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<p style="text-align: justify;"><span style="color:#696969"><span style="font-size:11px"><span style="font-family:arial">A week after chief minister Arvind Kejriwal announced a CAG audit for private discoms, BSES Rajdhani, BSES Yamuna and Tata Power Delhi were officially informed about the decision on Tuesday. The three companies said they would reply to the letter by Wednesday. However, two letters have been sent in the past few days by the discoms-which have closed ranks-to the Delhi government, challenging the legality of the audit. The first letter was sent last week, the next followed on Monday. The government is yet to reply.</span></span></span></p> <p style="text-align: justify;"><span style="color:#696969"><span style="font-size:11px"><span style="font-family:arial">The utilities said they would cooperate keeping with the law but called the process politically motivated. &quot;They have to inform us what areas can be covered and what is the scope of this audit. We are governed under Electricity Act under which the regulatory commission conducts an audit. There should not be conflict of jurisdiction. As long as the audit is conducted as per law, we have no problem but we require a number of clarifications,&quot; said Tata Power Delhi CEO Praveer Sinha.</span></span></span></p> <p style="text-align: justify;"><span style="color:#696969"><span style="font-size:11px"><span style="font-family:arial">Reliance-backed discoms BRPL and BYPL have shot off a similar letter. Though discom officials declined to comment on the CAG controversy, sources within the power companies confirmed that they had also challenged the legality of the audit. The discoms have also questioned why the audit was announced to the media before informing the respective companies. &quot;The CAG is not empowered under section 20 to audit us. There is a due process of law that has to be followed and this appears to be premeditated. Even before the process was followed and implemented, you have already gone to media. It is the prerogative of the LG to call for these explanations on an audit. How can the state government call for it?&quot; questioned discoms. The three companies are expected to come out with an official statement on the CAG issue within the week.</span></span></span></p> <p style="text-align: justify;"><span style="color:#696969"><span style="font-size:11px"><span style="font-family:arial">Meanwhile, the Delhi government has appointed the additional secretary (power), Ankur Garg, as the nodal officer who will correspond with the principal accountant, general (audit), Delhi. Discoms have been asked to appoint a nodal officer to correspond with CAG.</span></span></span></p> <p style="text-align: justify;"><span style="color:#696969"><span style="font-size:11px"><span style="font-family:arial">&quot;On the request of the government, CAG under Section 20 will conduct an audit of the power companies since their inception. The principal accountant general (audit) Delhi will be the chief officer who will audit the discoms.</span></span></span></p> <p style="text-align: justify;"><span style="color:#696969"><span style="font-size:11px"><span style="font-family:arial">We request you to cooperate with the audit officers for smooth flow of information, records and replies,&quot; Discoms are also requested to appoint a nodal officer to coordinate with the CAG team and Delhi government says the letter written by Alka Sharma, deputy secretary (power).&quot;</span></span></span></p> <p style="text-align: justify;"><span style="color:#696969"><span style="font-size:11px"><span style="font-family:arial">Source-On Request</span></span></span></p>