of India's biggest energy companies are being investigated by the Directorate of Revenue Intelligence (DRI) for over-invoicing of imports of coal from Indonesia during the period 2011 and 2015. These include: 6 Adani Group firms, 2 companies of the Anil Dhirubhai Ambani Group (ADAG) and 2 Essar Group firms.
Rs. 29,000 crore
The amount the scam is conservatively estimated by government officials at. Other sources estimate it to be as high as Rs. 50,000 crore.
50 - 100%
the import value of Indonesian coal artificially inflated by, according to the DRI. As an example, landed cost of coal in 2014, that should have been in the range of $ 40–50 per tonne was invoiced at $82.
ways in which the value was inflated:
Adding layer upon layer of middle companies. The DRI alleged that Indonesian coal was directly imported from ports there to India while import invoices were routed through one or more intermediaries based in Singapore, Hong Kong, Dubai and British Virgin Islands.
Show higher calorific value of coal (which is priced higher) by manipulation of test reports.
Rs 1.50 per unit
extra that consumers would have ended up paying due to the over-invoicing. So if a household consumes, say, 1,000 units and pays, say, Rs 3 per unit, the household would be paying an extra Rs 1,500 per month on the electricity bill or twice the amount that should have been actually charged had imported coal not been over-invoiced.
state electricity regulatory commissions Maharashtra, West Bengal, Andhra Pradesh and Tamil Nadu have written to the DRI seeking details of the probe and are looking at how this could result in lower of tariffs by 50 paise to Rs. 1.50.