CII welcomes WBERC order

The Confederation of Indian Industry (CII) has welcomed the order of the West Bengal Electricity Regulatory Commission (WBERC) announcing a reduction in power tariff for industrial consumers of CESC, in Kolkata.

Under the WBERC order, the tariff for high tension industrial and commercial consumers may come down by 14-16 per cent. The order makes West Bengal the first state to implement the Electricity Act 2003 through phasing out cross subsidies.

Elimination of cross subsidy marks a significant policy shift towards a positive direction for the industry as a whole, said CII. The cost of electricity for industry in India is much higher compared to the cost of electricity for industry abroad.

Since electricity is one of the significant components of the manufacturing cost, this renders Indian manufactured goods globally uncompetitive, says a CII release.

CII in its statement said that the reduced Industrial tariff for power in Kolkata will have a positive impact on the business and industrial sentiment in the city; and will help in supplementing the Government's efforts to attract new investments in the state.