EXERGY IS LIFE 3:;;3i ~jr BUREAU OF ENERGY EFFICIENCY C* NSERVE IT (Government of India. Ministry of Power) BEE-GEF/FIN/2010 f }1- 11 Date: July 24 2013 The Principal Director of Commercial Audit, 6th & 7th Floor, Annexe Building, 10 Bahadur Shah Zafar Marg, New Delhi - 110 002 Sub. Request for annual audit in respect of World Bank assisted "Global Environment Facility (GEF) project "Financing Energy Efficiency at MSMEs Project" for the year 2012-13 (Grant No TF097126) Sir, The accounts and other financial statements for the financial year 2012-1T in respect of the above-mentioned project have been prepared and duly approved by the competent authority. You are hereby requested to depute your team of auditors to take up the audit and issue necessary audit certificate for the year 2012-13. In this regard, the following statements are enclosed for your necessary action: 1. Statement of Sources and Applications of funds 2. Reconciliation of Claims to Total Applications of Funds 3. Statement of Expenditure (SoE) This issues with the approval of DG, Bureau of Energy Efficienc Yo ithfully, . . Nair) Finance & Accounts Officer En : As above f Aftd -4 f 4 wW 40 Save Energy for Benefit of Self and Nation tn zm, #4 , aro -ioT , -n1 fth - 110 066 44fT4-e/Web-Site : www.bee-india.nicJn 4th Floor. Sewa Bhawan. R.K. Purarn, New Delhi - 110 066 7M/Tel: 26179699 (5 Lines) thra/Fax : 91 (11) 26178352 No./ MAB3-lll,RM-F/BFF/GFF Project/ 1 1-35/2012-13/Vuill/1 V qqF fPTT~r, EF~i -M 7 tM Indian Audit & Accounts Department OFFICE OF TIE PRINCIPAL DIRECTOR OF COMMERCIAL AUDI I & 'X-OFFICIO MEMBER, AUDIT BOARD-III NEW DELHI D a tDae d: \ V~ -> To, The Director General, Bureau of Energy Efficiency, Sewa Bhawan, R.K. Puram, New Delhi- 110066 Subject: Audit Report in respect of World Bank assisted Global Environment Facility (GEF) Project "Financing Energy Efficiency at Micro, Small and Medium Enterprises (MSMEs) Project (Grant No. TF 097126)" for the year 2012-13. Sir, Please find enclosed Audit Report in respect of World Bank assisted Global Environment Facility (GEF) Project "Financing Energy Efficiency at Micro, Small and Medium Enterprises (MSMEs) Project (Grant No. TF 097126)" for the year 2012-13 along with Management Letter for the year 2012-13 for necessary action at your end. Copies of the Statement of Expenditure (SoEs), Statement of Sources and Application of Funds, Reconciliation of Claims to Total Application of Funds and Management Assertion Letter are also enclosed herewith. Kindly acknowledge the receipt. Yours faithfully, Encl:As above. (Naina A. Kumar) 0c -4 % V Principal Director UzU 9ITT 47 10, T TW Tff, U7F 110002 6 & 7th floor, Annexe Building, 10 Bahadur Shah LaM& i \cw Dtlhi - 10002 Tel: 23239227, `AX: 23239211 e-nimail: nbnenwde1hi39 cag. goLn F/No. MAB3-I1R_M4":F 1 Project/ 11-35/2012- 13Vol-IF Indian Audit & Accounts Department XM:q am (C 1(, 01" I IF PRINCIPAL DIRECTOR OF COMMERCIAT AUDIT & 01 IIC MEMBER AUDI BOARD-III To, The Director General, Bureau of Energy Efficiency, Sewa Bhavan, R.K. Puram, New Delhi - 110066. Report of the Comptroller and Auditor General of India on the Financial Statements of World Bank assisted Global Environment Facility (GEF) Project "Financing Energy Efficiency at Micro, Small and Medium Enterprises (MSMEs) Project (Grant No. TF 097126)" for the year 2012-13. We have audited the accompanying financial statements of World Bank assisted Global Environment Facility (GEF) Project "Financing Energy Efficiency at Micro, Small and Medium Enterprises (MSMEs) Project (Grant No. TF 097126)" for the year 2012-13 which comprises the Statement of Sources and Application of Funds and the Reconciliation of Claims to Total Application of Funds for the year ended 31.03.2013. These statements are the responsibility of the Project Management. Our responsibility is to express an opinion on the accompanying financial statements based on our audit. We conducted our audit in accordance with the Auditing Standards promulgated by the Comptroller and Auditor General of India. Those Standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. Our audit examines, on a test basis, evidence supporting the amounts and disclosures in the financial statements. It also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall statement presentation. We believe that our audit provides a reasonable basis for our opinion. u T u 4 nw' 7 , t*t f f7, 10, Tf ThTT? 9 r -- 110002 6"' & 7"' floor, Annexe Building, 10 Bahadur Shah Zafar Marg, New Delhi -110002 Tel: 23239227, FAX: 23239211 e-mail: mabnewdelhi3L&cag.gov.in In our opinion, the financial statements present fairly, in all material respects, the sources and application of funds of World Bank assisted Global Environment Facility (GEF) Project "Financing Energy Efficiency at Micro, Small and Medium Enterprises (MSMEs) Project (Grant No. TF 097126)" for the year ended 31.03.2013 in accordance with the Government of India accounting standards. In addition, in our opinion, (a) with respect to Statement of Expenditure (SOEs), adequate supporting documentation has been maintained to support claims to the World Bank for reimbursement of Expenditure incurred and; (b) subject to audit observations mentioned in the management letter appended to this Audit Report, expenditure are eligible for financing under the Grant Agreement. During the course of audit, SOEs pertaining to above Grant No. TF 097126 amounting to T 1,10,41,376/- (Rupees One Crore Ten Lakh Forty One Thousand Three Hundred Seventy Six Only) for the year 2012-13 and connected documents were examined and can be relied upon to support reimbursement under the Grant Agreement. This Audit Report is issued without prejudice to C&AG's right to incorporate the audit observations in the Report of C& AG of India for being laid before the Parliament. (Naina A. Kumar) Principal Director of Commercial Audit & Ex-officio Member, Audit Board-III, New Delhi. Place: New Delhi Date: Name of the Project : The Financing Energy Efficiency at MSMEs Project Grant No. : TF097126 Statement of Sources and A1plication of Funds Report for the year ended 31st March 2013 (In Rs. '000) Current Previous Project Particulars Year year to date (2012-13) (2011-12) (2009-13) Opening Balance (if cash balances are controlled by the entity) (A) NA NA NA Receipts Funds received from Government through budget (these will indud. external assistance received by Government for the project) Funds received directly by Project Implementing Authority through external 0 0 0 assistance Amount financed by BEE 0 0 0 Total Receipts (B) 11,041 8,675 25,682 Total Sources (C = A + B) 11,041 8,675 25,682 Expenditure by Component A. Activities to increase awareness and capacity building: Component 1.1 2,859 827 4,249 Component 1.2 2,736 308 3,-14 B. Knowledge Management Component 3 5,397 5,197 14,710 C. Increamental Operating cost Component 4 49 2,343 3,679 Total Expenditure (D) 11,041 8,675 25,682 Closing Balance (if cash balances are controlled by the entity) (C-D) NA NA NA Project-to-date column shows the cumulative amounts for the Current Year, Previous Year and prior to the Previous Year. Name of the Project: The Financing Energy Efficiency at MSMEs Project Grant No. : TF 097126 Reconciliation of Claims to Total Application of Funds Report for the year ending 31st March 2013 Amt. (Rs. '000) Schedules Current Previous Project Year year to date (2012-13) (2011-12) (2009-13) Bank Funds claimed during the year (A) 1 11,041 8,675 25,682 TOTAL Expenditure made during the year (B) 11,489 8,675 26,130 Less: Outstanding AC Bills (C) II 448 0 448 Ineligible expenditure (D) III 0 0 0 Expenditure not claimed (E) IV 0 0 0 Total Eligible Expenditure Claimed (F)=(B)-(C)-(D)-(E) 11,041 8,675 25,682 World Bank Share @ 100 % of (F) above (G) 11,041 8,675 25,682 Note: Project-to-date column shows the cumulative amounts for the Current Year, Previous Year and prior to the Previous Year. Finance ianagement Specialist Knowledge Management Specialist Date Date Schedule I Amount claimed through IUFR Amount (Rs. '000) Application No 9 (01-04-2012 To 30-06-2012) 1,614 Application No. 10 (01-07-2012 To 30-09-2012) 1,584 Application No. 11 (01-10-2012 To 31-12-2012) 2,729 Application No. 12 (01-01-2013 To 31-03-2013) 5,114 11,041 Schedule II Outstanding AC Bills Amount pRs. loon Opening balance of unsettled AC Bills as on 01/04/2012 NIL Add: AC Bills drawn during the year: Confederation of Indian Industry - Bill for training of Energy professionals in Faridabad 420 Sharp Travels - Bill for February & March 2013 28 448 Closing balance of AC Bills as on 31/03/2013 448 Schedule Ill Amount Ineligible Expenditure NIL NIL Schedule IV Expenditure not claimed Amount (Rs. '000) NL] F;FF-GFF-WS Projpoo N'*of I h- Pro it ?t i I:inning Energv Uff~ jIr y4 M.M ~VSJ1 Grant No. : TF097126 Statement of Expenditure for the year ending 31st March 2013 SI. No. Particulars Amount ____ __ ____ ___ ___ ___ ____ ___ ___(Rs.) 1 I ravel expenses 524,682 2 TA/DA 180,316 3 Advertisement & Publicity 182,564 4 Project vehicle rental 26,641 5 Meeting expenses 450 6 Postage & Courier expenses 31,744 7 Photocopier rental 16,953 8 Legal Charges 24,448 Activities for Marketing and Outreach effort and capacity building in clusters 10 Training & Technical Assistance to Energy 2,736,008 professionals Knowledge Management activity: Staff (Consultants) 4,371,080 Remuneration 12 Knowledge Management activity: Cross Cutting 112,360 Capacity Building Tota 11,041,376 4I