High power tariff, peak hour charges bleeding business ventures, says forum

Tamil Nadu Industrial Electricity Consumers’ Federation protests against hike in electricity charges, demands withdrawal of peak hour charges & no charges for rooftop solar power.

Members of Tamil Nadu Industrial Electricity Consumers’ Federation organised a human chain protest near Crime Branch on South Veli street in Madurai on Wednesday, demanding withdrawal of the hike in fixed electricity charges.  

The protesters said Micro, Small and Medium Enterprises (MSMEs) would be badly affected due to the hike in electricity charges and they also demanded to revoke the peak hour charges as they said there was no electricity deficit now.   

Pon Kumar, one of the coordinators, said, “The electricity charges which was ₹30 per Kilo Watt in 2012 was increased to ₹35 in 2017, and after that it has gone up to ₹150 from 2022, which is a 430% increase.” 

Even if the industrial sectors are not running the units, they would have to pay the charges fixed. “In a situation when most of the MSMEs are facing various challenges, the hike in electricity charges will result in the units incurring a heavy loss,”  he said.

“Though the amount charged for rooftop solar powering has been decreased, we demand not to charge anything as the solar powered electricity would not use any of the properties of the Tamil Nadu Electricity Board (TNEB),” Mr. Kumar said. 

People were losing interest in running business ventures due to an unfavourable climate, said P.N. Ragunatha Rajan, a coordinatorof the forum. He said, “About 18% of the MSMEs fell were closed during Covid-19 pandemic-induced lockdown. Now an additional 28% are to be closed. If this continues, it’s going to push the businesses to a precarious situation in which they cannot survive in the market.” 

This not only affects the owners, but also millions of workers who are completely dependent on these industries for their livelihood, he said.