Electricity Woes

       In the era of stiff competition, survival will be, which will produce not only products at less price but which will be better from competitors, so industrialists often look for innovative way to reduce their input costs, despite they are helpless to do anything which comes under the ambit of government and increasing their product cost, other then protest, pressure and reminder to the government with facts and data, sometimes they are able to convince the government and successful to bend the government to accept their demands, but if government shows rigidness in accepting their demands, then certainly in the environment of competition, looser will be government exchequer.
      From past few years Punjab was under swear shortage of power crises or there was huge gap between demand and supply, but after 15th April ,2010 Punjab Government unbundled state electricity board into two corporation and after corporation improvement has seen in electricity, but still miles to go by corporation to give uninterrupted power supply to customers in all the conditions whether swear heat or shortfall of rain, which from years now it has become dream of Punjab government, electricity board and customers, despite all the problems and shortages of power, government never let any opportunity escape from their hands to generate revenue by increasing tax or tariffs, until first four years of their governance but the moment when they entered last year of their rule then they open populist schemes in anticipation of next term in office.
      In this year’s budget of Punjab Government Finance minister Mr. Manpreet Singh Badal, increase duty on electricity from ten percent to thirteen percent, along with it consumers have to bear octroi of ten paisa per unit, which reaches at seventy paisa per unit additional cost of electricity. Although both categories of consumers domestic and industrial, its additional burden but for industrial consumers its hard to swallow the increase of input cost as they have to sell their products in the market which is possible only with cost effectiveness. Below is self explanatory chart, how much electricity duty/octroi is consumer absorbing on to per unit of different states -

• Gujarat – 73 Paisey
• Punjab – 70 Paisey
• Rajasthan – 40 Paisey
• Himachal Pradesh – 33 paisey
• Maharashtra – 28 Paisey
• Uttrakhand – 25 Paisey
• Delhi – 22 Paisey
• Karnataka – 22 Paisey
• Madhya Pradesh – 17 Paisey
• Haryana – 15 Paisey
• Utter Pradesh – 09 Paisey

above chart shows that Punjab is second most highest state as far electricity duty/octroi is concern after Gujarat state, but as per news its not pinch to Gujarat state residents as they are getting twenty four hours power but as far Punjab state is concern uninterrupted power is a dream for Punjab Government, electricity board and consumers for years now, then why electricity duty/octroi is so high even finance minister of Punjab has no answer.
     In today’s environment electricity become necessity as in modern age not only business, industries are depend on electricity but domestic appliance needs power to run, without it one cannot imagine life without power, so government should consider the demand of industrialists seriously because electricity duty/octroi is increasing their product cost and making their existence tough.