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Posting of electricity procured from outside and manufactured inhouse

Hi Experts,

Kindly guide us as to how we need to go about the below scenario in SAP.

We are in cement industry. We procure electricity from outside and also we purchase gas and manufacture electricity for the purpose of use in our factory.

We do not have a problem with externally procured electricity.

With respect to electricity manufactured inhouse

The mapping as of now is done as below:

Accounting Entries:

When I use gas for conversion into electricity T code COR6N

Dr Natural Gas consumption 100 P&L

Cr Stock-fuel oil 100 B/S

Dr Stock -Semi Finished Goood (electricity) 120 B/S

Cr Cost of goods Manufactured 120 P&L

At the time of consumption of the electricity in Production T Code MIGO (Goods Isssue)

Dr Electricity Consumption 120 P&L

Cr Dr Stock -Semi Finished Goood (electricity) 120 B/S

Now our problem is that the expense for inhouse manufactured electricity is recorded twice as per our client.

Once when we are doing COR6N and the next time at the time of posting consumption to Production order using MIGO GI.

Kindly let us know how to overcome the above issue and see to it that the expense is booked only once.



Former Member
Former Member replied

Hi Hari,

Are you convinced that the expense is booked twice? Because i'm not. When you credit cost of goods manufactured to P/L, the effect of earlier debit is nullified. In that case the expense is booked once only which is correct accounting.

Best Regards


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