Audit Reports
Andhra Pradesh
Report No. 4 of 2015 -Report of the Comptroller and Auditor General of India on Public Sector Undertakings For the year ended March 2014 Government of Andhra Pradesh
Overview
The State Public Sector Undertakings (PSUs), consisting of State Government Companies and Statutory Corporations, are established to carry out activities of a commercial nature, while keeping in view the welfare of the people. In Andhra Pradesh, the State PSUs occupy an important place in the State economy. These accounts are also subject to supplementary audit conducted by CAG as per the provisions of Section 619 of the Companies Act, 1956. Audit of Statutory corporations is governed by their respective legislations.
As on 31 March 2014, the State of Andhra Pradesh had 55 working PSUs (52 companies and three Statutory Corporations) and 22 nonworking PSUs (all companies). As of the same date the investment(capital and long-term loans) in these 77 PSUs (including 619-B companies) was Rs.76,239.06 crore. The investment has grown by 88.39 per cent from Rs.40,469.51 crore in 2008-09 to Rs.76,239.06 crore in 2013-14. Thrust of investment was mainly in the power sector PSUs.
During 2013-14, the total outgo from the budget of the Government of Andhra Pradesh (GoAP) was Rs.14704.94 crore, of which equity capital outgo was Rs.27.33 crore, loans outgo Rs.1,726.53 crore and grants/subsidies Rs.12,951.08 crore.There was a difference of Rs.2,934.00 crore in equity, Rs.1,614.59 crore in loans and Rs.7,450.90 crore in guarantees as per the Finance Accounts and the records of PSUs, which needs to be reconciled.
Out of 55 working PSUs, only 17 PSUs had finalised their annual accounts for 2013-14. The total number of annual accounts in arrears was 84, with arrears ranging from one to nine years.
Out of the 17 PSUs that had finalised their accounts for 2013-14, seven PSUs earned an aggregate profit of Rs.1,146.34 crore, eight PSUs incurred a loss of Rs. 1,386.05 crore, one PSU neither earned profit nor loss and one PSU has not started its commercial operations & hence has not prepared profit & loss account. The main profit earning PSUs were Andhra Pradesh Power Generation Corporation Limited(Rs. 555.76 crore), Singareni Collieries Company Limited (Rs. 418.74 crore) and Transmission Corporation of Andhra Pradesh Limited(Rs. 102.77 crore). The main loss-incurring PSU was Central Power Distribution Company of Andhra Pradesh Limited (Rs. 811.24 crore).