[Ferro-Alloys.com]Revival operations underway after shutdown over power tariff Crisis-ridden ferroalloys industry in Andhra Pradesh has found a breather with the State Government coming to their rescue to reimburse Rs.1.50 towards every unit of power consumed by them with effect from April 1. Precarious financial health Even as preparations are underway to revive their operations after 30 of the total 35 ferroalloys units closed due to exorbitant power tariff, they have made a fervent appeal to Chief Minister N. Chandrababu Naidu to give Rs.1.50 discount instead of reimbursing it later considering their precarious financial health.

Deccan Ferroalloys, located at Kothavalasa, and Berry Alloys Ltd at Bobbili have already started operating one furnace each. Abhijeet Ferro Alloys, one of the largest units in the country located at AP Special Economic Zone, Atchutapuram, is keen on resuming operations once it sorts out certain issues with Eastern Power Distribution Company Ltd. “In view of severe erosion in working capital and banks’ refusal to lend loans on the basis of promise to reimburse almost one-third of power tariff, we appeal to the government to consider the deduction of the amount at the time of supply,” A.P. 

 

Ferro Alloys Producers’ Association vice-chairman P.S.R. Raju told The Hindu on Tuesday. On the direction of A.P. Electricity Regulatory Commission to the distribution companies, the industry was also granted duration of contracted demand (reduction of demand) without referring to pending bills. Chief Executive of Ferro Alloys Corporation Limited (FACOR), M.S.S. 

 

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