. NEPAL ELECTRICITY AUTHORITY (Government of Nepal Undertaking) Transmission Directorate Grid Development Department Kabeli Corridor 132, smission Line Project Date: 31st March, 2015 Letter ref No.071.72 -Lt51- To. (c > 1 _-I Mr.Bigyan Pradhan i 2q Country Sector Coordinator, Financial Management and Procurement The World Bank 2015 Nepal Country Office WORLUBAN RECE PTION Sub: Kabeli 132 KV transmission Project (IDA Cr.4932-NP/Gr.H676-NP), Project ID: P112893 Audited Project Account for FY 2013/14. Dear Mr. Pradhan, Please find attached herewith Audited Project Account of Kabeli 132 KV Transmission Project for the Fiscal Year 2013/14. Sincerely, Deependra Raj Dwivedi Project Manger Cc: Task Team Leader. Kabeli 132 KV Transmission Project, The World Bank. Phone: 023-691540 (llam), 023-685970 (Damak), Fax: 023-585960, e-mail: kabeli132kv@nea.org.np Phone: 4262381 4262415 N P4262417 Office tuditor General Fax:97714262958 51?or A.G. Fax: 977-1-4268309 Fax: 977-1-4262798 Post Box: 13328 Ps4 q,H %F16HS~ r3It k*nF Babar Mahal, Kathmandu, Nepal Date: - September 10, 2015 The Secretary, Ministry of Finance. Singh Durbar, Kathmandu Audit Report Report on Financial Statements We have audited the accompanying project account including Designated Account of the Kabeli Corridor 132 KV Transmission Line Project, implemented by Nepal Electricity Authority financed under the International Development Association (IDA) , Credit: 49320 NP & Grant H6760 NP as at 16' July 2014 (32 Ashad 2071), accounting policies and explanatory notes. Management Responsibilities on Financial Statement Management is responsible for the preparation and fair presentation of these project accounts in accordance with Nepal Accounting Standards and relevant practices. This responsibilities includes: designing. implementing and maintaining internal controls relevant to the preparation of these project accounts that are free from material misstatements, whether due to fraud or error. Auditors Responsibilities Our responsibility is to express an opinion on these project accounts based on our audit. We conducted our audit in accordance with Nepal Standards on Auditing (NSA). Those standards require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance whether the project accounts are free from material misstatements. An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the project accounts. The procedures selected depend in the auditor's judgment, including the assessment of risk of material misstatements of the project accounts, whether due to fraud or error. In making those risk assessments, the auditor considers internal control, relevant to management's preparation and fair presentation of the project accounts in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the project's internal control. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of accounting estimates made by management, as well as evaluating the overall presentation of project accounts. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. email: oagnep@ntc.net.np, info@oagnep.gov.np Web Page: www-oagnep.gov.np -w& Tqtiwtr FTr17 "9-, #Fqr ~~Tt rfui~4~ Opinion Management letter highlighting areas for improving financial management is attached herewith. In our opinion, the Project Accounts including statement of Designated Account, in all respect, give true and fair view of the financial position of Kabeli Corridor 132 KV Transmission Line Project as at 16 July 2014 (32 Ashad 2071), of the results of its operation and in cash flows for the year ended in accordance with relevant accounting policies. We also report that funds provided under, IDA Credit. 49320 NP & Grant 116760 NP. ukdev Khatry Deputy Auditor General Phone: 4262381 it~yRy4262415 Office of t uditor General 4262958 AG. Fax: 977-1-4268309 Fax: 977-1-4262798 %, VPost Box: 13328 (Public Enter&rimepajititeneral Directorate) OqH9 CF74-1t 2016 Babar Mahal. Kathmandu, Nepal Ref. No.: 2070171 Date: September 10, 2015 Management Letter The Chairperson Nepal Electricity Authority Bag Bazar, Kathinandu. Dear Sir. We wish to draw your attention towards the enclosed audit findings and compliance status with [inancial covenants regarding the audit of Kabeli Corridor 132 Transmission Line Project under your authority for the 1iscal year 2013/14(2070/71) These findings have been selected from the preliminary audit findings issued by the professional auditors as appointed by our Office. We also wish to state that none of the contents of this enclosure will have any material effect on the Audit Report and Opinion ofthis Office sent to you on September 10. 2015 or on the rest of the contents of the Preliminary Audit Report. Gopi Chandar Shahi Assistant Auditor General Enclosed: Audit Management Letter. email: oagnep@ntc.net.np. info@oagnep.gov.np Web Page: www.oagnepgov.np ~V1TR WWIWT F4977 m t T 7~r VAaWrt t i wr #TMI,r Nepal Electricity Authority Kabeli Corridor 132 Transmission Line Project IDA Credit IDA Credit-49320NP, IDEI Grant-H6760NP 1. Audit Findings 1.1 Vehicle Renew Fee All the Vehicles registration should be renewed in time. It was observed that licensee has not been renewed the vehicles iin time due to which the penalty has been paid. Some instances as below:- Date h Particulars Bill No Amount Penalty 06/08/2014 [T Renewal Fee 7506842 30,250.00 2,750.00 06/08/2014 1 Renewal Fee 7506844 30,250.00 2,750.00 06/09/2014 Renewal Fee 7507003 31,765.00 2,890.00 06/09/20 14 Renewal Fee 7379748 3,920.00 350.00 Due to delay in renewal cause financial loss to the project so vehicle renewal should be done in time in order to avoid such penalties 1.2 Pending Deposits The project shall ensure that the deposits are fully reconciled and the balance confirmation of the same is taken. It was observed that Other Deposits has been pending since 2065/066 without due settlement. Details are as follows: Account Head Suppliers Amount Pending Since Other Deposit L.Engineering Dept. 1,531,221.00 2068/069 The balance of deposits reflected by the books of accounts may not be reliable. The project is recommended to reconcile the deposit balance and accordingly make necessary adjustments in the books of accounts. 1.3 Advance to Staff Staff advances should be settled in time. It has been observed that advances are not settled in time. Some instances as below Date Particulars Amount 2070-10.03 Dipak Dhakal 15.000.00 2070, 1.22 Netra Bahadur Karki 59,596.82 2071.03,03 25.,0000 2071.03.03 Bhupadev Katwal 25,000.00 It shows weak internal control over advances. The project is recommended that advance should be settled in tinte. 1.4 Stale Cheques The project should make necessary adjustments in the books of accounts of stale cheques. It \kas observed that stale cheques total of Rs. 235,543.00 has been appearing in books. Details are as below: e#' Stale Cheques Amount (Rs.) Prem BhadurRai 30,700.00 Dona Sherpa 101,060.00 Faud BhadurRana 9,94 100 Ill BikaramKarki 26,825.00 Amit Man Tamang 22,458.00 Khem BahadUr Rai 82,250.00 Unsuitable financial presentation. It is recommended to readjust the amount corresponding to stale cheques. 1.5 Differences in Deposit Bank Account and Deposit Liability Account The balance of deposit bank account and deposit liability should be same. We observed difference in balance shown by Deposit Bank Account and Deposit Liability Account as follows: Purticulars Amount(Rs.) Aninmtt in Deposit Liability 106,465,685.28 Amount in Deposit Bank Account 7,750.24 Differences 106,457,935.04 There is chances of Under/ over statement of liabilities. It is recommended to reconcile the differences. 1.6 Inter Unit Accounts Inter unit balance reflected in the books of accounts should be reconciled and necessary adjustments should be done in timely basis. We have observed various inter uinit items pending without any adjustments. There are long old items which have not been identified of transaction date in Project account. Further, ageing of un- reconcilcd balances are not prepared. For Instance: Debit Account head Particulars (At Credit(Amount) Remarks (Amount) Employee Staff Loan 4,454.90 U e c | Un-reconeiled welfare section since 2065/66 Staff Loan 4,444.50 Corporate CollmateUn-reconci led Financitl Cash Transfer 451,000.00 since 2062/063 Management Chapali 132 Kv Employee Chbtaion Loan of Roshan transferred but Substation Project Agrawal loan has not csettled ietauda-Butwal Advance of Ravi A500no e hn 400 Kv TLP Kurmar Chaudhairy ,00 . tie Office of I)MD Nikasha 200,000.00 Un-reconciled since 2067/068 Inappropriate 1-nancial presentation. so it is recommended inter unit pending balances should be identified and seconcitled. !！飾 - - - 〕 - l 、、〕 之二，h一lfl”■ ! 〕、 ’鄙‘,T■＿•■―& 開，.--Q-C.―、 ．試l必1―開―。I―、 9盔＿臘監l―黑―9個―兮 鑲闢〕很 〕〕矓―i膽〕發 ＇、，神－i一L必→■■‘＇自｀,,1 〔｝〕〔矓〕―隊 不弋口｀■一！l, 彎一b■■■一－州卜■■叫．州．唱 召I〔―■I 必吋〕 〕 - - - - : 八― ；系七― ，ミ17】」‘fl 1 【 ---（馴j- とくり1 こ111 r ーfへ5人■咽へ―■’- 9 とゴ’-1 ―■―- 9 か■we-4ー司→JIJ 1麺四及― 1 - Ln cý ýD ýD cý Lrs 46 <ý1 Lt) Lry tn Ln C4 aý co cc v m CN nL et Cr5 ro; U) > rr, C4 -9 N CN tå Ln CD Ln 00 00 ý-w m QO CD Ln T-, "4 0, ýD rl 3D Mg- j-s ni cn L,) UD Lq rL 1ý t-, r-, Ln cý coý L11 00 0 . , zý C,) C) m rn R c-, vý en C-D C7 A C4 c- PI. 0ý -c uý cý Lr2 Ln tn cý Ln C5 K ell cc Ge cn C4 V u ke V) 4> 73 v 0 < - - - - - ; ，긱 坪［ [ 分 0 CO M CL CO (0 0 CD CO C5 o c o Lr) C\j >: LL. LO U) C) U) ýr) CL cý cL m clý erý rq Lu 0 CO .> < -0 U) =3 o- -C 0 < < uj &- Q CL 0 l.- 0 0 < CL in M 0 løj c). ý2 0 0 ýLl ru ýd Z-- - - - - - c:c co c c r, t - t-t,n c e d 0 0o to rr w - om Scc co Q0 r. r - 4 11 Ln Ln LO Le 11 e - ov q r4 c rc c4 tt4 tt ro tt rq Z1 OJ OJ O
    : bo LIJ r4 -n < < rz CD NEPAL ELECTRICITY AUHORITY Kabeli Corridor 132KV Transmission line Project IDA CREDIT:49320-NEP. IDA RAN :H6760-NEP Outstanding Replenisline t As of 32 Ashad. 2071 (iejuly 1 2014) Credji Grånt Tli W/A Na: atcua. EC hne __ up le mayhaSc ed e USD Exchange NPR US) 1xhange NPR USD NPR ii Rale Rae A. Opening Outstanding Replenishment - i NEA 5 KC132KV 14-515.43 8265 1.-199.700.00 14,515.43 1,199.700,00 NEA 5 KCI32KV 105.819.90 84.31 8.921.675.22 105,819.90 8921.675.22 N -21.39796 8685 1.858,412,26 21.397.96 1.858.412.26 NEA 5 KC132KV 3509 8685 30.465.77 350.79 30,465.77 NEA 5 KC132KV 60.70 87-34 Ž,301.27 60,70 5 30127 NEA 5 KC32KV --87,00 26.993.25 310.27 26,993.25 NEA 5 KC132KV 444.58 86.70 38,54544 444.58 38.4544 NEA 5 KCI32KV 12.029.03 86.70 1.042-917.29 12,029.03 1042.917.29 NEA 5 KCI32KV 26.468,70 86.00 2.276,313.36 26,468.76 2.276,313,36 NEA 5 KCK32KV 89917 90.15 810,602.96 8.991.71 810,602.96 NEA KC132KV 25419 90.1 22.915.38 254.19 22.91 NEA 5 KC132KV 953 NEA 5 KC32KV 14.04253 9015 126.934.08 l4,04253 1 265,934.08 NEA 5 KCI32KV 14,986.43 90.0 1.33.27463 14.986.43 1.353.274.63 NEA 5 KC132KV -21141,06 94,91 2,006,49K25 21.141,06 2.006.498.25 NEA 5 KC132KV _1986_12 94,91 188,502.35 1.98612 188.502,35 NEA 5 KC132KV 5647.46 94-91 536,000.00 5,647.46 536.000.00 NEA 5 KCI32KV 4,319.88 94.91 410,000.00 4,319.88 410,000.00 __ 28441 94.91 26.993.25 284.41 26,993.25 Totäl 253.0m.2122,021,044.76 253,0'51.21 22,021,044.-76_ B. First Trimster Outstancling Replenishment NEA 5 KC132KV519.' 7| NEA 5 KC32KV ¯ ¯ ¯_15,197.0 97.10 1.47.631.00 15,197.02 .475.631.00 NA 5 KC132KV 370.66 97.10 35.991.00 370.66 399100 NEA 5 KC132KV ¯ 183.78 97.44 17.907.51 183.78 17,907.51 NEA 5 KC132KV 645.38 98.42 63.518.02 645 38 63.518.02 NEA KC132KV 770.88 98.42 75.869.84 770.88 75,869.84 NEA 5 KC] 32KV ¯-¯¯~¯--842 99530 0.1 1 99530 NEA 5 KC 32K V 4 7- 23- 8 98-42 4.28.160.26 47.023-58 4. 62 8060.26 328 98-42 24 NEA 5 KC132KV 3 _ 8 53 .46.68 32.68 52.426.68 NEA 5 KCI32KV 1341319 100.81 .352,183.34 13,413.19 1,352.183.34 NEA 5 KCI32KV 20.315.52 100,81 2.048,008.00 20.,31 52 2.048,008.00 NEAS5 KC32KV 219.89 100.81 22.166.94 219.89 22,166.94 NEA 5 KCI32KV ¯ , 31 804.02 106.05 3.372.816.22 31,804.02 3.372.816.22 NEA 5 KCI32KV 2138 106.05 55.292.07 521.38 55,292.07 NEA5 KC32KV ¯¯¯¯¯¯~--- 3.85 106.05 408.14 3.85 408.4 NEA i KC132KV _ 21890 106.05 23.214.73 218.90 23.214.73 NLA 5 KC32KV _257.15 106.05 27.270.84 257.15 7_270.84 N1EA5 KC0132KV 16____5 105.46 1,766,133.86 16,746.95 1. 766.133.86 16.24532 00.69 1,635.741.69 16.24532 l635,741.69 NEPAL ELECTRICITY AUT HoITy Kaboe[ Corridor 132KV Transiss une r2. ect IDA CREDIT:49320-NEP, IDA GRANT:2676 -NEP Outstanding Replerishment As of 32 Ashad, 2071 (i.e.July 16, 2014) Credit Su;pplencntar to $chedule 8 W/A No: Parliculars --hTa tal SD Echange PR [xchange N-'------- Ikate N1R NEA 5 KC132KV .2552 0.6 NEA 5 KC32Kv252.52 10.69 25.42604 252.52 25.426.04 NEA 5 KC132KV 9,721.22 99.27 965,026.00 9,721.22 965.026.00 NEA 5 KC132KV 17356.95 97.44 ,690.468.94 17,356.95 1.690.468.94 NEA 5 KC32Kv . 51.710.07 99.70 .155493.55 51,710.07 5.155. j N E A S K CI52 K v 804 .03 99.70 80.161,88 80,16 1.88 NE 5 KC32KV - -18 804,03806.8 NEA 5 KC132KV 372.32 9856 36.695,47 37232 36.695.47 NEA5 K C132Kv --- 9856 497.65 5.05 49765 NEA 5 KC132KV 3 7 134.51 376.77 37.13-1 N A 5 KC132KV 5.39563 9855 -517.239.06 15.395.63 1.517.239.06 NEA 5 KC32KV 251-21 98.55 24,756.79 251.21 24756.79 NEA5 KC132Kv 17,933.84 98.55 1.767,379.86 17.933.84 1.767.379.86 NEA 5 KC132KV 294.00 98.55 28.973.44 294.00 28.973.44 N E A 5 K C 132K V I_____ 1.129 .4 7 97.74 110 .394 .20 1 29.47 10.394 20 NEA 5 KC32Kv 956.98 97.74 93.535.04 95698 NEA 5 KCl32KV 109.93 97.74 10.744 5 9.93 .7445 NEA 5 KC32KV 1,07890 97,74 105.451-30 107.90_ 105.45i30 NEA 5 KC132KV 1.277.22 97.96 12j.I116,95 1277.22 12ij 16.95 NEA a5 KC177,910.72 97.96 7632.133.69 77910.72 7.632.133.69 T460264 32 361,417.09 36,060,264.32 C. Second Trimster Outstanding Replenishment NEA 5 KC]32KV ¯¯ 23112 99.59 230.164.00 2,311.12 230.164.00 EA 5 KC132KV ¯ ¯50¯. 99.9 497.65 7065 NEA 5 KC132KV 225395.84 25 5.0 5.395.g4 NEA5 KC32KV -11--9959 31.071.51 311.99 31L07 L51 NEA 5 KC132KV 289.57 99.56 28,829.52 289.57 28,829.52 NEA 5 KC132KV 17,663.73 99.56 1.758,600.72 17.663.73 1758.600,72 NEA 5 KC32KV 268.72 99.16 26,645.84 268.72 26.64584 NEA 5 KCL32KV 371.49 99.16 36,83651 371.49 36,83o5j 448.78 98.17 44.057.01 448.780 NLA 5 KC132K V 44-844,057-01 NEA 5 KC132KV ¯, 5 5 8 8 7 79 27.375.75 2.687,477.79 NEA 5 KC32Kv .5,476.71 99.96 3.54625 178 35,476.71 3,546.25 .78 NEA 5 KC132KV 581.59 99.96 58135.28 581.59 58.135,28 NEA 5 K1 32KV 1,727.79 99.96 172,710.03 1-727.79 NE C32KV ..274 99 9.277 172,710.03 NEA 5 KC132KV 2 ,427.4 5 99.96 242 ,647.70 2,427.45 242.647 70 59.872.,18 99,49 5966 NEA 5 KC32KV 5.956,683.27 59,87218 5.956683,27 Total - -981.51 99,49 97,650.55 981 1.51 97.65055 _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _1 5 0 .3 6 8 .3 8 1 9 4 3 ,6 5 5 .0 0 .1 5 , 6 3 81 4 .9 4 3 ,6 5 5 0 0 D. Third Trimster Outstanding Replenishmen5 NEA 5 KC32Kv -1 NA 5 KC32KV 13.286.64 95-)3 1L274.587.56 13.286,64 I274.587.56 NEA 5 KC 132KV - - - ______ NEA 5 KC32Kv - - --0630.14 95.93 1979.049.Lo 20,63014 1.979.049.10 NEA 5 KCl32KV 71.1 18.10 96.08 6,833,026.71 71118.10 6,833 026.71 NEA5 KC132Kv 6587 96.08 I 12,016.83 .16587 11201683 NEA 5 KC32KV- 1.547.94 96.08 148.72%40 1.547.9 96.308.178929.68 1.231.57 18326 NEPAL ELECTRICITY AUTHORITY Kabeli o ri dei 132KV Transmissicn Line Project IDA CR DIT:49320-NEP, lDA GRANT:H6760-NEP Oulslanding Replenislhient AJ 0132 Ashaýd, 2(171 iluly Ib, 20 14) crd SuppLePmrentar to $chedule 8 W/A No [articlars --ra USDS Rat NP'R LExhn NPusR NP' N 5 KC 132KV 2,109.g NP NEA 5 KCl32KV 2109.18 96.08 202.650.32 2,109.18 202,650.32 NEA 5 KC132KV -2866017 9608 2,361,669,22 128,660.17 12.361,66922 NEA 5 KC132KV 187 959 L166.736.5 12,158.57 1.166,736.59 NEA 5 KC132KV 44.46 95.96 13.862.00 144.46 13.862.00 NEA5 5 C2K 70.8 8 95.96 50 9.2 5,270.88- ý505,793.82 NEA 5 KCi132KV 95236,700.21 385.5 56702 NEA 5 KC132KV -- 403,15 95.2 _38.379.60 403.15 38,379.60 NE-A 5 KC]32Kv --- 75 -9.7-7 5-4,6.9 58,072.4 54,618 NEA5 C13KV952.01 93.77 _ 89,269.87 952.01 8926.8 NEA 5 -KC]32KV 1,030.02 93.75 __ 9.6.88,3.29664.4 N E -A 5 KC 1 32Ký V -28 2 15890.433.28 _ 62,8311.29 5,890,433,2 49. 5% 1126 9)6-00 INE A 5 KC[1.32K V ------ -.752.6A) i,o 49.506.26 4.752,60Lt-o8 N EA 5 KýC 13 2KV 8432.9-600_ 8.09-5.583.46 84,328.99 8,09ý5,583.46 N E"A 5 KýC [3 2 Kv ~~--- -4 ·960 1-32.714.48 1,382.44 132,714.48¯ NEA 5 KCl 3 2 KV 66.0 9.063.936.34 666.00 63.936.34 NE 5 K 32V270.3 5 95.84 _73,830.26 770.35 73,830.26 -2.526.43 958 189 NEA 5 KC] 32KV - 15.932.93 22,526.43 2,158,932.93) - 302,60 95.98 y-- - - - - - NEHA 5 KCl32 K V ) ,043.94 302.60 29.043.94 NEA KC12KV17.000,82 95.98 _1.631,738.72 --17,000).82 [6[3.2 , 278.70 95.98 26.749,8 27 .7 ¯5¯¯ ¯¯¯¯¯¯¯¯ NEA 5 KC l32KV ,0617 -8 28.026498 NEA 5 KýC 13 2 KV ---1.9.6 9.8 1,026,195.40 10,691.76 1,026,195.40) T ota| I---- ,378.58 95.98 132,316.53 1,3853 3653 Tota of , C& D569,830.97 54,436,900.52 569,830.97 54469052 Gra nd Total or A. B & D __,081.616.44 -105,440,819.84 1,-081,616.44 105,440,819.g4 -mý . 34676 -127,461,864.60 '1,334,667.65 127,461,864.60 q ( I.- o o ~ inætooop - I. CflNCflO Cod -n m co - op - r CD C C 0 CO r 0) :- - - to 4 w24 - - -ý t£> æC O 0 O o o oo --r- < CL z '4 o L 43 m 0 0 0 Nc CO O 0M æ co.r-:0 a) ~ r- ' æL .,L)n ý OW M3 CO 't 03- -i C) C æ-0 a o IMc -N .D r- ) o < E o - o M -O C al m cr 1v ! C M 0 C o ,jn,- c i - - LO cu LOL oz (s CS c c I l •R2 2 6 €| d c m eý o r,: ed.0 a _ C e- .C OD ) >a n D m o qt [- Vr CN C: kCM Q c) 00 N C O 1: r LO CN> m (r øà o ~ - Co -- CO o C)C < E I- o o i - *1 _ C N C .- O --- ø - CD 0 CD -M o >O 0 0 0 c» w > I- o N d>N 4>0 (n C M N O c n 0 a- <> N O 0 w- Lr c _J 0 £ .0 cr C w L - 0 > I C)> cl &} … } ／介 … 〕 斗 - 1 」 … … 梦件 { 、’硎 田二―乞l--’■ ＿弓L－」必二L.J一口、 邑晝革＿―邑〕l‘〕羹〕莖―直 自屈弄豪―粩】渣――畫―覲一 呂他弓蓉浴―選哺―-&&―門―＇、 gf萬、，必p叫鬥■尸―勵―】■n、 〕〕〕！！〕：同分 ；〕：&!―〕闢詞嬝舞· 之萎匕I看―&―。―計―翱～. 《■編斗，－州一斗－斗闢卜召 日山久 U,) C) P. 48 Z U-l n Ln CD CD I cý c> r4 r, tn 11 cý 0,ý cc lel U% CD r-ý t, M !t -jo cý zi, rq C4 6 r3 LU Ln CS S-4 > C4 CD T-4 r-,ý -fý z cm m en m 16 vi ri 25 CD C-i 2ý .14 C-i f9 >. + -3r M Lä aý cý V Qj 0 R uý KABELI TRANSMISSION PROJE S T ATEZM ENT OF 21 U NT AS AT : CIURRET ACCOUNT IN ISSUED ON 04.04.71 PAGE 1 DATE D E 9 C R I P T C O N VALUE DATE D E B I T C R E D I T B A L A M C Z REF. OPEING BALANCE PER : 01.03.71 654.165,28 0903-1 TRANSFER ACCOUNT TO ACCOUNT NEpAL S 090371 49.506,26 804.659,02 100-00001ii9505 090311 TRANSFER ACCOUNT TO ACCOUNT NEPAL 8 090371 84.3289 720.330.03 100-00001149733 090371 TRANSFER ACCOUNT TO ACCOUNT EVER,ST 090371 1.392,44 716.947,59 090371 TRANSFER ACCOUNT TO ACCONT EVEREST 090371 666,00 7184281,59 100-00001149269 1603',1 TRANSFER ACCOUNT TO ACCOUNT EVEREST 160371 770.35 717511,24 100-00001113962 603/1 TRANSFER ACCOUNT TO ACCOUNT STANDAR 160371 22.526,43 694.984,81 100-0000114105 03/1 TRANSFER ACCOUNT TO ACCOUNT EVEREST 110371 302,60 694.682.21 100-0000011524- 'iC3 L TPRANSF'ER ACCOUNT T ACCOUNT NEPAI, 5 110371 1,000, g 677.681.39 100-0000112D32 TRAMSME ACCOUN'! 'l' ACCOUNT EVEREST 170371 2780,1 677.40 2,69 100-10001 l ~52 i M i'TRASF'ER ACLuUNT Ti ACCOUNT EVTRES'1 170371 10.691,76 666.710,93 l00-090011 16634 13. TRANSI'LE ACCOUNT TO ACCOUNT EVFREST 170371 1. 373,59 665.332. 35; 100-00001176911 SALANCE IN YOUR FAVOUR - VMC C E R F 斗 … 李 … } … … … … … 甘 … - 。 , 贓： : ;/;―肆 츨 & 팎 「甘甘卄－H田 』 1& 꺄n시 & l - To al Paj7ment froni S:)ecial Accoullt Credit Grant USD PR USD NPR Total (CR+CR) 1,081,616.44 JSD NPR 105,44() 819 84 105,440,819.8 Nepal Electricity Authority Kabeli Corridor 132 kv Transmission Line Project IDA Credit -49320NP IDA Grant -6760 NP SIGNIFICANT ACCOUNTING POLICIES and EXPLANATORY NOTES Significant Accounting Policies 1. The financial statements are presented on the basis of historical cost convention. 2. All project income received in the form of loan, share investment and contributions are accounted for on cash basis. 3. NEA contribution includes contribution made both in cash and kinds. 4. Nominal expenses are transferred to Capital work in progress (CWJP) on trimester's basis and will be capitalised when the assets are ready to use. S. Depreciation on project property plant and equipment, that are ready to use, has been shown as deduction from the cost of the fixed assets. 6. The amount of expenditure from IDA source is classified and accounted as per NEA Chart of Accounts, 7. Project expenditure recorded under the expenditure head as per NEA Chart of Account is updated at the moment any amount is withdrawn from Special Account, 8. The amount withdrawn from special account pending replenishment from the World Bank at the year end, is shown as 'Outstanding Replenishment' in the Project Account. 9. According to the Subsidiary Financing Agreement between government of Nepal (GoN) and Nepal Electricity Authority (NEA), the interest on government loan is to be capitalised for the period of construction. Explanatory Notes 10. Previous years figures have been rearranged/regrouped wherever necessary. 11. According to the Subsidiary Financing Agreement between Government of Nepal (GoN) and Nepal Electricity Authority (NEA), the interest on government loan to be charged during the period of construction of the project shall be deemed to be the local currency expenditure and shall be treated as GoN Share. The amount of [DC (Interest During Construction Period) is presented as GoN Share Investment (100% IDC Payable). 12. According to the Subsidiary Financing Agreement between Government of Nepal (GoN) and Nepal Electricity Authority (NEA), Payment made from Special Account is to b e treated as GoN Share Investment upto the limit of grant provided to Nepal Government. ( I>