Don’t hike EB tariff by 6 per cent from July: MSME to TN government

Many MSME units are finding it a big challenge to run even one shift after the electricity tariff and other issues.
MSMEs have urged Chief Minister MK Stalin to consider their long-pending demand of reducing LT fixed charges
MSMEs have urged Chief Minister MK Stalin to consider their long-pending demand of reducing LT fixed charges(Photo | S Senbagapandiyan, EPS)

COIMBATORE: MSME operators have urged the state government not to effect the proposed electricity tariff by 6% from July. They said it would be difficult for the industry if the hike is implemented in the next two years.

J James, president of Tamil Nadu Association of Cottage and Tiny Enterprises, said, “MSMEs in Coimbatore, Tiruppur and Erode have been affected by fixed demand charges. It has been increased by 430% -- from Rs 35 to Rs 153 for a kW.

Many MSME units are finding it a big challenge to run even one shift after the electricity tariff and other issues. Meanwhile, TNEB has permitted to increase the tariff by 6% every year. The proposed hike will force many units to shut shop.”

Another operator, on condition of anonymity, said, “MSME units are unable to bear the electricity tariff expense. A unit consuming 30 kW is forced to pay more than Rs 10,000 from the current Rs 6,000.

We have urged the government to reduce the LT-fixed charges from Rs 72 to Rs 20 for 0-12 kW units, Rs 35 from `77 for 0-50 kW units, Rs 35 from Rs 153 kW and to Rs 350 from Rs 562 for 112 kW to 150 kW. Chief Minister M K Stalin had assured earlier that our demand would be considered, and we hope a reduction will be announced by the government.”

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