Industries in Andhra
Pradesh are facing darker alleys as the power cut is now at 50 per cent with
15-day power holiday.
According to the
State Government's announcement of power cuts on Wednesday, industries now will
have a three-day power holiday a week, and peak hour cuts every day. This
means, they will effectively be closed for 15 days in a month.
“The situation is
alarming as the power cuts will lead to a production loss of about Rs
257-crore/day, besides driving some of the companies sick, thereby, leading to
job losses,” Mr Devendra Surana, President of Federation of Andhra Pradesh
Chamber of Commerce and Industries, said.
Addressing a press
conference along with Fapsia and representatives and associations of various
sectors including pharma, spinning mills, flour mills and power-intensive
industries such as steel mills, Mr Surana said the peak shortage is estimated
to be about 18% but the industry is slapped with 50 per cent power cut.
Industries face
closure with their profitability being wiped out while missing contracts. This
may eventually lead to job loss and payment defaults.
Mr M.M. Reddy,
representing 28 industrial estates in and around Hyderabad, said small-scale
industries are worst hit as they do not have any option but to shut down.
Source: The Business Line
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