Textile Industry Facing Electricity Supply Disconnections Owing To Differences With DISCOs

Textile industry facing electricity supply disconnections owing to differences with DISCOs

As the textile industry is facing power supply disconnections due to differences with respectivepower distribution companies (DISCOs) across the province,

LAHORE (Pakistan Point News / Online - 30th November, 2019) As the textile industry is facing power supply disconnections due to differences with respectivepower distribution companies (DISCOs) across the province, the All Pakistan Textile Mills Association (APTMA) leadership hascalled for re-connections of electricity supply to the textile mills at the committed tariff of 7.5 cents per kWh to the export-oriented industry.The leadership addressed a press conference at the APTMA Punjab office on Saturday.

Central Chairman APTMA DrAmanullah Kassim Machyara, Chairman APTMA Punjab Adil Bashir and Group Leader APTMA Gohar Ejaz spoke to themedia.Central Chairman APTMA Dr Amanullah Kassim Machiara said the industry was planning new investment despite theprevailing liquidity crunch due to stuck up refund claims. He said an increase in energy price after withdrawal of electricitysupply at flat rate of 7.5 cent has panicked the industry.Chairman APTMA Punjab Adil Bashir said the government should fulfill its commitment of providing regionally competitiveenergy, i.

e. electricity at 7.5 cent per kWh. He stated due to the government's commitment of providing 7.5 cents electricitytariff led to an increase in textile exports whereas the garment exports increased by 35 percent in the last four months.He said the government has imposed various surcharges after the withdrawal of zero-rating alongside GST and Income Tax.The industry has also been burdened with Quarterly Tariff Adjustments (QTA) besides introduction of the AdditionalDistribution Surcharge to the industry retrospectively from 1st of July. The export-oriented industry relying upon electricitysupply throughout Pakistan has been burdened with approximately 30 to 35 percent additional surcharges added to theelectricity bills retrospectively, he added.