# Bhilai Electric Supply Company Private Ltd. was merged with NTPC-SAIL Power Company Private Ltd. w. e. f. the appointed date i.e. 1st April 2005, in pursuance of the order of the Hon'ble High Court of Delhi dated 2nd August 2006.
* The financials statements are un-audited.
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The Central Electricity Regulatory Commission (CERC) has notified by Regulations in March 2004, the terms and conditions for determination of tariff applicable with effect from 1st April 2004 for a period of five years. CERC has issued final tariff orders for all the stations/units except for five stations/units. During the year, sales of Rs. 252,591 million (previous year- nil) has been accounted for stations where final tariff orders have been issued by CERC and sales of Rs.40,120 million (previous year- Rs. 257,179 million) have been recognised for five stations/ units based on provisional tariff orders issued by CERC.
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| 3 | Sales of Rs. 10,449 million for Badarpur Thermal Power Station w.e.f. 1st June 2006, has been provisionally recognised based on the principles enunciated under CERC Regulations, 2004, as against the billing of Rs10,615 million as per tariff order issued by CERC for the station before the transfer of the ownership to the company . |
| 4 | Sales of Rs.4,864 million (previous year Rs. 3,522 million) pertaining to previous years has been recognised based on the orders issued by CERC/Appellate Tribunal for Electricity (ATE). |
| 5 | Sales of Rs. 560 million have been provisionally recognized pertaining to the period up to 31.03.2004 in line with the principles enunciated in judgments passed by ATE/orders of CERC. |
| 6 | Income tax of Rs.16,760 million (previous year Rs.5,862 million) , recoverable from the customers has been considered as sales for the year . |
| 7 | The company has followed the same accounting policies as that of the previous year except for the following :
a. On adoption of AS 15 (revised 2005) , provision has been made towards employee benefits amounting to Rs.81 million for the quarter and Rs. 123 million for the year . The liability towards employee benefits including LTC as on 1st April, 2006 amounting to Rs.1,985 million has been adjusted against opening balance of General Reserve in line with the transitional provisions of the said AS.
b. With effect from 1.4.2006, company has reassessed the useful life of some of the assets , the depreciation charged for the year is higher by Rs.70 million resulting in decrease in profit for the year by Rs.67 million and increase in Capital Work-In-Progress by Rs. 3 million due to such change in the rates of depreciation. |
| 8 | On the appeals of some of the beneficiaries, the ATE vide its order dated 20th April 2007 directed CERC to compute interest on the amount paid to the company in excess of final tariff order. Pursuant to the order, the company has provided for interest of Rs.1,988 million including Rs.1,985 million relating to earlier years. |
| 9 | Pursuant to the settlement reached during the year with Grid Corporation of Orissa Ltd. (GRIDCO), 12.50% Secured Non Convertible Redeemable Bonds issued by WESCO, NESCO & SOUTHCO held as investment have been transferred to GRIDCO on 31st March 2007. This has resulted in waiver of interest on such bonds by Rs.915 million upto 31st March 2007. Accordingly, the interest income of Rs.275 million for the current year has not been recognised and Rs.640 million recognised as income in the earlier years has been charged to revenue. |
| 10 | The pay revision of the employees of the company is due w.e.f 1st January 2007. Pending decision of the committee formed by the GOI, a provision of Rs. 979 million has been made on estimated basis for three months period up to 31st March 2007 . Company has also made a provision of Rs.276 million towards salary of CISF and others on estimated basis from 1st January 2006 to 31st March 2007, pending pay revision of the Central Government employees due w.e.f 1st January 2006. |
| 11 | The Board of Directors has recommended 8 % final dividend . The total dividend for the FY 2006-07 is 32 % including interim dividend of 24 % declared during the year. |
| 12 | The audited accounts are subject to review by Comptroller and Auditor General of India under section 619(4) of the Companies Act, 1956. |
| 13 | Information on investors complaints pursuant to clause 41 of Listing Agreements for the quarter ended 31st March, 2007 |
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| | Opening Balance | Additions | Disposals | Closing Balance |
| No. of complaints | 11 | 883 | 882 | 12 |
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| 14 | The above results have been reviewed by the audit committee of the Board of Directors in their meeting held on 29.05.2007 and approved and taken on record by the Board of Directors in the meeting held on 30.05.2007. |
| 15 | Figures for the previous period have been regrouped/ rearranged wherever necessary. |
