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Govt. Has Been Sleeping Over Power Issue, Feels Industry

  • The industry has blamed the State Government for sleeping over the issue of power for the last three years, which has ultimately led to the severe crisis for small and tiny industrial sector. It has held the government responsible for production losses.“Lack of planning and inability of the government in handling the increasing power demand-supply gap for the last three years speaks volumes for itself. It has been neglecting the issue without looking for remedial measures”, chairman of Industrial Development Committee of the Federation of Andhra Pradesh Chambers of Commerce and Industry (FAPCCI) Ch. M. Sreerama Murthy said.

  • The fact that the Major Industries Minister J. Geetha Reddy called for a meeting with industry bodies only after the industry delegation called on the Chief Minister to explain their woes, speaks volumes of the Government’s neglect, a functionary of the Confederation of India Industry (CII) said.With erratic power supply totalling to more than 15 days’ production loss a month the crisis is heading to industrial sickness. Lay-offs are looming large, particularly over small scale and tiny industries as power cuts have been slapped on them from as early as September 2011 itself.“The impact of power cuts on small and tiny industries has been worse. Cut in production has dwindled our work orders and turnover and the resultant cut in bank (credit) limits has a telling effect on our working capital needs”, another functionary of the Federation of Andhra Pradesh Chambers of Commerce and Industry (FAPCCI) said.

  • Loss in production due to power cuts has affected small units’ ability to repay loan instalments, forcing them to turn “sick”. The small and tiny industrial units are the main stay of the industrial sector in the State given the fact that it generates 90 per cent employment ( of entire industrial sector), 80 pc revenue, accounts for 60 pc of Gross State Domestic Product (GSDP) and 40 pc exports.“The fourth priority given for power supply to small and tiny industries after agriculture, domestic and commercial by the government speaks for itself”, president of the Federation of Andhra Pradesh Small Industries Association (FAPSIA) A.P.K. Reddy said.

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