Steel industries based in Central India have been facing power related problems like power failure and power cut since few days.
Steel making industries, especially those based in central India, which is hub of secondary steel production in the country, are currently tussling with power issues; affecting steel production.
Power Failure in Raipur
Due to malfunctioning of transformers, Raipur based Urla industries are facing power failure. Whereas, Siltara (Raipur) based industries are currently managing to work efficiently under similar conditions.
Power Cut in Raigarh
Since past few days, Raigarh based Punjipatra industries have also been battling with the problem of power cuts on alternate days. The major cause of power cut is increased power cost. In the city, power is supplied by Jindal Steel & Power Limited (JSPL).
Out of about 120-130 induction furnaces in Chhattisgarh, 25-30 will be affected due to power failure and power cut. Moreover, about 60 rolling mills, out of about 180 mills, may also face problems in near-term.
Similar Issues in Other Regions
Other industrial cities like Durgapur, Mumbai and Hyderabad have been facing power related problems during peak season. In North India, largely in Punjab, private power distribution companies may not supply power to steel companies owing to restrictions imposed by Punjab State Electricity Board. The board at present is putting agriculture sector as its first priority.
City-wise Power Charges
| State | City | Power Charges |
| Chhattisgarh | Raipur | 5.10-5.30 |
| Punjab | Mandi | 6.20-7.50 |
| Odisha | Rourkela | 5.20 |
| West Bengal | Durgapur | 5.10 DVC, 6.00 DPL |
| Uttar Pradesh | Muzzafarnagar | 7.25 |
| Maharashtra | Mumbai | 6.33 |
| Telangana | Hyderabad | 5.7 |
| Tamilnadu | Chennai | 6.00 |
| Rajasthan | Jaipur | 6.5, FDC- 170 |
| Gujarat | Ahmedabad | 7.5 |
Charges including all taxes
Source: SteelMint Research
Domestic Billet Prices as on 11 Jun’15
| Particular | Prices | W-o-W | M-o-M |
| Ex-Mandi Gobindgarh | 29,400 | + 100 | – 400 |
| Ex-Durgapur | 25,300 | + 250 | – 750 |
| Ex-Jharsugda | 24,500 | – 200 | – 700 |
| Ex-Raipur* | 25,700 | + 250 | 0 |
| Ex-Jalna | 26,800 | – 200 | – 450 |
| Ex-Mumbai* | 27,200 | 0 | – 300 |
| Ex-Chennai | 26,150 | – 150 | – 1,050 |
| Ex-Hyderabad | 25,500 | – 700 | – 1,500 |
Basic prices in INR/MT
*Payment next day
Source: SteelMint Research
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