The Hindu Business Line : LT consumers cheer TNEB move

Coimbatore, May 26 Industries here heave a sigh of relief following the TNEB’s decision to remove the 20 per cent power cut imposed on LT (Low Tension) industrial units with effect from May 26.

Welcoming the Board’s decision, Mr A. Sakthivel, President, Tirupur Exporters’ Association, said this would benefit the knitwear garment exporters in the hosiery town, especially because a majority of them were LT consumers. “We have been struggling to reduce the power cost. The decision would definitely help us,” he said.

Asked how the units would benefit when there is a drastic decline in production levels, he said “Even a marginal drop in production cost would make the garment exporters’ rates competitive, compared with competing countries such as Indonesia, Bangladesh and Vietnam, which have been eating into the exporters’ pie.”

The Indian Chamber of Commerce and Industry, Coimbatore, while cheering the total withdrawal of power cut for LT units, urged the Board to take steps to augment power generation in the State.

The Chamber President, Mr Mahendran Ramdas, said the Government should encourage installation of windmills by the private sector and have a policy in place to speed up the infrastructure for timely evacuation of power generated by windmills.

HT consumers disappointed

On the partial reduction of power cut to HT consumers Mr Ramdas said “It is disappointing. The industry was expecting a reduction up to 20 per cent but TNEB has reduced it by only 10 per cent from 40 per cent to 30 per cent for HT units.”

He sought to clarify if the total withdrawal of power cut to LT units would permit the LTCT industries and commercial establishments to run their factories during peak hours between 6 p.m. and 10 p.m.

The President of the Tamil Nadu Association of Cottage and Micro Enterprises (TACT), Mr J. James said “This is a welcome relief. It will accelerate production.”

Tiding over

The Chairman of the CII, Coimbatore zone, Mr Ravi Sam lauded the Government measure in tiding over the power crisis in the State. “The withdrawal of power cut on LT consumers would help SMEs regain momentum, increase productivity and generate employment,” he said.

The low tension power consuming industries include ancillary units, pumpset manufacturers, machine tool and component manufacturing units.

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