MSMEs in Madhya Pradesh upset over govt’s decision to reduce supply limit of contractual power

Indore, Aug 16 (KNN) The micro, small and medium enterprises (MSMEs) in Madhya Pradesh are upset over government’s decision to reduce supply limit of contractual power demand by five horse power.

The Association of Industries of Madhya Pradesh (AIMP) said the reduction in supply limit has hiked 43 per cent extra financial load on power expenditure of the units.

“Contractual demand means a slab for allowing power at concessional power tariff. The move is adversely affecting over 48,000 micro and small units of the state, out of which more than 15,000 are located in Indore, Dewas and Pithampur region alone. All the power distribution companies (Discom) of the state have reduced contractual demand of power from 25 HP declared for tariff order of 2016-17 to 20 HP for tariff order of 2017-18,” according to a media report President of AIMP, OP Dhoot said.

Dhoot said, “This reduction of 5 HP has terminated 30 per cent tariff exemption and subsequently, hiked power tariff by 43 per cent on micro and small units.”

He said “For its compliance, minimum charge units billing should be terminated for the minimum load consumers having connection up to 150 HP. Power tariff charge should also be rationalised like that of maximum load consumers.”