CHENNAI: Tamil Nadu Small and Tiny Industries Association (TANSTIA) has extended support for the strike and hunger strike on September 25 called by the Tamil Nadu Industrial Electricity Consumers Federation seeking reduction of the demand charges and scrapping peak hour electricity charges for the MSME sector.
In a letter to the chief minister, TANSTIA president K Mariappan expressed his anguish over inaction on their pleas from August last year to roll back the electricity tariff hike for the MSMEs.
"We have pointed out to you in the presence of the Industries Minister, Electricity Minister, Tangedco CMD and other officials that the electricity charges hike has made the MSMEs in the state could not compete with their counterparts in other states.
"In the consultation meeting held on April 18, 2023, the MSME department secretary has given a written assurance that certain concessions would be given to the sector by the Tangedco. Even after five months, no action was taken on it by the Tangedco, " he said, recalling the association calling off their state-wide protests on September 20, 2022, and April 20, 2023, following assurances from the Ministers and officials.
"In Karnataka, the MSMEs are being charged a demand charge of Rs 275 per kilowatt while Tangedco charges Rs 550 per kW which is two times higher. Even though the peak hour charge was reduced by 10 per cent, it was not much and we demand complete scrapping of it. We also demand that MSMEs with a load of up to 12 kW should be charged under the LT Tariff category of 3A (Cottage and Micro Industries) instead of 3-B category as it will benefit lakhs of micro industries, " he said.