ENGINEERING ACCOUNTS MANUAL Presentation by SHRI P.K. MALLICK DY.CHIEF ENGINEER

Presentation by

SHRI P.K. MALLICK

DY.CHIEF ENGINEER

I. NEED Earlier Engineering Accounts Manual in 1994. Buildings Department Manual revised in 2000. Maintenance Manual adopted in 2003. Functions of Department enlarged. Additional Works being undertaken. To be in tune with Corporation’s Policies with regard to Accounting Practices.

Earlier Engineering Accounts Manual in 1994.

Buildings Department Manual revised in 2000.

Maintenance Manual adopted in 2003.

Functions of Department enlarged.

Additional Works being undertaken.

To be in tune with Corporation’s Policies with regard to Accounting Practices.

OVER ALL ACHIEVEMENT FOR THE YEARS 2001-2005 YEAR 2001-2002 2002-2003 2003-2004 2004-2005 2005-2006 PROJECTS - 49.97 41.20 48.69 53.45 44.22 Rs. In Crore MODERNISATION - 15.14 21.58 33.85 48.17 51.2 Rs. In Crore MAINTENANCE NA* 38.8 39.83 43.81 54.75 Rs. In Crore UPS & IT CABLING NA* NA* NA* 8.12 15.46 Rs. In Crore TOTAL 65.11 101.58 122.37 153.55 165.63 Rs.In Crore

II. COMPOSITION OF MANUAL Role and functions of Engineering Accounts. Books of Accounts – Various registers etc. required to be maintained. Gen Admn functions, Destruction of old records etc. Settlement of Bills – Details. Heads of Accounts – Flow Chart. Closing of Accounts & Capitalization.

Role and functions of Engineering Accounts.

Books of Accounts – Various registers etc. required to be maintained.

Gen Admn functions, Destruction of old records etc.

Settlement of Bills – Details.

Heads of Accounts – Flow Chart.

Closing of Accounts & Capitalization.

CONTD….. PHHS – Accounting along with F&A manual p 132. Formats & Annexures. Management Reports Modernisation & Consultancy Accounting

PHHS – Accounting along with F&A manual p 132.

Formats & Annexures.

Management Reports

Modernisation & Consultancy Accounting

III. PURPOSE To have uniform practice of Accounting in all Zones. To avoid references to precedence. To avoid errors due to omissions. To aid timely tracking of arrears of bills / payments as well as outstanding entries / balances. To aid quick reconciliation and closing of Accounts.

To have uniform practice of Accounting in all Zones.

To avoid references to precedence.

To avoid errors due to omissions.

To aid timely tracking of arrears of bills / payments as well as outstanding entries / balances.

To aid quick reconciliation and closing of Accounts.

IV. OTHER IMPORTANT INFORMATION TO BE REFERRED Chart of Accounts and changes thereof. FPSO – amended copy as on date. Manual of F & A Dept / Circulars from F&A from time to time. Office orders of the Department including financial powers of individual officers. Engineering Department Manual, Maintenance Manual, Relevant Tender, Work Order and Conditions thereof.

Chart of Accounts and changes thereof.

FPSO – amended copy as on date.

Manual of F & A Dept / Circulars from F&A from time to time.

Office orders of the Department including financial powers of individual officers.

Engineering Department Manual, Maintenance Manual, Relevant Tender, Work Order and Conditions thereof.

Contd… Engineering Department Manual, Maintenance Manual, Relevant Tender, Work Order and Conditions thereof. Dealing with contra accounts

Engineering Department Manual, Maintenance Manual, Relevant Tender, Work Order and Conditions thereof.

Dealing with contra accounts

V. WHAT IS REQUIRED The statements and schedules are prepared for the purpose of understanding the status under different Heads of A/Cs for the works carried out/ being carried out. Periodical preperation of statements and review of amounts lying in various Head of A/Cs. If the amounts are in the form of deposits (refundable),then action needs to be taken to liquidate the same. List of statements & Schedules- Closing of A/Cs cl.no. 4.1 of Draft Manual. List of Final Bills.

The statements and schedules are prepared for the purpose of understanding the status under different Heads of A/Cs for the works carried out/ being carried out.

Periodical preperation of statements and review of amounts lying in various Head of A/Cs.

If the amounts are in the form of deposits (refundable),then action needs to be taken to liquidate the same.

List of statements & Schedules- Closing of A/Cs cl.no. 4.1 of Draft Manual.

List of Final Bills.

VI. GENERAL PICTURE More often,amounts such as EMD,SD,BG are not liquidated which are old. Final bills kept for processing. Amounts are not transferred to Asset Register (Capitalistion).

More often,amounts such as EMD,SD,BG are not liquidated which are old.

Final bills kept for processing.

Amounts are not transferred to Asset Register (Capitalistion).

VII. IMPLICATIONS Audit/Inspection querries. Statutory Audit qualifications. Complaints from agencies. Difficult to trace previous records. May lead to litigation/Arbitration.

Audit/Inspection querries.

Statutory Audit qualifications.

Complaints from agencies.

Difficult to trace previous records.

May lead to litigation/Arbitration.

VIII. PROBLEMS EMD- MR not submitted. SD- Cash- after Virtual completion 50% to be refunded. Kept for release along with final bill. Balance 50%- After DLP- Defects notification/rectification details not available. BG- similar picture Contd…

EMD- MR not submitted.

SD- Cash- after Virtual completion 50% to be refunded.

Kept for release along with final bill.

Balance 50%- After DLP- Defects notification/rectification details not available.

BG- similar picture

Contd…

.Contd.. Retention Amount of WP- Sometimes upto 5/10 years – Agency not responding. MR not available/Bill details not tracable. Final Bills- Measurements not taken/site details not properly kept. EI & DI not approved. Change of Guard. Bill not submitted with Guarantees, NOC, Vouchers etc

Retention Amount of WP- Sometimes upto 5/10 years – Agency not responding.

MR not available/Bill details not tracable.

Final Bills- Measurements not taken/site details not properly kept.

EI & DI not approved.

Change of Guard.

Bill not submitted with Guarantees, NOC, Vouchers etc

IX. REMEDIES EMD can be released – indemnity. SD can be released with timely action In case old records- not available/AGENCY NOT RESPONDING, transfer to Written back A/C. Final Bill submission- Engineer in Charge’s Prompt action at regular intervals to obtain necessary details from contractors and getting approvals from Comp. Authority

EMD can be released – indemnity.

SD can be released with timely action

In case old records- not available/AGENCY NOT RESPONDING, transfer to Written back A/C.

Final Bill submission- Engineer in Charge’s Prompt action at regular intervals to obtain necessary details from contractors and getting approvals from Comp. Authority

X. QMA VISIT TO DO Mostly R &M ,Add/Alt works. No adequate A/Cs support at OS DO EA/AE/AEE needs to well Equipped with A/Cs knowledge. Checklist to be maintained. Brief format for A/C personnel

X. QMA VISIT TO DO

Mostly R &M ,Add/Alt works.

No adequate A/Cs support at OS DO

EA/AE/AEE needs to well Equipped with A/Cs knowledge.

Checklist to be maintained.

Brief format for A/C personnel

Shoot for the moon, even if you miss, you'll land amongst the stars.. Les Brown

Shoot for the moon, even if you miss, you'll land amongst the stars.. Les Brown