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Anis Ahmed Sheikh, President of Multan Chamber of Commerce & Industry (MCCI), has expressed serious concern over the announcement of a six to eight hours mandatory electricity load shedding by Pakistan Electric Power Company (Pepco) for industry which would badly hit the textile industry.
A press statement issued on Saturday said that there was no cogent reason for suspending electricity supply on daily basis, especially when no increase in summer load factor has taken place. Even though the electricity generation capacity of Pepco has been ensured, it is yet to rescind its announced load shedding programme.
He said that textile industry, assured to be exempted from load shedding, will have to face load shedding for eight hours daily. He said that Pakistan Electric Power Company (Pepco) has informed the industry that the exemption is being suspended for the time being due to rising demand with the increase in temperature. Pepco would have a load shedding schedule of eight hours, starting from 8:00 pm to 4:00 am daily for industrial consumers. It may be noted that Pepco was already managing burden by observing six hours load shedding for domestic consumers.
Furthermore, he said, the Indus River System Authority (Irsa) has not released water in dams in full capacity yet, which is also hampering the hydel power generation. However, he added that the hydel power generation will be improved substantially after May 19, and exemption must again be extended to the industry afterwards.
It may be noted that electricity was over 30 percent of the conversion cost in spinning sector industry and it has already crossed 40 percent of the conversion cost for organised weaving sector. Already, about 30 percent of the textile industry has been closed due to power crisis and consumption of electricity on B-3 connections has reduced to about 100 units presently from over 800 units in late 2007.
MCCI has already demanded of the government full time availability of electricity, competitive rates in line with regional competitors and freezing of power tariff for textile value-added chain for two years besides introduction of special textile tariff in the upcoming budget for the fiscal uear 2009-10.
MCCI has shown serious concern on the move of National Electric Power Regulatory Authority (Nepra) to allow the power distribution companies (discos) to raise tariff by 86 paisa perunit across the board. Anis said that this increase of power tariff by 86 paisa per unit will add to the misery of the people already overburdened by escalating price hike.
Pepco officials, when contacted, said that exemption to the industry is being withdrawn due to rising demand of electricity with the increase in temperature. The mercury has been rising continuously over the last few days, which has increased the use of air-conditioners in general as well.
Pepco is constantly taking steps to manage the electricity shortfall, which remained 1,249 MW on May 16, for which load management was carried out. The electricity demand went up to 13,064 MW against 4,470 MW during the corresponding period last year. Meanwhile, some press reports have suggested that electricity shortfall has touched the figure of 2,500 MW and load management for nine hours is being carried out at present.

Copyright Business Recorder, 2009

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