Trichy, July 21 (KNN) Micro, Small and Medium Enterprises (MSMEs) of Tiruchirappalli have objected to increasing power tariff from September announced by the State government.

The decision has been condemned by the Tiruchirappalli district tiny & small-scale industries (TIDITSSIA).

Members of the association have urged the Tamil Nadu government to roll back the proposed tariff hike as MSMEs are yet to recover from the pandemic-induced slowdown and subsequent decrease in job orders.

Highlighting the plight of MSMEs, P Rajappa, President of TIDITSSIA said, “Rented space are occupied by majority of the MSMEs, the recent hike in the property tax by the urban local bodies has made the building owners to increase the rent.”

“Now the hike in electricity tariff has come as a shock to many MSMEs unit owners,” he added.

Expressing their concerns, unit owners have said that the future looks bleak for MSMEs as the prices of raw materials, including steel, have witnessed a several-fold increase in the past year.

They are already finding it difficult to break even, said the association chief.

Once the revision comes into effect MSME units will have to pay Rs 10 per unit of electricity which is Rs 2 higher from the current Rs 8 per unit of power consumption.

The hike in power tariff would also increase the overall operational cost of the small-scale engineering units and MSMEs engaged in energy-intensive works like welding, fabrication and other engineering works.  (KNN Bureau)