BENGALURU: The state government has abolished the limit on electricity subsidy for power loom and pre-loom units that will help every weaver earn at least Rs 40,000 per year.
Disclosing this, Textile Minister Shivanand Patil told reporters on Friday that power looms and pre-loom units with 10.1 HP to 20 HP capacity will get subsidy for the full electricity they utilise, and weavers will have to pay only Rs 1.25 per unit. Till now, there was a limit of 500 units for subsidy per month.
The government’s move is expected to benefit 4,000 power loom and pre-loom units, he added. “Weavers had to pay electricity charges at the rate fixed by the power companies in excess of the subsidy. Since the government has now cancelled the subsidy limit, no matter how many units of electricity they are going to consume per month, the tariff will be Rs 1.25 per unit,” the minister said.
The state exchequer will bear a burden of Rs 17 crore per annum through this measure, he added.