The amount allowed as Contingency Reserves is required to be invested by the utility in the specified securities. The contribution of contingency reserve, amounting to Rs. 30.53 million for FY 2004-05, is added to the balance of compulsory investment as on 31.3.2005 amounting to Rs. 106.97 million. This amounts to a contingency reserve investment of Rs. 137.50 million for FY 2005-06.
