CMIA demands restoration of power incentive scheme unconditionally

Lokmat News Network

Aurangabad, July 13:

The Chamber of Marathwada Industries and Agriculture (CMIA) has urged the state government to resume the old power incentives scheme applicable to power-intensive industries and immediate withdrawal of GR issued by the state’s department of industries, power and labour, imposing terms and conditions, on dated April 23, 2022.

In a memorandum submitted to the chief minister and key authorities of the Department of Industries and Maharashtra State Electricity Distribution Company Limited (MSEDCL), the CMIA president Nitin Gupta draws attention to the announcement of financial relaxation by the state government to eligible power-intensive industries to remove backlog and promote the industries from Marathwada, Vidarbha and Khandesh. The main aim was to ensure industrial, social and economical prosperity of these regions and prevent sickness in industries. The decision imposing conditions (in the new GR of April 23, 2022) will create an impact on the functioning of these industries. It will affect investments and employment. Hence immediate action is the need of the hour and restore the power incentives without any conditions.

The memorandum also underlines that the state government had allocated Rs 1200 crore to meet the power difference under the incentive scheme. It had given a lease of life to the Marathwada’s processing, steel and other industries. These industries spend a huge amount on energy bills. Meanwhile, the consumption of power increased after the scheme. After getting the help under the scheme, the industries are competing with the big industries of the country. Many of them have increased their production capacities and this helped in increasing the employment ratio, stated the CMIA’s memorandum pointing out that the GR is an injustice to an industrially backward region like Marathwada.

The CMIA’s honorary secretary Arpit Save added the industries are trying to recoup their financial losses incurred during the pandemic situation. The industries had always extended all possible help to the government. The CMIA will continue to pursue the matter strongly and regularly, he added.