Himachal industry irked by power tariff increase

The state government’s move to raise electricity tariffs by upto 17 per cent for large industrial and commercial consumers will adversely affect attracting new investments into Himachal Pradesh, says the PHD Chamber of Commerce & Industry (PHDCCI).

“The power hike will not only deter industry from investing into the state but will also make it difficult to retain the existing industry in the state,” said Dhian Chand, chairman of PHDCCI’s state unit.

“Increase in tariff by 40 to 50 paise per unit for industrial units is a big setback for industry here as Himachal is a power surplus state,” he said.

He further added that the industrial sector is the main consumer of power in the state and hence the most crucial revenue generator for the state electricity board.

Investors have resented the notification of the tariff order with retrospective effect from April 1 as they felt the effect of increase for the period that had already passed was in no way recoverable from their customers.

The chamber has also complained about irregular supply and frequent breakdown of power but no sound mechanism have been designed yet to address the concerns of the industrial consumers of the state.

Umesh Akre member PHDCCI expressed his concern on the dual tariff system for commercial users.He stressed the need for single tariff charges based on actual power consumed by commercial consumers.