Industry rues power tariff hike

Solan, March 18

Opposing the hike of Re 1 per unit in the power tariff by the HP Electricity Regulatory Commission, industry associations have termed it adding salt to the injury of already suffering industry.

The associations have termed the power tariff as being the highest in the region, while asserting that the state has lost the advantage of having cheaper power as its unique selling point to attract investment.

“The industry in Himachal Pradesh is passing through a tough time because of imposition of additional taxes like Additional Goods Tax (AGT), highest rate of electricity duty in the country and high transportation cost due to cartelisation. Now, the power tariff hike shock of Re 1 per unit has further added salt to the injury,” said Rajiv Aggarwal, president, Baddi-Barotiwala-Nalagarh Industries Association.

He added that, “It has been observed for the last three years that every year power tariff for Industry is being increased, but this year the increase is exceptionally high, which has not been observed in the last 10 years.”

Though the increase had been absorbed by the government at present, ultimately it will be levied on the industry.

This increase will severely impact the new industrial development in the state, Aggarwal said.

The BBNIA was awaiting the full tariff order and intended to challenge the same, opined the association which is a conglomerate of industry from the biggest cluster of the state.