Comments
Restile Ceramics Ltd, a manufacturer of ceramic tiles, has announced closure of its factory due to inadequate power supply.
In a statement to the stock exchanges, the company mentioned that it was forced to take this extreme step due to erratic and inadequate supply of power.
While the company has made representations for better power supply, there has been no exemption from power cuts.
In the BSE statement , Restile said: “Central Power Distribution Company of A.P. Ltd has imposed compulsory power holiday for two to three days in a week. This is in addition to three hours of power cut on daily basis for the rest of the week days.”
The company representations to the Distribution Company to exempt it from compulsory power holiday citing the ceramics industry's need for continuous power, have not been successful.
Due to the precarious power supply situation, the distribution company was not in a position to exempt the company from power cuts.
Under the circumstances, the company management stated that it had no other option but to declare a layoff with effect from April 12.
Consequent to this layoff, the company stated that the workers were not allowing dispatches of existing stocks available in the company. Due to these developments, the company has temporarily declared lock out with effect from April 23.
The plant, with a capacity of 12,000 tonnes a year, is located in Medak district .
Comments
COMMENT NOW
Comments
Comments have to be in English, and in full sentences. They cannot be abusive or personal. Please abide by our community guidelines for posting your comments.
We have migrated to a new commenting platform. If you are already a registered user of TheHindu Businessline and logged in, you may continue to engage with our articles. If you do not have an account please register and login to post comments. Users can access their older comments by logging into their accounts on Vuukle.