CAG castigates double power taxation in Chhattisgarh

Raipur, March 22 (IANS) The Comptroller and Auditor General (CAG) in its report tabled in the Chhattisgarh assembly Friday castigated the working of the state’s energy department, lapses of which not only cost dear to consumers but also deprived the exchequer of crores of rupees in terms of freebies to favoured industries.

A performance audit by the CAG on a ‘Levy and Collection of Electricity Duty’ of the energy department revealed that incorporating erroneous provision in the Electricity Duty Act/Chhattisgarh Upkar Adhiniyam led to levy of cess at two different points and consequentially put extra burden of Rs.252.63 crore on consumers and incorrect issue of exemption certificates to industries led to non-levy of electricity duty and interest of Rs.15.77 crore.
While grant of exemption to industry even after withdrawal of notification led to non-levy of electricity duty and interest of Rs.44.68 crore, grant of exemption to an ineligible set led to non-levy of electricity duty of Rs.35.69 crore.