Subject NOT available

click here for IIIF manifest

REGISTERED No D (D)—72.

The Gazette of India

EXTRAORDINARY

PART II—Section 3—Sub-section (i)

PUBLISHED BY AUTHORITY

No. 356 A] NEW DELHI, THURSDAY, NOVEMBER 5, 1981/KARTIKA 14, 1903 Separate paging is given to this Part in order that it may be filed as a separate compilation

(1669A)

914A GI/81

MINISTRY OF ENERGY

(Department of Power)

NOTIFICATION

New Delhi, the 4th November, 1981

G. S. R. No. 5774(E)....In exercise of the powers con- ferred by Sub-paragraph (a) of paragraph VI of the Sixth Sche- dule to the Electricity (Supply) Act, 1948 (54 of 1948), the Central Government, after consultation with the Authority, herehv notifies that the licensee shall provide for depreciation such sum as is calculated in accordance with the following principle-,, namely:—

]. Providing of depreciation by licensees—(a) The licensee

shall provide for depreciaticn.

(i) such an amount as wou'd, if set aside annually through- out the prescribed period and accumulated ;'t compound interest at 4 per cent per annum, nroduce hy tne end of ths prescribed period an amount equal to ninety per cent of the original cost of th'.' a'-set after tj?;ing into account the sums already wi itten off or set aside in ihc books of the undertaking. Annual interest on (he accumulated balance will be allowed as an e.-.pense from revenue as well as the annual incremental deposit, or

(ii) such an amount as is arrived at by dividing ninety per

cent of the original cost of the asset by the prescribed period.

Provided however, that if a licensee has already opted for a particular method before the commence- ment of the Electricity (Supply) Amendment Act, 1978 (23 of 1978), he shall continue to follow the same method.

(b) Where any fixed asset ceases to be available for use through obsolescence, inadequacy, superfluity or for any other reason, it shall be described in the books of the licensee as no 1 onger in use ana no further depreciation in respect thereof shall be allowed as a charge against revenue.

(c) When any asset has been written down in the books of the undertaking to 10 per cent or less of its original cost, no further depreciation shall be allowed in respect of that asset,

(d) Arrears of depreciation may be written otf by equate.!

payments over the remainder of the prescribed period.

2. Period of application of the principles of depreciation—

These principles shall apply to the charging of depreciation for the accounting years commencing on the 1st day of April, 1980

1671A

1981 and ending on the 31st dav of March. 1981 and 19.S2 res-

pectively.

Explanation:—In this notification "pi escribed period" means—in respect of assets specified in the Schedule to this notification, the number of years or piriod specified therein, in relation to such asset running in e.tcii cisc from the beginning of the year of dccou.il next fclioi.'.'i.g that in wiiich the parti- cular asset became available for use in the Business.

SCHEDULE.

Number of years or Description of asset

period

A. Land owned under full title infinity

B. Land held under lease- -

(a) for investment in the land.

The period of the lease, or the period remain- ing uncxpired on the assignment of the lease.

(b) for cost of clearing site The period of the lease remaining uncxpired at the date of clearing the site.

C Assets purchased new- -

(a) Plant and machinery in ge- nerating stations, including plant foundations—

(i) hydro-electric

Thirty-tiye

(ii) steam-clcctnc

Twenty-five

(iii) dicsel-elcv-trie

Fifteen

(b) Cooli.ij! f o e r -. and circula-

ting Water SVStCil.S

Thirtv

(c) Hydraulic works forming

part of a hydroelectric system, including—

One hundred (i) dams, spiiways, \,cirs, canals, reinforced con- crete Humes and syp- phons

Forty-

(ii) reinforced concrete pipe-line and surge tan- ks, steel pipe-lines, sluice gates, steel surge tanks, hydraulic cont- rol valves and other hydraulic works.

"d) Buildings aad civil engi- neering works of a perma- nent character, not men- tioned above—

Fifty Thirty

(i) offices and showrooms (ii) containing thermo- electric generating plant. (iii) containing hydro- Thirty-five

Five

electric generating plant Civ) temporary erection such as wooden structures

(v) roads other than kuccha One hundred

roads

(vi) others

Fifty

(e) Transformers, transformer kiosks, sub-station equip-

ment and other fixed app;

Number of years or

Description of :mei

Description nf a-.su

Number of y\.ars or period period

()) Metres

Fifteen ralus (including plant foun- dations)

fk) self-propelled vehicle-.

Seven

Thirty-five

(i) transformers (inclu-

(1) Static machine Tools

Twcn i>

(m) Air conditioning plant

(i) Static

Fifteen ding foundations) hav- ing a rating of 100 kilo- volt amperes and over

(iil Portable

Seven fit) others

(f) Switchgcar, including cable

Twenty-five Twenty

(n) (i) Office furniture and Twenty

fittings,

connection¹*. fff) Lighting arrestors -

Ten

Twenty

Fifteen (i) Station typo (li) pole type

Fifteen

(lii) synchronous condene- Thirty-five

(ii) Office equipment (iii) internal wiring, inclu- ding fittings and appa- ratus,

sers

(iv) Street-light fittings Fifteen

(g) Batteries

Ten

Forty

Co) Apparatus let on hire - (i) other than motors (ii) motors

Seven Twenty (h) (1) Underground Cable including joint boxes and dis-connccting boxes. (2) Cable duct system

Sixty

Fifteen (i) Overhead lines, including

(p) Communication equipment (i) Radio and high fre- quency carrier system

supports—

Thirty-five

(ii) Telephone lines and Twenty

telephones.

Thirty

I) Assets purchased second hand and assets not otherwise provi- ded for in this Schedule

Twenty-five

Such reasonable period as the State Govern- ment determines in each ciso having re- gard to the nature, age and condition of the assot at the time of its acquisition by the owner (\) tines on fabricated steel supports operating at nominal voltages high- er than 66 kilovolts, (ii) lines on steel supports operating at nominal voltages, higher than 13.2 kilovolts but not exceeding 66 kilovoh.%. (iii) lines on steel or rein- forced concrete supp- 01 ts.

TF. No. 9/:t/79-D. l/ESB.] (iv) lines on treated wood Twenty

supports.

S. R A MESH, Jt. Secy.