Frequent power cuts impedes RMG industry growth: BGMEA

27 Apr '06

1 min read

Frequent power crises severely affected production of readymade garments (RMG), which has dropped 30 percent, complained Tipu Munshi, President of Bangladesh Garment Manufacturers and Exporters Association (BGMEA).

During a meeting with Iqbal Hassan Mahmood, State Minister for Power, Munshi revealed this figure.

BGMEA has forwarded some suggestions to the Minister to recover at least 15 percent of the cost of production lost due to power disruption.

Suggestions include introduction of a comparatively lower and flat power tariff dealing with the existing peak and off-peak hour rates, issuance of notice prior to the start of load-shedding and installing PFI (power factor improvement) devices at the garment factories by the government and allowing factories to consume up to 75 kilowatt electricity without any installation and sub-stations.

However, Minister disagreed with the BGMEA leaders about their claim of production shortfall, but assured them of bringing the problems to the notice of Prime Minister Khaleda Zia.

He also requested the garment industry leaders to take energy-saving measures for their plants, which would improve the power supply situation.

Frequent power cut also result into fire incidents and short-circuits apart from the loss in production, commented Munshi.

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