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November 16, 2013

Industry users unite against high power tariff in Maharashtra...

 

Power Tariff Increase in Maharashtra

High-tension industry consumers in Maharashtra with a monthly consumption of 100,000 units are up in arms against the high power tariff in the state. Industry bodies have argued that tariff charged by state-run Maharashtra State Electricity Distribution Company (MahaVitaran) is higher by Rs 2 to 2.50 per unit compared to other states.

As per the latest statistics available with the Maharashtra Electricity Regulatory Commission, Maharashtra tops the list with the per unit tariff of Rs 8.82 followed by Delhi (Rs 6.64),Tamil Nadu (Rs 6.04), Jharkhand (Rs 5.82), Karnataka (Rs 5.56), Chhattisgarh (Rs 5.46), Odisha (Rs 4.95).

Of MahaVitaran's 22.1 million consumers, 312,000 are from industry and of these 12,000 are high-tension users. MahaVitaran mobilizes nearly Rs 10,000 crore annually from these high tension consumers to cross-subsidize agricultural users in particular. MahaVitaran has sought from the state government Rs 3,800 crore of the total dues worth Rs 8,000 crore from farmers.

R B Goenka, chairman, energy cell of Vidarbha Industries Association told Business Standard, "In current scenario, the tariff has increased to un-sustainable limits. It will become difficult for industries to use such high cost energy for running their Industries and will have to close down because power in neighboring states is much cheaper. Industries in Maharashtra cannot compete with industries in neighboring states."

MahaVitaran official said the discom is giving a rebate of Rs 2.50 per unit during night for industry consumers. However, industry bodies have argued that despite this concession tariff continues to be the highest.

Meanwhile, the state government has taken a serious note and formed a cabinet sub committee led by industries minister and former chief minister Narayan Rane to suggest ways to lower the industry tariff.

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