APGENCO and TRANSCO have engaged the KPMG to assess the liabilities and sought a report
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Hyderabad: Another row has surfaced over sharing of pension liabilities between the power utilities of AP and Telangana which have taken a diametrically opposite stand. With the meeting of heads of utilities for the past two days failing to break the jinx, it was decided to constitute a committee that would not only oversee all aspects of sharing of assets but pension liabilities as well.
According to a rough calculation, the total estimates as on June 2, 2014 was Rs 3,247.95 crore. Telangana argues that according to Schedule VIII- Clause-5(1) of APRA (AP Reorganisation Act), apportionment of pension liabilities between the two states (TS: AP) should be in the ratio of population (41.68: 58.32).
Going by this argument i.e. taking the Reorganisation Act into consideration, the pension liability of Telangana and AP should have been '1,353.74 crore and '1,894.21 crore respectively. But AP states that a G.O. (No. 29) issued on May 31, 2014 i.e. just before the bifurcation, shall be the basis for sharing.
According to this G.O., pension liability allotted to TSGENCO and APGENCO is Rs 2,330.57 crore and Rs 917.38 crore respectively. Thus, the excess liability towards pension transferred to TSGENCO is Rs 976.83 crore (Rs 2,330.57 crore - Rs 1353.74 crore).
Telangana power utilities cried foul over this and sought correction based on the APRA. But AP has been maintaining that since Telangana never considered the Act at all with regard to division of power utilities which come under public sector commercial institutions, there is no meaning in citing the Act. Recently, APGENCO and TRANSCO have engaged the consultancy firm KPMG to assess the liabilities and sought a report.
( Source : deccan chronicle )
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