GANDHINAGAR: State-run public sector undertakings (SPSUs) took a heavy toll on the exchequer with 14 companies incurring losses of Rs 18,214 crore in 2016-2017, largely due to the bleeding Gujarat State Petroleum Corporation (GSPC).This was revealed in the report of the Comptroller and Auditor General (CAG) tabled in the state assembly on Wednesday. There are 77 SPUS in the state.With its Rs 17,061.20 crore loss, GSPC was the biggest contributor to the Rs 18,412 crore total losses of 14 SPSUS. The losses of these 14 SPSUs was five times the profits (Rs 3,647 crore) of 54 SPSUS.“The profit of Rs 1,633.12 crore earned in 2015-16 turned into aggregate losses of Rs 14,764.43 crore in 2016-17 due to exceptional losses incurred by GSPC,” the report noted.Total investment in SPSUs increased from Rs 1,02,689.21 crore in 2012-13 to Rs 1,49,499.29 crore in 2016-17. The return on investment ranged between 4.95% to 6.82% during 2012-13 to 2015-16. However, there was a net loss in 2016-17 and return on investment was thus not computed.Other bleeding SPSUs are Sardar Sarovar Narmada Nigam Ltd (Rs 973.50 crore loss), Gujarat State Road Transport Corporation (Rs 184.45 crore) and Gujarat State Financial Corporation (Rs. 117.18 crore).“Analysis of investment and losses revealed that erosion of net worth occurred in 11 of the 77 SPSUs,” the CAG said. On the bright side, SPSU profits came from Gujarat State Petronet Ltd (Rs 737.79 crore), Gujarat Mineral Development Corporation (Rs 445.98 crore) and Gujarat Gas Ltd (Rs 303.33 crore) among others. On March 31, 2017, investment (capital and long-term loans) in 91 SPSUs was Rs 1,43,217.84 crore. Some 99.44% of investment was in working PSUs.Gandhinagar: Gujarat State Road Transport Corporation (GSRTC) drew flak from CAG for its accumulated losses and higher operating cost caused due to non-procurement of fuel-efficient buses (mini-buses), inadequate recovery of toll tax and excess crew.GSRTC had accumulated losses of Rs 2,721.52 crore, as per the finalized accounts for the year 2014-15. The corporation’s share in public transport declined from 15.48% in 2012-13 to 12.30% in 2016-17 due to decrease in its fleet.In the hiring contract of Volvo buses, GSRTC incurred a net loss of Rs 7.03 crore on its operations during March 2011 to March 2017. Stating that internal control mechanism of the corporation was ‘weak’, CAG remarked, “Monitoring by top management was deficient as evident from non-submission of management information system reports to board of directors, delay in submission of subsidy claims and fare revision proposals.”

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