 "MSMEs in Tamil Nadu go on strike over rising power costs today")
Micro, Small and Medium-scale Enterprises (MSMEs) in Tamil Nadu are on a strike today against the hike in electricity tariff, even as the State Chief Minister M K Stalin had declared few measures in light of their demands.
Under the banner of The Tamil Nadu Modern Power Buyers' League, MSME Associations and different units have been requesting cancellation of the multi-year tariff policy and suspension of plans to effect a yearly hike in the industrial electricity tariff. The state government was also urged to reverse fixed charges to previous levels, and not to go ahead with the increase in peak hour charges for LT (low tension) buyers.
MSME Strike on Tamil Nadu: Overview
Chief Minister MK Stalin on Saturday declared a 15 per cent capital subsidy for MSMEs to set up rooftop solar plants and grant ventures with as much as 12-kilowatt load to be charged under lower tariff class.
But, the Tamil Nadu Industrial Electricity Consumers’ Federation chose to proceed with the strike on September 25 as reported, saying that its primary demands stay unfulfilled.
As the LT industrial consumers pay fixed charges based on their connected load, the seasonal industries, for the most part agriculture based industries like rice mills, that function for a couple of months in a year have to pay the demand charges even when they are not working.
Answering the CM's declaration, associations claimed that the actions didn't address the main issues featured by the MSMEs, and they would proceed with their plan to mark a day's strike against the tariff hike on Monday.
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Tamil Nadu MSME Strike: Government measures
Chief Minister Stalin on Saturday declared three measures to decrease the load for MSMEs. LT customers will be permitted to change their sanctioned load in light of seasonal demand four times each year with no charges. The government will broaden a 15 per cent capital subsidy regarding charges for rooftop solar power generation.
For micro and small industries of under 12 kW load, the exchange of load classes from IIIB to IIIA (1) will be viewed post acquiring the assessment of the Tamil Nadu State Electricity Regulatory Commission.
K. E. Raghunathan, National President, Association of Indian Entrepreneurs stated, “announcement on allowing LT industries to modify their sanctioned load four times a year at no cost, has been issued vide a gazette a few days back. It is nothing new. Also, on the rooftop solar announcement for a reduction in connection charges, we need to wait for details and the implementation process and impact".