1. a) The conveyance of title for 11,043 acres of freehold land of
 valueRs. 538.18 crore (previous year 10,884 acres of valueRs. 507.11 crore)
 and buildings & structures valued at Rs. 135.58 crore (previous year Rs.
 149.05 crore), as also execution of lease agreements for 8,995 acres of
 land of value Rs. 252.51 crore (previous year 8,958 acres, value Rs. 244.72
 crore) in favour of the Company are awaiting completion of legal
 formalities.
 
 b) Leasehold land includes 819 acres valuing Rs. 29.67 crore (previous
 year 30 acres valuing Rs.0.05 crore) acquired on perpetual lease and
 accordingly not amortised.
 
 c) Land does not include cost of 1,181 acres (previous year 1,181
 acres) of land in possession of the Company. This will be accounted for
 on settlement of the price thereof by the State Government Authorities.
 
 d) Land includes 1,245 acres of valueRs. 15.03 crore (previous year 1,247
 acres of valueRs. 15.09 crore) not in possession of the Company.  The
 Company is taking appropriate steps for repossession of the same.
 
 e) Land includes an amount of Rs. 118.74 crore (previous year Rs. 115.27
 crore) deposited with various authorities in respect of land in
 possession which is subject to adjustment on final determination of
 price.
 
 f) Possession of land measuring 98 acres (previous year 98 acres)
 consisting of 79 acres of free-hold land (previous year 79 acres) and
 19 acres of lease hold land (previous year 19 acres) of value Rs. 0.21
 crore (previous year Rs. 0.21 crore) was transferred to Uttar Pradesh
 Rajya Vidyut Utpadan Nigam Ltd. (UPRVUNL) for a consideration of Rs. 0.21
 crore. Pending approval for transfer of the said land, the area and
 value of this land has been included in the total land of the Company.
 The consideration received from UPRVUNL is disclosed under ''Other
 Liabilities'' in Schedule -15 -''Current Liabilities''.
 
 g) The cost of right of use of land for laying pipelines amounting to Rs.
 6.46 crore (previous year Rs. 5.76 crore) is included under intangible
 assets. The right of use, other than perpetual in nature, are amortised
 over the period of legal right to use as per the rates and methodology
 notified by CERC Tariff Regulations, 2009 (Regulations, 2009).
 
 h) Cost of acquisition of the right to draw water amounting toRs. 199.52
 crore (previous yearRs. 8.41 crore) is included under intangible assets -
 Right of Use - Others. The right to draw water is amortized considering
 the life period of 25 years as per the rates and methodology notified
 by Regulations, 2009.
 
 i) Ministry of Power, Government of India vide its notification no.
 2/38/99-BTPS (Volume VII) dated 22nd September 2006 transferred land of
 a power station to the Company on operating lease of 50 year. Lease
 rent for the year amounting to Rs. 6.13 crore (previous year Rs. 6.08
 crore) has been charged to the statement of Profit & Loss Account.
 
 2 a) The Central Electricity Regulatory Commission (CERC) notified the
 Regulations, 2009 in January 2009, containing inter-alia the terms and
 conditions for determination of tariff applicable for a period of five
 years with effect from 1st April 2009. Pending determination of
 station-wise tariff by the CERC, sales have been provisionally
 recognized atRs. 48,935.31 crore (previous year Rs. 44,473.93 crore) for
 the year ended 31st March 2011 on the basis of principles enunciated in
 the said Regulations on the capital cost considering the orders of
 Appellate Tribunal for Electricity (APTEL) for the tariff period
 2004-2009 including as referred to in para 2 (d).
 
 Regulations, 2009 provide that pending determination of tariff by the
 CERC, the Company has to provisionally bill the beneficiaries at the
 tariff applicable as on 31st March 2009 approved by the CERC. The
 amount provisionally billed for the year ended 31st March 2011 on this
 basis isRs. 47,519.21 crore (previous yearRs. 43,765.13 crore).
 
 b) For the units commissioned subsequent to 1st April 2009, pending the
 determination of tariff by CERC, sales ofRs. 4,528.39 crore (previous
 year Rs. 1,735.40 crore) have been provisionally recognised on the basis
 of principles enunciated in the Regulations, 2009. The amount
 provisionally billed for such units isRs. 4,416.12 crore (previous year Rs.
 1,536.50 crore).
 
 c) Sales of Rs. 800.87 crore (previous year Rs. 119.33 crore) pertaining to
 previous years have been recognized based on the orders issued
 bytheCERC/APTEL.
 
 d) In respect of stations/units where the CERC had issued tariff orders
 applicable from 1st April 2004 to 31st March 2009, the Company
 aggrieved over many of the issues as considered by the CERC in the
 tariff orders, filed appeals with the APTEL. The APTEL disposed off the
 appeals favourably directing the CERC to revise the tariff orders as
 per the directions and methodology given. The CERC filed appeals with
 the Hon''ble Supreme Court of India on some of the issues decided in
 favour of the Company by the APTEL. The decision of Hon''ble Supreme
 Court is awaited. The Company had submitted that it would not press for
 determination of the tariff by the CERC as per APTEL orders pending
 disposal of the appeals by the Hon''ble Supreme Court.
 
 Considering expert legal opinions obtained that it is reasonable to
 expect ultimate collection, the sales for the tariff period 2004-2009
 were recognised in earlier years based on provisional tariff worked out
 by the Company as per the directions and methodology given by the
 APTEL. As accountal of sales is subject to the decision of the Hon''ble
 Supreme Court of India, pending decision of the Hon''ble Supreme Court
 of India, a sum ofRs. 1,262.86 crore included in debtors has been fully
 provided for during the year. Effect, if any, will be given in the
 financial statements upon disposal of the appeals.
 
 e) Consequent to issue of additional capitalisation orders by the CERC,
 advance against depreciation required to meet the shortfall in the
 component of depreciation to be charged in future years has been
 reassessed and the excess determined amounting to Rs. 79.75 crore has
 been recognised as sales.
 
 f) During the year, the CERC has issued tariff orders in respect of
 some of the stations in compliance with the judgement of APTEL
 mentioned at para d) above, and the beneficiaries were billed
 accordingly. Since the orders of CERC include those issues which have
 been challenged by them before Hon''ble Supreme Court, and are pending
 disposal, the impact thereof amounting toRs. 252.22 crore has been
 accounted as Advance from customers'' in the Schedule-15 - ''Current
 Liabilities''.
 
 3. a) Sundry Debtors - Other debts (schedule 11) includes Rs. 2,698.86
 crore (previous year Rs. 1,001.15 crore) towards revenue accounted in
 accordance with the accounting policy no. 12.1 which is yet to be
 billed.
 
 b) CERC has issued a draft notification dated 3rd September 2010 which
 inter-alia provides for upfront truing up of un discharged liabilities
 with regard to capital cost admitted by CERC before 1st April 2009. In
 anticipation of final notification an estimated amount of Rs. 263.59
 crore has been provided for towards tariff adjustment.
 
 4.  Due to uncertainty of realisation in the absence of sanction by the
 Government of India (GOI), the Company''s share of net annual profits of
 one of the stations taken over by the Company in June 2006 for the
 period 1st April 1986 to 31st May 2006 amounting to Rs. 115.58 crore
 (previous yearRs. 115.58 crore) being balance receivable in terms of the
 management contract with the GOI has not been recognised.
 
 5.  In terms of guidelines of Department of Public Enterprises (DPE),
 Government of India (GOI), issued vide OM:2(70)/08-DPE(WC)-GL-XIV/08
 dated 26.11.2008 and OM:2(70)/08-DPE(WC)-GL-VII/09 dated 02.04.2009,
 the Company formulated a defined contribution pension scheme and sent
 to Ministry of Power (MOP) for their approval. Pending approval of MOP,
 an amount ofRs. 94.56 crore during the year and cumulatively Rs. 468.78
 crore has been provided up to 31st March 2011.
 
 6.  The amount reimbursable to GOI in terms of Public Notice No.38
 dated 5th November, 1999 and Public Notice No.42 dated 10th October,
 2002 towards cash equivalent of the relevant deemed export benefits
 paid by GOI to the contractors for one of the stations amounted to Rs.
 276.80 crore (previous year Rs. 276.80 crore) out of which f 269.70 crore
 (previous year Rs. 269.70 crore) has been deposited with the GOI and
 liability for the balance amount of Rs. 7.17 crore (previous year Rs. 7.17
 crore) has been provided for. No interest has been provided on the
 reimbursable amounts as there is no stipulation for payment of interest
 in the public notices cited above.
 
 7.  As per the direction of MOP, a memorandum of understanding was
 signed between the Company, Gujarat Power Corporation Ltd. (GPCL) and
 Gujarat Electricity Board (GEB) on 20th February 2004 to set up Pipavav
 Power Project. The Company disassociated from the Pipavav Power
 Project, a wholly owned subsidiary of the Company, on 24th May 2007
 after obtaining approval from the MOP. MOP, Government of India,
 conveyed its approval vide Presidential Directive No. 5/5/2004-TH-ll
 dated 3rd July 2009 for winding-up of the Pipavav Power Development
 Company Ltd. (PPDCL). The Board of Directors of NTPC Ltd. have also
 given consent for winding up of the PPDCL.
 
 MOP vide Presidential Directive No. 5/5/2004-TH-ll dated 15th April
 2010 conveyed the approval of GOI to permit NTPC for winding up of
 PPDCL, through striking off the name under Section 560 of the Companies
 Act, 1956. Registrar of Companies, National Capital Territory of Delhi
 and Haryana (ROC) has conveyed the name of the PPDCL has been
 struck-off from the Register of Companies vide their letter dated 28th
 January 2011.
 
 Accordingly, investment in the PPDCL amounting toRs. 0.37 crore was set
 off in full against the amount received from GPCL in the earlier years
 in this regard.
 
 8.  The Government of Madhya Pradesh had notified levy of Madhya
 Pradesh Grameen Avsanrachana Tatha SadakVikas Adhiniyam (MPGATSVA) tax
 on coal with effect from September 2005. The tax was challenged by the
 coal supplier before the Hon''bleJabalpur High Court which stayed its
 collection in April 2006. Hon''bleJabalpur High Court by its order dated
 3rd February 2011 has vacated the interim order of April 2006.
 
 The Central Government issued notification no. GSR 322(E) dated 1i Aug
 2007, on royalty which provide for adjustment of cess and tax specific
 to coal bearing lands so as to limit the overall revenue to the
 royalty.
 
 Various Special Leave Petitions (SLPs) were preferred in the Hon''ble
 Supreme Court against the levy by the aggrieved parties where-after the
 Hon''ble Supreme Court passed an interim order staying the coercive
 collection of the tax. During the year, Hon''ble Supreme Court heard
 various SLPs and ordered the assessees to file returns and subsequently
 in 6th December 2010 ordered the assessees to pay the taxes without
 prejudice to their rights in the pending appeals.
 
 Subsequent to the vacation of the stay, Northern Coal Fields Ltd, filed
 SLP in the Hon''ble Supreme Court, which was disposed off on 21.4.2011
 in terms of its'' earlier order dated 6th Dec 2010. In view of this,
 liability towards MPGATSVA tax for the period from September 2005 to
 July 2007 amounting toRs. 255.82 crore has been provided for during the
 year with consequent recognition in sales.
 
 9.  As a result of issuance of the New Coal Distribution Policy (NCDP)
 by Ministry of Coal in October 2007, the Company and Coal India Ltd
 (CIL) renegotiated the Model Coal Supply Agreement (CSA) and Model CSA
 was signed between the Company & CIL on 29th May 2009. Based on the
 Model CSA, coal supply agreements have been signed with the various
 subsidiary companies of CIL by all excepting three of the coal based
 stations of the Company. The CSAs are valid for a period of 20 years
 with a provision for review after every 5 years.
 
 10.  The Company challenged the levy of transit fee/entry tax on
 supplies of coal to some of its power stations and has paid under
 protest such transit fee/entry tax to Coal Companies/Sales Tax
 Authorities. Further, in line with the agreement with GAIL India Ltd.,
 the Company has also paid entry tax and sales tax on transmission
 charges in respect of gas supplies made to various stations in the
 state of Uttar Pradesh. GAIL India Ltd.  has paid such taxes to the
 appropriate authorities under protest and filed a petition before the
 Hon''ble High Court of Allahabad challenging the applicability of
 relevant Act. in case the Company gets refund from Coal Companies/Sales
 Tax Authorities/GAIL India Ltd. on settlement of these cases, the same
 will be passed on to respective beneficiaries.
 
 11.  MOP, GOI vide letter dated 24.12.2010 has communicated the
 discontinuation of one of the Hydro Power Projects of the Company in
 the State of Uttarakhand. Subsequently, the Company has issued Letter
 of Frustration to the suppliers/vendors of the project.
 
 MOP has sought details of expenditure incurred, committed costs,
 anticipated expenditure on safety and stabilization measures, other
 recurring site expenses and interest costs, as well as claims of
 various packages of contractors/vendors. Management expects that the
 total cost incurred, anticipated expenditure on safety and
 stabilization measures, other recurring site expenses and interest
 costs as well as claims of various packages of contractors/vendors for
 this project will be compensated in full. Hence, cost incurred on the
 project up to 31.03.2011 amounting to Rs. 748.82 crore has been accounted
 as recoverable from GOI and disclosed under ''Claims Recoverable'' in
 ''Loans and Advances'' (Schedule -14).
 
 12.  Issues related to the evaluation of performance and guarantee test
 results of steam/turbine generators at some of the stations are under
 discussion with the equipment supplier. Pending settlement, liquidated
 damages for shortfall in performance of these equipments have not been
 recognised.
 
 13.  The Company is executing a thermal power project in respect of
 which possession certificates for 1,489 acres (previous year 1,489
 acres) of land has been handed over to the Company and all statutory
 and environment clearances for the project have been received.
 Subsequently, a high power committee has been constituted as per the
 directions of GOI to explore alternate location of the project since
 present location is stated to be a coal bearing area. Aggregate cost
 incurred up to 31st March 2011 Rs. 190.19 crore (previous year Rs. 183.10
 crore) is included in ''Fixed Assets'' (Schedules 6, 7 and 8). Management
 is confident of recovery of cost incurred, hence no provision is
 considered necessary.
 
 14.  During the year the Company has received an opinion from the
 Expert Advisory Committee of the Institute of Chartered Accountants of
 India on accounting treatment of capital expenditure on assets not
 owned by the Company wherein it was opined that such expenditure are to
 be charged to the statement of Profit & Loss Account as and when
 incurred. The Company has represented that such expenditure being
 essential for setting up of a project, the same be accounted in line
 with the existing accounting practice and sought a review. Pending
 receipt of communication regarding the review, existing treatment has
 been continued as per existing accounting policy.
 
 15.  a) Certain loans & advances and creditors in so far as these have
 since not been realised/discharged or adjusted are subject to
 confirmation/ reconciliation and consequential adjustment, if any.
 
 b) In the opinion of the management, the value of current assets, loans
 and advances on realisation in the ordinary course of business, will
 not be less than the value at which these are stated in the Balance
 Sheet.
 
 16.  Effect of changes in Accounting Policies:
 
 During the year, the Office of the Comptroller & Auditor General of
 India has expressed an opinion that power sector companies shall be
 governed by the rates of depreciation notified by the CERC for
 providing depreciation in respect of generating assets in the accounts
 instead of the rates as per the Companies Act, 1956. Accordingly, the
 Company revised its accounting policies relating to charging of
 depreciation w.e.f 1st April 2009 considering the rates and methodology
 notified by the CERC for determination of tariff through Regulations,
 2009. In case of certain assets, the Company has continued to charge
 higher depreciation based on technical assessment of useful life of
 those assets. Consequent to this change, prior period depreciation
 written back is f 1,116.50 crore, depreciation for the year is lower by
 Rs. 279.62 crore. As a result, fixed assets and profit before tax for the
 year is higher by f 1,396.12 crore.
 
 Due to the above change, the amount of advance against depreciation
 (AAD) required to meet the shortfall in the component of depreciation
 in revenue over the depreciation to be charged off in future years has
 been reassessed by the Company station-wise as at 1st April 2009 and
 the excess determined, amounting to Rs. 727.49 crore has been recognised
 as prior period sales.
 
 Further, the amount recoverable from the beneficiaries on account of
 deferred tax materialised for the financial year 2009-10 has been
 reassessed and excess amount ofRs. 212.67 crore is reversed as''Prior
 Period Sales''with equivalent reduction in provision for tax of earlier
 years in the Profit and Loss Account.
 
 Further, due to the above change, deferred tax liability (net) and
 deferred tax recoverable from the beneficiaries as at 31i March 2010
 amounting to Rs. 3,049.41 crore and Rs. 2,840.16 crore respectively have
 been reviewed and restated to Rs. 4,415.19 crore and Rs. 3,809.69 crore
 respectively. As a result, deferred tax liability as at 31.03.2010 has
 increased by Rs. 1,365.78 crore out of which Rs. 969.53 crore is
 recoverable from the beneficiaries as per Regulation 39 of Regulations,
 2009 and net increase is included in the ''Provision for Deferred tax -
 Earlier years'' in the Profit and Loss Account.
 
 17.  Revenue grants recognised during the year is Rs. 0.43 crore
 (previous year Rs. 1.71 crore).
 
 18.  Disclosure as per Accounting Standard (AS) 15:
 
 General description of various defined employee benefit schemes are as
 under:
 
 A.  Provident Fund
 
 Company pays fixed contribution to provident fund at predetermined
 rates to a separate trust, which invests the funds in permitted
 securities. Contribution to family pension scheme is paid to the
 appropriate authorities. The contribution of f 191.19 crore (previous
 year Rs. 159.70 crore) to the funds for the year is recognised as expense
 and is charged to the Profit & Loss Account. The obligation of the
 Company is to make such fixed contribution and to ensure a minimum rate
 of return to the members as specified by GOI. As per report of the
 actuary, overall interest earnings and cumulative surplus is more than
 the statutory interest payment requirement. Hence no further provision
 is considered necessary.
 
 B.  Gratuity & Pension
 
 The Company has a defined benefit gratuity plan. Every employee who has
 rendered continuous service of five years or more is entitled to get
 gratuity at 15 days salary (15/26 X last drawn basic salary plus
 dearness allowance) for each completed year of service subject to a
 maximum ofRs. 0.10 crore on superannuation, resignation, termination,
 disablement or on death.
 
 The Company has a scheme of pension at one of the stations in respect
 of employees taken over from erstwhile State Government Power Utility.
 In respect of other employees of the Company, pension scheme is yet to
 be implemented as stated in Note no. 5 above.
 
 The existing schemes are funded by the Company and are managed by
 separate trusts. The liability for the same is recognised on the basis
 of actuarial valuation.
 
 C.  Post-Retirement Medical Facility (PRMF)
 
 The Company has Post-Retirement Medical Facility (PRMF), under which
 retired employee and the spouse are provided medical facilities in the
 Company hospitals / empanelled hospitals. They can also avail treatment
 as Out-Patient subject to a ceiling fixed by the Company.  The
 liability for the same is recognised on the basis of actuarial
 valuation.
 
 D.  Terminal Benefits
 
 Terminal benefits include settlement at home town for employees &
 dependents and farewell gift to the superannuating employees.  Further,
 the Company also provides for pension in respect of employees taken
 over from erstwhile State Government Power Utility at another station.
 The liability for the same is recognised on the basis of actuarial
 valuation.
 
 E.  Leave
 
 The Company provides for earned leave benefit (including compensated
 absences) and half-pay leave to the employees of the Company which
 accrue annually at 30 days and 20 days respectively. 73.33 % of the
 earned leave is en-cashable while in service, and upto a maximum of 300
 days on separation. Half-pay leave is en-cashable only on separation
 beyond the age of 50 years up to the maximum of 240 days as per the
 rules of the Company. The liability for the same is recognised on the
 basis of actuarial valuation.
 
 The above mentioned schemes (C, D and E) are unfunded and are
 recognised on the basis of actuarial valuation.
 
 The summarised position of various defined benefits recognised in the
 profit and loss account, balance sheet are as under:
 
 (Figures given in {) are for previous year)
 
 F.  Other Employee Benefits
 
 Provision for Long Service Award and Family Economic Rehabilitation
 Scheme amounting to Rs. 2.76 crore (previous year credit of Rs. 3.42 crore)
 for the year have been made on the basis of actuarial valuation at the
 year end and debited to the Profit & Loss Account.
 
 19.  The effect of foreign exchange fluctuation during the year is as
 under:
 
 i) The amount of exchange differences (net) debited to the Profit &
 Loss Account is Rs. 6.50 crore (previous year credit of Rs. 18.91 crore).
 
 ii) The amount of exchange differences (net) debited to the carrying
 amount of fixed assets and Capital work-in-progress is Rs. 168.29 crore
 {previous year credit of Rs. 1,181.54 crore).
 
 20.  Borrowing costs capitalised during the year isRs. 1,743.61 crore
 (previous year Rs. 1,480.40 crore).
 
 21.  Segment information:
 
 a) Business Segments:
 
 The Company''s principal business is generation and sale of bulk power
 to State Power Utilities. Other business includes providing
 consultancy, project management and supervision, oil and gas
 exploration and coal mining.
 
 b) Segment Revenue and Expense
 
 Revenue directly attributable to the segments is considered as Segment
 Revenue. Expenses directly attributable to the segments and common
 expenses allocated on a reasonable basis are considered as Segment
 Expenses.
 
 c) Segment Assets and Liabilities
 
 Segment assets include all operating assets in respective segments
 comprising of net fixed assets and current assets, loans and advances.
 Construction work-in-progress, construction stores and advances are
 included in unallocated corporate and other assets. Segment liabilities
 include operating liabilities and provisions.
 
 22.  Related Party Disclosures:
 
 a) Related parties:
 
 i) Joint ventures:
 
 Utility Powertech Ltd., NTPC-Alstom Power Services Private Ltd.,
 BF-NTPC Energy Systems Ltd.  ii) Key Management Personnel:
 
 Shri Arup Roy Choudhury1 Chairman and Managing Director
 
 Shri R.S. Sharma2 Chairman and Managing Director
 
 Shri Chandan Roy3 Director (Operations)
 
 Shri A.K. Singhal Director (Finance)
 
 Shri R.C. Shrivastav4 Director (Human Resources)
 
 Shri I.J. Kapoor Director (Commercial)
 
 Shri.B.P.Singh Director (Projects)
 
 Shri D.K.Jain5 Director (Technical)
 
 Shri S.P.Singh6 Director (Human Resources)
 
 Shri N.N.Misra7 Director (Operations)
 
 1. W.e.f. 1a September 2010 2. Superannuated on 31st August 2010 3.
 Superannuated on 31a July 2010 4. Superannuated on 30th June 2010
 5.W.e.f. 13thMay2010 6.W.e.f. 16thOctober2010 7.W.e.f. 19thOctober2010.
 
 26.  Research and development expenditure charged to revenue during the
 year is Rs. 28.30 crore (previous year Rs. 20.56 crore).
 
 28. As required by Accounting Standard (AS) 28 ''Impairment of Assets''
 notified under the Companies (Accounting Standards) Rules, 2006, the
 Company has carried out the assessment of impairment of assets. Based
 on such assessment, there has been no impairment loss during the year.
 
 30. The pre-commissioning expenses during the year amounting to Rs.
 112.75 crore (previous year Rs. 145.88 crore) have been included in Fixed
 Assets/Capital work-in-progress after adjustment of pre-commissioning
 sales of Rs. 34.96 crore (previous year Rs. 96.10 crore) resulting in a net
 pre-commissioning expenditure of Rs. 77.79 crore (previous year Rs. 49.78
 crore).
 
 35.  Estimated amount of contracts remaining to be executed on capital
 account and not provided for as at 31st March 2011 is Rs. 23,779.74 crore
 (previous year Rs. 30,534.58 crore).
 
 36.  Contingent Liabilities:
 
 1.  Claims against the Company not acknowledged as debts in respect of:
 
 (i) Capital Works
 
 Some of the contractors for supply and installation of equipments and
 execution of works at our projects have lodged claims on the Company
 for Rs. 3,485.85 crore (previous year Rs. 3,879.77 crore) seeking
 enhancement of the contract price, revision of work schedule with price
 escalation, compensation for the extended period of work, idle charges
 etc. These claims are being contested by the Company as being not
 admissible in terms of the provisions of the respective contracts.
 
 The company is pursuing various options under the dispute resolution
 mechanism available in the contract for settlement of these claims. It
 is not practicable to make a realistic estimate of the outflow of
 resources if any, for settlement of such claims pending resolution.
 
 (ii) Land compensation cases
 
 In respect of land acquired for the projects, the land losers have
 claimed higher compensation before various authorities/courts which are
 yet to be settled. In such cases, contingent liability of Rs. 1,851.08
 crore (previous year Rs. 1,786.25 crore) has been estimated.
 
 (iii) Others
 
 In respect of claims made by various State/Central Government
 departments/Authorities towards building permission fees, penalty on
 diversion of agricultural land to non-agricultural use, Nala tax, Water
 royalty etc. and by others, contingent liability ofRs. 1,246.62 crore
 (previous year Rs. 1,248.78 crore) has been estimated.
 
 The contingent liabilities referred to in (i) above, includes an amount
 of Rs. 1,495.35 crore relating to the hydro power project stated in Note
 no. 11 above, for which Company envisages possible reimbursement from
 GOI in full. In respect of balance claims included in (i) and in
 respect of the claims mentioned at (ii) above, payments, if any, by the
 company on settlement of the claims would be eligible for inclusion in
 the capital cost for the purpose of determination of tariff as perCERC
 Regulations subject to prudence check by the CERC. In case of (iii),
 the estimated possible reimbursement is Rs. 146.97 crore (previous year Rs.
 428.90 crore).
 
 2.  Disputed Income Tax/Sales Tax/Excise Matters
 
 Disputed Income Tax/Sales Tax/Excise matters are pending before various
 Appellate Authorities amounting to Rs. 2,465.26 crore (previous year Rs.
 2,292.41 crore) are disputed by the Company and contested before
 various Appellate Authorities. Many of these matters are disposed off
 in favour of the Company but are disputed before higher authorities by
 the concerned departments. In such cases, the company estimated
 possible reimbursement of Rs. 1,793.36 crore (previous year Rs. 1,793.36
 crore)
 
 3.  Others
 
 Other contingent liabilities amounts to Rs. 398.74 crore (previous year Rs.
 266.14 crore)
 
 Some of the beneficiaries have filed appeals against the tariff orders
 of the CERC. The amount of contingent liability in this regard is not
 ascertainable.
 
 39.  Figures have been rounded off to nearest rupees in crores up to
 two decimals.
 
 40.  Previous year figures have been regrouped /rearranged wherever
 considered necessary.