Keeping in view of the recommendations of the Group of Ministers in the matter, the Government of Andra Pradesh have extended the power cost reimbursement at INR 1.50 per unit for Ferro Alloy Industries in the State for one year from the financial year 2016-17.
The State Government has given its nod for exemptions to Ferro Alloys units in the state, as they had been shutting down one after the other due to increasing losses. High power tariff and lack of support from the government were bane of the ferro alloys units in Andhra Pradesh, but this decision by the State Government to supply power to their units on subsidy will go a long way in reviving the industry. Ferro alloys is a power intensive industry and the ferro alloy units had been pushed into a crisis over the last two-three years, as power tariff increased steeply in the state.
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