Industrialists threaten strike as Govt. refuses to hear plea

Industrialists threaten strike as Govt. refuses to hear plea

June 16, 2023

Bengaluru: Various trade bodies and industries in the State have issued a threat to go on strike and halt all production activities unless their concerns regarding power tariffs are addressed.

While some industries are demanding a complete rollback of the tariff hike, others have put forth several demands to the Government. These demands include a reduction in electricity taxes from 9% to 3% and a hassle-free 50 paise concession on tariffs for industries and Micro and Small Enterprises (MSMEs).

Gopal Reddy, President of the Federation of Karnataka Chambers of Commerce and Industry (FKCCI), stated that the Fuel Adjustment Costs (FAC) are becoming burden for industries. They have also requested the Government to subsidise the FAC for electricity supply companies. If their demands are not met within approximately two days, they plan to engage in protests, Reddy added.

Meanwhile, in an effort to resolve the growing conflict between electricity supply companies and industries regarding the substantial rise in power bills, the energy department has proposed a ‘staggered payment’ arrangement for industries and a temporary leniency in disconnection drives against defaulters. Under this, industries would have to immediately pay 70 percent of their dues and the remaining 30 percent in three instalments.

However, industries have rejected the proposal and remain firm in their demand for either a complete rollback of the new tariff or a reduction in electricity bill taxes. Many industrialists have expressed frustration over the prolonged delay in resolving the deadlock and have suggested that all firms stage a symbolic protest by shutting down for a day or two.


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