MUMBAI: The MSRDC Sea Link Ltd which oversees the Bandra Worli Sea Link and the Mumbai Pune Expressway Ltd are among the state’s public sector undertakings (PSUs) which posted losses of over Rs 260 crores in 2022-23, according to the CAG’s audit report on the state’s finances.
The two companies were in the list of four undertakings which had a 92.6% share in the annual loss of Rs 3,623.4 crore among state PSUs in 2022-23.The quantum of losses was: the MSRDC Sea Link Ltd (-Rs 297.6 crore), the Mumbai Pune Expressway Ltd (-Rs 266.5), the Maharashtra State Road Transport Corporation (-Rs 1,146.5 crore) and the Maharashtra State Power Generation Company Ltd (-1,644.3 crores). The figures are upto September 30, 2023.
The CAG report analysed the financial performance of 110 state PSUs in 2022-23. Of these, 47 PSUs earned profits worth Rs 1,833.3 crore, while 45 SPSUs incurred losses worth Rs 3,623.4 crore.
The report said that 41 state PSUs had accumulated losses worth a staggering Rs 50,098.5 crore by March 31, 2023. The highest accumulated losses were from PSUs in the power sector.
The report said the net worth of 31 of the 41 PSUs with accumulated losses, had been completely eroded. A negative net worth indicates that the entire investment of the owners has been wiped out by accumulated losses and deferred expenditure.
The maximum erosion of net worth was seen in the MSRDC (Rs 2,948.1 crore), MSRTC (Rs 2,610.8 crore), Maharashtra Power Development Corporation Limited ( Rs 1,013.6 crore) and Maharashtra State Textile Corporation Limited ( Rs 1,006.7 crore).
The total long-term loans outstanding in 53 out of 110 PSUs were Rs 1.4 lakh crore by March 31, 2023, the report says. The outstanding long-term loans of state PSUs registered a rise of ₹ 32,526.78 crore during 2022-23 from the previous year 2021-22.
Out of 19 inactive SPSUs, the closure of seven subsidiaries of the Marathwada Development Corporation Limited (MDCL) was pending, though the government had approved its closure in October 2011. These inactive PSUs have investment of over Rs 1,699.4 crore. “This is a critical area since investments in inactive PSUs do not contribute to the economic growth of the state,” the report said. The report recommends that the government review the inactive PSUs and decide whether to revive them or wind them up.
The state’s total investment in 110 PSUs was 2.3 lakh crores. The main thrust of the investment was in agriculture and the allied sector followed by the power sector. The highest investment of the government was in the MSEB Holding Company Ltd which amounted to Rs 89,216 crores in March 2023.