Mysore Industries Association appeals for more time to pay bills; CESC says difficult proposition

Mysore/Mysuru: Following the implementation of the revised power tariff, industries have experienced a significant surge in their electricity bills, with many expressing concerns over a minimum increase of 40 percent.

This drastic rise has raised anxieties among industrialists, who fear that smaller enterprises may be forced to close down due to the unbearable financial burden. The recent adjustment made by the Karnataka Electricity Regulatory Commission (KERC) not only raised the per-unit charges by an average of 70 paise but also increased the fixed charges based on the consumed load.

At a meeting of the representatives from the Mysore Industries Association (MIA) — led by Association President and former MLA Vasu — with officers of Chamundeshwari Electricity Supply Corporation (CESC), the industrialists pointed out that the KERC failed to consider their objections during the tariff revision process.

“We submitted multiple representations to KERC requesting a deferment of the tariff revision. Each one of us raised concerns during the KERC hearing, but unfortunately, none of them were taken into account,” said the MIA stakeholders.

They stated that the power tariff hike is detrimental to the interests of industries across the State and will force many of them to shut down. They hit out at the CESC and cautioned that it could cripple the industrial and commercial sector if the hike was not revoked.

Industrialists argue that such a substantial hike goes against the regulations set by the Central Electricity Regulatory Commission (CERC). The fixed charges have escalated by almost 32 percent, while the CERC mandates that it should not exceed 20 percent. This is unjust because power-intensive industries will experience a significant surge in production costs, they noted.

Responding, CESC Managing Director Jayavibhavaswamy claimed that the electricity bill of July and August will not be as high as that of June month. However, he was non-committal about the quantum of relief that will be provided to the industrialists. The industrialists appealed to the CESC to grant more time for bill payment to which Jayavibhavaswamy replied that he would bring the request to the notice of the Government.

MIA Secretary Suresh Kumar Jain sought more time to pay the power bill to which the CESC MD expressed his inability to do so. “When it comes to purchasing electricity, CESC has to pay 18 percent interest if there is any delay and CESC needs money to purchase power. Lack of resources and fund shortage will also affect power supply,” he added.

Jayavibhavaswamy added that the reasons for the steep hike have already been explained through media statements and advertisements. (Star of Mysore carried the CESC MD’s clarification ‘Hiked tariff from April being billed in June: CESC MD clarifies’ on June 13).“This retrospective approach goes against the principles of natural justice and the cumulative effect of the various components, along with the arrears, has resulted in a drastic increase that many industries cannot afford,” MIA pointed out.

The Government should support industries as they recover from pandemic-induced losses. With businesses struggling, many industries will be compelled to close down, they urged.