Industrialists upset over power tariff, VAT hike

Bijendra Ahlawat

Tribune News Service

Faridabad, May 3

Industrialists and manufacturers here are upset with the hike in power tariff, revision of VAT on petrol products and delay in the incentives for entrepreneurs. Raising the issues in the demand charter submitted to the state government, industry associations have sought immediate measures to address their grievances.

“We have submitted our suggestions on issues concerning the upcoming new industrial policy promised by the state government,” said Navdeep Chawla, president of the Faridabad Industries’ Association (FIA).

He said while the FIA had expressed concern over the frequent revision in the power rates, it had asked the government to come out with measures urgently needed to revive the industry and trade in this premier industrial hub, which has over 22,000 units.

Due to the slowdown in growth abetted by the non-conducive atmosphere, he said many large and medium scale units had either moved out or were in the process. The rising cost of power, environmental hurdles and unfriendly labour policies were taking a toll, he said. “This has resulted in stranded capacities of the ancillary units, making them give up on the plans of expansion or addition. While power rates must be freezed, the government must launch e-governance on all matters connected with the industry, as red tape and corruption has already hit the industry,” he said.

Referring to the Make in India programme, he said Faridabad had an established base for ancillary support to mega industries, which was presently lying underutilised for the want of infrastructure. It is important that a “mother” industry in the field of defense, aerospace or Railways is established,” he said.

“Expansion of Metro rail connectivity with Gurgaon and Noida, housing projects for the industrial workforce, simplification of labour laws and setting up of skill development centres is the need of the hour,” claimed Rajiv Chawla, head of the small and medium enterprises association.