Govt. of Delhi

SCHEDULE - `F'
[See rule 4(1) (f) and Part III of schedule "H"]

DISTRIBUTION UNDERTAKING - DISCOM 3 (NORTH NORTH-WEST DELHI
ELECTRICITY DISTRIBUTION COMPANY LTD.)

Part - I

Unless otherwise sspecified by the Government the Tansmission Undertakings shall comprise of all the assets, liabilities and proceedings concerning Distribution consisting of :

1. DISTRIBUTION ASSETS

All the 66 kv and 33 kv grid substations along-with the associated 66 kv and 33 kv transmission lines, 11 kv and LT. lines, on different types of supports with various sizes of conductors and step up/step down transformers, breakers, protective and metering devices and control rooms, testing laboratories, right of the way, building, roads, diesel generating sets or other conventional and non-conventional generating units, service connections and installations inside consumer premises, street lighting and signal system owned by or maintained by the board on behalf of the Municipal Corporation of Delhi and other Govt. agencies but excluding fittings, fixtures and installations owned by private persons or local authorities and excluding in particular the 66kv and 33kv lines enamating from the 400 kv and 220 kv substations as well as Generation Undertaking feeding the NDMC and MES areas of supply.

2. GENERAL ASSETS/LIABILITIES :

Special tools and equipments, material handling equipment, earth movers, bulldozers, concrete mixtures, cranes, trailers, heavy and light vehicles, furniture, fixtures, office equipments, air conditioners, refrigerators, computers and signal systems, spares, consumables, raw materials, civil work installations including roads, buildings, schools , dispensaries, testing laboratories and equipment, training centers, workshops, work in progress, machineries, and equipment sent for repairs, scrap and obsolete materials.

3. OTHER ASSETS :

Other assets and movable properties including plant and machinery, motor car, jeeps , trucks, cranes, trailers, other vehicles, furniture, fixtures, air conditioners, computers,etc. to the extent they are utilized and operated by or associated with the assets referred to under Items I and II above, along with the residential colonies and properties like shops etc. situated in the colonies as per the order No.F.11/99/2001 - Power/PF- III/2828 dated 13th November, 2001 of the government shall also from the part of Distribution Undertaking.

PROVIDED THAT notwithstanding I, II and III above and that the land was being used immediately before date of the transfer exclusively or primarily for the business of the transferee, no part of the land shall form part of the assets transferred under these rules. The transferee shall be entitled to use such land as a licensee of the government on payment of a consolidated amount of one rupee only per month during the period the transferee has the sanction or licence or authorization to undertake the transmission business.As and when such licence or sanction or authorization is revoked or cancelled or not renewed or the area of supply where the land is situated is withdrawn from the transferee, the licence to the transferee in respect of such land shall cancelled.

4.	MISCELLANEOUS :
1.	Contracts, agreements, interest and arrangements.
2.	Loans secured and unsecured to the extent to be sspecified in Balance Sheet Part -II, subject to adjustments as per the Notes of the Accounts of the Balance Sheet of the Transferee.
3.	Cash and bank balance to the extent to be sspecified in Balance Sheet Part-II, subject to adjustment as per the Notes of the Accounts of the Balance Sheet of the Transferee.
4.	Other current assets to the extent they are exclusively or primarily associated or related to Generation Activities tranferred to in items I to III above.
5.	Current and other liabilities and provisions to the extent to be sspecified in Balance Sheet -Part II, subject to adjustments as per the Notes of the Accounts of the Balance Sheet of the Transferee.
6.	Proceeding to the extent they are exclusively or primarily associated with or related to Transmission activities or Undertaking or Assets tranferred to in items I to III above.

Notwithstanding anything contained herein above, DISCOM 3 shall not be entitled to undertake the business of Bulk Supply of electricity to NDMC, MES and similar other persons who have been receiving electricity inbulk from the Board. Such bulk supply functions and business shall vest inTRANSCO notwithstanding that such Bulk Supply is affected through any Distribution system/Distribution Lines vested in DISCOM 3. The DISCOM 3 a will provide TRANSCO the meter readings and other information concerning such Bulk Supply effected through Distribution System/Distribution Lines.

PART - II

Opening Balance Sheet of

North North-West Delhi Electricity Distribution Company Ltd. (DISCOM 3)

Liabilities		Assets (Rs. crore)
Long Term Liabilities		Fixed Assets
Authorised, issued, subscribed and paid up 368,000,000 shares of Rs. 10 each infavour of holding company	368	Gross Fixed Assets	1210
Secured Loan payable to Holding Company	552	Less : Accumulated Depreciation	290
Total	920	Net Fixed Assets	920
Current Liabilities		Current Assets
Payable to Holding Company	12	Receivables due from Consumers	88
Payable to TRANSCO	88	Cash and Bank Balance	11
Consumer Security Deposit	10	Spares and Stores	5
Total	110	Loan to personnel	6
		Total Current Assets	110
Total Liabilities	1030	Total Assets	1030
Total Liabilities	1030	Total Assets	1030

Notes to Accounts

On the date of transfer DISCOM3 shall have the opening balance sheet mentioned in this part as adjusted for the following :

2
...	...
1.	The Cash and Bank balances shall be adjusted by injection or withdrawal of funds by Holding Company so as to ensure that the balances are as mentioned in the Balance Sheet in the schedule.
2.	The value of Stores and Spares and Loans to Personnel shall be adjusted to reflect the actual book value as on the date of transfer. In case the actual book value of these items is more than the value mentioned in the Balance Sheet in this schedule, there shall be a corresponding increase in the current liability payable to the Holding Company. A decrease in the value of such items will be followed by a corresponding decrease in the current liability payable to Holding Company.
3.	DISCOM3 shall undertake to repay the loan payable to Holding Company mentioned in this part, within twelve years from the date of transfer with a moratorium for the first three years on both interest and principal repayment. Thereafter the loan would carry interest at the rate of 12% per annum and would be repaid in eighteen equal half yearly installments from the date of transfer.
4.	DISCOM3 shall undertake to repay the current liability payable to Holding Company mentioned in this part, within one year in twelve equal monthly installments from the second month onwards from the date of transfer.
5.	DISCOM3 shall undertake to repay the Power Purchase liability payable to TRANSCO mentioned in this part, within the first two months from the date of transfer.
6.	All the receivables from sale of power to consumers of the erstwhile Board other than to the extent specifically included in this part above shall be to the account of Holding Company. DISCOM3 will be authorized to realize the receivables of the Holding Company in its area of supply. Upon realization of such receivables of the Holding company the same shall be shared between the Holding Company the same shall be shared between Holding Company and DISCOM3 in the ratio 80:20.