COIMBATORE: Over 1.5 lakh power loom owners across the State, especially in the Kongu region, have urged the State government to drop its plan to revise the power tariff, saying they are suffering losses due to poor returns.
The government has proposed a hike of 70 paise per unit for power loom consumers (which come under Tariff 3A2). Of the six lakh power looms in the State, 3.5 lakh are in Coimbatore, Tiruppur, Erode and Namakkal districts and produce 60-metre fabric.
The remaining 2.5 lakh looms are in other districts, including Salem, Gudiyatham Tiruvallur, Kanchipuram, and Madurai, producing 30-metre fabric, including cotton lungi and saree. Besides a rollback of the hike, loom owners want the State to extend free electricity for power looms from 750 units to 1,000 units, which was one of the DMK's poll promises.
Tamil Nadu Federation of Power Loom Associations president LKM Suresh said, "The then CM Karunanidhi gave power looms 500 units of free electricity two decades ago, and it was extended to 750 units by Jayalalithaa. Last year in Erode, Stalin promised extension of the free electricity supply to 1,000 units, and it was mentioned in the DMK election manifesto."
"This remains on paper and the recent announcement shocked us as the government has hiked just 40 paise per unit for consumers under high tension lines. The government must withdraw the announcement immediately," he said.
Coordinator of the association B Kandavel, who owns more than 15 looms, said, "Due to the hike, people who own more than 15 looms have to pay an additional Rs 4,000-5,000, which becomes a huge burden, since the industry is reeling under a drop in fabric price. The situation could have been managed if monthly billing cycle is implemented, which is another poll promise made by the DMK."
Tamil Nadu Association of Cottage and Micro Enterprises (TACT) president J James said the proposed tariff hike to Rs 10 for SMEs from Rs 8 will hit the sector hard, "We won’t be able to compete with industries in Gujarat, which have been selling pumps at a 20 per cent lower rate than the price fixed by industries in Coimbatore."
Tamil Nadu Electricity Regulatory Commission accepts proposal to raise rates
A day after TANGEDCO submitted a proposal to the Tamil Nadu Electricity Regulatory Commission (TNERC) to increase the electricity tariff, the commission on Tuesday accepted the proposal and ordered the power utility to complete public hearings by August 22.
TNERC said the tariff petition should be put up on TANGEDCO’s websites, and stakeholders should get 30 days to offer comments. All comments are to be sent to the commission by August 22