MSMEs in Tamil Nadu close for a day demanding reduction in electricity charges

MSMEs in TN closed for a day to demand reduced electricity charges, causing ₹9,000 cr production loss, 80 lakh job losses & ₹2,500 cr revenue loss. Representatives of 12 industrial associations to meet TN Minister for MSMEs on Sep 26. Over 80% of MSMEs in Coimbatore, 300 in Kakkalur, 20,000 in Salem, 500 in Namakkal, 1,000 in Madurai & 24 in Tiruppur closed. Hunger strike in Madurai & Tiruchi.

Micro, small, and medium enterprises (MSMEs) across Tamil Nadu downed shutters for a day on Monday, demanding that the government take steps to reduce electricity charges.

The industries are demanding the withdrawal of the peak hour charges and a reduction of the hike in fixed charges.

One of the coordinators of the Tamil Nadu Industrial Electricity Consumers’ Association, J. James, said the strike by the MSMEs had led to a production loss of ₹9,000 crore, about 80 lakh people lost their jobs for a day, and the government suffered revenue loss of nearly ₹2,500 crore.

The association announced in Madurai that the MSME unit owners will submit their demands to the Collectors on October 9 and stage a hunger strike in Chennai on October 16.

Meanwhile, the Department of Industries and Commerce has called the representatives of 12 industrial associations for talks with State Minister for MSMEs T.M. Anbarasan in Chennai on Tuesday, September 26. “We will take a call on the protests announced depending on the outcome of the discussions on Tuesday,” Mr. James told The Hindu.

In Coimbatore district, over 80% of the MSME units did not operate. The Tamil Nadu Associations members submitted a memorandum to the Coimbatore Collector.

Most of the MSME units in and around Chennai, including the micro-units, were shut. Operations came to a standstill and machines were halted since morning at Ambattur Industrial Estate. Ramesh Kanna, president of the Thirumudivakkam Industrial Estate Manufacturers’ Association, said 90% of units at the estate participated in the strike. Around 300 units were closed at the Kakkalur Industrial Estate. “Fixed charges have increased and that has made a huge impact on all of us,” K. Baskaran, secretary of the Kakkalur Industrial Estate Manufacturers’ Association, said.