Shocked by Odisha government’s decision to hike duty on captive power by 83 per cent, from Rs 30- Rs 55, industries are hoping to convince the government to reconsider the move.
Such a decision, by a government trying to rebuild its image as investment friendly one, is both short-sighted and inconsiderate. Odisha-based industries will be taking this up with the Naveen Patnaikâ€™s government through the associations representing them such as the Confederation of India Industries and the Aluminium Association of India.
It is a blow of Rs 160 crore a year, adding Rs 3750 to our cost of per tonne aluminium in one go,â€ TK Chand, CMD, NALCO told ET. The move will impact Tata Steel, VISA, Jindal Stainless, Hindalco among many others. Last week Naveen Jindal also raised the issue with Chief Secretary, Aditya P Padhi.
Jindal Steel and power is about to commission our blast furnace at Angul taking capacity from 2mt to 6mtpa. I have asked the state to consider withdrawing this decision which would affect investors like us, Jindal told the media.