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Arvind Kejriwal meets CAG to seek status report on audit of discoms

Last week, CM Arvind Kejriwal had said his government was going to cut power tariff "very soon".

By: Press Trust of India | New Delhi | Updated: February 25, 2015 5:16:07 pm
Arvind Kejriwal, CAG, Power Tariff Last week, CM Arvind Kejriwal had said his government was going to cut power tariff “very soon”.

Delhi Chief Minister Arvind Kejriwal on Wednesday met Comptroller and Auditor General Shashi Kant Sharma and discussed the status of scrutiny of finances of the private power distribution companies by the auditor which was ordered by the AAP government during its first stint.

Sources said Kejriwal conveyed to Sharma his government’s view on the CAG audit of the finances of the discoms and its plans to review the electricity tariff after the findings of the audit. 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.

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Last week, Kejriwal had said his government was going to cut power tariff “very soon” in line with election promises
made by his party.

In its manifesto, AAP had promised to cut power tariff by 50 per cent immediately after coming to power and 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.
The city government had told Delhi High Court last Friday that it was not trying to stop the functioning or interfere in functioning of the discoms but was only trying to bring them under public audit as 49 per cent stake in them was held by it.

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