60,000 MSME units in City, nearby dists down shutters

CHENNAI: As many as 60,000 manufacturing units remained closed in Chennai and adjoining districts of Tiruvallur, Kancheepuram, Chengalpattu, Ranipet and Vellore in protest against the steep hike in the electricity tariff and seeking reduction of the fixed charges and waiver of peak hour charges.

Members of the Tamil Nadu Small and Tiny Industries Association (TANSTIA) staged a protest at Thiru Vi Ka Industrial Estate in Guindy over a steep hike in the electricity tariff.

TANSTIA Vice President Vasu Devan said that the fixed charges have gone up by 430 per cent for the LT industry consumers. "With such a steep hike, we cannot run our businesses, which are already under poor order flows and high raw material prices, " he said.

The associations also seek a reduction in demand charges for HT consumers that have been raised to Rs 562/KVA from the previous Rs 350/KVA.

Other demands include the removal of peak-hour charges for low-tension connections. A cap on yearly tariff increases and the removal of solar networking charges are also sought.

K. Baskaran, secretary of the Kakkalur Industrial Estate Manufacturers Association, said that all the 300 units in their industrial estate remained closed on Monday.

"The steep increase in the fixed charges is affecting us severely, " he said, adding that the government should consider their demands to reduce the fixed charges and also concede other demands.