MSEDCL should release power incentives to industries in Vid, Marathwada: VIA

 

 

 

In a letter sent to Nitin Raut, Maharashtra Energy Minister recently, VIA has demanded to continue the power subsidy scheme to Vidarbha, Marathwada and D and D+ areas of Maharashtra. It was observed that MSEDCL had not given Vidarbha and Marathwada regions the incentive scheme benefit in the electricity bills from the month of December, 2021 till date. The industrial consumers in Vidarbha region have been promised total Rs 1,200 crore subsidy by the State Government to provide the incentives upto the year 2024. It is pertinent to note that already the subsidy is running 3 months behind, resulting in huge increase in working capital and big financial burden on the industries. VIA has brought to notice that Vidarbha and Marathwada incentive scheme was declared on June 29, 2016 and was applicable for 3 years and was further extended for 4 years vide GR of 8/3/2019 applicable upto March 31, 2024. It was after this scheme which was applicable for 4 years, new industries came in Vidarbha and Marathwada regions and the existing industries expanded their production capacity. Looking at the incentives announced by the Government, major industries of Vidarbha and Marathwada region have invested and started their operations.

 

VIA mentioned that the intermittent stoppage of providing the energy incentives is affecting the working capital and profitability of the industries and they are facing losses since they sold their material based on the manufacturing cost considering the incentives. In the letter, VIA has urged Nitin Raut, Maharashtra Energy Minister to issue the directives to the MSEDCL to release the incentives which was promised by the Government and ensure that the bills issued already be reissued along with the incentive scheme amount for the 3 months backlog amount immediately so that the idea behind the implementation of the incentive remains intact. The letter has also been forwarded to Dinesh Waghmare (IAS), Principal Secretary (Energy) and Vijay Singhal (IAS), CMD, MSEDCL, informs a press release issued by VIA.