Moving Targets Make Little Sense

Since there is now a healthy debate on the success or lack thereof of the NEP even after more than 35 years with the same government it makes little sense with just presenting the balance sheet item like “30% equity target has not been achieved as at 31st December 2005”.

In any financial reporting system there is the profit and loss account for the period and also the all important cash flow which can tell if a company is healthy or not.

Since the government is preparing to disclose the EPU methodology of how the share equity is calculated, we should also be asking more details like the following to discover why after so many long years the moving target remains so elusive.

(please click on diagram to enlarge)
I am sure the government has the computing capability to account for all the goodies they have given out under the NEP.