NETA seeks CM’s intervention on proposed power tariff hike

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GUWAHATI: The North Eastern Tea Association (NETA) has sought the intervention of the Assam chief minister in regard to the proposed hike in electricity tariff on fixed and energy charge by Assam Power Distribution Company Limited (APDCL).

The APDCL, vide an advertisement dated December 27, 2019, proposed to hike electricity tariff on fixed charge and energy charge in all categories in the financial year 2020-2021.

In the tea category, the power company has proposed to increase fixed charge from Rs 250 to Rs 320, a hike of 28 per cent and energy charge from Rs 7.15 per unit to Rs 8.75 per unit, a hike of 22.3 per cent.

“The Assam tea industry is already under threat owing to the adverse market scenario prevailing in the past few years. Such a steep hike in fixed and energy charge on electricity consumption will be detrimental for the industry, which is already under tremendous strain owing to hike in input costs and low realisation of tea prices,” NETA adviser, Bidyananda Barkakoty, said in a statement issued on Monday.

There is a separate category for tea, coffee and rubber, and power tariff under this category is second highest after oil and coal sectors.

“We understand the need for power tariff hike. But the hike should be as per cost inflation on all commodities otherwise such it will further hit the ailing tea industry of Assam. We request the intervention of chief minister of Assam in this regard,” Barkakoty said.

NETA is an association of tea producers headquartered at Golaghat in Upper Assam.

“Tea industry is agriculture based and provides employment to a large chunk of rural population in Assam. Therefore, the need of the hour is to support this industry,” he said.

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