The Induction Furnaces Association of North India (IFANI) has objected to the proposed power tariff hike plans of the Punjab State Electricity Regulatory Commission (PSERC). Underlying the importance of power to the sector,K K Garg,president of the association,said electricity is one of the major inputs for steel production through the Induction Melting Furnace process and accounted for 70 per cent of the cost of conversion of induction furnaces. There are 200 induction furnaces in Punjab and these meet about 75 per cent of the steel demand of the small and medium enterprises (SME) sector,he added. With the Punjab electricity body reportedly planning a 12 per cent tariff hike,Garg accused the PSERC of meting out step-motherly treatment to the industry. It is now a general view of all the industries that PSERC has become an extension of the Punjab State Power Corporation Limited (PSPCL),he added. The Mandi Gobindgarh Induction Furnace Association has filed a petition before PSERC in this regard and has urged the power body to implement tariff from the announcement date or make it annual basic (total balance amount be adjusted in increased rate instead of charging retrospectively). The hearing of this case was on June 26 but it is still pending with the PSERC. Now without deciding our case PSERC is going to announce the rates retrospectively,this is not justified,argued the members.
