PSUs lose Rs 12,280 cr,power tops list

The CAG report points out that other than the 31 working PSUs (27 government companies and 4 statutory corporations) there are another 22 non-working PSUs in the state which need to be shut down at the earliest.

Out of 31 working PSUs,14 earned profit of Rs 59 crore and 12 incurred loss of Rs 1,569 crore. The major contributors to profit were Punjab State Container and Warehousing Corporation Limited (Rs 11.40 crore),Punjab Genco Limited (Rs 11.15 crore) and Punjab Information and Communication Technology Limited (Rs 11.06 crore).

The CAG attributed the losses of working PSUs to deficiencies in financial management,planning,implementation of project,running their operations and monitoring.

“A review of three years Audit Reports (2009-10 to 2011-12) of CAG shows that the state PSUs losses of Rs 4,923 crore and infructuous investments of Rs 14.5 crore were controllable. The PSUs can discharge their role efficiently only if they are financially self-reliant. There is a need for professionalism and accountability in the functioning of PSUs.” states the report.

The report adds that non-working PSUs are required to be closed down. “During 2011-2012,12 non-working PSUs incurred expenditure of Rs 65 crore towards establishment expenditure. The firms,which have taken the route of winding up by court order are under liquidation for a period of 3 to 29 years. The process of voluntary winding up is much faster and should be adopted,” states the report.