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CAG faults charge disbursal by CMRL to Tangedco

The Comptroller and Auditor General of India (CAG) has found fault with the Chennai Metrol Rail Limited ( CMRL) for incurring avoidable payment of Rs. 9.08 crore by way of compensation charges levied by the Tamil Nadu Generation and Distribution Corporation Limited due to Low Power Factor (LPF).

migrator

Updated:8th Dec, 2019 at 4:29 AM

New Delhi

In a report tabled in Parliament earlier this week, the government’s top auditor said, “Delay in taking corrective action resulted in non-compliance of statutory requirement as well as avoidable expenditure of Rs 9.08 crore to Tangedco.”

It said the Tamil Nadu Electricity Regulatory Commission (TNERC) in 2012 stipulated that in respect of High Tension (HT) service connections, the Average Power Factor of the consumer installation should not be less than 0.90. If APF is less than the stipulated level, compensation charges ranging from one per cent to two per cent of the current consumption charges would be levied. Further, it was obligatory on the part of the consumer to improve the power factor of their connected loads to the required level in accordance with the provisions of the code, the report said.

CAG faults charge disbursal by CMRL to Tangedco

The Comptroller and Auditor General of India (CAG) has found fault with the Chennai Metrol Rail Limited ( CMRL) for incurring avoidable payment of Rs. 9.08 crore by way of compensation charges levied by the Tamil Nadu Generation and Distribution Corporation Limited due to Low Power Factor (LPF).

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