SIMA: Appeal to TN, CM for power tariff hike moderation

10 September 2022, Mumbai:

Tamil Nadu Electricity Regulatory Commission has notified the revised tariff Orders for energy charges and different services provided by TANGEDCO on 9th September 2022. The steep hike across the services would erode the competitiveness of the HT/EHT consumers especially the power-intensive sectors textile industry in Tamil Nadu.

In a press release issued here today, Ravi Sam, Chairman, The Southern India Mills Association (SIMA) has appreciated the various policy initiatives taken by the Hon’ble CM of TN on the power front making the energy department more industry-friendly.

SIMA Chairman said that the power-intensive textile industry would become uncompetitive with the recent steep increase in the power tariff. Ravi has said that the Government could have deferred the power tariff increase decision for some time. 

He has said that the increase in demand charges from Rs.350 per KVA to Rs.550 KVA is an abnormal hike when compared to most of the States in the country.

SIMA Chairman has appealed to reduce the demand charges, wheeling charges, and transmission charges and consider increasing the night hour rebate on par with peak hour to sustain the global competitiveness of the textile industry in TN and also avoid year-on-year increase with a cap of 6% and make the State as an attractive destination for new investments.

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