Licencee CESCO Annex-B1

CALCULATION OF CAPITAL BASE AND REASONABLE RETURN FOR FINANCIAL YEAR 2001-02

[In accordance with para XVII of Schedule VI of Electricity (Supply) Act, 1948]  (Rs. Crore)
A.     CESCO'S  PROPOSAL COMMISSION APPROVAL
(a) Original cost of fixed asset                     486.60                  486.60
  Less : Consumer Contribution                       81.13                    81.13
(b) Cost of intangible asset                           -  
(c) The original cost of Work in progress                     134.86                  134.86
(d) The amount of investment compulsorily made under para-IV                        1.22                         -  
(e) An amount on account of working capital equal to the sum of                           -  
   (i)   Average cost of stores                       70.25                      5.86
  (ii)    Average cash and bank balance                       21.52                    16.91
Total of A:                    633.31               563.09
       
Less      
B.      
i) The amounts written off or set aside on account of depreciation                     152.42                  136.96
  of fixed assets.                           -  
ii) The amount of any loan advanced by Board.                           -  
ii-a) The amount of any loans borrowed from organisations or institutions approved by the State Govt.                     407.47                  323.32
ii-b) The amount of any debenture issued by the licensee.                            -                           -  
iii) The amounts of deposited in cash with the licensee by consumers, by way of security.                       34.40                    34.40
iv) The amount standing to the credit of Tariffs and Dividends control reserve at the beginning of the year of account.                           -  
v) The amount standing to the credit of the Development reserve at the close of the year.                           -  
vi) The amount carried forward (at the beginning of the year of accounting) in the accounts of the Licensee for distribution to the consumers.                           -  
Total of B:  

               594.291

            494.685

Capital Base (A-B)  

                    39.018

                 68.406

Reasonable return @   16% on Capital Base   

                       6.24

                     8.89

16% 

13%
  0.5% on LT loan

 1.62

10.51