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CAG pulls up BHEL for delays in capacity addition

CAG pulls up BHEL for delays in capacity addition
The CAG report which was tabled in the Parliament on Monday reads, ‘While CEA had identified power generation capacity addition requirements of 67,439 MW for XI Plan in the country in November 2003 itself, BHEL completed Phase-II (XI Plan) capacity addition programme in March 2011.’

It further reads, ‘Thus, the manufacturing capacity expansion, which was required to be planned and completed in the initial years of XI Plan, was declared to have been completed by BHEL only towards the end of the Plan.’

‘Implementation of the capacity expansion programmes for the XI and XIIth Plans disclosed delays between seven months and 62 months in 17 selected schemes out of 22 schemes approved in 2007-12,’ the audit report reads.

While pointing the performance of BHEL against MoU targets and its monitoring mechanism, the CAG reports says, ‘BHEL had signed MOUs with its administrative Ministry regularly. There was scope for fixing appropriately challenging targets and evaluation of performance more objectively in line with Department of Public Enterprises (DPE) guidelines.’
M Post Bureau

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