Delhi Power Minister Satyender Jain meets CAG on audit of discoms

NEW DELHI: Delhi Power Minister Satyender Jain today met Comptroller and Auditor General Shashi Kant Sharma and discussed the status of scrutiny of finances of the three private power distribution companies by the auditor which was ordered by the AAP government during its first stint.

Jain is understood to have requested the CAG to complete the audit before likely announcement of new tariff by Delhi Electricity Regulatory Commission.

The AAP government has been maintaining that tariff structure should be reviewed after CAG examines finances of the discoms.

The first AAP government in January last year had ordered CAG audit of the finances of the three power companies -- BSES Yamuna Power Ltd, BSES Rajdhani Power Ltd and Tata Power Delhi Distribution Ltd.

It had even warned the discoms that their licenses may be cancelled if they do not cooperate with the audit.

Chief Minister Arvind Kejriwal had met the CAG in February 25 on the same issue.

The AAP government had announced a 50 per cent subsidy to domestic consumers on monthly power consumption of up to 400 units and had said the rates will be revised based on the findings of the CAG audit.

The AAP government had ordered CAG audit of the discoms since 2002 after power distribution was privatised. Delhi discoms are a 51:49 per cent joint venture between the private companies and the Delhi government.

The discoms had opposed the CAG scrutiny and approached the Delhi High Court, contending that Delhi government's decision asking CAG to audit the power companies' accounts is "patently" illegal on several counts.