RT Circle,Hubli -- -- 17 4
RT Circle,Gulbarga -- -- 12 8
Total 260 14 932 279
24Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
Details of power transformers repaired during the year 2010-11
Sl.
No
Power
Transformer
failed at
Voltage
class in KV
Capacity
in MVAMake
Repaired
byRemarks
I RT Circle, Bangalore
166/11kV Amara
Jyothi66/11 20 BBL
M/s BBL,
Mumbai
Commissioned at
Apparel Park
2220/66kV
Hoody 66/11 31.5
BBL,
4934/7
M/s BBL,
Mubai
Commissioned at
Sarakki MUSS
3 220kV Honnali 220/66 100 CGLM/s KK
Rao
Commissioned at
Anchepalya Station
4220/66/11kV
SRS, Peenya220/66/11 150 CGL CGL
Repaired by fi rm and
the transformer is un
loaded at Peenya
Station
566/11kV Punab
Gatta66/11 12.5 EMCO M/s EMCO
Allotted to Mallasandra
MUSS
6220/66/11kV
SRS, Peenya220/66/11 100 CGL M/s ABB
Commissioned at
220kV Davanagere
Station
7220/66/11kV
Hoody66/11 31.5 Victory
M/s
Victory
Commissioned at
Hoody Station
II RT Circle, Hassan
1 Banavara 110/11 20 Indotech Departmentally
Repaired at station
and diverted to
110/11kV MUSS,
Badhravathi
4 Belagola 66/11 12.5 RIMA M/s RIMA
Repaired and
commissioned at
Belagola
III RT Circle, Hubli
1 110KV Ugar 110/33-11 20MVA NGEF DepartmentallyCommissioned at
110KV S/s Savalgi
2 110KV Ron 110/11 10MVA Voltamp DepartmentallyAllotted to 110KV S/s
Navanagar
3 110KV Kudachi 110/33-11 10MVA NGEF DepartmentallyAllotted to 220KV R/s
Sirsi [Else]
25 Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
4 110KV H- Hidkal 110/33-11 20MVA NGEF
M/s KK Rao
Engineering
Works,
Hyderabad
Commissioned at
110KV S/s Athani
5 110KV Moratagi 110/33 10MVA GEC Departmentally Allotted to 110KV S/s
Gopanakoppa, Hubli
IV RT Circle,Gulbarga
1 110kV Aland 110/33 10MVA APEX
M/s KK Rao
Engineering
Works,
Hyderabad
Commissioned at
110kV Alanad
2 110kV Yadgir 110/11 10MVA APEX
M/s KK Rao
Engineering
Works,
Hyderabad
Commissioned at
110kv Manna-E-Kheli
3220kV
Humanabad110/11 10MVA APEX
M/s KK Rao
Engineering
Works,
Hyderabad
Commissioned at
110kV Gulbarga West
REGULATORY AFFAIRS
Transmission Tariff1. : KPTCL fi led Transmission Tariff application for the second
MYT period i.e from FY 2010-11 to 2012-13 on 13.08.2010.
Commission issued Transmission Tariff Order on 07.12.2010, approving the 2.
Transmission charges for the Years 2010-11, 2011-12 and 2012-13 as under
Amt in Rs. Crs
Particulars 2010-11 2011-12 2012-13
ARR Filed 1617.39 1956.27 2381.20
ARR Approved 1328.19 1542.14 1769.76
Transmission Tariff Rs/Mw /month 95646 95356 103262
The above transmission tariff for 2010-11 is effective from 01.01.2011
KPTCL furnished views/ comments on the Draft Regulation on Power procurement 3.
from Renewable Energy Sources and Renewable energy Certifi cate frame work.
KERC has issued the fi nal regulation on the subject matter on 16th March 2011.
Based on the above regulation, KERC also notifi ed, SLDC as the State Agency
for Accreditation of Renewable Energy Generators for the purpose of Renewable
Energy Certifi cates.
26Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
Petitions:4. 49 petitions and 13 review petitions were fi led before KERC during
FY 2010-11, out of which 45 petitions and 11 review petitions were fi nalised and
orders were passed during 2010-11.
HUMAN RESOURCES AND DEVELOPMENT
In the emerging power sector scenario, it is utmost necessary to equip the human
capital to face the challenges of today & tomorrow. All endeavors have been made for
developing human resources, so as to ensure contribution from one & all for organizational
development through various Training Programmes. Large numbers of need based training
programmes have been arranged successfully. For specialized and focused programmes,
offi cers / employees were deputed for training in various reputed institutions.
Important Administrative orders issued during 2010-11 are as follows:
Appointments in 270 cases under compassionate grounds under Group ‘C’ and ‘D’ 1.
were issued in KPTCL/ ESCOMs during the year 2010-2011.
1392 Probationary Mazdoors working in KPTCL/ESCOMs were converted as 2.
Junior Lineman by creation of Supernumerary posts vide Order No: KPTCL/
B16/ 4313/2005-06 dated: 21.06.2010, 28.06.2010, 09.07.2010, 02.08.2010,
03.08.2010, 21.09.2010 & 02.11.2010.
Order No. KPTCL/B5(c)/721/vol2/2010-11 dated: 06.12.2010 according approval 3.
for sanction of compensation of a lump sum amount of Rs. 5.00 lakh as ex-gratia
as one time fi nancial benefi t to the dependent of Probationary Mazdoor who dies
due to electrical accident while on duty w.e.f. 01.04.2010.
27 Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
Appointment orders were issued to selected candidates for 532 posts of Assistant 4.
Engineer (Elec.) during June 2010 and for 581 Junior Engineer (El) during
September 2010 & for 17 posts of Assistant Accounts Offi cer during February 2011
& who were recruited against Employment Notifi cation No. KPTCL/B16/3439/08-
09 dated: 26.08.2009.
Order No. KPTCL/B16/B59/9792/09-10 dated: 22.09.2010 where in approval was 5.
accorded for grant of two advance increments to such of those directly recruited
Assistant Executive Engineer/Assistant Engineer who acquires/acquired Post
Graduation/Doctorate degrees in fi eld of Engineering after joining the service and
to those recruited as AAO who acquires/acquired Doctorate degrees in the fi eld of
Finance or Accounts after joining the service in KPTCL/ ESCOMs.
Order No. KPTCL/B16/3593/98-99 dated: 03.02.2011 enhancing the ceiling limit of 6.
Retirement Gratuity/Death Gratuity Payable on retirement/death of an employee
from Rs. 3.50 lakh to Rs. 10.00 lakh to those of the employees who cease to be in
service on account of retirement/death on or after 24.05.2010.
Order No. KPTCL/B16/4682/06-07 dated: 26.02.2011 enhancing the monthly 7.
remuneration payable to physically challenged Revenue Assistants (working
on contract basis) for those with B.A/B.sc/B.com/L.L.B qualifi cation from
Rs. 3500/- p.m to Rs. 4500/- p.m and for those with S.S.L.C qualifi cation from Rs.
2500/- to Rs. 3500/- p.m.
CORPORATE GOVERNANCE
KPTCL believes transparency, responsibility, accountability and fairness in all aspects
of its operations.
Board of KPTCL believes and supports Corporate Governance Practices ensuring
observance of best practices in all its dealings.
As on 31st March 2011, the Board of Directors comprised of 15 members. All the
Directors take active part in the proceedings of Board and Sub- Committee meetings which
add value to the decision making process.
Board Meetings:
The Governance process in the company includes an effective post- meeting follow-
up, review and reporting process for action taken/pending on decisions of the Board, Board
Sub-committees.
28Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
The meetings of the Board of Directors are scheduled in advance for which notice is
given to each Director in writing. The Agenda and other relevant notes are circulated to the
Directors well in advance. During 2010-11, a total number of Three Board meetings took
place.
Board Sub-Committees:
The Sub-Committees of the Board were constituted not only to give more focused
attention on important issues but also to expedite decisions on such issues. The Board has
delegated certain specifi c powers to some of the Sub-committees towards speeding up
decisions.
Central Purchases Committee:1.
Central purchases Committee was formed to consider all cases of purchases whether
for Transmission Zone, Projects or award of Station/Line Works or any other works and all
matters relating to purchases which are beyond the powers delegated to the Chief Engineers,
Electricity and within a fi nancial implication of Rs. 20 Crores.
The composition of the Central Purchases Committee is as follows:
Managing Director, KPTCL Chairman of the Sub-Committee
Director (Finance), KPTCL Member
Director(Transmission), KPTCL Member
Company Secretary, KPTCL Convener
The concerned Chief Engineers will be the Coordinating Offi cers.
During the year, CPC meetings were held as follows:
Sl
No.Held on Name of the Meeting
1 Combined Central Purchases
Committee Meeting of KPTCL held
on 2nd, 3rd, 5th and 6th July 2010.
1091. th Tendering & Procurement
912. st Transmission Zone, Bangalore
573. th Transmission Zone, Mysore
524. nd Transmission Zone, Bagalkote
345. th Transmission Zone, Gulbarga
256. th Transmission Zone, Hassan
257. th Transmission Zone, Tumkur
29 Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
2 Central Purchases Committee 1. 110th Tendering and Procurement
Meeting of 110th T&P KPTCL held
on 9th September 2010
3 Combined Central Purchases
Committee Meeting of KPTCL
held on 12th October 12010 and
adjourned to 27th November 2010,
2nd December 2010, 8th December
2010 and 24th December 2010.
1111. th Tendering & Procurement
922. nd Transmission Zone, Bangalore
583. th Transmission Zone, Mysore
534. rd Transmission Zone, Bagalkote
355. th Transmission Zone, Gulbarga
266. th Transmission Zone, Hassan
267. th Transmission Zone, Tumkur
4 Combined Central Purchases
Committee Meeting of KPTCL held
on Tuesday the 18th January 2011
and Wednesday the 19th January
2011.
1121. th Tendering & Procurement
932. rd Transmission Zone, Bangalore
593. th Transmission Zone, Mysore
544. th Transmission Zone, Bagalkote
365. th Transmission Zone, Gulbarga
276. th Transmission Zone, Hassan
277. th Transmission Zone, Tumkur
5 Central Purchases Committee Meeting of 113th Tendering & Procurement, KPTCL
held on 14th February 2011 and adjourned to 21st February 2011.
6 Combined Central Purchases
Committee Meeting of KPTCL held
on 9th March 2011 and adjourned
to 22nd March 2011.
941. th Transmission Zone, Bangalore
602. th Transmission Zone, Mysore
553. th Transmission Zone, Bagalkote
374. th Transmission Zone, Gulbarga
285. th Transmission Zone, Hassan
286. th Transmission Zone, Tumkur
7 Combined Central Purchases
Committee Meeting of KPTCL held
on 28th and 29th March 2011.
1141. th Tendering & Procurement
952. th Transmission Zone, Bangalore
613. st Transmission Zone, Mysore
384. th Transmission Zone, Gulbarga
295. th Transmission Zone, Hassan
296. th Transmission Zone, Tumkur
30Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
Borrowings Sub Committee:2.
The Borrowings Sub-Committee has been delegated powers to borrow Long Term
Loans from Banks/Financial Institutions on behalf of the Board from time to time.
The sub-committee consists of the following members:
Principal Secretary to Govt., Energy Department, GoK1.
Principal Secretary to Govt., Finance Department, GoK2.
Managing Director, KPTCL3.
Director (Finance), KPTCL4.
During the year under report, the Borrowing Sub-Committee held the following meetings:
Sl.
No.For Availing Finance from
Amount
Rs. in CroresHeld on
1 M/s. Bank of India, K.G. Road Branch Rs. 300.00 Crores 08-06-2010
2 M/s. Indian Bank, K.G.Road Branch, Bangalore Rs. 200.00 Crores 03-09-2010
3 M/s. Vijaya Bank, K.G.Road Branch, Bangalore Rs. 564.00 Crores 16.09.2010
4M/s. Corporation Bank, M/s. Panjab & Sind Bank
& M/s. Canara Bank
Rs.200.00 Crores,
Rs. 100.00
Crores & Rs.
500.00 Crores
respectively.
25.10.2010
5 M/s. Vijaya Bank, K.G.Road Branch, Bangalore Rs. 300 Crores 22.02.2011
3. Audit Committee:
In accordance with the new section 292(A) of Companies Act, 1956, KPTCL has
constituted an Audit Committee in the interest of good corporate governance.
The composition of the Audit Committee is as follows:
1 Principal Secretary, GoK, Energy Dept. (By name) Chairman/Chairperson
2 Principal Secretary, GoK, Finance Dept.(By name) Member
3 Sri P. Manivannan, Director, KPTCL Member
4 Director (Transmission), KPTCL. (By name) Member
Company Secretary, KPTCL Convener
31 Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
During the year under report, the Audit Committee held its meeting on 06.09.2010.
Audit Committee considers and recommends the fi nancial results to the Board.
Statutory Auditors are invited to attend the meeting. The committee also invites the Director
(Finance), Financial Adviser (Accounts & Resources) and Financial Adviser (Internal Audit) to
be present at the meeting.
SPORTS:
KPTCL Sports Organisation has completed Inter Company Sports activities for the
year 2010-11 by conducting all the events at 5 (Five) Centers namely at Bellary, Mysore,
Davangere, Hubli and Shimoga. This year Five disciplines were included such as Billiards,
Hockey, Yoga, Swimming and Throwball in the Inter-Company tournaments.
Our Teams participated in the AIESCB Tournaments in the following events:
Men Section :- Bodybuilding, Powerlifting, Athletics, Volleyball, Hockey
INTERNATIONAL LEVEL PARTICIPATION & ACHIEVEMENTS
BODYBUILDING: ► Sri Roshan Ferrao, Body Builder of MESCOM, Represented India
in the Asia Pecifi c Fitness Championship-2010 held at Roratunga,
Cook Island, New Zealand during Aug.2010 and secured Gold medl
& also got “Mr. Asia Pacifi c-2010” Title.
► Sri G.S. Ananda Krishna, Sports Offi cer represented India as a
Team Manager in the Asia Pecifi c Fitness Championship-2010 held at
Roratunga, Cook Island, New Zealand during Aug.2010.
► Sri Roshan Ferrao, Body Builder of MESCOM, represented India in
the WEBBA Championship-2010 held at Germany during Dec.2010.
NATIONAL LEVEL PARTICIPATION & ACHIEVEMENTS
BODYBUILDING: ► Our Team secured Over-all Championship FIRST place in the
37th AIESCB Tournament held at Jabalpur (M.P.)
► Sri Roshan Ferrao, Body Builder, got “VIDHYUTH SHREE” Title
for the 7TH TIME IN SUCCESSION.
POWERLIFTING: ► Our Team secured for the fi rst time Over-all Championship Second
place in the 37th AIESCB Tournament held at Jabalpur (M.P.)
32Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
KABADDI : ► Sri A. Kiran, KPTCL represented Karnataka in the Kabaddi National
Championships held at Chennai (T.N.)
► Sri A. Kiran, KPTCL represented Karnataka in the Kabaddi National
Super Leaque Championships.
CRICKET : ► KPTCL Sports Organisation Cricket Team retained for the year
2010-11 in KSCA League matches in Group-II Division-1.
BILLIARDS : ► Sri D. Rajkumar, KPTCL – Participated in Various National
Championships and State Ranking Tournaments and secured
places.
WOMEN SPORTS
TENNIKOIT : Smt. Nanda, Smt. Poornima and Smt. Gowramma represented
Karnataka State team and participated in the 35th Senior National
Championship-2010 held at Chennai (T.N.).
The Management of KPTCL is encouraging for promotion of Sports in the organisation.
All the Sports persons are taking lot of interest in participation in the International, National
and State level tournaments, through which they brought laurels to our organisation.
The Sports Section is taking keen interest in bringing awareness and importance of
Sports, Cultural activities and health consciousness among the employees and offi cers for
executing their day-to-day work in effective and effi cient manner.
STATUTORY AUDITORS
C & AG of India have appointed M/s. Rao & Swami, Bangalore as Statutory Auditors for
auditing the Accounts of KPTCL for the Financial Year 2010-2011.
COST AUDITORS
Ministry of Corporate Affairs, Govt. of India have approved appointment of M/s KPR &
Associates as Cost Auditors for auditing the cost accounts of KPTCL for the Financial Year
2010-2011.
PARTICULARS OF EMPLOYEES UNDER SECTION 217(2A)
The information under section 217(2A) of Companies Act, 1956 read with Company
(Particulars of Employees) Rules, 1976 may be taken as NIL.
33 Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
DIRECTORS’ RESPONSIBILITY STATEMENT
Pursuant to the requirement under section 217(2A) of the Companies Act, 1956 with
respect of Directors’ Responsibility Statement, it is hereby confi rmed that:
In the preparation of the annual accounts, the applicable accounting standards 1.
have been followed along with proper explanation relating to material departures;
Accounting policies have been selected and applied consistently and judgments 2.
and estimates are made that are reasonable and prudent so as to give a true and
fair view of the state of affairs of the company at the end of the fi nancial year and
of the profi t or loss of the company for that period;
Proper and suffi cient care has been taken for the maintenance of adequate 3.
accounting records in accordance with the provisions of the Act for safeguarding
the assets of the company and for preventing and detecting frauds and other
irregularities; and
Annual accounts have been prepared on a going concern basis.4.
34Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
ACKNOWLEDGEMENTS
The Board of Directors would like to place on record its appreciation for all the support
and guidance extended by the Government of Karnataka, Government of India, Karnataka
Electricity Regulatory Commission, Central Electricity Authority, Central Electricity Regulatory
Commission, Power Finance Corporation Ltd., Rural Electrifi cation Corporation, Karnataka
Renewable Energy Development Ltd., Commercial Banks & other fi nancial institutions, Ministry
of Corporate Affairs, Registrar of Companies and the General Public for their co-operation
and active support to KPTCL.
The Board of Directors would also like to place on record its appreciation for the untiring
efforts and contributions made by the employees at all levels to ensure that the company
continues to grow and excel.
For & on behalf of the Board
Sd/-
CHAIRPERSON
35 Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
BALANCE SHEET ABSTRACT AND COMPANY’S GENERAL BUSINESS PROFILE
(Pursuant to part IV of schedule - VI of the Company Act-1956)
Registration details
Registration No. 25521 State Code 8
Balance Sheet date 31.03.2011
Capital Raised during the year (Amount in Rs.thousands)
Public Issue Nil Right Issue Nil
Bonds Issue Nil Private placement Nil
Position of mobilization & deployment of Funds (Amount in Rs.thousands)
Total Liabilities 78790373 Total assets 78790373
Sources of Funds (Amount in Rs.thousands)
Paid up Capital 6903225 Secured Loan 49701610
Share deposit 8850000 UnSecured Loans 5365055
Reserves & Surplus 4221382 Other Funds 3749101
Application of Funds (Amount in Rs.Thousands)
Net Fixed Assets 63294965 Investments Nil
CWIP 25912943 Misc.Exp. 18477
Net current Assets -10436012
Performance of Company (Amount in Rs.thousands)
Turnover 14548415 Total Expenditure 14532067
Profi t before Tax 16348 Profi t after Tax 8693
Earnings per share in Rs. 1.26 Dividend rate % Nil
Name of three principal / services of Company
Item code No. Nil
Product description Transmission of Electricity
For Rao & Swami Sd/-
Chartered Accountants (K.R.JAYAPRAKASH)
Financial Adviser(A&R)
Sd/- Sd/- Sd/- Sd/-
(N.RAMESH) ( R.SRIDHARA) (ADITI RAJA) (P.RAVIKUMAR)
Partner Company Secretary Director (Finance) Managing Director
Membership No.16153
Place: Bangalore
Date: 5th September 2011
36Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
COMMENTS OF THE COMPTROLLER AND AUDITOR GENERAL
OF INDIA UNDER SECTION 619(4) OF THE COMPANIES ACT, 1956
ON THE ACCOUNTS OF KARNATAKA POWER TRANSMISSION
CORPORATION LIMITED, BANGALORE, FOR THE YEAR ENDED
31st MARCH 2011.
The preparation of fi nancial statement of Karnataka Power Transmission Corporation
Limited, Bangalore, for the year ended 31st March 2011 in accordance with the fi nancial
reporting framework prescribed under Companies Act, 1956 is the responsibility of the
management of the Company. The statutory auditors appointed by the Comptroller and
Auditor General of India under Section 619(2) of the Companies Act, 1956 are responsible
for expressing opinion on these fi nancial statements under section 227 of the Companies Act,
1956 based on independent audit in accordance with the auditing and assurance standards
prescribed by their professional body the Institute of Chartered Accountants of India. This is
stated to have been done by them vide their Audit Report dated 5th September 2011.
I, on behalf of the Comptroller and Auditor General of India, have conducted a supplementary
audit, under section 619(3)(b) of the Companies Act, 1956, of the fi nancial statements of
“Karnataka Power Transmission Corporation Limited, Bangalore” for the year ended
31st March 2011. This supplementary audit has been carried out independently without
access to the working papers of the statutory auditors and is limited primarily to inquiries of
the statutory auditors and company personnel and a selective examination of some of the
accounting records. On the basis of my audit nothing signifi cant has come to my knowledge
which would give rise to any comment upon or supplement to Statutory Auditors’ report under
section 619(4) of the Companies Act, 1956.
For and on behalf of the
Comptroller & Auditor General of India
Sd/-
(D.J. BHADRA)
PR. ACCOUNTANT GENERAL
(CIVIL & COMMERCIAL AUDIT)
KARNATAKA, BANGALORE
BANGALORE
Dated: 24 September 2011
37 Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
Rao & Swami, No. 2/1, Connaught Road
Chartered Accountants Bangalore - 560 052
Fax : 91(080) - 22260230
AUDITORS’ REPORT
TO THE MEMBERS OF KARNATAKA POWER TRANSMISSION
CORPORATION LIMITED
We have audited the attached Balance Sheet of Karnataka Power Transmission
Corporation Limited (“the Corporation”), as at 31st March 2011, the Profi t and Loss Account
and also the Cash Flow Statement for the year ended on that date, annexed thereto. These
fi nancial statements are the responsibility of the Corporation’s Management. Our responsibility
is to express an opinion on these fi nancial statements based on our audit.
The Corporation is governed by the provisions of The Electricity Act, 2003 read
with the related rules and regulations. The application of the said Act is in consonance with
the provisions of Section 616(c) of The Companies Act, 1956 (“the Act”). Accordingly, the
Corporation has compiled the accounts, adopting the principles and policies as enunciated in
the Electricity Supply Annual Accounts Rules, 1985 (“ESAAR”).
We have conducted our audit in accordance with Auditing Standards generally 1.
accepted in India. Those Standards require that we plan and perform the audit
to obtain reasonable assurance about whether the fi nancial statements are free
of material misstatement. An audit includes examining, on a test basis, evidence
supporting the amounts and disclosures in the fi nancial statements. An audit
also includes assessing the accounting principles used and signifi cant estimates
made by the Management, as well as evaluating the overall fi nancial statements
presentation. We believe that our audit provides a reasonable basis for our
opinion.
Our Notes on Accounts are detailed in Annexure 12.
3. As required by the Companies (Auditor’s Report) Order, 2003 issued by the Central
Government of India in terms of section 227(4A) of the Companies Act, 1956, we
38Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
enclose in Annexure II a statement on the matters specifi ed in paragraphs 4 and
5 of the said Order.
4. Further to our comments in Annexure II referred to in paragraph 3 and subject
to our comments in Annexure I referred to in paragraph 2 above, we report that:
We have obtained all the information and explanations, which to the best of (i)
our knowledge and belief were necessary for the purpose of our audit;
In our opinion, proper books of accounts as required by law have been kept (ii)
by the Corporation so far as appears from our examination of those books;
The Balance Sheet, Profi t & Loss Account and the Cash Flow Statement (iii)
dealt with by this report are in agreement with the books of account;
In our opinion, the Balance Sheet, Profi t & Loss Account and the Cash Flow (iv)
Statement dealt with by this report comply with the accounting standards
referred to in sub-section (3C) of section 211 of the Companies Act, 1956,
to the extent they are not inconsistent with the provisions of ESAAR,1985
adopted by the Corporation, except as stated in Note 1 in Annexure I to this
report.
In our opinion and to the best of our information and according to the (v)
explanations given to us, subject to the effect on the fi nancial statements of
the matters referred to in Annexure I to this report, to the extent ascertainable,
as detailed in Note 4 therein (viz disclosed profi t before tax of Rs.163.48
lakh would have resulted in loss of Rs.15,011.79 lakh), the said accounts
read together with accounting policies and notes forming the parts thereof,
give the information required by the Companies Act, 1956, in the manner
so required and give a true and fair view in conformity with the accounting
principles generally accepted in India:
in the case of the Balance Sheet, of the state of affairs of the Corporation (i)
as at March 31st 2011.
39 Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
in the case of the Profi t and Loss Account, of the profi t for the year (ii)
ended on that date;
in the case of the Cash Flow Statement, of the cash fl ows for the year (iii)
ended on that date;
5. The Corporation being a Government Company, the provision of Section 274(1)
(g) of the Companies Act ,1956 regarding disqualifi cation of Directors do not
apply in terms of Notifi cation No.GSR 829(E) dt.21.10.2003.
For RAO & SWAMI
CHARTERED ACCOUNTANTS
FRN : 003105S
Sd/-
(N.RAMESH)
PARTNER
Membership No: 016153
Place: Bangalore
Date: 5th September 2011
40Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
ANNEXURE I TO THE AUDITORS’ REPORT
Our Notes on Accounts
(Referred to in Paragraph 2 of our report of even date to the members of Karnataka
Power Transmission Corporation Limited. on the fi nancial statements for the year
ended 31st March, 2011)
Non compliance of the Balance Sheet, Profi t & Loss Account and the Cash 1.
Flow Statement dealt with by this report with the provisions of ESAAR, 1985
and/or Accounting Standards referred to in subsection 3C of Section 211 of the
Companies Act, 1956 (to the extent they are not inconsistent with the provisions
of ESAAR 1985), observed by us are listed hereunder
1.1 a) Valuation in respect of certain inventories not held for consumption like scrap
and nonmoving / surplus items, made at standard rate or cost instead of lower
of cost or net realizable value as per Accounting Standard (AS) 2 on “Valuation
of Inventories” (there being no specifi c provision in ESAAR 1985), the effect of
which is not ascertainable in the absence of details.
b) Loss on shortage in material stock has not been provided for in the period in
which the shortage was observed, as required by para 2.20 (12) in Annexure V
to ESAAR 1985, but taken under Stores and Spares (Schedule 10) as ‘Stock
shortage pending investigation’. Hence Stores and Spares and profi t for the year
is over stated by Rs.64.84 lakhs.
1.2 Non inclusion of amount of Rs.10,209.37 lakhs relating to amount stated to
have been claimed from ESCOMs towards differential cost of power purchased
prior to 09.06.2005, relating to the years 2007-08 to 2009-10 (referred to in our
Note 1.4 (ii) hereunder) in Prior period credits / (charges) – Schedule 29 but
including it in Miscellaneous Recoveries ( under Other Income – Schedule 18),
which is not in conformity with Accounting Standard (AS) 5 on “Net profi t for the
period, Prior period items and Changes in Accounting Policies”. Hence profi t for
the period and Prior period charges (net) are overstated by Rs.10,209.37 lakhs,
subject to our Note 1.4 (ii) hereunder.
41 Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
1.3 a) Non charging of depreciation on assets aggregating to Rs.1,551.74 lakhs
removed for repairs ( included in Advance Suppliers and Contractors under
Loans and Advances - Schedule 12), as stated in Accounting policy 4.8 (schedule
30) and in Note 9 on Accounts (Schedule- 31) which is not in conformity with
Accounting Standard (AS) 6 on “Depreciation Accounting” as also ESAAR 1985.
(In terms of para 2.60 in Annexure III thereto, depreciation charge on assets
shall cease from the year following the year in which the asset permanently
ceases to be used and removal for repairs does not fall within this category.)
b) Charging depreciation on assets constructed on leasehold land at normal rate,
as stated in Accounting Policy 4.7 (Schedule 30), which is also not in conformity
with Accounting Standard (AS) 6 on “Depreciation Accounting” (and there being
no specifi c provisions in ESAAR, 1985)
The effect of (a) and (b) above are not ascertainable in the absence of necessary
details.
1.4 Recognition of following as income despite signifi cant uncertainty in realisation
and hence is not in conformity with Accounting Standard (AS) 9 on “Revenue
Recognition”
Rs.269.25 lakh being delayed payment charges from Hukkeri Electricity i)
Co op. Society, (grouped under Revenue from Transmission Charges –
Schedule 30) not accepted / paid by the said Society.
Rs.10,324.74 lakh being differential cost, in respect of power purchased ii)
prior to 09.06.2005 (accounted as purchases by the Corporation during the
fi nancial years 2008.09 to 2010.11 of which Rs.10,209.37 lakh relates to
2007.08 to 2009.10) stated to have been claimed by way of letter to ESCOMs
based on Tariff Orders. The amount now recognized as income (included
in Other Income- Miscellaneous Recoveries – Schedule 18) though such
claims aggregating Rs.9392.46 lakh relating to 2007-08. and 2008-09 were
earlier made during 2009.10 and Rs.816.91 lakh for 2009-10 made during
2010-11 have not been accepted / paid by ESCOMs. Further such claim for
2010.11 for Rs.115.37 lakh is yet to be made.
42Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
Consequently, profi t for the year is overstated by Rs.10,593.99 lakh and Sundry
Debtors and Other Assets overstated by Rs.269.25 lakh and Rs.10,324.74 lakh
respectively.
1.5 Capitalisation of expenditure on replacement of asset or part of assets with
independent existence as stated in Accounting Policy 3.5 (Schedule 30), without
withdrawing cost and depreciation of old replaced asset in terms of para 2.30
of Annexure III to ESAAR, 1985, the effect of which is not ascertainable in the
absence of details.
1.6 a) Provision for long term employee benefi t like pension, gratuity and leave
encashment being made on adhoc basis as stated in Note 16 on Accounts
(Schedule 31), without ascertaining incremental liability based on actuarial
valuation using Projected Unit Credit method, which is not in conformity with
Accounting Standard (AS) 15 on “Employee Benefi ts”, the effect of which could
not be ascertained in the absence of actuarial valuation report as at 31st March
2010 and 31st March 2011.
b) Additional disclosure required to be made in terms of the said Accounting
Standard has also not been made.
1.7 Non ascertainment and non provision for anticipated loss arising from the
obsolescence of capital assets in service and of capital spares as also stores
in stock and assets under construction in terms of para 1.32 in and para 4.5
in Annexure V to ESAAR, 1985 - consequential effect on the accounts not
ascertainable.
1.8 Non disclosure of following matters as required under ESAAR, 1985
Not having obtained insurance of its assets with an outside insurer (para a)
4.6in Annexure V)
Contingent liability on account of claims by Suppliers towards cost b)
escalation (price / quantity / foreign exchange rate fl uctuation) (para 4.12 in
Annexure V)
43 Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
1.9 Non disclosure of movement of provision in terms of Accounting Standard (AS)
29 on “Provisions, Contingent liabilities and contingent assets” (Para 66).
Attention is drawn to following Notes on Accounts (Schedule 31) consequential 2.
effect of which could not be ascertained
Note 1 regarding Contingent liabilities not provided for: Claims against a)
the Corporation not acknowledged as debt – others Rs.1846 lakh, which
includes
Rs.853 lakh relating to amount awarded by West Bengal Industries i.
Facilitation Council, Kolkata on 31.01.2002, representing Rs.172 lakh
on account of outstanding amount for goods supplied by small scale
industries (through NSIC) and Rs.681 lakh interest on delayed payment
under Small Scale and Auxiliary Industrial Undertaking Act, 1993. The
Corporation’s writ petition has been dismissed by the Honourable High
Court of Karnantaka during the year and we are informed that matter
has since been taken up before the Hon’ble Supreme Court. Pending
decision of Hon’ble Supreme Court and as the relevant records are not
readily available, liabilities if any could not be ascertained.
Rs.121.88 lakh pertaining to award of interest to three suppliers under ii.
the MSME Development Act, 2006 by the Rajasthan Industry Facilitation
Council in respect of which the Corporation has fi led an arbitration suit at
Bangalore and matter is pending.
Note 10 regarding Rs.112.50 lakh demanded by lessor for transfer of title over b)
the assets not provided for in the accounts as negotiation to terminate the
lease agreement and repossession of assets are stated to be in progress.
Note 11 regarding non obtention of confi rmation of balance in respect of c)
balances under Loans and Advances, Other Assets and Current Liabilities.
Note 12 regarding Receivables from and Payable to ESCOMs (aggregating d)
to Rs.14,805 lakh and Rs.11,864 lakh respectively) being subject to
reconciliation and confi rmation.
44Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
Note 13 regarding un reconciled net credit balances of Rs.3,018.87 lakh e)
(Debit Rs.28,200.41crore and credit Rs.28,230.60 crore) under Inter Unit
Accounts, which include several old transactions. The net credit balance of
Rs.3,018.87 lakh has been grouped under Other Assets.
Note 14 regarding non provision towards un paid property tax / land cess – f)
amount not ascertained.
Note 21 regarding non disclosure of dues to MSMEs and non provision g)
of interest payable ( amount not ascertained) under MSME Development
Act, 2006 for reasons stated therein. However your attention is drawn to
para (a)(ii) above in respect of interest awarded to three MSMEs by the
Rajasthan Industry Facilitation Council.
Our other observation / comments on the accounts are as under3.
3.1 Equity infusion of Rs. 88500 lakh made during 2008-09 to 2010-11 by Government
of Karnataka (shown as Share Deposit – Schedule 1A) and the utilization thereof
is subject to certain terms viz. the Corporation is required among others to prepare
the design and monitoring framework for each project with investments above
Rs.5 crore (of respective fi nancial years during which funds were released) as
per Government guidelines dated 01.08.2008 and in respect of funds of Rs.200
crores released on 31.03.2011 also to take Cabinet approval for the works to
be taken up by leveraging the equity infusion as per monitoring / measurable
parameters and as per pre determined time schedule. The Corporation is yet to
comply with terms of capital infusion and the funds already utilized (amount not
ascertainable) is subject to ratifi cation by Government of Karnataka.
3.2 a) Capital Work in Progress (Schedule 7), includes capitalization of interest
of about Rs.350 lakh (to the extent ascertainable) in respect of works already
commissioned. Consequently profi t for the year is higher by Rs.350 lakh.
b) Deferred Costs Rs.184.78 lakh (Schedule 7B) includes Rs.86.98 lakh
erroneously written off during previous year and hence reinstated during
the year.
45 Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
3.3 Unsecured Advance to Suppliers and Contractors, Rs.11,635.69 lakh (grouped
under Loans and Advances- Schedule 13) includes refund of penalty / liquidated
damages recovered from running bills and which is proposed to be recovered out
of retention bills, pending ratifi cation by the Board of Directors. Further, extent of
amount that can be recovered cannot be ascertained at this stage.
3.4 Other Assets- Amount recoverable from employees Es.469.59 lakh (Schedule
14) include Rs.129.66 lakh relating to shortages etc. proposed to be recovered
(including from terminal benefi ts and / or from pension/ family pension). In
the absence of details of eligible terminal benefi t / pension / family pension
amount required to be provided towards irrecoverable balance could not be
ascertained.
3.5 a) The Corporation has been only providing for bonus to eligible employees for
the year to the extent of minimum bonus, without ascertaining allocable surplus
and set on available., as per Payment of Bonus Act. Consequently additional
liability under the said Act could not be ascertained.
b) No provision in the account has been made for Rs.89.44 lakh being
Corporation’s share of additional capital expenditure under United Load Dispatch
and Communication (ULDC) Scheme for the period 01.04.2004 to 31.03.2009,
claimed by PGCIL in terms of CERC order dated 18.03.2011. Consequently,
Current Liabilities is understated and profi t for the year is overstated by Rs.89.44
lakh.
c) Sundry Creditors for purchase of power Rs.1,58,892 lakh (Schedule 15)
represents balance amount payable relating to purchase made up to 09.06.2005
(substantial portion of it outstanding for over three years) together with interest
of Rs.10,821 lakh per annum provided only in respect of principal amount due
to KPCL . In the absence of necessary details and confi rmation of balance, we
are unable to ascertain either the existence of liability or the additional liability
the Corporation may have to bear.
3.6 a) Adjustment pending renotifi cation by GOK Rs.4323.95 lakh (grouped under
Current Liability – Schedule 15-I) represents adjustments made after fi nal
46Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
notifi cation dt. 07.10.2004 (of Opening Balance Sheet of the Corporation as at
01.06.2002) pertaining to period prior to 01.06.2002 and having effect on the
networth of the Corporation as at .01.06.2002. The Corporation has on 26.02.2010
sought approval of Energy Department for transfer of Rs.4294.39 lakh as at
31.03.2009 to Share Capital Account, in terms of authorization accorded vide
GO dated 07.10.2004. The Corporation is yet to seek such approval for Rs.29.56
lakh credited to the account during the year
b) During the year, certain difference between general ledger balance and sub
ledger balances and / or balances without details aggregating to Rs.4077 lakh
(to the extent ascertained) has been taken as income for the year included in
Other Income - Other recoveries – Schedule18), though the same has the effect
on the networth as on 01.06.2002. Consequently, profi t for the year is overstated
by Rs.4077 lakh and “Adjustment pending renotifi cation by GOK” understated by
the like amount.
c) Further, the amount now disclosed in the accounts is also subject to the effect
of auditor’s qualifi cation on the accounts for 2009-10 and earlier years.
3.7 Other Income – Other recoveries also include penalty / liquidated damages relating
to Capital Works (amount not readily ascertainable). In light of the Corporation
capitalizing extra cost (including interest) on account of re-tendering, such
penalty/ liquidated damages, in our opinion, are not in the nature of “income”
referred to in ESAAR, 1985 (para2.15 an Annexure III) but are in the nature of
receipts in mitigation of extra cost incurred on account of delay and hence to be
adjusted against cost of corresponding asset, as per the opinion of the Expert
Advisory Committee of ICAI. In the absence of necessary details, consequential
effect on the accounts could not be ascertained.
3.8 Miscellaneous losses and Write off Rs.111.52 lakh (grouped under Other
Expenses – Schedule 23) include loss of Rs.41.32 lakh on account of alleged
theft of lines, written off pending ratifi cation by the Board.
3.9 Contingent Liabilities not provided for (Note 1 on Accounts – Schedule 31) does
not include following claims to the (extent ascertainable) made in terms of CERC
47 Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
order dated 18.03.2011 and 17.03.2011 and which are required to be collected
from ESCOMs and remitted by the Corporation as per the regulation.
Claim of Rs.502.57 lakh by PGCIL towards additional capital expenditure a)
under ULDC scheme for the period 01.04.2004 to 31.03.2009.
Claim of Rs.126.53 lakh by POSCO towards SLDC fees and charges b)
(including NLDC charges) for the months of October 2010 to February 2011
and for March 2011.
The consequential effect of the above comments to the extent ascertainable is 4.
as under
(Rs. in lakhs)
Profi t before tax for the year overstated by 15,175.27
Capital Work in Progress overstated by 350.00
Stores and Spares overstated by 64.84
Sundry Debtors overstated by 269.25
Other Assets overstated by 10,324.74
Current Liabilities under stated by 4166.44
For RAO & SWAMI
CHARTERED ACCOUNTANTS
FRN : 003105S
Sd/-
(N.RAMESH)
PARTNER
Membership No: 16153
Place: Bangalore
Date: 5th September 2011
48Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
ANNEXURE II TO THE AUDITORS’ REPORT
(Referred to in Paragraph 3 of our report of even date to the members of Karnataka
Power Transmission Corporation Limited. on the fi nancial statements for the year
ended 31st March, 2011)
1.
(a) The Corporation has been maintaining records showing particulars including
quantitative details of fi xed assets, except for land, assets transferred from
division to division. Details of the situation of Fixed assets has not been
mentioned in all the cases.
(b) According to information and explanation given to us,
(i) the assets/installations put to use in electricity supply and transmission
functions are considered as physically available so long as the functions
are continued to be discharged and are not subject to periodical physical
verifi cation as assets like lines run through forest area and spread over
the State.
the Corporation(ii) has a system of physical verifi cation of tools and
furniture (T&P counting) every year.
However, the procedure of physical verifi cation where conducted and details
of discrepancies found on such verifi cation have not been documented.
Further, in our opinion, the Corporation should evolve suitable system of
periodic physical verifi cation covering all types of fi xed assets, capital work
in progress (including material procured under turn key contracts), assets
not in use and deferred cost.
(c) Company has not disposed off substantial part of fi xed assets during the year
so as to affect its going concern status.
2. (a) According to the information and explanation given to us, the Corporation has
a system of physical verifi cation of inventories every year and at the time of
49 Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
handing over of charge. Materials in transit have been taken as per records.
In our opinion, the frequency of verifi cation is reasonable considering the
size of the company and nature of its business.
(b) In our opinion, the procedure of physical verifi cation of inventory needs to
be properly documented, in the absence of which we are unable to express
our opinion on its reasonableness and adequacy in relation to the size of the
Corporation and its nature of business.(c) According to the information and
explanations furnished to us, the Corporation has a system of maintaining
proper records of inventory and discrepancies found or noticed on physical
verifi cation have been properly dealt in the accounts except excess of Rs.
8.74 lakh and shortage of Rs.64.87 lakh which are under investigation as
on 31st March 2011. However, in our opinion, discrepancy found on physical
verifi cation and adjustment thereof needs to be properly documented and
also maintenance of stores ledger / records needs to be strengthened.
3. (a) According to the information and explanations given to us, the Corporation has
during the year not granted any loans, secured or unsecured to companies,
fi rms and other parties covered in the register maintained under section 301
of the Companies Act, 1956. Accordingly, the provisions of clause 4 (iii)(a),
(b) (c) and (d) of the Order are not applicable.
(b) According to the information and explanations given to us, the Corporation has
during the year not taken any loans, secured or unsecured from companies,
fi rms and other parties covered in the register maintained under section 301
of the Companies Act, 1956. Accordingly, the provisions of clause 4 (iii)(e),
(f) and (g) of the Order, are not applicable.
4. According to the information and explanations furnished to us, there are
prima facie adequate internal control procedures commensurate with the
size of the Corporation and nature of its business, for purchase of inventory
and fi xed assets and for service / transmission of power except in respect of
‘Accounts Transfer’, asset categorization, accounting for completed works
and review of balances for adjustment / recovery, which in our opinion needs
to be strengthened.
50Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
5. According to information and explanation given to us, there are no transactions
made in pursuance of contracts or arrangements that need to be entered in
the register maintained under section 301 of the Companies Act, 1956.
6. The Corporation has not accepted any deposits from the public. Therefore
provisions of clause 4 (vi) of the Order are not applicable.
7. The Corporation has an internal audit division. In our opinion the system
requires to be strengthened with regard to manpower (including professionally
qualifi ed personnel), scope and extent of coverage of transactions (including
compliance of Accounting Standards, categorization of assets, review of old
balances and presence during physical verifi cation) and reporting and follow
up, in order to be commensurate with the size of the Corporation and nature
of its business.
8. The maintenance of cost records in respect of electricity / transmission of
power has been prescribed by the government under clause (d) of subsection
(1) of Section 209 of the Companies Act, 1956. However we are informed that
the Corporation does not keep separate set of registers and books for cost
records and cost statements are prepared based on the fi nancial accounting
books and records.
9. (a) Based on our examination of books of account and according to the information
and explanations given to us, in our opinion, the Corporation is regular in
depositing undisputed statutory dues with the appropriate authorities and
there were no arrears of such dues at the year end which have remained
outstanding for a period of more than six months from the date they became
payable. However as informed to us, property tax is paid and accounted as
and when demand is raised from the Revenue authorities and provisions
of service tax are not applicable to the Corporation. Further applicability
of wealth tax on motor cars and urban land has not been ascertained and
paid.
(b) According to the information and explanations furnished, there are no due of
income tax, sales tax, wealth tax, service tax, customs duty and excise duty
which have not been deposited on account of any dispute.
51 Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
10. The Corporation has no accumulated losses as at March 31, 2011 and subject
to effect of qualifi cation in the audit reports, has not incurred cash loss in the
fi nancial year ended on that date or in the immediately preceding previous
year.
11. Based on our examination of books of account and according to the information
and explanations given to us, the Corporation has not defaulted in repayment
of dues to a fi nancial institution or Bank or Debenture holders.
12. According to the information and explanation given to us, the Corporation
has not granted any loans & advances on the basis of security by way of
pledge of shares, debentures and other securities. As such, provisions of
clause 4(xii) of the Order are not applicable.
13. The Corporation is not a Chit fund Corporation, Nidhi Corporation or mutual
benefi t Society. Therefore the provisions of paragraph 4(xiii) of the Order are
not applicable to the Corporation.
14. The Corporation is not dealing or trading in shares, securities, debentures and
other investment and as such clause 4(xiv) of the Order is not applicable.
15. According to the information and explanation given to us the Corporation
has not given guarantees for loan taken by others from banks or fi nancial
institutions.
16. According to the information and explanations given to us, though the loan
funds and utilization thereof cannot be matched one to one as the funds
are pooled, on an overall basis, the term loans have been applied or in the
process of being applied for the purposes for which they were obtained.
17. According to the Cash fl ow statement and other records examined by us and
according to the information and explanation given to us, on an overall basis,
funds raised on short term basis have prima facie, not been used during
the year for long term investment other than temporary deployment pending
receipt of long term loans.
52Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
18. The Corporation has not made any preferential allotment of shares to parties
and companies covered in the register maintained under section 301 of the
Act.
19. The Corporation has not issued any debentures; accordingly the provisions
of clause 4(xix) of the Order are not applicable.
20. The Corporation has not raised money by public issue, as such provisions of
clause 4(xx) of the Order are not applicable.
21. According to the information and explanation given to us and to the best of
our knowledge and belief, no fraud on or by the Corporation has been noticed
or reported during the year under audit. In respect of departmental enquiry
initiated against a few employees relating to alleged serious irregularities,
we are informed that the same are not in the nature of fraud and / or its
nature can be determined only on completion of enquiry.
For RAO & SWAMI
CHARTERED ACCOUNTANTS
FRN : 003105S
Sd/-
(N.RAMESH)
PARTNER
Membership No: 016153
Place: Bangalore
Date: 5th September 2011
53 Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
ADDENDUM TO DIRECTORS’ REPORT FOR
THE YEAR ENDED 31ST MARCH 2011
FOLLOWING REMARKS ARE OFFERED ON THE OBSERVATION / COMMENTS
OF THE STATUTORY AUDITOR ON THE ACCOUNTS FOR 2010-11
Sl.
No.
Observation of Statutory
AuditorsManagement’s Reply
1 Non compliance of the Balance
Sheet, Profi t & Loss Account and
the Cash Flow Statement dealt with
by this report with the provisions of
ESAAR, 1985 and / or Accounting
Standards referred to in subsection
3 of Section 211 of the Companies
Act, 1956 (to the extent they are
not inconsistent with the provisions
of ESAAR 1985), observed by us
are listed hereunder
1.1 a) Valuation in respect of certain
inventories not held for consumption
like scrap and nonmoving / surplus
items, made at standard rate or
cost instead of lower of cost or net
realizable value as per Accounting
Standard (AS) 2 on “Valuation of
Inventories” (there being no specifi c
provision in ESAAR 1985), the
effect of which is not ascertainable
in the absence of details.
The action taken is as per para 2.20 of Annexure
V of Electricity (Supply) Annual Accounts
Rules, 1985 (ESAAR) issued under Sec. 69(1)
of the Electricity (Supply) Act, 1948. With the
promulgation of Electricity Act, 2003, the Act of
1948 was repealed while the ESAAR has been
saved by virtue of Sec. 185 of the new Act of
2003. As such, the provisions of ESAAR are still
applicable.
b)Loss on shortage in material
stock has not been provided
for in the period in which
the shortage was observed,
as required by para 2.20 (12) in
Annexure V to ESAAR 1985, but
taken under Stores and Spares
(Schedule 10) as ‘Stock shortage
pending investigation’. Hence
Stores and Spares and profi t for
the year is over stated by Rs.64.84
lakhs.
As per the procedure followed by KPTCL and as
per the provisions of Electricity Supply Annual
Accounts Rules, 1985 (ESAAR 1985), the
stock shortages found on physical verifi cation
are initially accounted under “Stock Shortage
Pending Investigation”. On the outcome of the
departmental enquiry, the responsibility is fi xed
on the concerned and action taken to recover
the amount. If the responsibility cannot be fi xed
on any one, the amount will be written off in
the books of accounts. In the instant case, the
Audit has considered the entire amount of stock
shortage pending investigation as loss and
quantifi ed it in the Audit Report. This position is
not in accordance with normal practice followed
hitherto.
54Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
1.2 Non inclusion of amount of
Rs.10,209.37 lakhs relating to
amount stated to have been
claimed from ESCOMs towards
differential cost of power purchased
prior to 09.06.2005, relating to
2007-08 to 2009-10 referred
to in our Note 1.4 hereunder in
Prior period credits / (charges)–
Schedule 29 but including it in
Miscellaneous Recoveries ( under
Other Income – Schedule 18), which
is not in conformity with Accounting
Standard (AS) 5 on “Net profi t for
the period, Prior period items and
Changes in Accounting Policies”.
Hence profi t for the period and Prior
period change (net) are overstated
by Rs.10,209.37 lakhs, subject to
our Note 1.4 hereunder.
In the P&L Account of KPTCL, Prior period
credits/charges is shown above the line. As
such, there is no impact on Profi t for the period
& Prior period charges(Net)(Refer reply to 1.4(ii)
also)
1.3 a) Non charging of depreciation on
assets aggregating Rs.1,551.74
lakhs removed for repairs
(included in Advance Suppliers
and Contractors under Loans and
Advances - Schedule 12), as
stated in Accounting policy 4.8 and
in Note 9 on Accounts (Schedule-
31) which is not in conformity with
Accounting Standard (AS) 6 on
“Depreciation Accounting” as also
ESAAR 1985. (In terms of para 2.60
in Annexure III thereto, depreciation
charge on assets shall cease from
the year following the year in which
the asset permanently ceases to be
used and removal for repairs does
not fall within this category.)
Factual- owing to huge number of equipments
given to repairs, it is not practically feasible
to keep track of each equipment for providing
Depreciation.
Sl.
No.
Observation of Statutory
AuditorsManagement’s Reply
55 Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
b) Charging depreciation on
assets constructed on leasehold
land at normal rate, as stated in
Accounting Policy 4.7 (Schedule
30), which is also not in conformity
with Accounting Standard (AS) - 6
on “Depreciation Accounting” (and
there being no specifi c provisions
in ESAAR, 1985)
The effect of (a) and (b) above are
not ascertainable in the absence of
necessary details.
Attention is invited to Para 3.3 of AS-6 which
reads as follows “ useful life is either(i) the
period over which a depreciable asset is
expected to be used by the enterprise or (ii) the
number of production or similar Units expected
to be obtained from the use of the asset by the
enterprise
Para 13 reads as follows: - “The statute
governing an enterprise may provide the
basis for computation of the depreciation. For
Example, the Companies Act, 1956 lays down
the rates of depreciation in respect of various
assets. Where the management’s estimate of
the useful life of an asset of the enterprise is
shorter than that envisaged under the provisions
of the relevant statute, the depreciation provision
is appropriately computed by applying the higher
rate. If the management’s estimate of the useful
life of the asset is longer than that envisaged
under the statute, depreciation rate lower than
that envisaged by statute can be applied only in
accordance with requirements of the statute.
From the above, it can be inferred that the
adoption of correct rates of depreciation is left
to the decision of the management. In the
instant case, KPTCL has decided to follow the
depreciation at the regular rates applicable to
the buildings on leasehold land. Further, it may
please be noted that KPTCL is holding Land
under lease (which is subject to renewal ) and
has no other asset under lease.
1.4 Recognition of following as income
despite signifi cant uncertainty in
collectability is not in confi rmity
with Accounting Standard (AS) - 9
on “Revenue Recognition”
Sl.
No.
Observation of Statutory
AuditorsManagement’s Reply
56Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
i) Rs.269.25 lakh being delayed
payment charges from Hukkeri
Electricity Co op. Society, not
accepted / paid by the said
Society.
The billing of Hukkeri Society comprising of
transmission charges and bulk power supply
charges commenced from June-2002. As the
Society was an HT installation at Ghataprabha
Division, HESCOM, where the HT agreement
has been executed with interest clause and
action has been taken by KPTCL accordingly.
ii)Rs.10,324.74 lakh being
differential cost of power purchased
prior to 09.06.2005 accounted
as purchases by the Corporation
during the fi nancial years 2008.09
to 2010.11(including Rs.10,209.37
lakh relating to 2007.08 to 2009.10)
stated to have been claimed by
way of letter to ESCOMs based
on Tariff Orders. The amount now
recognized as income includes such
claims aggregating Rs.9392.46
lakh relating to 2007-08. and
2008-09 made during 2009.10 but
not accepted / paid by ESCOMs.
Further such claim for 2010.11 for
Rs.115.37 lakh is yet to be made.
Consequently, profi t for the year is
overstated by Rs.10,593.99 lakh
and Sundry Debtors and Other
Assets overstated by Rs.269.25
lakh and Rs.10,234.74 lakh
respectively.
ii) The issue pertains to claiming of power
purchase expenditure pertaining to the period
prior to 10-6-2005, the claims of which have been
paid / accounted in 2007-08, 2008-09, 2009-10
and 2010-11. KERC in its Tariff Order 2009 and
2010 has authorized KPTCL to claim the power
purchase expenditure from ESCOMS and this
expenditure has not been reckoned by KERC
for fi xation of Tariff. Relevant extracts of Tariff
Order issued by Hon’ble KERC are enclosed
as Annexure 1. Thus the ESCOMS have to pay
this amount to KPTCL in accordance with the
Tariff Order of Karnataka Electricity Regulatory
Commission. The Karnataka Electricity
Regulatory Commission is a Regulatory body
and the ESCOMs have to follow Directions of
Karnataka Electricity Regulatory Commission.
Further, GOK vide letter dated 23/09/2011
has undertaken to pay the amount in case the
ESCOMs do not pay the same.
1.5 Capitalisation of expenditure on
replacement of asset or part of
assets with independent existence
as stated in Accounting Policy 3.5
(Schedule 30), without withdrawing
cost and depreciation of old
replaced asset in terms of para 2.36
of Annexure III to ESAAR, 1985, the
effect of which is not ascertainable
in the absence of details.
Attention is invited to Para 3.5 of Signifi cant
Accounting Policies wherein it is stated that
Original cost and Accumulated Depreciation on
replaced Assets are removed from Accounts.
The same is followed accordingly.
Sl.
No.
Observation of Statutory
AuditorsManagement’s Reply
57 Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
1.6 a) Provision for long term employee
benefi t like pension, gratuity and
leave encashment being made on
adhoc basis as stated in Note 16
on Accounts (Schedule 31), without
ascertaining incremental liability
based on actuarial valuation using
Projected Unit Credit method,
which is not in conformity with
Accounting Standard (AS) -15 on
“Employee Benefi ts”, the effect of
which could not be ascertained in
the absence of actuarial valuation
report as at 31st March 2010 and
31st March 2011.
b) Additional disclosure required
to be made in terms of the said
Accounting Standard has also not
been made.
a) & b)The responsibility of discharging the
terminal benefi ts of the retired employees rests
with the Pension & Gratuity Trust. As such, the
issue will be pursued with P&G Trust during
2011-12.
1.7 Non ascertainment & Non provision
for anticipated loss arising from the
obsolescence of capital assets in
service and of capital spares as
also stores in stock and assets
under construction in terms of para
1.32 and para 4.5 in Annexure V to
ESAAR, 1985 and consequential
effect on the accounts not
ascertainable.
KPTCL is providing for all types losses that can
be expected.
1.8 Non disclosure of following matters
as required under ESSAR, 1985
a)The Corporation has not got its
assets insured with an outside
insurer (para 4.6in Annexure V)
Factual
Contingent liability on account of
claims by Suppliers towards cost
escalation (price / quantity / foreign
exchange rate fl uctuation)
Not quantifi able unless bills are preferred.
Sl.
No.
Observation of Statutory
AuditorsManagement’s Reply
58Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
1.9 Non disclosure of movement of
provision in terms of Accounting
Standard (AS)-29 on “Provisions,
Contingent liabilities and contingent
assets” (Para 66).
No comments
2 Attention is drawn to following
Notes on Accounts (Schedule 31)
consequential effect of which could
not be ascertained except as stated
in our Note 2(a).
a) Note 1 regarding Contingent
liabilities not provided for: Claims
against the Corporation not
acknowledged as debt – others
Rs.1846 lakh, which includes
i) Rs.853 lakh relating to amount
awarded by West Bengal Industries
Facilitation Council, Kolkata on
31.01.2002, representing Rs.172
lakh on account of outstanding
amount for goods supplied by small
scale industries (through NSIC)
and Rs.681 lakh interest on delayed
payment under Small Scale and
Auxiliary Industrial Undertaking
Act, 1993. The Corporation’s writ
petition has been dismissed by
the Honourable High Court of
Karnantaka during the year and we
are informed that matter has since
been taken up before the Hon’ble
Supreme Court. Pending decision
of Hon’ble Supreme Court and as
the relevant records are not readily
available, liabilities if any could not
be ascertained.
i)In the SLP fi led by KPTCL before the Hon’ble
Supreme Court, Principal amount along with
the Interest has been contested. As such,
showing the entire amount of Rs.853 lakh under
contingent liabilities is in order. Further all the
relevant records are available for verifi cation by
Audit.
Sl.
No.
Observation of Statutory
AuditorsManagement’s Reply
59 Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
ii) Rs.121.88 lakh pertaining to
award of interest to three suppliers
under the MSME Development Act,
2006 by the Rajasthan Industry
Facilitation Council in respect of
which the Corporation has fi led an
arbitration suit at Bangalore and
matter is pending.
ii)Factual
b) Note 10 regarding Rs.112.50 lakh
demanded by lessor for transfer of
title over the assets not provided
for in the accounts as negotiation to
terminate the lease agreement and
repossession of assets are stated
to be in progress.
b)Factual
c) Note 11 regarding non obtention
of confi rmation of balance in
respect of balances under Loans
and Advances, Other Assets and
Current Liabilities.
c)KPTCL is transacting with large number of
suppliers / contractors through out the state.
Hitherto, suppliers / Contractors have not
raised any objections for the amounts shown in
Accounts
d) Note 12 regarding Receivables
from and Payable to ESCOMs
(aggregating to Rs.14,805 lakh
and Rs.11,864 lakh respectively)
being subject to reconciliation and
confi rmation.
Factual
e) Note 13 regarding un reconciled
net credit balances of Rs.3,018.87
lakh (Debit Rs.28,200.41crore and
credit Rs.28,230.60 crore) under
Inter Unit Accounts, which include
several old transactions. The net
credit balance of Rs.3,018.87 lakh
has been grouped under Other
Assets.
Factual
Sl.
No.
Observation of Statutory
AuditorsManagement’s Reply
60Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
f) Note 14 regarding non provision
towards un paid property tax / land
cess – amount not ascertained.
Property Tax is being paid/necessary provisions
in the Accounts have been made on receipt of
demand Notices or on estimates obtained from
the concerned Authorities.
g) Note 21 regarding non
disclosure of dues to MSMEs and
non provision of interest payable
( amount not ascertained) under
MSME Development Act, 2006 for
reasons stated therein. However
your attention is drawn to para
(a)(ii) above in respect of interest
awarded to three MSMEs by the
Rajasthan Industry Facilitation
Council.
The Company has not received information from
suppliers regarding their status under Micro,
Small & Medium enterprises Development Act,
2006.
3. Our other observation / comments
on the accounts are as under
3.1 Equity infusion of Rs. 88500.00
lakh made during 2008-09 to 2010-
11 by Government of Karnataka
and the utilization thereof is
subject to certain terms viz. the
Corporation is required among
others to prepare the design and
monitoring framework for each
project (of respective fi nancial
years during which funds were
released) with investments above
Rs.5 crore as per Government
guidelines dated 01.08.2008 and in
respect of funds of Rs.200 crores
released on 31.03.2011 also to
take Cabinet approval for the works
to be taken up by leveraging the
equity infusion as per monitoring /
unreasonable parameters and as
per pre determined time schedule.
The Corporation is yet to comply
with terms of capital infusion and
the funds already utilized (amount
not ascertainable is subject to
ratifi cation by GoK)
Factual
Sl.
No.
Observation of Statutory
AuditorsManagement’s Reply
61 Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
3.2 a) Capital Work in Progress,
includes capitalization of interest
of about Rs.350 lakh (to the
extent ascertainable) in respect
of works already commissioned.
Consequently profi t for the year is
higher by Rs.350 lakh.
This is due to excess capitalization of Interest
on borrowings in respect of 110KV MC Line
from Jog – Sagar and 110 KV SC Line between
Varahi – Kemar and Kemar – Kavoor .The
interest capitalization has been reworked by
APR Section and actual interest as per working
works out to Rs.212 Lakhs.
b) Deferred Costs Rs.184.78 lakh
(Sch-7B) includes Rs.86.98 lakh
erroneously written off during
previous year and hence reinstated
during the year.
Works for which preliminary expenses towards
survey & investigation was incurred, have been
takenup for execution. As such, the amount has
been reinstated.
3.3 Unsecured Advance to Suppliers
and Contractors, Rs.11,635.69
lakh (grouped under Loans and
Advances- Schedule 13) includes
refund of penalty / liquidated
damages recovered from running
bills and which is proposed to be
recovered out of retention bills,
pending ratifi cation by the Board of
Directors. Further, extent of amount
that can be recovered cannot be
ascertained at this stage.
Amount is recoverable out of the retention
money
3.4 Other Assets- Amount recoverable
from employees Es.469.59 lakh
(Schedule 14) include Rs.129.66
lakh relating to shortages etc.
proposed to be recovered (including
from terminal benefi ts and / or
from pension/ family pension). In
the absence of details of eligible
terminal benefi t / pension / family
pension amount required to be
provided towards irrecoverable
balance could not be ascertained.
The amount is recoverable out of the Terminal
benefi ts of the retired employees.
Sl.
No.
Observation of Statutory
AuditorsManagement’s Reply
62Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
3.5 a)The Corporation has been only
providing for bonus to eligible
employees for the year to the
extent of minimum bonus, without
ascertaining allocable surplus and
set on available., as per Payment of
Bonus Act. Consequently additional
liability under the said Act could not
be ascertained.
As the minimum Bonus is being paid there is
no additional liability in this regard
b) No provision in the account has
been made for Rs.89.44 lakh being
Corporation’s share of additional
capital expenditure under United
Load Dispatch and Communication
(ULDC) Scheme for the period
01.04.2004 to 31.03.2009, claimed
by PGCIL in terms of CERC order
dated 18.03.2011. Consequently,
Current Liabilities is understated
and profi t for the year is overstated
by Rs.89.44 lakh.
Claims in respect of PGCIL is to be met by
ESCOMS only and not by KPTCL.
c) Sundry Creditors for purchase of
power Rs.1,58,892 lakh (Schedule
15) represents balance amount
payable relating to purchase made
up to 09.06.2005 (substantial
portion of it outstanding for over
three years) together with interest of
Rs.10,821 lakh per annum provided
only in respect of principal amount
due to KPCL . In the absence of
necessary details and confi rmation
of balance, we are unable to
ascertain either the existence of
liability or the additional liability the
Corporation may have to bear.
Facual.
Sl.
No.
Observation of Statutory
AuditorsManagement’s Reply
63 Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
3.6 a) Adjustment pending renotifi cation
by GOK Rs.4323.95 lakh (grouped
under Current Liability – Schedule
15-I) represents adjustments made
after fi nal notifi cation dt. 07.10.2004
(of Opening Balance Sheet of the
Corporation as at 01.06.2002)
pertaining to period prior to
01.06.2002 and having effect on
the networth of the Corporation as
at 01.06.2002. The Corporation has
on 26.02.2010 sought approval of
Energy Department for transfer of
Rs.4294.39 lakh as at 31.03.2009
to Share Capital Account, in terms
of authorization accorded vide GO
dated 07.10.2004. The Corporation
is yet to seek such approval for
Rs.29.56 lakh credited to the
account during the year
Facual
b) During the year, certain
difference between general ledger
balance and sub ledger balances
and / or balances without details
aggregating to Rs.4077 lakh (to the
extent ascertained) has been taken
as income for the year included in
Other Income - Other recoveries
– Schedule18), though the same
has the effect on the networth as
on 01.06.2002. Consequently,
profi t for the year is overstated
by Rs.4077 lakh and “Adjustment
pending renotifi cation by GOK”
understated by the like amount.
The undischarged liabilities of very old period for
which details are not available are continued in
the books of accounts of KPTCL. Such liabilities
existed in MWD, South Division, MWD, Kolar
and APR Section have been written back during
the year amounting to Rs.4166.44 Lakhs as was
done in earlier years. Hence, Audit is requested
to accept this accounting treatment.
Sl.
No.
Observation of Statutory
AuditorsManagement’s Reply
64Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
c) Further, the amount now
disclosed in the accounts is also
subject to the effect of auditor’s
qualifi cation on the accounts for
2009-10 and earlier years.
3.7 Other Income – Other recoveries
also include penalty / liquidated
damages relating to Capital Works
(amount not readily ascertainable).
In light of the Corporation
capitalizing extra cost (including
interest) on account of re-tendering
, such penalty/ liquidated damages,
in our opinion, are not in the nature
of “income” referred to in ESAAR,
1985 (para2.15 an Annexure III)
but are in the nature of receipts
in mitigation of extra cost incurred
on account of delay and hence
to be adjusted against cost of
corresponding asset, as per the
opinion of the Expert Advisory
Committee of ICAI. In the absence
of necessary details, consequential
effect on the accounts could not be
ascertained.
Action taken is as per the Electricity Act 1985
3.8 Miscellaneous losses and Write
off Rs.111.52 lakh (grouped under
Other Expenses – Schedule 23)
include loss of Rs.41.32 lakh on
account of alleged theft of lines,
written off pending ratifi cation by
the Board.
Factual
Sl.
No.
Observation of Statutory
AuditorsManagement’s Reply
65 Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
3.9 Contingent Liabilities not provided
for (Note 1 on Accounts – Schedule
31) does not include following
claims to the (extent ascertainable)
made in terms of CERC order dated
18.03.2011 and 17.03.2011 and
which are required to be collected
from ESCOMs and remitted by the
Corporation as per the regulation.
a) Claim of Rs.502.57 lakh by
PGCIL towards additional capital
expenditure under ULDC scheme
for the period 01.04.2004 to
31.03.2009.
KPTCL is not a party to the transaction
b) Claim of Rs.126.53 lakh by
POSCO towards SLDC fees
and charges (including NLDC
charges) for the months of October
2010 to February 2011 and for
March 2011.
KPTCL is not a party to the transaction
4 The consequential effect of the
above comments to the extent
ascertainable is as under
(Rs. in lakhs)
Profi t before tax for the
year overstated by 15,175.27
Capital Work in Progress
overstated by 350.00
Stores and Spares
overstated by 64.84
Sundry Debtors
overstated by 269.25
Other Assets
overstated by 10,324.74
Current Liabilities
under stated by 4166.44
Item 1: Capital works in progress overstated by
– Rs.350 Lakhs
This is due to excess capitalization of Interest
on borrowings in respect of 110KV MC Line from
Jog – Sagar and 110 KV SC Line between Varahi
– Kemar and Kemar – Kavoor. It was replied
during Audit that the details will be verifi ed and
necessary action taken during 2011-12. The
interest capitalization has been reworked by
APR Section and actual interest as per working
works out to Rs.212 Lakhs.
Sl.
No.
Observation of Statutory
AuditorsManagement’s Reply
66Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
Item 2: Stores & Spares overstated by –
Rs.64.84 Lakhs
As per the procedure followed by KPTCL and as
per the provisions of Electricity Supply Annual
Accounts Rules, 1985 (ESAAR 1985), the
stock shortages found on physical verifi cation
are initially accounted under “Stock Shortage
Pending Investigation”. On the outcome of the
departmental enquiry, the responsibility is fi xed
on the concerned and action taken to recover
the amount. If the responsibility cannot be fi xed
on any one, lateron the amount will be written
off in the books of accounts. In the instant case,
the Audit has considered the entire amount of
stock shortage pending investigation as loss and
quantifi ed it in the Audit Report. This position is
not in accordance with normal practice followed
hitherto.
Item 3: Sundry Debtors Overstated by -
Rs.269.25 Lakhs The issue pertains to claiming
of interest on belated payment of dues by
Hukkeri Co-operative Society. The correct
amount is Rs.262.95 lakhs as against Rs.269.25
Lakhs quanitifed by the Audit. Recovery is being
persued by Transmission Billing Centre of
KPTCL, Bangalore.
Item 4: Other Assets Overstated by –
Rs.10334.74 Lakhs
The issue pertains to claiming of power purchase
expenditure pertaing to the period prior to 10-
6-2005, the claims of which have been paid /
accounted in 2007-08, 2008-09, 2009-10 and
2010-11. KERC in its Tariff Order 2009 and
2010 has authorized KPTCL to claim the power
purchase expenditure from ESCOMS and this
expenditure has not been reckoned by KERC
Sl.
No.
Observation of Statutory
AuditorsManagement’s Reply
67 Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
for fi xation of Tariff. Relevant extracts of Tariff
Order issued by Hon’ble KERC are enclosed
as Annexure 1. Thus the ESCOMS have to pay
this amount to KPTCL in accordance with the
Tariff Order of Karnataka Electricity Regulatory
Commission. The Karnataka Electricity
Regulatory Commission is a Regulatory body
and the ESCOMs have to follow Directions of
Karnataka Electricity Regulatory Commission.
Item 5: Current Liabilities Understated by –
Rs.4166.44 Lakhs The undischarged liabilities
of very old period for which details are not
available are continued in the books of accounts
of KPTCL. Such liabilities existed in MWD, South
Division, MWD, Kolar and APR Section have
been written back during the year amounting to
Rs.4166.44 Lakhs as was done in earlier years.
Sl.
No.
Observation of Statutory
AuditorsManagement’s Reply
68Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
BALANCE SHEET AS AT MARCH 31ST 2011
(Amount in Rs.)
Sl.
No.Particulars
SCH
NO
A/c
CodeAs at 31-03-2011 As at 31-03-2010
I SOURCES OF FUNDS :-
1
2
3
4
Share holders Funds
Share Capital
Share Deposit
Reserves and
Surplus
Loans Funds
Secured Loans
Unsecured Loans
Other Funds
Service Line and
Security Deposits
Deferred Tax Liability
1
1A
2
3
4
5
5A
52.301
52.302
55 to 58
51 to 54
52 & 54
47 & 48
46.802
690 32 25 000
885 00 00 000
422 13 82 406
4970 16 09 619
536 50 55 525
100 62 02 258
274 28 98 876
1997 46 07 406
5506 66 65 144
100 62 02 258
274 28 98 876
690 32 25 000
485 00 00 000
345 93 18 405
5182 05 99 068
16 70 31 628
66 93 82 580
274 28 98 876
1521 25 43 405
5198 76 30 696
66 93 82 580
274 28 98 876
TOTAL 7879 03 73 684 7061 24 55 557
II APPLICATION OF
FUNDS :-
1
2
3
Fixed Assets
(a) Gross Block
(b) Less: Depreciation
(c) Net Block
(d) Capital Work in
Progress
(e) Asset not in use
(f) Deferred Costs
Investments
Current Assets,
Loans and
Advances
(a) Interest accrued
on Inv. & Deposits
(b) Stores & Spares
(c) Sundry Debtors
(d) Cash and Bank
balances
6
7
7A
7B
8
9
10
11
12
10 & 12
14 & 15
16
17
22
23&28.1
20 & 24
9025 50 99 487
-2696 01 34 331
6329 49 65 156
2591 29 42 769
15 45 34 216
1 84 77 566
2608 59 54 551
NIL
Nil
106 08 75 689
244 97 75 788
393 04 24 985
8938 09 19 707
7808 59 28 283
-2305 91 43 330
5502 67 84 953
2922 22 92 884
17 18 45 508
0
2939 41 38 392
Nil
Nil
101 14 03 999
264 08 63 520
163 77 23 372
8442 09 23 345
69 Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
(e) Loans and
Advances
(f) Other Assets
Less:
Current Liabilities &
Provisions
Net Current Assets
13
14
15
25 to 27
& 28
28.4 to
28.9 & 31
to 37
40 to 55
161 47 72 223
2376 66 51 443
3282 25 00 128
4341 30 46 151
-1059 05 46 023
59 08 57 438
2249 92 93 138
2838 01 41 467
4218 86 09 255
-1380 84 67 788
TOTAL 7879 03 73 684 7061 24 55 557
Signifi cant Accounting 30
Polices
Notes to Accounts form 31
part of the Balance sheet
Sd/-
(K.R.JAYAPRAKASH)
Financial Adviser(A&R)
Sd/- Sd/- Sd/-
(R.SRIDHARA) (ADITI RAJA) (P.RAVIKUMAR )
Company Secretary Director (Finance) Managing Director
As per our report of even date
For Rao & Swami
Chartered Accountants
Sd/-
(N.Ramesh)
Partner
Place: Bangalore Membership No.16153
Date : 5-9-2011
Sl.
No.Particulars
SCH
NO
A/c
CodeAs at 31-03-2011 As at 31-03-2010
BALANCE SHEET AS AT MARCH 31ST 2011
(Amount in Rs.)
70Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
PROFIT AND LOSS ACCOUNT FOR THE YEAR ENDED 31ST MARCH 2011
(Amount in Rs.)
Sl.
No.Particulars
SCH
NO
A/c
Code
Current Year
2010-11
Previous Year
2009-10
I INCOME
1Revenue from Transmission
of Power16 61 1215 22 21 607 925 55 25 907
2 Revenue Subsidies & Grants 17 63
3 Other Income 18 62 239 61 93 405 306 33 37 362
TOTAL 1454 84 15 012 1231 88 63 269
II EXPENDITURE
1Purchase of Power (Prior to
10-06-2005)19 70 1 15 36 701 8 16 90 987
2 Repairs and Maintenance 20 74 71 01 97 015 66 66 57 274
3 Employee Costs 21 75 410 56 80 079 246 72 12 128
4Administrative and Other
Expenses22 76 34 76 15 235 40 34 52 788
5 Other Expenses 23 77 & 79 1 72 80 340 36 64 33 499
SUB-TOTAL 519 23 09 370 398 54 46 676
6 Less: Expenses Capitalised 2474.9,75.9
& 76.927 57 32 288 25 20 21 512
TOTAL 491 65 77 082 373 34 25 164
IIIPROFIT BEFORE
DEPRECIATION AND INTEREST 963 18 37 930 858 54 38 105
1 Less:Depreciation (Net) 25 77 406 98 89 291 358 57 07 381
IVPROFIT BEFORE INTEREST
AND TAXES 556 19 48 639 499 97 30 724
1 Less : Interest and other Bank
Charges (Net)
26 78 & 80 537 32 96 889 483 70 31 089
2 Add / Less: Net amount of Extra
ordinary items
28
3 Add/(Less) : Prior period credits/
(charges)
29 65 & 83 -17 23 03 260 -10 30 63 697
V PROFIT BEFORE TAX 1 63 48 490 5 96 35 938
1 Provision for Taxation - Current
Tax
27 81.1 31 79 781 1 10 00 000
2 Fringe Benefi t Tax 81.101
71 Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
Sl.
No.Particulars
SCH
NO
A/c
Code
Current Year
2010-11
Previous Year
2009-10
3 Deferred Tax 81.201
4 Excess Provision for Income
Tax- Previous years
65.500 44 76 140 -3 61 56 959
VI NET PROFIT AFTER TAXATION 86 92 569 8 47 92 897
Balance of profi t brought over
from Previous years 178 67 97 734 170 20 04 837
VII APPROPRIATIONS
Balance Carried to Balance Sheet 179 54 90 303 178 67 97 734
Signifi cant Accounting Polices
Notes to Accounts form part of the
Profi t and Loss Account
30
31
Sd/-
(K.R.JAYAPRAKASH)
Financial Adviser(A&R)
Sd/- Sd/- Sd/-
(R.SRIDHARA) (ADITI RAJA) (P.RAVIKUMAR )
Company Secretary Director (Finance) Managing Director
As per our report of even date
For Rao & Swami
Chartered Accountants
Sd/-
(N.Ramesh)
Partner
Place: Bangalore Membership No.16153
Date : 5-9-2011
PROFIT AND LOSS ACCOUNT FOR THE YEAR ENDED 31ST MARCH 2011
(Amount in Rs.)
72Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
SCHEDULE: 01 SHARE CAPITAL
(Amount in Rs.)
Sl.
No.Particulars
A/c
CodeAs at 31-03-2011 As at 31-03-2010
1 Authorised Capital
1,00,00,000 Equity shares
of Rs. 1000/- each 1000 00 00 000 1000 00 00 000
2Issued, Subscribed and
Paid up
(6903225 Shares of
Rs1000/- each. Of the
above shares, 6903218
shares are alloted as fully
paid-up pursuant to a
contract without payaments
being received in cash) 52.301 690 32 25 000 690 32 25 000
690 32 25 000 690 32 25 000
TOTAL 690 32 25 000 690 32 25 000
SCHEDULE: 1A SHARE DEPOSIT
(Amount in Rs.)
Sl.
No.Particulars
A/c
CodeAs at 31-03-2011 As at 31-03-2010
Share Deposit
(Received from
GOK Pending
Allotment)
52.302 &
52.303885 00 00 000 485 00 00 000
TOTAL 885 00 00 000 485 00 00 000
73 Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
SCHEDULE: 02 RESERVES AND SURPLUS
(Amount in Rs.)
Sl.
No.Particulars
A/c
CodeAs at 31-03-2011 As at 31-03-2010
Capital Reserve 56.2 2 39 23 665 2 39 23 665
Other Reserve
Reserve for
Materials Cost
Variance
56.610 6 74 593
Surplus in Profi t and
Loss Account58 179 54 90 303 178 67 97 734
Contributions,
grants and
subsidies towards
cost of Capital
assets :-
Contribution towards
cost of capital assets55.1 219 06 18 846 143 79 22 007
Special Grant
received from GOK
towards Floods relief
works
55.309 10 00 00 000 10 00 00 000
Special Grant
towards Capital
Works
55.500 11 06 74 999 11 06 74 999
TOTAL 422 13 82 406 345 93 18 405
74Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
SCHEDULE: 03 SECURED LOANS
(Amount in Rs.)
Sl.
No.Particulars
A/c
CodeAs at 31-03-2011 AS at 31-03-2010
Loans From Financial
Institutions
Loans from REC
(Guaranteed by State
Govt. and Escrow)
53.300 16 63 44 547 30 22 27 170
Short term Loans
obtained from
Commercial Banks /
Financial Institutions
53.324 1100 00 00 000
Loans obtained
from UCO Bank
(Hypothication of Plant
and machinery)
53.325 503 00 00 000 503 00 00 000
Loans obtained
from Vijaya Bank
(Hypothication of assets)
53.330 1025 41 73 003 354 39 03 694
Loans obtained from
South Indian Bank
(Hypothication of assets)
53.345 87 50 00 000
Loan drawn from
Punjab National
Bank (Guaranteed by
default Escrow and
Hypothication of Assets)
53.346 224 25 00 000 258 75 00 000
Loan drawn from Oriental
Bank of Commerce
(Hypothication of assets)
53.347 67 50 00 000 77 50 00 000
Loan drawn from
Corporation Bank
(Hypothication of assets)
53.353 222 50 00 000 132 50 00 000
Loan drawn from
Bank of Maharastra
(Hypothication of assets)
53.354 145 00 00 000 165 00 00 000
Loan from Bank Of India
(Hypothication of assets)53.355 411 04 00 000 155 52 00 000
75 Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
SCHEDULE: 03 SECURED LOANS (Continued…)
(Amount in Rs.)
Sl.
No.Particulars
A/c
CodeAs at 31-03-2011 As at 31-03-2010
Loans drawn from
Bank of Baroda
(Hypothecation of
Assets)
53.356 150 00 00 002 183 33 33 334
Loan drawn from Indian
Bank (Hypothication of
assets)
53.357 300 00 00 000 100 00 00 000
Loan drawn from Bank of
Rajasthan (Hypothication
of assets)
53.358 100 00 00 000 100 00 00 000
Loan drawn from
Punjab & Sindh Bank
(Hypothication of assets)
53.359 35 00 00 000
Loan drawn from Canara
Bank (Hypothication of
assets)
53.360 500 00 00 000
Loans drawn from HDFC
(Title deed)53.900 21 63 941 51 05 850
Loans drawn from Power
Finance Corporation Ltd.,
(Guaranteed by GOK
and Mortgage of assets)
53.960 1269 60 28 126 4970 16 09 619 1933 83 29 020 5182 05 99 068
Borrowings for working
capital :
Principal & Interest
Accrued and Due
51.1 &
51.2
TOTAL 4970 16 09 619 5182 05 99 068
Repayable in next 12 months 443 47 33 055 1469 57 69 825
Note : Short term loans hitherto inadvertently shown in Schedule -3 is now correctly shown in
Schedule-4
76Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
SCHEDULE: 04 UNSECURED LOANS
(Amount in Rs.)
Sl.
No.Particulars
A/c
CodeAs at 31-03-2011 As at 31-03-2010
Loans from REC -
Rationalised REC-Loans
(Guaranteed by GOK)
53.302 79 37 339 79 37 339 1 30 01 132 1 30 01 132
Short term Loans obtained
from Commercial Banks /
Financial Institutions
53.324 522 00 00 000 522 00 00 000
APDRP - REC Loan
Account53.336 6 58 29 525 6 58 29 525 7 68 01 113 7 68 01 113
FUNDS FROM STATE
GOVT.
State Govt. loans 54.200 7 12 88 661 7 12 88 661 7 72 29 383 7 72 29 383
TOTAL 536 50 55 525 16 70 31 628
Repayable within next 12 months/Conversion/ Roll over 524 11 56 465 2 19 76 102
Note : Short term loans hitherto shown in Schedule -3 is now shown in Schedule-4
77 Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
SCHEDULE: 05 DEPOSIT CONTRIBUTION WORKS AND SECURITY DEPOSITS
(Amount in Rs.)
Sl.
No.Particulars
A/c
CodeAs at 31-03-2011 As at 31-03-2010
Deposit Contribution
works47.3 100 62 02 258 66 93 82 580
TOTAL 100 62 02 258 66 93 82 580
SCHEDULE: 5A DEFERRED TAX LIABILITY
(Amount in Rs.)
Sl.
No.Particulars
A/c
CodeAs at 31-03-2011 As at 31-03-2010
Deferred Tax Liability 46.802 274 28 98 876 274 28 98 876
TOTAL 274 28 98 876 274 28 98 876
78Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
SC
HE
DU
LE
: 6 F
IXE
D A
SS
ET
S A
ND
AC
CU
MU
LA
TE
D D
EP
RE
CIA
TIO
N
(Am
ou
nt
in R
s.)
Gro
ss B
lock
Dep
recia
tio
nN
et
Blo
ck
Asset
Gro
up
A/c
Co
de
As a
t
01/0
4/2
010
Ad
dit
ion
sD
ed
uc
tio
ns/
Ad
jus
tme
nts
As a
t
31/0
3/2
011
A/c
Co
de
As a
t
01/0
4/2
010
Ad
dit
ion
sD
edu
ctio
ns/
Ad
just
men
ts
As a
t
31/0
3/2
011
As a
t
01/0
4/2
010
As a
t
31/0
3/2
011
Land &
Rig
hts
10.1
113
92
98
41
724
47
53 6
38 6
0 85
826
139
01 3
7 88
11
2.1
113
92
98
41
713
9 01
37
881
Land h
eld
under
Lease
10.1
034
43
84
79
4
- 9
15 0
214
34 6
9 77
3
4
43
84
79
44
34
69
77
3
Build
ings
10.2
30
5 8
3 7
8 4
55
52 4
8 81
738
1 99
95
279
360
32 5
5 47
21
2.2
68
79
13
12
01
0 8
9 3
4 7
61
40
03
35
1 8
0 0
8 5
1 2
32
237
04 6
5 33
528
0 24
04
240
Hydra
ulic
Work
s10.3
28
77
33
84
76
75 0
8 01
3 1
2 49
728
35 6
4 91
588
12
.3 3
50
57
75
41
67
22
45
6 2
09
78
6 5
19
89
99
62
5 2
6 7
6 0
93
30
45
01
59
2
Oth
er
Civ
il
Work
s10.4
29
07
30
94
93
38 7
7 76
0 7
33
246
32 5
3 41
955
12
.4 3
58
37
81
71
03
59
67
8 4
00
23
8 4
65
97
73
32
5 4
8 9
3 1
32
27
87
44
22
2
Pla
nt &
Machin
ery
10.5
4665
56
69 7
4166
2 43
58
371
-46
93 5
5 73
552
81 0
6 72
377
12
.513
63
28 0
9 00
525
4 07
43
825
-25
63 7
4 63
915
91
71 7
8 19
133
02 2
8 60
736
3689
34
94 1
86
Lin
es C
able
Netw
ork
s10.6
2640
56
60 0
2153
5 69
11
412
-25
16 0
1 75
631
51 0
9 69
677
12
.68
56 2
2 84
646
153
14 7
5 04
7-5
98
85 7
1010
03
38 7
3 98
317
84 3
3 75
375
2147
70
95 6
94
Vehic
les
10.7
7 0
5 1
7 1
20
13
97 9
08-
43 8
2 78
46
75 3
2 24
41
2.7
5 4
3 1
8 5
42
16
91
01
4-
39
77
68
9 5
20
31
86
71
61
98
57
81
55
00
37
7
Furn
iture
&
Fix
ture
s10.8
10
13
67
99
82
15 5
7 39
0-
90 1
9 04
211
39
06 3
461
2.8
3 4
0 8
9 5
50
72
10
61
2-
8 8
5 2
13
4 0
4 1
4 9
49
6 7
2 7
8 4
48
7 3
4 9
1 3
97
Offi c
e
Equip
ments
10.9
3 0
9 5
7 9
33
32
72 8
78-
9 08
637
3 33
22
174
12
.9 1
68
32
89
6 1
2 5
7 6
62
- 8
94
17
8 1
71
96
38
01
41
25
03
71
61
25
79
4
Softw
are
for
Inte
rnal U
se
18.1
01 1
2 2
9 0
08
-
12 2
9 00
8
12.8
01
12
29
00
8
To
tal
7
80
8 5
9 2
8 2
83
1287
85
19 1
08-7
0 93
47
904
9025
50
99 4
87
2305
91
43 3
3042
1 83
95
055
-31
74 0
4 05
426
96 0
1 34
331
5502
67
84 9
5363
29 4
9 65
156
Pre
vio
us
Year
fi g
ure
s
6
88
4 3
1 1
8 0
30
976
16 2
1 40
6-5
1 88
11
153
7808
59
28 2
83
1977
14
99 7
2036
8 52
03
005
-39
75 5
9 39
523
05 9
1 43
330
4907
16
18 3
1055
02 6
7 84
953
79 Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
SCHEDULE: 07 CAPITAL WORKS IN PROGRESS
(Amount in Rs.)
Sl.
NoParticulars
A/c
CodeAs at 31-03-2011 As at 31-03-2010
Capital Work in
Progress14 1771 65 36 285 1931 47 73 219
Sub Total 1771 65 36 285 1931 47 73 219
Revenue expenses
pending allocation
over Capital Works
15.201
to
15.206
7 51 483 5 88 191
Sub Total 7 51 483 5 88 191
Turnkey
Contractors Control
Account
26.605 819 56 55 001 990 69 31 474
Sub Total 819 56 55 001 990 69 31 474
TOTAL 2591 29 42 769 2922 22 92 884
80Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
SCHEDULE: 07A ASSETS NOT IN USE
(Amount in Rs.)
Sl.
NoParticulars A/c Code As at 31-03-2011 As at 31-03-2010
WDV of Obsolete /
Scrapped Assets16.1 6 01 23 460 6 41 02 111
WDV of Faulty / Disman-
tled Assets16.2 9 44 10 756 10 77 43 397
Sub Total 15 45 34 216 17 18 45 508
TOTAL 15 45 34 216 17 18 45 508
81 Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
SCHEDULE: 7B DEFERRED COSTS
(Amount in Rs.)
Sl.
NoParticulars A/c Code As at 31-03-2011 As at 31-03-2010
Preliminary expenditure on
survey / feasability studies of
projects not yet sanctioned
17.301 184 77 566
TOTAL 184 77 566
82Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
SCHEDULE: 08 INVESTMENTS
(Amount in Rs.)
Sl.
NoParticulars
A/c
CodeAs at 31-03-2011 As at 31-03-2010
1 Investments:
Quoted
Un Quoted
Investments in Subsidiaries 20.3 Nil Nil
Investments in Partnership /
Joint Ventures20.4 Nil Nil
TOTAL Nil Nil
83 Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
SCHEDULE: 09 INTEREST ACCRUED ON INVESTMENTS AND DEPOSITS
(Amount in Rs.)
Sl.
NoParticulars
A/c
CodeAs at 31-03-2011 As at 31-03-2010
TOTAL Nil Nil
84Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
SCHEDULE - 10 STORES AND SPARES
(Amount in Rs.)
Sl.
NoParticulars
A/c
CodeAs at 31-03-2011 As at 31-03-2010
Materials Stock
Account
Materials Stock Account 22.610 105 48 87 361 101 18 56 412
Materials in Transit
Account22.680 3 75 677 1 10 627
Sub-Total 105 52 63 038 101 19 67 039
Materials stock
Excess / Shortage
Pending Investigation
Stock Excess pending
Investigation22.810 - 2 89 398 - 6 72 840
Stock Shortage pending
investigation22.820 59 02 049 1 09 800
Sub-Total 56 12 651 - 5 63 040
TOTAL 106 08 75 689 101 14 03 999
85 Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
SCHEDULE:11 SUNDRY DEBTORS
(Amount in Rs.)
Sl.
NoParticulars
A/c
CodeAs at 31-03-2011 As at 31-03-2010
(Un-secured and considered
good)
Sundry Debtors for
Transmission Charges
BESCOM 23.101 22 75 44 367 43 01 74 384
MESCOM 23.102 16 80 49 810 29 07 58 856
HESCOM 23.103 107 34 99 604 74 19 63 561
GESCOM 23.104 24 90 62 447 27 56 96 714
CESCO 23.107 62 60 17 125 69 42 23 605
Sundry Debtors for Transmission
charges- Hukkeri Co-op Soceity23.109 2 27 354 14 42 25 146
Sundry Debtors for sale of
Power – Inter State23.6 26 38 440
Sundry debtors - Delayed
payment charges23.7 2 62 95 131
Sub-Total 237 33 34 278 257 70 42 266
Less :
Provision for withdrawal of
Revenue demand23.8 - 92 35 580 -92 35 580
- 92 35 580 - 92 35 580
Net Receivables against
Supply of Power
Sundry Debtors - Others
28.101
to
28.109,
28.111
to
28.124
8 56 77 090 8 56 77 090 7 30 56 834 7 30 56 834
TOTAL 244 97 75 788 264 08 63 520
Annexure to Schedule 11 - Sundry Debtors
(Rs. in Crores)
1) Over 6 months old Nil
2) Others 244.98
86Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
SCHEDULE 12 : CASH AND BANK BALANCES
(Amount in Rs.)
Sl.
NoParticulars
A/c
CodeAs at 31-03-2011 As at 31-03-2010
Fixed Deposits with
Bank20.2 30 70 55 277 30 70 55 277 28 38 20 445 28 38 20 445
Cash Accounts
Cash on Hand 24.110 4 79 839 3 28 909
Postage stamps on
hand24.120 1 28 522 1 53 949
Sub-Total 6 08 361 4 82 858
Cash Imprest with
Staff – Accounts
Imprest 24.210 21 90 500 21 90 500 18 69 500 18 69 500
Collecting Bank
Accounts 24.3 6 66 60 598 6 66 60 598 1 64 39 584 1 64 39 584
Disbursement Bank
Account
Disbursement Bank
Account - State Bank of
Mysore
24.401 26 02 59 820 18 70 37 216
Disbursement Bank
Account - State Bank of
India
24.402+
24.7305 87 21 899 5 29 63 580
Disbursement Bank
Account - State Bank of
Hyderabad
24.403+
24.7402 92 71 745 4 53 481
Disbursement Bank
Account - Canara Bank
24.404+
24.7501 11 16 537 33 05 950
Disbursement Bank
Account - Syndicate
Bank
24.405+
24.7601 16 88 666 23 81 63 705
Disbursement Bank
Account - Punjab
National Bank
24.408 31 416 31 416
Disbursement Bank
Account - Vijaya Bank
24.409+
24.711 +
24.712
315 69 23 929 27 95 517
87 Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
SCHEDULE 12 : CASH AND BANK BALANCES (Continued ….)
(Amount in Rs.)
Sl.
NoParticulars
A/c
CodeAs at 31-03-2011 As at 31-03-2010
Disbursement Bank
Account - Bank of
Baroda
24.420+
24.781+
24.417
77 98 833 10 12 47 649
Disbursement Bank
Account - Bank of
Maharastra
24.705 26 12 253
Disbursement Bank
Account - ICICI Bank
24.422,
24.803,
24.801
32 222 32 222
Disbursement Bank
Account - Bank of India
24.423+
24.810 29 11 165 10 00 00 000
Disbursement Bank
Account - Corporation
Bank
24.424+
24.820 1 08 314 10 01 34 916
Disbursement Bank
Account - HDFC Bank24.830 5 06 577 16 17 226
Govt. Treasury 24.850 81 976 81 976
Disbursement Bank
Account - Indian Bank24.860 6 19 784 10 11 29 751
Disbursement Bank
Account- Bank of
Rajasthan
24.870&
24.876 1 01 618 1 01 728
Disbursement Bank
Account- Uco Bank 24.880 38 57 171
Disbursement Bank
Account- Punjab and
Sind Bank
24.890 69 36 036 10 00 00 000
Disbursement Bank
Accounts24.4 355 35 79 961 355 35 79 961 98 90 96 333 98 90 96 333
Remittance to Head
Offi ce -Transit Account24.5 3 30 288 3 30 288 6 89 72 587 6 89 72 587
Transfers from Head
Offi ce In Transit
Account
24.6 27 70 42 065 27 70 42 065
TOTAL 393 04 24 985 163 77 23 372
88Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
SCHEDULE 13 : LOANS AND ADVANCES
(Amount in Rs.)
Sl.
NoParticulars
A/c
CodeAs at 31-03-2011 As at 31-03-2010
Advances Recoverable
in cash or in kind or for
value to be received
A)Advance Income Tax and
Tax deductions at source
27.4 &
28.82141 62 77 283 38 39 31 782
41 62 77 283 38 39 31 782
B) Secured Advance
Advances to Staff -
Interest Bearing
27.101
to
27.106
55 37 557 95 58 398
Advances to Staff -
Interest Free
27.201
to
27.210
2 93 88 209 2 35 01 680
3 49 25 766 3 30 60 078
C) Unsecured Advance
I) Considered Good
Suppliers and Contractors25 &
2640 14 74 199 17 38 65 578
Advances to Contractors 28.411 76 20 94 975 116 35 69 174 17 38 65 578
TOTAL 161 47 72 223 59 08 57 438
89 Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
SCHEDULE 14 : OTHER ASSETS
(Amount in Rs.)
Sl.
NoParticulars
A/c
CodeAs at 31-03-2011 As at 31-03-2010
Income Accrued but
not Due28.3 1 67 37 021 52 38 777
Amounts
Recoverable from
Employees
28.4 4 69 58 764 4 83 78 246
Subsidy / Grants
receivable from
GOK
28.620 1398 42 11 876 1399 70 33 458
Claims for Loss /
Damage to Capital
Assets
28.74 2 82 478 2 05 606
Other Receivables -
BESCOM
28.8 &
28.9,
28.125
63 61 40 531 5 76 14 271
Other Receivables -
MESCOM
28.8 &
28.9,
28.126
20 30 87 490 10 01 36 208
Other Receivables -
HESCOM
28.8 &
28.9,
28.12729 19 23 768 3 72 83 661
Other Receivables -
GESCOM
28.8 &
28.9,
28.12824 34 63 187 7 53 51 344
Other Receivables -
CESCO
28.9
10 59 10 360 19 61 043
Receivables -
P & G Trust
28.907
15 43 25 117
Other Receivables 28.8 &
28.9 97 66 10 734 83 43 37 709
UI Charges
pertaining to Intra
state ABT
28.976
to
28.980
117 33 98 431 117 33 98 431
Prepaid Expenses 28.820
1 63 74 691 1 64 43 650
90Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
SCHEDULE 14 : OTHER ASSETS (Continued ….)
(Amount in Rs.)
Sl.
NoParticulars
A/c
CodeAs at 31-03-2011 As at 31-03-2010
Deposits
28.930
to
28.937
49 10 57 620 54 50 95 440
Regulatory
Asset-Receivable
towards additional
fi xed cost of
TBPCL from
ESCOMS
28.968
to
28.973
543 84 00 000 543 84 00 000
Balance of Banked
Energy as at Year
end
29.101 6 085
Inter Unit Accounts 31 to 37 -30 18 87 184 -61 11 10 123
Pooled Loan
Account53.999 28 96 56 559 77 95 19 332
2376 66 51 443 2249 92 93 138
TOTAL 2376 66 51 443 2249 92 93 138
91 Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
SCHEDULE 15 : CURRENT LIABILITIES & PROVISIONS
(Amount in Rs.)
Sl.
NoParticulars
A/c
CodeAs at 31-03-2011 As at 31-03-2010
I LIABILITIES
Sundry Creditors for
purchase of power
Tamilnadu Electricity Board 41.101 26 44 50 757 26 44 50 757
Andhra Pradesh
Transmission Corp.41.104 3 85 04 127 3 85 04 127
Karnataka Power
Corporation Ltd.41.108 1507 15 55 675 1398 94 34 305
Visvesvaraya Vidyuth
Nigama Limited41.109 27 28 35 035 27 28 35 035
P.G.C.I.L. 41.113 88 54 274 1 68 32 219
JTPCL 41.125 9 97 40 936 9 97 40 936
Royalaseema Alkalies 41.129 2 23 50 948 2 23 50 948
Tata Company Ltd. 41.131 1 90 96 055 1 90 96 055
Thanneerbhavi Co. Ltd. 41.133 43 69 663 43 69 663
Chathisghar State
Electricity Board41.156 83 32 195 83 32 195
Mysore Paper Mills Ltd 41.301 7 74 93 528 7 74 93 528
Provision for Liability for
Purchase of Power41.500 15 83 806 15 83 806
Provision for Liability for
Unutilized Balance of
Banked Energy as at the
Year end
41.600 6 085
Sub-Total 1588 91 66 999 1481 50 29 659
Liability for Suppliers/
Works42 106 73 38 011 106 73 38 011 240 82 54 586 240 82 54 586
Payables - BESCOM 42 69 32 83 730 69 99 29 573
Payables - MESCOM 42 9 08 42 685 9 08 42 685
Payables - HESCOM 42 26 91 82 147 26 88 31 283
Payables - GESCOM 42 3 72 53 609 3 75 68 477
Payables - CESCO 42 9 57 93 516 9 57 93 516
118 63 55 687 119 29 65 534
Provision for Pension and
Gratuity payable to P&G
Trust
44.122,
44.274,
44.275
74 64 23 851 23 19 45 375
92Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
SCHEDULE 15 : CURRENT LIABILITIES & PROVISIONS (Continued ….)
(Amount in Rs.)
Sl.
NoParticulars
A/c
CodeAs at 31-03-2011 As at 31-03-2010
Transmission charges
collected pending
Refi xation of Tariff-
Hukkeri
46.989 1 26 18 427 1 26 18 427
Transmission charges
collected pending
Refi xation of Tariff-
ESCOMS
46.984
to
46.988
261 17 65 715 261 17 65 715
Payables - ESCOMS 42 & 46 40 89 82 357 9 77 01 111
Sub Total 377 97 90 350 295 40 30 628
Staff Related Liabilities
Unpaid Salaries 44.210 77 535 1 22 870
Unpaid Bonus 44.220 26 289 38 233
Salary payable44.310 &
44.311 20 95 023 12 71 536
Bonus payable 44.320 58 08 519 99 30 428
Ex-gratia payable 44.330 2 96 23 184 2 33 64 748
Sub Total 3 76 30 550 3 47 27 815
Other Liabilities and
Provisions
Security Deposits in
cash from Suppliers/
Contractors
46.101 54 53 86 662 68 53 56 253
KPTCL Pensioners/
Family Pensioners Family
Benefi t/ Security Fund
46.103 4 56 63 742 2 75 66 873
Retention Money - Bill
amount retained as per
terms of P.O / Turnkey
Contract
46.104 483 32 41 454 532 57 91 610
Funds received from
Resources Section,
KPTCL to SLDC
46.108 31 60 71 135 15 14 94 237
Penalty recovered
pending decision for
refund
46.109 346 10 27 001 279 68 55 028
Encashment of Bank
Gaurantee pending
decision for adjustment to
Capital works
56.202 2 54 48 076 3 64 04 008
93 Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
SCHEDULE 15 : CURRENT LIABILITIES & PROVISIONS (Continued ….)
(Amount in Rs.)
Sl.
NoParticulars
A/c
CodeAs at 31-03-2011 As at 31-03-2010
Electricity Tax and
Other levies payable to
Government
46.300 5 40 140
Liability for Expenses
46.410
to
46.470
96 85 78 614 52 44 60 254
Cheques issued in transit24.7 &
24.8 104 22 62 997
Interest accrued but not
due on borrowings46.710 33 47 98 948 47 67 01 608
Sundry Liabilities 46.9 203 11 52 990 34 82 88 400
UI Charges payable- Intra
state ABT
46.990
to
46.994
117 33 98 431 117 33 98 431
Security Deposit from
Employees46.920 52 800 48 500
Miscellaneous Deposit 46.966 50 40 79 663 44 80 25 898
Additional Fixed cost
of TBPCL recoverable
from ESCOMS pending
adjustment to subsidy
46.983 543 84 00 000 543 84 00 000
Loans of KPTCL parked
with GOK53.998 28 96 56 559 77 95 19 332
Adjustments pending re-
notifi cation by GOK
52.304
to
52.309
43 23 94 689 42 94 38 843
Sub-Total 2039 98 90 904 1968 40 12 272
II Provisions
Provision for Leave
encashment and Family
Benefi t Fund
44.130,
44.140 to
44.142
67 66 68 633 69 32 65 185
Provision for Income-Tax 46.800 35 95 19 017 35 63 39 241
Provision for FBT 46.801 1 66 86 000 4 99 84 335
Sub-Total 105 28 73 650 109 95 88 761
TOTAL 4341 30 46 151 4218 86 09 255
94Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
SCHEDULE: 16 REVENUE FROM TRANSMISSION OF POWER
(Amount in Rs.)
Sl.
NoParticulars
A/c
CodeCurent Year 2010-11 Previous Year 2009-10
Transmission
Charges :
BESCOM 61.211 595 09 68 264 446 47 04 925
MESCOM 61.212 96 85 64 358 69 57 03 839
HESCOM 61.213 236 89 75 154 169 31 23 796
GESCOM 61.214 136 83 18 528 112 96 64 605
CESC 61.217 113 70 74 166 86 78 41 338
Open Access
Customers61.218 22 95 10 720 26 12 63 959
Hukkeri Co-op
Soceity61.219 5 27 08 846 3 86 94 607
Sub - total 1207 61 20 036 915 09 97 069
Wheeling charges
recoveries61.8 5 00 24 751 5 00 24 751 7 00 96 779 7 00 96 779
Delayed payment
charges from Hukkeri
Electricity Co-op
Soceity
61.915 2 62 95 130 4 22 68 031
Sub - total 2 62 95 130 4 22 68 031
Less: Withdrawal of
Revenue Demand83.830 - 2 18 310 - 2 18 310 -78 35 972 -78 35 972
TOTAL 1215 22 21 607 925 55 25 907
95 Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
SCHEDULE: 17 REVENUE SUBSIDIES AND GRANTS
(Amount in Rs.)
Sl.
NoParticulars
A/c
CodeCurrent Year 2010-11 Previous Year 2009-10
i) R.E. Subsidies 63.110
ii)Grant-in aid for Survey and
Investigation63.130
iii) Grant for HKDP Works 63.140
iv)Assistance for special
component plan63.141
v) Assistance for Tribal sub-plan 63.142
TOTAL Nil Nil
96Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
SCHEDULE: 18 OTHER INCOME
(Amount in Rs.)
Sl.
NoParticulars
A/c
CodeCurrent Year 2010-11 Previous Year 2009-10
Interest on Staff Loans
and Advances
62.210
to
62.214
1 31 05 180 1 31 05 180 96 76 673 96 76 673
Other income -
Interest
Interest on securities 62.221 600 600
Interest on Bank Fixed
Deposits62.222 3 22 45 329 2 97 58 078
Interest from Banks 62.270 68 555 38 549
Sub-Total 3 23 14 484 2 97 97 227
Other Income
Profi t on sale of stores 62.330 1 35 01 025 2 01 55 922
Sale of scrap 62.340 8 79 62 032 2 61 17 623
Other Miscellaneous
receipts 62.360 1 77 76 080 1 95 12 563
Reactive Energy
Charges demanded
on IPPs
62.361 1 41 566
Revenue from IPPs
for excess drawal of
Energy from KPTCL’s
Grid
62.362 6 97 672 4 943
Open access
Processing fee62.363 40 48 960 44 96 000
Gain on Sale of Assets 62.400 86 81 855
Sub-Total 12 41 27 335 7 89 68 906
Miscellaneous
Receipts
Rental from Staff
Quarters62.901 4 77 45 887 4 72 04 077
Rental from others 62.902 7 13 454 7 64 523
Excess found on
physical verifi cation of
Cash
62.904 703
97 Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
SCHEDULE: 18 OTHER INCOME (Continued ....)
(Amount in Rs.)
Sl.
NoParticulars
A/c
CodeCurrent Year 2010-11 Previous Year 2009-10
Excess found on
physical verifi cation of
Materials Stock
62.905 4 74 020 10 09 988
Supervision Charges 62.907 7 83 31 919 6 89 51 361
Miscellaneous
Recoveries62.917 202 33 29 165 36 18 71 927
Incentives received 62.918 2 35 035 4 65 314
Rental from BESCOM 62.925 4 25 85 727 3 69 78 697
Rental from MESCOM 62.926 55 74 232 54 50 767
Rental from HESCOM 62.927 42 23 488 52 04 626
Rental from GESCOM 62.928 37 60 171 39 58 304
Rental from CESC 62.929 68 20 906 58 76 587
Excess provision in
earlier years no longer
required
62.923 12 34 30 270 245 23 17 182
Sub-Total 233 72 24 274 299 00 54 056
Less : Withdrawal of
Miscellaneous Income83.834 -11 05 77 868 -11 05 77 868 -4 51 59 500 -4 51 59 500
TOTAL 239 61 93 405 306 33 37 362
98Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
SCHEDULE: 19 PURCHASE OF POWER
(Amount in Rs.)
Sl.
NoParticulars
A/c
CodeCurrent Year 2010-11 Previous Year 2009-10
Purchase of Power *
Tamilnadu Electricity Board 70.101 24 36 589 39 05 811
National Thermal Power
Corporation - RSTP70.110 96 97 855
Transmission charges to
Power Grid Corporation of
India Ltd.,
70.113 91 00 112 4 80 73 616
Bhagya Nagar solvent
extractions Ltd.(5.4 MW)70.219 25 48 255
Poweronicks Ltd.(5.4 MW) 70.256 1 74 65 450
Sub Total 1 15 36 701 8 16 90 987
TOTAL 1 15 36 701 8 16 90 987
Note- *The Expenditure Booked during the year pertain to the Power Purchased prior to
9/06/2005 the rate of which has been revised during the year with retrospective
effect
99 Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
SCHEDULE: 20 REPAIRS AND MAINTENANCE
(Amount in Rs.)
Sl.
NoParticulars
A/c
CodeCurrent Year 2010-11 Previous Year 2009-10
Plant and Machinery 74.1 48 80 89 989 45 08 58 608
Buildings 74.2 15 25 88 317 13 09 04 016
Civil Works 74.3 2 44 52 787 1 65 64 957
Lines, Cable Net Work
Etc.74.5 7 53 38 370 7 38 34 949
Vehicles 74.6 45 05 933 54 34 075
Furniture and Fixtures 74.7 1 55 579 72 364
Offi ce Equipments 74.8 29 45 572 29 71 105
Sub Total 74 80 76 547 68 06 40 074
Less : Expenses shared
by ESCOMS74.910 -3 78 79 532 -1 39 82 800
TOTAL 71 01 97 015 66 66 57 274
100Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
SCHEDULE: 21 EMPLOYEE COST
(Amount in Rs.)
Sl.
NoParticulars
A/c
CodeCurrent Year 2010-11 Previous Year 2009-10
Salaries 75.1 123 13 20 849 86 54 83 043
Dearness Pay
75.180
to
75.185
72 69 29 616 59 18 74 355
Over Time 75.2 4 38 84 374 4 45 04 119
Dearness Allowance 75.3 106 48 51 045 55 67 19 568
Other Allowances 75.4 30 75 12 899 21 32 60 343
Bonus & Exgratia 75.5 4 37 98 325 3 52 22 487
Sub-Total 341 82 97 108 230 70 63 915
Medical Expenses
reimbursement75.611 3 46 78 201 3 34 59 026
Leave travel assistance 75.612 34 716
Earned leave
encashment75.617 13 40 06 595 9 60 66 499
Payment under
workmens
compensation Act
75.629 9 82 505
Payment to helpers/
employees of Monsoon
gang
75.630 1 23 20 116 1 63 43 284
Sub-Total 18 20 22 133 14 58 68 809
Staff Welfare expenses 75.7 1 81 44 544 1 77 43 520
Terminal Benefi ts 75.8 8 10 51 149 6 58 33 747
KPTCL Contribution to
P&G Trust
75.830
&
75.840
48 16 17 373 14 19 644
Sub-Total 58 08 13 066 8 49 96 911
Less : Expenses
shared by ESCOMS75.910 -7 54 52 228 -7 54 52 228 -7 07 17 507 -7 07 17 507
TOTAL 410 56 80 079 246 72 12 128
101 Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
SCHEDULE: 22 ADMINISTRATION AND GENERAL EXPENSES
(Amount in Rs.)
Sl.
NoParticulars
A/c
CodeCurrent Year 2010-11 Previous Year 2009-10
Administration
Expenses
1 Rent 76.101 56 67 926 62 84 836
2 Rates & Taxes 76.102 1 49 31 001 4 70 60 661
3 Expenses incurred
towards security
arrangements
76.103 1 98 06 375 1 70 56 623
4 Insurance 76.104 +
76.105 +
76.106
38 652 1 37 457
5 Pagers cellular phones
E-mail, Telephone, Trunk
call, Telegrams and Telex
Charges
76.111 +
76.112
2 11 07 310 3 21 88 851
6 Postage 76.113,
76.114
1 36 87 580 1 40 60 405
7 Air net, Internet &
Broadband Charges
76.116 1 99 98 937 12 45 811
8 Legal Charges 76.121 87 88 722 76 73 512
9 Audit Fees includes
Statutory Audit Fee + Tax
Audit Fee Rs.800000
Cost Audit Fee-
Rs. 75000
76.122 13 79 950 6 75 702
10 Consultancy charges 76.123 13 91 416 11 28 669
11 Technical Fees 76.124 44 500
12 Other Professional
Charges
76.125 +
76.126 +
76.127 +
76.128 +
76.129
3 95 16 979 3 87 31 939
102Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
SCHEDULE: 22 ADMINISTRATION AND GENERAL EXPENSES (Continued …)
(Amount in Rs.)
Sl.
NoParticulars A/c Code Current Year 2010-11 Previous Year 2009-10
13 Conveyance & Travel
expenses
76.131 To
76.135 &
76.137 to
76.139
11 47 67 044 10 49 80 019
14 Vehicle running
expenses
76.136 2 73 79 923 2 44 48 773
Sub - Total 28 85 06 315 29 56 73 258
OTHER EXPENSES
15 Fees & Subscriptions 76.151 1 49 19 903 1 35 23 089
16 Books, periodicals
and dairies
76.152 3 77 528 3 21 308
17 Printing & Stationery 76.153 1 09 25 078 1 15 53 628
18 Advertisement
Expenses
76.155 2 18 37 058 1 74 78 810
19 Computer stationary
and fl oppies
76.156 28 73 298 29 10 433
20 Contributions 76.157 3 13 65 000
21 Electricity Charges 76.158 2 98 80 817 2 97 87 958
22 Water Charges 76.160 29 14 198 41 03 818
23 Entertainment 76.162 1 76 371 3 39 879
24 Contributions to
Workers wellfare cess
76.166 16 42 273
25 Miscellaneous
expenses
76.190 +
76.191+
76.192
1 06 77 876 1 02 70 338
26 Freight & other
material related
expenses
76.201 To
76.282
52 25 000 14 50 930
Sub - Total 9 98 07 127 12 47 47 464
Less : Expenses
shared by ESCOMS
76.910 -4 06 98 207 -4 06 98 207 -1 69 67 934 -1 69 67 934
TOTAL 34 76 15 235 40 34 52 788
103 Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
SCHEDULE: 23 OTHER EXPENSES
(Amount in Rs.)
Sl.
NoParticulars
A/c
CodeCurrent Year 2010-11 Previous Year 2009-10
Asset Decommissioning
Costs77.5 25 05 972 40 11 009
Small & Low value items
Written off77.600 2 00 899 50 136
Computer software 77.611 12 79 736 85 767
Losses relating to Fixed
Assets77.7 18 29 982 26 24 380
Material Cost Variance 79.110 17 43 046
Research & Development
Expenses79.2 3 11 349 13 11 752
Bad & Doubtful Debts Written
off / provided for79.4 19 39 838
Miscellaneous losses and
Write offs
79.5 &
79.71 11 52 402 35 46 67 571
TOTAL 1 72 80 340 36 64 33 499
104Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
SCHEDULE: 24 OTHER EXPENSES CAPITALISED
(Amount in Rs.)
Sl.
NoParticulars
A/c
CodeCurrent Year 2010-11 Previous Year 2009-10
Repairs and
Maintenance 74.900 11 07 480 13 06 971
Employee costs 75.900 23 77 54 000 21 59 47 616
Administration and
other expenses 76.900 3 68 70 808 3 47 66 925
TOTAL 27 57 32 288 25 20 21 512
105 Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
SCHEDULE: 25 DEPRECIATION
(Amount in Rs.)
Sl.
NoParticulars
A/c
CodeCurrent Year 2010-11 Previous Year 2009-10
Amortisation of Lease
Hold Assets77.110 9 25 641 60 76 535
Depreciation on
Buildings77.120 10 89 34 761 9 46 96 972
Depreciation on
Hydraulic Works77.130 1 67 22 456 1 35 62 838
Depreciation on Civil
Works77.140 1 03 59 678 91 67 167
Depreciation on Plant
and Machinery
77.150+
77.151245 77 04 520 219 58 60 326
Depreciation on lines,
cable, network etc.,
77.160+
77.161146 70 48 590 125 71 91 461
Depreciation on
Vehicles
77.170+
77.171 16 91 014 16 00 163
Depreciation on
furniture, fi xtures
77.180+
77.181 72 10 612 55 27 983
Depreciation on Offi ce
equipments
77.190+
77.191 12 57 663 15 20 152
Depreciation on
Intangible Assets77.801 27 07 572
Sub-Total 407 18 54 935 358 79 11 169
Less : Depreciation
Capitalised77.900 - 19 65 644 - 22 03 788
TOTAL 406 98 89 291 358 57 07 381
106Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
SCHEDULE: 26 INTEREST AND OTHER CHARGES
(Amount in Rs.)
Sl.
NoParticulars
A/c
CodeCurrent Year 2010-11 Previous Year 2009-10
Interest on Bonds 78.2 18 90 222
Interest on Loan from
REC78.540 3 46 37 059 4 79 47 852
Interest on
Rationalised REC
Loans
78.541 9 90 963 15 60 096
Interest on APDP
works78.544 83 59 826 95 64 562
Interest on Short term
Loan obtained from
Commercial Banks/
Financial institutions
78.563 65 79 55 841 68 25 70 929
Interest on Loans
from UCO Bank78.564 47 52 26 615 1 90 53 513
Interest on Loans
from Vijaya Bank78.569 63 45 20 244 35 13 13 604
Interest on Loans
drawn from South
Indian Bank
78.573 5 91 18 920 9 16 93 797
Interest on Loans
drawn from PNB78.574 20 19 01 837 20 95 47 990
Interest on Loans
drawn from OBC78.575 6 52 73 030 8 07 96 901
Interest on Loans
drawn from
Corporation Bank
78.576 17 28 41 604 9 91 12 750
Interest on Loans
drawn from Bank of
Maharastra
78.577 14 24 92 344 11 07 22 337
Interest on Loans
drawn from Bank of
India
78.578 32 49 87 344 16 28 60 448
Interest on loan from
Bank of Baroda78.579 16 14 70 018 17 77 48 684
Interest on Loan from
HDFC78.582 4 26 169 8 08 615
107 Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
SCHEDULE: 26 INTEREST AND OTHER CHARGES (Continued ….)
(Amount in Rs.)
Sl.
NoParticulars
A/c
CodeCurrent Year 2010-11 Previous Year 2009-10
Interest on Loan from
PFC78.584 188 73 46 160 239 66 84 882
Interest on Capital
Liability78.590 1 83 969
Interest on delayed
compensation78.101 3 14 32 209
Interest on Loan from
Indian Bank78.591 17 54 87 972 9 62 22 435
Interest on Loan from
Bank of Rajasthan78.592 9 99 90 696 9 99 77 413
Interest on Loan from
Punjab and Sindh
Bank
78.593 82 69 684
Interest on Loan from
Canara Bank78.594 4 94 65 444
Interest on
Borrowings for
Working Capital
78.7 2 243 2 41 121
Other Interest and
Finance Charges
78.820
To
78.890
41 03 656 58 88 734
Interest on belated
payment for power
purchase
80.102
to
80.293
108 21 21 370 109 04 01 229
Sub-Total 624 71 73 008 576 80 40 323
Less : Interest and
fi nance charges
capitalised
78.9 -87 38 76 119 -93 10 09 234
TOTAL 537 32 96 889 483 70 31 089
108Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
SCHEDULE: 27 PROVISION FOR TAXATION
(Amount in Rs.)
Sl.
NoParticulars
A/c
CodeCurrent Year 2010-11 Previous Year 2009-10
Income Tax - Current
year81.100 31 79 781 31 79 781 1 10 00 000 1 10 00 000
Fringe Benefi t Tax 81.101 - 54 01 708 - 54 01 708
Short Provision for
Income Tax - Previous
Year
83.810 44 76 140 44 76 140
Excess Provision for
Income Tax - Previous
Year
65.500 -3 07 55 251 -3 07 55 251
Deferred Tax 81.201
TOTAL 76 55 921 -2 51 56 959
109 Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
SCHEDULE: 28 EXTRAORDINARY ITEMS
(Amount in Rs.)
Sl.
NoParticulars
A/c
CodeCurrent Year 2010-11 Previous Year 2009-10
Extraordinary Credits
(including susidies against
loss on account of fl ood, fi re,
cyclone, etc.,)
63.200
TOTAL Nil Nil
Less Extraordinary debits
(Losses on account of fl ood,
cyclone, fi re etc.)
79.8
TOTAL Nil Nil
Net extraordinary items
110Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
SCHEDULE: 29 PRIOR PERIOD (CREDITS) / CHARGES
(Amount in Rs.)
Sl.
NoParticulars
A/c
CodeCurrent Year 2010-11 Previous Year 2009-10
A)Income relating to
previous years :
Excess provision for
Depreciation in prior
periods
65.600 5 05 01 086 4 91 64 090
Other Excess provision in
prior periods65.800 77 290 3 30 918
Other Income relating to
prior periods65.900 41 870 39 74 347
Sub - Total 5 06 20 246 5 34 69 355
B)Prior Period Expenses /
losses :
Operating Expenses of
previous years83.300 77 957 7 785
Employee costs relating to
previous years83.500 2 92 999 22 849
Depreciation under
provided in previous years83.600 22 23 16 285 15 63 78 758
Administrative Expenses -
previous years
83.820,
83.8219 112 0
Other Expenses relating to
prior periods83.850 2 27 153 1 23 660
Sub - Total 22 29 23 506 15 65 33 052
Net Prior Period credits/
(charges) (A-B) -17 23 03 260 -10 30 63 697
111 Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
Schedule – 30
SIGNIFICANT ACCOUNTING POLICIES
Basis of preparation1.
Financial statements have been prepared under historical cost convention on a 1.1.
going concern and accrual basis except for accounting on cash basis for Grants
and Subsidies from the Government; and comply materially with the mandatory
Accounting Standards issued by The Institute of Chartered Accountants of India
(ICAI), Generally Accepted Accounting Principles (GAAP), Provisions of the
Electricity Act, 2003 and Electricity (Supply) Annual Accounts Rules (ESAAR),
1985 and relevant provisions of the Companies Act, 1956 to the extent that they
are not inconsistent with the provisions of Electricity Act, 2003 and Electricity
(Supply) Annual Accounts Rules (ESAAR), 1985.
Revenue Recognition2.
Revenue from Transmission &, Wheeling is recognized on accrual basis at 2.1.
the tariff as notifi ed by Karnataka Electricity Regulatory Commission (KERC)
from time to time in its Multi Year Tariff (MYT) which is arrived on the basis of
estimated Return on Equity and relevant aspects. Revenue from Other Sources
is also accounted on accrual basis.
Fixed Assets 3.
Fixed assets are stated at cost including expenses related to acquisition, 3.1.
construction and installation less accumulated depreciation and impairment
loss.
Establishment and other administration expenditure of Works Circles and Major 3.2.
Works Divisions are allocated to the capital works handled by the respective
Divisions and form part of the cost of assets.
Assets put up by third parties, which vest in the Corporation under Regulation 3.3.
for Condition of Supply of Electricity issued by the KERC, are incorporated in
the books at the cost estimate approved by the Corporation in the absence of
actual cost.
Land cost includes acquisition cost, including enhanced compensation paid as 3.4.
awarded by the Courts, Compensation paid for afforestation and social forestry
for the project affected local people/families.
112Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
Expenditure on replacement of assets/part of asset with independent existence 3.5.
are capitalised irrespective of the cost. The Original Cost and Accumulated
Depreciation thereon in respect of replaced assets are removed from
Accounts.
Depreciation4.
Depreciation is calculated on straight line method:4.1.
at the rates notifi ed by CERC from time to time;i.
in respect of assets for which rates are not specifi ed in the Electricity ii.
Supply Act, 2003, at the rates specifi ed under Schedule XIV of the Companies
Act, 1956.
Assets are depreciated to the extent of 90% of the cost of the asset and 10% is 4.2.
retained as residual value.
For additions to assets from 1.4.2007, depreciation is provided from the beginning 4.3.
of the month of addition. For additions to assets up to 31.3.2007, depreciation
has been provided from the year succeeding the year of addition.
Depreciation is charged upto the previous month in which asset is discarded/4.4.
dismantled.
Individual assets costing up to Rs. 500 are fully depreciated in the year in which 4.5.
they are put to use.
Where the carrying amount of any fi xed asset has undergone a change in 4.6.
accordance with the policy for foreign currency transactions, depreciation on
the unamortized depreciable asset is spread over the useful life of the asset.
Depreciation on structures and other assets put up on leasehold properties are 4.7.
depreciated at normal rates without linking it to the lease period.
Depreciation is not charged on transformers and other assets issued for repairs. 4.8.
Depreciation charge is resumed after the asset is put back to use after repairs.
Depreciation on deposit contribution, consumer built and grant assets are 4.9.
charged to revenue and not set off against capital reserve.
113 Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
Accounting for Grants 5.
Capital grants/grants related to specifi c assets are shown under Capital Reserve 5.1.
and not reduced from the cost of the asset.
Revenue and untied grants are treated as income.5.2.
Reserves & Surplus6.
Capital Reserve 6.1.
Deposit Contribution Works6.1.1.
Works executed/assets created out of contributions received from the third i.
parties vest in the Corporation under Regulation for Condition of Supply of
Electricity by the KERC, and they are incorporated as asset in the books at
the full value without reducing the contribution from the cost of the asset.
Contributions received from third parties towards works/assets are treated ii.
as capital reserve.
Investments7.
Long term investments are carried at cost. Provision is made for diminution, 7.1.
other than temporary, in the value of such investments.
Current investments are valued at lower of cost and fair market value.7.2.
Valuation of Inventories8.
Fast moving Stores and spares are valued at standard rates, determined by the 8.1.
Corporation from time to time, in respect of items for which standard rates are
fi xed. Other items are valued at lower of cost, determined on weighted average
method, or net realizable value. The difference between actual cost and the
Standard rate is debited to credited to Material Cost Variance Account, as the
case may be. The balance under this account is transferred to Material Cost
Variance Reserve. The debit balance under Material Cost Variance Reserve is
debited to P&L Account.
Borrowing Costs9.
Borrowing costs attributable to the construction/acquisition of qualifying assets 9.1.
are capitalized as a part of the cost of such assets. A qualifying asset is one that
necessarily takes substantial time to get ready for intended use.
114Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
Non specifi c borrowing costs for acquisition of qualifying assets are apportioned 9.2.
to individual assets in the ratio of expenditure on assets to such borrowing costs,
quantum of borrowing costs being determined on the basis of weighted average
cost of the borrowings outstanding during the period. Other borrowing costs are
recognized in the period which they are incurred.
Employee Benefi ts10.
Expenditure towards Gratuity, Pension and Leave Encashment is provided on 10.1.
the basis of actuarial valuation at the end of each fi nancial year in conformity with
the revised Accounting Standard - 15. Actuarial gains or losses are recognized
in the Profi t and Loss account.
Accounting for Taxes on Income11.
Provision for Current Tax is made in accordance with the provisions of the 11.1.
Income Tax Act, 1961.
Deferred tax on account of timing difference between taxable and accounting 11.2.
income is provided using the tax rates and tax laws enacted or substantially
enacted by the Balance Sheet date.
Deferred Tax is recognized, being the difference between taxable income and 11.3.
accounting income that originate in one period and are capable of reversal in
one or more subsequent periods. Deferred tax assets are recognized, if there is
virtual certainty of realization of such assets.
Foreign Currency Transactions12.
Foreign currency transactions are initially recorded at the exchange rate 12.1.
prevailing on the date of the transaction.
Foreign Currency monetary assets and liabilities are translated at the year 12.2.
end exchange rates. Exchange differences related to liabilities for acquisition
of fi xed assets from outside India are adjusted in the carrying cost of assets.
Exchange differences arising on other transactions are recognized as income
or expenditure in the year in which it arises.
Impairment of Assets13.
Carrying amount of assets is reviewed at each balance sheet date to determine 13.1.
whether there is any impairment.
115 Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
An impairment loss is recognized, whenever the carrying amount of such assets 13.2.
exceed the recoverable amount. Reversal of impairment loss is recognized as
income in the profi t and loss account.
Amortization of Intangible Assets14.
Cost of software purchased is recognized as intangible asset and amortized on 14.1.
straight line method over a period of three years, commencing from the year of
purchase.
Amortisation of lease assets 15.
Lease payments made upfront in respect of leased assets are amortized in 15.1.
equal installments over the lease period of the asset.
Annual lease rent payments are charged to revenue.15.2.
Cost of improvements made to leased assets is amortized in equal installments 15.3.
over remaining lease period of the asset.
116Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
Schedule – 31
NOTES ON ACCOUNTS
General
Previous year fi gures have been regrouped / recast wherever necessary
Paisa has been rounded off to the nearest rupee.
Balances of Sundry Debtors, Sundry Creditors, Advances to suppliers are subject to
confi rmation and reconciliation, wherever required.
Contingent Liabilities not provided for in the Accounts:1.
(Rs. In Crores)
Sl.
No.Particulars
Current
Year
Previous
Year
(i) Claims against the company not acknowledged as debts:
Claims in respect of Land Acquisition Cases 0.68 2.05
Income Tax Demand pending before Appellate authorities 0 61.39
Others 18.46 17.34
(ii) Estimated Amount of capital contracts remaining to be
executed and not provided for 3631.39 3834.52
Value of Imports calculated on CIF basis:2.
(Rs. In Crores)
Sl. No. Particulars Current Year Previous Year
i Raw materials, spare parts and capital goods NIL NIL
ii Capital goods NIL NIL
Expenditure in foreign currency:3.
Sl. No. Particulars Current Year Previous Year
i Expenditure in foreign currency on account of
Travelling*
*Represents amount reimbursed to
employees for foreign travel
Rs.14,95,982/- Rs.36,958/-
Value of indigenous and imported stores Spares and components consumed:4.
Sl.No. Particulars Current Year Previous Year
i. Indigenous Materials Not ascertainable Not ascertainable
ii Imported Materials Not ascertainable Not ascertainable
117 Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
Quantitative details of Transmission and Loss of Energy:5.
(In MUs)
Sl.
No.Particulars
Current Year
(Provisional)
Previous
Year
1 Total Energy handled 50516.39 47783.55
2 Total Energy Transmitted 50516.39 47783.55
3 Transmission Loss in respect of Energy Transmitted 2219.34 2007.67
4Net Transmission to ESCOMS & Hukkeri society
during the year (2-3)48297.13 45775.88
5Total units accounted as Transmitted to ESCOMS &
Hukkeri society during the year * 48297.13 45775.88
6 Total Transmission loss 2219.34 2007.67
7Percentage of Transmission Loss on handled Energy
(vii / i. X 100)4.39% 4.20%
* includes 2807.923 Mus (Previous Year 4002.530 Mus ) of energy in respect of Bilateral
& Open Access and Wheeled Energy
6. Fixed Assets
(a) Land and Title Deeds
Corporation is in possession of lands aggregating 6712 Acres 13 Guntas consisting
of 6161 A 16 G under full ownership, 173 A 13 G of Forest land and 377 A 24 G of Government
& Private Lands on lease.
Further, process of updating the land records including title is in progress.
7. Land and Buildings
Land and Buildings (including Powerhouses) but excluding installations have been
accounted on the basis of Balance Sheet Restructuring Program issued by the Government
of Karnataka. Formalities for transfer of title of certain assets in favor of the Corporation are
pending.
8. Sale of Land to PGCIL:
Corporation has received Rs. 5.47 Crores from Power Grid Corporation of India
Ltd., towards 64 acres of land at Narendra, Dharwad, which is held under Deposit. Pending
118Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
execution of sale deed, possession of land is handed over to PGCIL. Required accounting
adjustments would be carried out on execution of sale deed.
9. Assets Not in Use
Corporation has identifi ed assets “Not in Use” aggregating Rs 9,38,51,250 on which
depreciation has been claimed at normal rates.
Transformers with book value of Rs 15,51,74,914 sent for repairs have been withdrawn
from the gross block and grouped under Loans & Advances. No depreciation is charged on
such assets during the period of repair.
10. Leased Assets
On expiry of the lease period of assets obtained on lease from IDBI, negotiations are
still in progress to terminate the lease agreement and for repossession of the assets. Lessor
has demanded Rs 1,12,50,000 for transferring title over the assets.
11. Confi rmation of balances
Confi rmation of balances have not been obtained for the balances under secured &
unsecured loans and other current assets & current liabilities other than Bank balances.
12. Balance with ESCOMS
Receivables and Payables in the names of ESCOMs (otherthan relating to S.Drs for
Transmission of Power), as detailed below, are subject to reconciliation and confi rmation:
(Rs. In Crores)
Name of the ESCOM Receivable Payable
BESCOM 63.61 69.33
MESCOM 20.31 9.08
HESCOM 29.19 26.92
GESCOM 24.35 3.73
CESCOM 10.59 9.58
13. Inter Unit Accounts(IUA)
Unreconciled net credit balance under IUA is Rs 30,18,87,184 (Previous Year
Rs 61,11,10,123) as at 31.03.2011. This includes several old transactions pending reconciliation/
clearance.
119 Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
14. Property Tax /Land Cess
Provision has not been made towards Property Tax including vacant lands and same
shall be accounted, as and when payment is made. Impact on fi nancial statements is not
ascertainable.
15. Income Tax
Company has already provided Deferred Tax Liability to an extent of Rs.274.29 crores
upto previous year 2007-08. The Company is of the view that the DTL provided is suffi cient
and hence not provided during the current year.
16. Employee Benefi ts:
Leave Encashment
Actuarial valuation as at 31.3.2011 has not been got done to ascertain the accumulated
future liability towards leave encashment to employees. However, based on the average outgo
on leave encashment for the last three years, provision is made in the year, which is not in
conformity with AS 15.
Pension and Gratuity
As per Accounting Policy relating to Employee Benefi ts, liability for pension and gratuity
contribution up to 31.5.2002 is met by the Government of Karnataka and liability arising from
1.6.2002, is met by the Corporation by contribution to the Trust, based on Actuarial valuation.
Incremental liability for the year has not been ascertained on the basis of actuarial
valuation conducted as at 31.3.2011 and provided for in the accounts, which is not in conformity
with AS 15.
Revision of Pay:-
The Board has approved for revision of pay of employees of KPTCL at 25% with
effect from 1-4-2010. An amount of Rs. 45.78 Crores has been provided in the Accounts for
2010-11, pending approval of the Government.
17. Segment Reporting
As the Corporation is engaged only in the business of power transmission within the
state of Karnataka, there are no reportable segments as per AS-17 on “Segment Reporting”.
120Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
18. Related party Disclosures
Related Party Transactions:
Key Managerial Personnel – As per Notifi cation issued by GoK.
Sl.No. Name Designation
1 Smt. G. Latha Krishna Rao Managing Director
2 Dr. Aditi Raja Director (Finance)
3 Sri. S. Pratap Kumar Director (Technical)
4 Sri. Shivayogi C. Kalasad (Upto 3-11-2010) Director (Admn & H R)
5 Sri. V. Yashwanth (From 22-11-2010) Director (Admn & H R)
Managerial remuneration paid or payable to Key Managerial Personnel:
(Amount in Rs.)
Sl.No. Particulars Current Year Previous Year
i. Salary and Allowance 40,65,186 35,13,123
ii Exgratia 14,000 11,215
iii Medical Expenses 3,66,089 14,655
TOTAL 44,45,275 35,38,993
19. Exgratia
Exgratia paid to employees in lieu of Bonus for the years 2000-01 to 2009-10 is subject
to post facto approval/ratifi cation of the Government of Karnataka.
20. Penalty Recovered:
Recoveries from Suppliers / Contractors, including amounts recovered by way of
encashment of Bank Guarantees, for delay in supply / execution of work is retained in “Penalty
Recovered pending decision for Refund” under Current Liabilities. Upon resolution of the
dispute, the amount in excess of the Refund made to the Suppliers / Contractors, if any, is
suitably adjusted.
21.Others
The Company has not received intimation from “Suppliers” regarding their status under
Micro, Small and Medium Enterprises Development Act, 2006 and hence disclosures, if any,
relating amount unpaid as at the year end together with interest paid / payable as required
under the said Act, has not been given.
Signatories to Schedule 1 to 31. Sd/-
(K.R.JAYAPRAKASH)
Financial Adviser(A&R)
Sd/- Sd/- Sd/-
(R.SRIDHARA) (ADITI RAJA) (P.RAVIKUMAR )
Company Secretary Director (Finance) Managing Director
As per our report of even date
For Rao & Swami
Chartered Accountants
Sd/-
(N.Ramesh)
Place: Bangalore Partner
Date : 5-9-2011 Membership No.16153
121 Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
Cash Flow Statement Annexed to the Balance Sheet for the period April 2010 - March 2011
Particulars Amount in Rs Amount in Rs
A CASH FLOW FROM OPERATING ACTIVITIES:
Net Profi t before tax as per Profi t & Loss Account 1 63 48 490
Adjustments for :
Depreciation (net) 406 98 89 291
Finance and Other Charges 537 32 96 889
Interest on Investment -3 23 14 484
Other Income -230 49 09 790
Income Tax - 76 55 921
Contributions, grants & subsidies towards cost of capital assets 75 26 96 839
Prior period and Extraordinary items 17 23 03 260
Operating Profi t before working capital changes 803 96 54 575
Adjustments for :
Changes in Stores & spares -4 94 71 690
Assets not in use 1 73 11 292
Changes in Sundry Debtors 19 10 87 732
Changes in Loans & Advances -102 39 14 785
Changes in Other Receivables -126 73 58 305
Changes in Current liabilities & provisions 122 44 36 896
Operating Profi t after working capital changes 713 17 45 714
Prior period and Extraordinary items -17 23 03 260
Deferred Expenditure -1 84 77 566
Misc Expenditure
Net cash infl ow from Operating Activities 694 09 64 888
B CASH FLOW FROM INVESTMENT ACTIVITIES
Changes in Fixed Assets (Net of Assets sales and losses) -1233 80 69 494
Changes in Capital Work in Progress 330 93 50 115 Interest on Investment 3 23 14 484
Net cash infl ow from Investment Activities -899 64 04 896
C CASH FLOW FROM FINANCING ACTIVITIES:
Changes in Share Capital/ Share Deposits 400 00 00 000
Changes in Secured Loans -211 89 89 449
Changes in Unsecured Loans 519 80 23 898 Changes in Capital Reserves
Changes in Material cost variance Reserves 6 74 593
Changes in Deposit Contribution works 33 68 19 678
Changes in Deferred Tax Liability
Other Income 230 49 09 790
Finance and other Charges -537 32 96 889
Net Cash used in fi nancing activities 434 81 41 621
Net Change in Cash and Cash equivalents (A+B+C) 229 27 01 613
Add:Opening Cash and Cash Equivalents as on 1.4.2010 163 77 23 372
Closing Cash and Cash Equivalents as on 31.3.2011 393 04 24 985
Subject to our comment in our report of even date
For Rao & Swamy
Chartered AccountantsSd/-
(K.R.JAYAPRAKASH)
Financial Adviser(A&R)
Sd/- Sd/- Sd/- Sd/-
(N.Ramesh) (R.SRIDHARA) (ADITI RAJA) (P.RAVIKUMAR)
Partner Company Secretary Director (Finance) Managing Director
Membership No.16153
Place: Bangalore
Date : 5th September 2011
122Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
STATEMENT SHOWING SECTOR WISE CAPITAL EXPENDITURE FOR 2010-11
WITH AND WITHOUT RELEASED ASSETS ISSUED TO CAPITAL WORKS
CWIP (Amount in Rupees)
Account
Code
Brief Description of the
Project
Capital
Expenditure
Allocation
(Sectorwise)
(in crores
Capital
Expenditure
during the year
2010-11
Released
Assets issued
to works
during
2010-11
Net Capital
Expenditure for
the year 2010-
11 (deducting
Released
Assets issued to
Works)
TRANSMISSION LINES AND SUB STATIONS WITH ATTACHED CIVIL WORKS
14.110 Transmission lines (GP) 175 26 92 982 43 44 734 174 83 48 248
14.113 Transmission lines(PFC) 294 84 28 359 15 669 294 84 12 690
14.116 Transmission lines (Non-Plan) 39 76 304 39 76 304
14.120 Step Down Station (GP) 215 50 46 371 8 65 48 680 206 84 97 691
14.123 Step Down Station(PFC) 77 91 94 230 20 59 464 77 71 34 767
14.124 Step Down Station (ADB) 55 02 955 55 02 955
14.126Step Down Station
(Non-Plan) 14 62 51 919 98 90 121 13 63 61 798
Sub Total 1088.28 779 10 93 120 10 28 58 668 768 82 34 452
CAPACITOR INSTALLATIONS
14.165 Installation of Capacitors (GP) 8 41 474 8 41 474
Sub Total 1.63 8 41 474 8 41 474
LOAD DESPATCH AND
COMMUNICATION
14.130Load Despatch &
Communication32 45 71 906 32 45 71 906
Sub Total 94.00 32 45 71 906 32 45 71 906
EXTENSION AND
IMPROVEMENTS
14.150
Transmission lines+
Transformers etc-
Improvements (GP)
45 63 79 795 3 44 47 260 42 19 32 535
14.151
Transmission lines+
Transformers etc-
Improvements (Non Plan)
5 097 5 097
Sub Total 68.87 45 63 84 892 3 44 47 260 42 19 37 632
123 Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
CWIP (Amount in Rupees)
Account
Code
Brief Description of the
Project
Capital
Expenditure
Allocation
(Sectorwise)
(in crores
Capital
Expenditure
during the year
2010-11
Released
Assets issued
to works
during
2010-11
Net Capital
Expenditure for
the year 2010-
11 (deducting
Released
Assets issued to
Works)
PROVIDING NEW TRANSFORMERS IN PLACE OF FAULTY/FAILED DISTRIBUTION
TRANSFORMER
14.170
Replacement of Distribution
transformer with similar
capacities
3 15 00 373 2 76 78 788 38 21 585
Sub Total 4.21 3 15 00 373 2 76 78 788 38 21 585
RURAL ELECTRIFICATION
14.200
REC Plan Schemes-IP:IE
Scheme of Driniking Water
Supply
243 84 95 271 243 84 95 271
14.240 System Improvement-REC 5 10 086 5 10 086
Sub Total 337.48 243 90 05 357 243 90 05 357
OTHERS
14.502 Buildings 21 88 73 545 21 88 73 545
14.708 Furniture & Fixtures 10 55 437 10 55 437
14.809 Offi ce Equipement 3 13 97 381 12 708 3 13 84 673
14.810 Tools & Tackles 3 01 86 502 1 52 329 3 00 34 173
14.811 Mobile Phones/Cellular Phones 8 06 054 5 990 8 00 064
14.910Survey and Investigation
expenses on projects19 04 817 19 04 817
Sub Total 97.92 28 42 23 735 1 71 027 28 40 52 708
TOTAL-A 1692.39 1132 76 20 858 16 51 55 743 1116 24 65 115
Less: Amount initially
accounted by one accounting
unit as Capital Expenditure
and on transferred to another
accouting unit same accounted
as Capital Expenditure
21 55 38 841 21 55 38 841
TOTAL-B 21 55 38 841 21 55 38 841
NET CAPITAL EXPENDITURE 1111 20 82 017 16 51 55 743 1094 69 26 275
STATEMENT SHOWING SECTOR WISE CAPITAL EXPENDITURE FOR 2010-11
WITH AND WITHOUT RELEASED ASSETS ISSUED TO CAPITAL WORKS
124Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
STATEMENT SHOWING THE DETAILS OF BORROWING
FOR THE FINANCIAL YEAR 2010-11
A/c
CodeName of the Institution
OB as on
01/04/2010Receipts Repayments
CB as on
31/03/2011
1 2 3 4 5 6
53.300 REC 302227170 135882623 166344547
53.324 Short term Loans 11000000000 5780000000 5220000000
53.325 UCO Bank 5030000000 5030000000
53.330 Vijaya Bank 3543903694 6780590309 70321000 10254173003
53.336 APDRP-REC 76801113 10971588 65829525
53.900 HDFC 5105850 2941909 2163941
53.960 PFC 19338329020 6642300894 12696028126
53.302 REC-Rationalised loans 13001132 5063793 7937339
53.345 South Indian Bank 875000000 875000000
53.346 Punjab National Bank 2587500000 345000000 2242500000
53.347 Oriental Bank of Commerce 775000000 100000000 675000000
53.353 Corporation Bank 1325000000 2000000000 1100000000 2225000000
53.354 Bank of Maharastra 1650000000 200000000 1450000000
53.355 Bank of India 1555200000 3000000000 444800000 4110400000
53.356 Bank of Baroda 1833333334 333333332 1500000002
53.357 Indian Bank 1000000000 2000000000 3000000000
53.358 Bank of Rajasthan 1000000000 1000000000
53.359 Punjab & Sind Bank 350000000 350000000
53.360 Canara Bank 5000000000 5000000000
54.200 State Government Loans 77229383 5940722 71288661
TOTAL 51987630696 19130590309 16051555861 55066665144
125 Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
DCB STATEMENT FOR THE YEAR 2010-11
(Energy Supplied in MUs & Amount in Rupees)
ESCOM
Energy
Supplied
(in MUs)
Opening
Balance
Transmission
Charges
(Current year
Demand)
GrandTotal
(OB+Current
Year)
Collection & Closing
Balance
BESCOM 21899.04 430174384 5950982053 6381156437 6153612069 227544368
MESCOM 3591.63 290758856 968564941 1259323797 1091273987 168049810
HESCOM 8527.27 741963561 2369002653 3110966214 2037466610 1073499604
GESCOM 6099.98 275696714 1368318528 1644015242 1394952795 249062447
CESCO 4702.96 694223605 1137074166 1831297771 1205280646 626017125
HUKKERI 190.94 144225146 52708846 196933992 196706638 227354
INTER STATE 1757702 18628688 20386390 17303923 3082467
DELAYED
PAYMENT
CHARGES
214911825 26295130 241206955 214911825 26295130
OTHERS
(Including
open Access
Customers)
WITHDRAWAL -9235580 -9235580 -9235580
Grand Total 45011.82 2784476213 11891575005 14676051218 12311508493 2364542725
126Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
KARNATAKA POWER TRANSMISSION CORPORATION LIMITED, BANGALORE
CORRIGENDUMTO
AUDITORS’ REPORT DATED 05.09.2011
Reference Appearing as Read as
1. Audit Report
- Para 4 (v)
- 6th line Rs.15,011.79 lakh Rs. 15,005.49 lakh
2. Annexure I
- Para 1.3 (a)
- Third line - Schedule 12 - Schedule 13
- Para 1.4
- First line i) Rs.269.25 lakh i) Rs.262.95 lakh
- 16th line Rs.10,593.99 lakh Rs.10,587.69 lakh
- 17th line Rs.269.25 lakh Rs.262.95 lakh
- Para 1.7
- Third line Para 1.32 in Para 1.32
- Para 3.1
- Fouth line among others amongst others
- Para 3.3
- Third line damages recovered damages of
Rs.7,619.91 lakh recovered
- Para 3.4
- First line Es.469.59 lakh Rs.469.59 lakh
- Para 3.8
- Second line Rs.41.32 lakh Rs.41.37 lakh
- Para 4
- Third line Rs.15,175.27 lakh Rs.15,168.97 lakh
- 6th line Rs.269.25 lakh Rs.262.95 lakh
3. Annexure II
- Para 2 (b)
- 4th line business (c) business
- 5th line According to (c) According to
For Rao & Swami
Chartered Accountants
Sd/-
(N.Ramesh)
Place: Bangalore Partner
Date : 29-9-2011 Membership No.16153
Govt. Press. Vikasa Soudha Unit, Bangalore. W.D. 86 /P5
127 Karnataka Power Transmission Corporation Limited, Annual Report 2010-11
128Karnataka Power Transmission Corporation Limited, Annual Report 2010-11