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Industry & Economy - Textiles
States - Tamil Nadu
SIMA calls for uniformity in power cut schedule

Capacity utilisation loss in textile mills may go up

Our Bureau

Coimbatore, Dec. 3

The deteriorating power situation in Tamil Nadu crippling its work, the State textile industry has asked the Government and the Tamil Nadu Electricity Board to evenly distribute the power shortage.

It has also asked the Government to come out with suitable power cut schedule across the State.

The Southern India Mills Association (SIMA) has, in an appeal to the State Government, said that there is no uniformity in power shortage distribution. Certain circles like Chennai experienced minimal power trippings and hence the need to uniformly distribute the electricity shortage, the SIMA Chairman, Dr K.V. Srinivasan, said in a statement issued here on Monday.

Dr Srinivasan noted that compared to other sectors, textile industry in Tamil Nadu consumed 35 per cent of the State’s high-tension power and it also accounted for consumption of 47 per cent of the connected load.

High costs

With captive power generation (both furnace-oil and high speed diesel oil routes) becoming costlier and hence uneconomical — as the power cost of these routes works out Rs 10-Rs 12 per unit depending on the capacity and age of the gensets vis-À-vis the grid power cost of Rs 4.20 — textile mills are dependent on the electricity board’s supply.

In the last one month, frequent power cuts ranging from one hour to four hours every day has caused production loss and rendered the mills’ labour force idle, leading to man-hour loss. This has come on top of other difficulties like high borrowing, raw material costs and rupee-dollar value losses suffered by the textile industry, he noted.

The SIMA chief felt that with the frequent power shut-downs, the capacity utilisation loss in most mills during the week has exceeded 15 per cent and the problem is expected to aggravate during summer.

He urged the State to intervene immediately and declare a scheduled power cut.

More Stories on : Textiles | Power | Tamil Nadu

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