Interviews
SIMA suggests win-win power crisis solution for TANGEDCO, HT industries
21 Nov '11
5 min read
SIMA chief has emphasized that any delay in addressing the corridor issue and segregation of industrial feeders would ruin the industries in Tamilnadu leading them to closure and throwing lakhs of persons out of jobs resulting in industrial and social unrest in the State.
Mr.S.Dinakaran has pointed out that the textile industry is highly power intensive, consumes around 900 units per MW, per hour at a constant load round the clock throughout the year while the consumption by other sectors are much less. Therefore, the cost to sale for TANGEDCO to spinning sector is already over 30% lower than the current HT tariff.
He has opined that there is no justification for upward revision of tariff for the textile industry. Hence considering the grave crisis prevailing in the textile industry in Tamilnadu, SIMA Chairman has appealed to the Hon'ble Chief Minister to exempt the textile industry from any proposed tariff hike.
Mr.Dinakaran has suggested increasing the power cut for the HT industries from 20% to 40% so that the HT industries could purchase power through power exchanges and also from third parties and avoid load shedding to the HT industries. This would create win-win situation both for the Government and the HT industries, apart from enabling TANGEDCO to supply continuous power to the domestic sector.
SIMA Chairman has pointed out that Maharashtra faces much higher power shortage than Tamilnadu. However, the industry-friendly approach in Maharastra enables the HT industries to source power from power exchanges and third parties thus ensuring economical viability of the industries.
He further pointed out that Maharashtra and Gujarat have over taken Tamilnadu in attracting new investments in textiles during the last two years mainly due to uninterrupted power supply. Hence, SIMA Chief has suggested that Maharastra model may be adopted to find short and medium term solutions to sustain the survival of the HT industries in Tamilnadu.
SIMA chief has said that the textile mills in Tamilnadu are being subjected to harassments and complicated procedures of TANGEDCO/ TNERC. As a result, the textile mills had no other option, but resorted to legal remedies before TNERC, High Court and Supreme Court.
He has appealed to the Hon'ble Chief Minister to make the TANGEDCO to be industry-friendly as it was during her earlier regime which brought large scale investment in Tamilnadu textile industry, to the tune of one lakh crores in just ten years. Mr.Dinakaran has stressed that industry-friendly policies are essential to retain Tamilnadu as the hub for textile business on the global map.
Mr.S.Dinakaran has pointed out that the textile industry is highly power intensive, consumes around 900 units per MW, per hour at a constant load round the clock throughout the year while the consumption by other sectors are much less. Therefore, the cost to sale for TANGEDCO to spinning sector is already over 30% lower than the current HT tariff.
He has opined that there is no justification for upward revision of tariff for the textile industry. Hence considering the grave crisis prevailing in the textile industry in Tamilnadu, SIMA Chairman has appealed to the Hon'ble Chief Minister to exempt the textile industry from any proposed tariff hike.
Mr.Dinakaran has suggested increasing the power cut for the HT industries from 20% to 40% so that the HT industries could purchase power through power exchanges and also from third parties and avoid load shedding to the HT industries. This would create win-win situation both for the Government and the HT industries, apart from enabling TANGEDCO to supply continuous power to the domestic sector.
SIMA Chairman has pointed out that Maharashtra faces much higher power shortage than Tamilnadu. However, the industry-friendly approach in Maharastra enables the HT industries to source power from power exchanges and third parties thus ensuring economical viability of the industries.
He further pointed out that Maharashtra and Gujarat have over taken Tamilnadu in attracting new investments in textiles during the last two years mainly due to uninterrupted power supply. Hence, SIMA Chief has suggested that Maharastra model may be adopted to find short and medium term solutions to sustain the survival of the HT industries in Tamilnadu.
SIMA chief has said that the textile mills in Tamilnadu are being subjected to harassments and complicated procedures of TANGEDCO/ TNERC. As a result, the textile mills had no other option, but resorted to legal remedies before TNERC, High Court and Supreme Court.
He has appealed to the Hon'ble Chief Minister to make the TANGEDCO to be industry-friendly as it was during her earlier regime which brought large scale investment in Tamilnadu textile industry, to the tune of one lakh crores in just ten years. Mr.Dinakaran has stressed that industry-friendly policies are essential to retain Tamilnadu as the hub for textile business on the global map.
The Southern India Mills' Association (SIMA)
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