Internship Report On MEPCO
Internship Report On MEPCO
Internship Report On
MEPCO (WAPDA) Office of the Manager Operation MEPCO Multan circle
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Internship report submitted to the department of Management science, Education University Multan to full fill the requirements of BBA (Hons) Degree By M.Shehroz khan Roll# 1167 BBA(HONS) Session 2009-2013 Coordinator Prof: Sohail chuhan Department of Management sciences Education University Multan Campus Dated: 2-07-2013
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Preface
Genius makes its observations in short hand; talent writes them out at length. Christian Nevell Bovee As mentioned by the above quotations observing and on site viewing are every firm base for learning. We learn a lot more by seeing the theories, we read in books, applied practically by the pros and by seeing how they actually put them to work. If we mull over the significance of internship program then we will be able to bare the facts that internship enhance ones practical loom towards work and provide maximum chances for learning, which will obviously help out candidate in the practical fields. The intention at the rear about internship program is that the students can analyze, observe, feel, examine the organization environment and equip themselves with the tools to face the ever shifting challenges in the organizations. In short internship plays a pivotal role in the future sensation& stir of the candidate. This Report is specially meant for the student of BBA (Hons). It is concerned to a brief study of the operation, Function, tasks and services of MEPCO. The effective system at MEPCO was a piece of art and to see it in working process was a treat itself. The billing system at MEPCO is designed to calculate and disseminate bills and to store these bills in the data base and to use them for further use. MEPCO has fine organizational structure and a well define fully working effective system that helps and aids managers to do their job at best. Our knowledge was further enlighten when we had some of the lectures from the seniors managers of MEPCO, they knew quite a lot about the organization and the subject and they left no stone unturned to let us know about that it was a four week study of the billing system and we had the most enjoyable case study of our life.
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Acknowledgment
All praise to Almighty Allah, the most merciful and compassionate, who give me skills and abilities to complete this report successfully I am grateful to my parents who are always been a source of encouragement for me throughout my life and from start to the end of this report I am thankful to all my staff members so MEPCO Multan division. I found every one very co-operative and helpful for providing me the Theoretical as well as practical knowledge about the function and operation of the MEPCO. I like to express our gratitude to Faqir Ahmed (Head of Technical Dept.MEPCO), Ahsan Kareem (Manager Revenue Branch) and the whole MEPCO Team that helped me by providing all the needed information i needed to complete this report. I express my greatest gratitude to my kindhearted Supervisor Mr. Sohail Chuhan Who was the Person who made me able to write this report, His enthusiasm shows the way forward to me to achieve this success and who kept me in high spirit through his appreciation. He helped me a lot each time I went up to him.
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Dedication
I dedicate my work to my most respectable parents and teachers whom prayer made me able to have such an opportunity of working in the Government Sectors and get experienced.
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I would like to conclude by saying that even though every person will have a different story to tell, the common factor that binds us all is the good work done by our predecessors in the Education University. I have given more than 100% of my efforts to keep up that good work and I am sure that my colleagues have done the same. I am hopeful that as we pass through the corridors of this great institution into the real world, this legacy will be kept and upheld by the future generation of Education University.
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History
Water is the most significant source in the country like Pakistan in which an overwhelming majority of the population is dependent on agriculture as a source of living. Besides agriculture produces constitutes the basis of countrys economy and foreign exchange earning s, making water all the more important. In September 18, 1958 WAPDA was created to undertake the task of investigating, planning and executing schemes for irrigation drainage, prevention of water logging and reclamation of saline land as an autonomous body responsible for integrated development of water and power resources in Pakistan. The organization was also entrusted with the work of implementing Indus Basin Settlement plan signed between India and Pakistan in 1960 to develop replacement works for management of river water and irrigation system. The life savings action for Pakistans agriculture has been WAPDAs role in the field of water logging and salinity. The multipurpose dams to Mangla and Tarbela have supplied much needed water supply for winter crops and produced valuable hydel electricity as bi-product to give a broad base to WAPDAs vast and country wide national grid. At the time of independence in 1947, Pakistan inherited 60 megawatts of power generation capability with the average annual production of 142 million units of electricity for a population of 31.5M, yielding 4.5 units per capita consumption. After 12 years, when WAPDA was created in 1958 the generation capacity had crawled to 119 MW. In first five years of its operations by 1958-1963, the electricity capability went up to 636 MW from 119 in 1959, and power generation to about 2500 MKWH from 781. Density of consumption system rose from 278 thousand customers in 1959 to 688 thousand in 1965. WAPDA, the Pakistan Water and Power Development Authority, was created in 1958 as a SemiAutonomous Body for the purpose of coordinating and giving a unified direction to the
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Charter of Duties: The Charter of Duties of WAPDA is to investigate, plan and execute schemes for the following fields: Generation, Transmission and Distribution of Power. Irrigation, Water Supply and Drainage. Prevention of Water logging and Reclamation of Water logged and Saline Lands. Flood Management.
Corporatization policy
Objectives:
In 1992, the Strategic Plan for restructuring the Pakistan Power Sector (PPS) was approved by the GOP/CCI. As a part of the restructuring process, WAPDA's functions under Water Wing and Power Wing were to be segregated in the following manner: Unified Power wing of WAPDA comprising of Generation, Transmission and Distribution to be restructured into twelve (12) public limited companies under the corporate law. Now TESCO is made in Tribal areas
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Accomplishments:
Major accomplishments to-date are as follows:
Operationalized Pakistan Electric Power Company (PEPCO) as a Private limited management company owned by Government of Pakistan (GOP) to steer, manage and oversee the corporatization/commercialization reforms program. Formed twelve (12) Corporate Entities as following: FOUR Thermal Power Generation Companies (GENCOs). Southern Generation Power Company Limited (GENCO-1) head quarter at Jamshoro district Dadu near Hyderabad Sindh. Central Power Generation Company Limited (GENCO-2) head quarter at Guddu district Jacobabad Sindh. Northern Power Generation Company Limited (GENCO-3) head quarter at WAPDA House Lahore. Kout Addu Power station (KAPCO) head quarter at Kout Addu Punjab.
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1. LESCO 2. GEPCO
3. FESCO Faisalabad Electric Supply Company. 4. MEPCO Multan Electric Power Company. 5. PESCO Peshawar Electric Power Company. 6. HESCO Hyderabad Electric Supply Company. 7. QESCO Quetta Electric Supply Company. 8. IESCO Islamabad Electric Supply Company. 9. TESCO Tribal areas Electric Supply Company
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Customer Services:
WAPDA provides a chain of services to its on-line consumers. You can use the links provided at the top to conveniently receive any type of Customer Services while sitting at your home. The sources of these services are reliable and follow-up is on regular basis.
Training:
General Manager (Training) office is functioning at WAPDA House, Lahore and controls various training centers detailed below: WAPDA Staff College, Islamabad. WAPDA Engineering Academy (Water & Power), Faisalabad Thermal Generation Training Center, Guddu Hydel Training Center, Mangla Technical Services Group, Lahore Eight Regional Training Centers (RTCs), one at each DISCO
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INTORDUCTION:
Multan Electric Power Company Limited is a public limited company incorporated in Pakistan. The Company was established to take over all the properties, rights, assets, obligations and liabilities of Multan Area electricity Board (MAEB) owned by Pakistan Water and Power Development Authority (WAPDA) and such other assets and liabilities as agreed. The Company got the certificate of incorporation of business on 14th May, 1998 and the certificate of commencement of business on 01 July, 1998. After that the company started the commercial operations, the principal activity of the company is distribution and supply of electricity to public within defined geographical boundaries. The Company also provides the Electricity in rural areas, under the project called Village Electrification and European Commission Through these projects electricity has been provided in mostly rural areas.
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Mission statement
To ensure un-interrupted & stable power supply to all our customers with state-of-art customer care to the entire satisfaction of customers, issuance of correct bills in a customer friendly manner and facilitate agriculture and industrial sector catalyzing economic growth of country.
Vision Statement
To ensure convenient availability of high quality power in area of responsibility, in order to alleviate the poverty, improve quality of life and make the Industrial and Agriculture Sector competitive in the World Market.
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Management Philosophy:
Open door policy for all, Tackle all problems upfront Merit, justice, fair play be the hallmark Transparency in all fields Accountability of everyone
MEPCO is autonomous body and responsible for salary payments to its employees, Recruitment of new employees and all of its matters itself
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WAPDA HOSPITAL: The company provides the free medical facility to its officers and staff. The officers are subjected to get the medical facility. They cannot get cash medical allowance. But staff people can get one of the two facilities i-e cash medical allowance or medical facility, But in emergency they can get facility they feel according to their need. The Chairman WAPDA has announced that WAPDA Hospital (MEPCO) change WAPDA (MEPCO) Dispensary. Now the Dispensary is providing the first aid facility to the MEPCO Employees and refers the serious case to the WAPDA Hospital. The MEPCO Employees complaint to Chairman, WAPDA starts the MEPCO Hospital facility in Multan. In view of the different complaints, the Chairman WAPDA said that the MEPCO employees can enjoy only one facility.
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AREA OF OPERATION:
MEPCO's area of responsibility covers Multan, Khanewal, Sahiwal, Pakpattan, Bahawalnager, Lodhran, Bahawalpur, R.Y. Khan, Vehari, Muzaffargarh, D.G. Khan, Layyah, and Rajanpur. ORGANIZATIONAL STRUCTURE OF MEPCO : It comprises of the following eight (08) distribution Operation Circles as detailed below:Operation Circles 1 Multan Circle 2 D.G Khan Circle 3 Vehari Circle 4 Bahawalpur Circle 5 Sahiwal Circle 6 R.Y. Khan Circle 7 Muzaffargarh 8 Bahawalnagar Circle G.S.O Circles 1. Multan Circle 2. Sahiwal Circle Project Construction Circle 8 Divisions
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6 Divisions / 33 Sub Divisions 3 Divisions /12 Sub Divisions 3 Divisions /13 Sub Divisions 3 Divisions / 17 Sub Divisions 4 Divisions /18 Sub Divisions 3 Divisions /15 Sub Divisions 3 Divisions /16 Sub Divisions 3 Divisions / 13 Sub Divisions 6 Divisions
LENGTH OF TRANSMISSION LINES 1.132 KV. 2. 66 KV HT/LT LINES a) 11KV Feeders b) Length of 11KV Lines c) Length of LT Lines 821 Nos. 53353.309 KM 32183.324 KM 2809 KM 1479 KM
89074 Nos.
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EXPENSES (Millions) Cost of Electricity Operating Expenses (incl. depreciation) Financial Charges Total Expenses plus Tax Loss for the year 40,962.160 4,945.979 703.180 46,676.312 (6309.569)
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Tangible Fixed Assets Long Term Advances / deposits Current Assts Total Assets
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ACCOUNTING UNITS:
MEPCO has 74 accounting units which are as follows, 28 Deputy manager operations/ Exien office 28 customer services offices (Revenue office) Manager MIS Manager P.D Construction Manager (Material & Management) Manager T & S (Technical services) S.S & T offices (these are 4 offices a-Muzaffar garh b-Multan c-D.G Khan d-Sahiwal) Deputy Manager P & I ( Protection & Instruments ) Deputy Manager Civil Regional Stores (these are 4 offices a-Multan b-D.G Khan c-Sahiwal d-Bahawalpur) P.D GSC Finance Director (F.D) Manager STG ( Station Transmission Grid station)
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Banking section
This section deal with the different banks those are authorized banks of the company under the area covered by the company. This section monitor the collections of electricity bills, security deposits, RCO fees, and other receipt as well as remittance of the such collection in to main branch of the company at Multan. If any bank fails to remit the companys fund in time, ask for such omission and charged interest for late remitted of companys fund. This section also deals with the reconciliation and related matters with banks. Revenue collection from the banks and distribution of cash to accounting units is done through banking section. Banking has four main accounts in different banks. These are Main Revenue account Retention account Capital cost account Security Deposit accounts
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INTERNAL AUDIT DIVISION: The company has to setup of the internal audit of the companys revenue / financial activities. This department is working, under the administrative control of Deputy Chief Auditor, MEPCO Multan. The internal audit division conduct the revenue audit of the companys revenue accounts continuously throughout the year. The internal audit division is also responsible for
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1 Superannuation Pension
It is the pension offered by the government at the age of 60 years. At that age the person is must be retired.
2 Family Pension
It is offered by the government in the case when the employee is dead due to the natural cause during service or after retirement.
3 Invalidation Pension
It is the pension offered by the government when the employee is not remains medical fit due to the some medical reasons; example is eye sight is week or any other cause.
4 Retiring Pension.
It is the pension taken by the employee when he is completed the service which is important to qualify for taking pension. At the filing the case of pension, the documents required are Pension Form Computerized Id card Photos of 25 years
Service Book
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Retirement Order
The retirement order has been submitted by the employee at the age of 60years by the approval of chief.
No Demand Certificate
It is the certificate in which employee give the surety that he has not ever take the loans or any pension funds ever before
No Enquiry Certificate
In it, it has been verified that there is no enquiry has been sitting against him for that reason he has been suspended from his job.
FIA Certificate
In it, it is verified that in the whole service he is never caught red handed by the anticorruption or FIA for doing the misuse of his authorities.
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Pension Rules:
In it following permission has been given In case of death of employee, his widow/ orphan has take the pension by fulfilling the following conditions Son is less than 21 years of age. Daughter is unmarried. She has submitted his unmarried certificate Widow is also submitted the non- marriage certificate after the death of his husband and also the non separation certificate in case of the employees who has not married but died their parents can take the pension up to the 10years
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Calculation of Pension:
Let the basic pay of the employee is Rs.10000/- at the retirement time. Then his pension has been calculated by the following Gross Pension = Basic pay*70/100* service/30 = 10000* 70/100 * 25/ 30 = Rs.5833/This Pension is divided into two forms
Accumulations
= GP * 35% * 12 * age factor = 5833 *35% *12 * 12.3791 = 303097.2/-
Monthly Pension
= 5833 * 65% = 3791 Increase 1-07-2005 = 3791+ 3791* 10% = 4170 Increase 1-07-2007 = 4170 + 4170*15% = 4795 So the monthly pension is Rs.4795/-
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DOUBLE ENTRY BOOK KEEPING SYSTEM Double entry system based on the principle of duality which means that all events of economic importance have too aspects (i-e effort and rewards, scarifies and benefit , resource and uses that off set or balance each other in the double entry system each transaction must be recorded twice in such a way that total amount of debit and credit must equalizes each other .The T accounts is a helpful place to begin the study of double entry system
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The sequence of accounting procedures used to record, classify and summarize the accounting information is termed as Accounting Cycle. The Accounting Cycle begins with the initial recording of business transactions and concludes with the preparation of formal financial statements, summarizing the effects of these transactions. The terms Cycle indicates that these procedures must be repeated cont inuously to prepare new up-to-date financial statements at reasonable intervals. The Information Technology Cell of MEPCO Computer Centre has developed following two software packages for computerization of accounting procedure prevailing in MEPCO. Software for Elementary Accounting Units. Software for Headquarter
CASH BOOK:
Two types of Cash Book are being used by the MEPCO. Imprest Cash Book Miscellaneous Receipt Cash Book A separate bank is used for each type of Cash Book. The cash book is required to be selected for each bank account.
VOUCHERS:
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Cash Vouchers:
All the vouchers pertaining to cash are called cash vouchers. The vouchers regarding cash receipts are called cash receipts vouchers while the vouchers regarding the cash payments are called cash payment vouchers
Bank Vouchers:
All the transactions relating to banks are recorded on the vouchers are called as bank vouchers. The vouchers regarding the receipts through banks are called bank receipt vouchers & the vouchers regarding the payments through banks are called bank payment Vouchers.
Journal Vouchers:
All other transaction are recorded on journal Vouchers e.g. regarding rectification of errors, miscellaneous classification, depreciation of fixed assets provision for bad debts
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The First digit indicates whether it is a bank entry, cash entry or direct entry. 1 is used for bank, 2 for cash and 3 for direct. The second digit represents the type of voucher and is coded as under.
1 or 2 3 or 4 5 or 6 7 8
for Receipt Voucher. for Payment Voucher. for Journal Voucher. for I.O.T and Cr. Note for S.S Cheques.
The third digit indicates the transaction type of the voucher i-e the detail of the accounts to be affected. Voucher number is to be left blank and will be automatically generated by the computer. It will be the next number falling in the serial. Enter the date on which the voucher is being prepared. In case of Payment Voucher the same date will be considered as date of issue of Cheque.
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Enter the amount to be credited in case of receipt voucher and debited in case of payment voucher because debit in receipt voucher and credit in payment voucher is understood. The amount may either be written in rounded form or it may be written with two decimals points. As per accounting procedure two accounts are affected at the same time as a result of each transaction. Enter the title of account to which credit is raised in case of receipt voucher or debit is raised in case of payment voucher. In the next column the amount of voucher is narrated in words. Enter the Cheque/D.D. /P.O. /T.T. number along with date in case of bank vouchers. Name of bank as well as account number of concerned bank is entered in the respective column. In case of Journal Vouchers some accounts are debited by crediting some other accounts for each transaction. Account head code as well as amount debited/ credited in respect of each account must be written in the respective columns. Total of amounts written in the debit column must be equal to the amount written in the credit column. As the process of preparation of voucher is completed as per above procedure, the vouchers are presented to the P.C. Operator for entry purpose
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SUPPLIERS INFORMATION:
The information regarding all expected suppliers who are dealing with that proper Accounting Unit such as Name, Address, Phone Numbers and Fax Numbers are also entered at the time of implementation and will be used whenever required.
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It is the moral and professional duty of the directors, managers and executives toovercome the weakness and convert them into strengths, and get maximum benefits andopportunity from the prevailing resources.
Strength
The MEPCO top management is the combination of both experience and youngenergetic professionals which are proving to be the real strength of MEPCO. MEPCO website provides every information about MEPCO to the customers andinvestors. MEPCO has equipped with the latest technology. MEPCO has good relation with different departments. The MEPCO employees are locally so, the turnover rate is low. The MEPCO has efficient internal audit department, which keep check and balance.
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Weaknesses
The administrative cost of the company is very high due to which the profitabilityof the company decreases. There is still improvement of technology in the MEPCO like in computers. There customer service are not up to mark they have to improve the customer services to satisfy the customers There divisions are not well furnished they have the need to improve them. Telecom and Media revolution Dependency on suppliers of power generation equipment.
Opportunities
The MEPCO is situated in the region where the customers are large in quantityand other necessary related product is easily available in the market. There is no competitor in the local market, there is a big opportunity to get moreshare. Buyers of MEPCO services are easily available in the local market. The extension plan of divisions by the MEPCO is very good to capture themarket. The MEPCO has maintained better relationship in the market which helps theMEPCO to increase the customers. The strategies of MEPCO are very strong which help them to get advantage sover the competitors.
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Threats
One major threat to the MEPCO is increasing number of customers day by day. Due to fluctuation occur in the supply is permanent threat to the MEPCO. There is always a threat the government may impose some duties on the MEPCO. Another threat to the MEPCO is change in day by day technology. Withdrawal of support from suppliers. Curtailment of budget. Obsolescence of strategic equipment There is not a long list of suppliers in power sector and the suppliers enjoy monopoly to some extent and they can charge higher and delay supplies as there is long waiting lists for equipment supplies
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Observation
I have observers that there is need of improvement in the MEPCO especially the building of the MEPCO is not according to the requirement of MEPCO. Sometime the employee dont cooperate with customer they must have needed to cooperate with customers to create good relationship with them. I have also observe that there is no proper dress court of employee in the divisions so, they have need to follow proper dress court I have observed that there is need of safety department or some safety precautionfor employees of MEPCO
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REFRENCES:
Personal Observation www.mepco.com.pk Finance department section Accounts officers, Admin etc www.google/images.com
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Annexure
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