Revival of ferro alloy units may cost Andhra Pradesh Rs 1,000 crore
AP govt has constituted a Cabinet sub-committee to look onto their issues
Hyderabad: The AP government is seriously considering the demands of ferro alloys and textile industries, which would cost it about Rs 1,000 crore.
There are 150 ferro alloys industries and all of them are closed due to financial crisis. The Ferro Alloys Industries Association has submitted a charter of demands to the state government to help them revive. The AP government has constituted a Cabinet sub-committee to look onto their issues.
The AP energy department charges Rs 4.80 from some industries and Rs 5.30 per unit from others. The FAIA is demanding power at an average of Rs 2.16 per unit. The association noted that ferro alloys’ power consumption is more compared to other industries, and asked the government to reduce power charges to the sector. Officials told the minister that the government would lose Rs 656 crore if the demands are accepted.
The textile industry, which has 105 units, is demanding that the government provide concessions. They told the government that their industry has created direct employment to 40,000 people and indirect employment to lakhs of others.
