GMC spent Rs 2.2 crore extra on power bills: CAG

Panaji: Goa Medical College and Hospital (GMC), Bambolim incurred excess expenditure to the tune of Rs 2.23 crores due to non-revision of contract demand of high tension (HT) electricity connection, observed the comptroller and auditor general (CAG) of India in its report for 2016-17.

GMC increased the contract demand of its HT electricity connection from 1,000 KVA to 3,947 KVA in 2008 for new infrastructure projects. Despite the completion of those projects, the maximum monthly consumption recorded was only 1,934 KVA during 2008-2016, resulting in payment of excess electricity bills of Rs 2.23 crore.

As per applicable tariff, HT consumers have to pay 75 % of the contracted demand or the actual consumption recorded, whichever is higher.

“The need to revise the contracted demand in the light of the reduced actual demand was reported through our subsequent inspection reports,” says the CAG report.
It also pointed out that until November 2015, GMC had not taken any concrete steps to assess the status of the projects or revise the contract demand thus far.
“GMC could have revised the contract demand to a maximum of 2,000 KVA in 2008-09 itself. This could have saved electricity charges amounting to Rs 2.23 crore,” the CAG observed.
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