Patna, March 14: The month-long deadlock between the departments of industries and energy over the withdrawal of exemption on power tariff has ended.
The Bihar State Power (Holding) Company Limited has suspended its earlier order and restored the exemption given to industries under the AMG (Annual Minimum Guarantee) and MMG (Monthly Minimum Guarantee) schemes.
A letter (a copy of which is with The Telegraph) on this was sent by the company to general managers in charge of its seven supply areas on March 11.
The Telegraph had reported last month how the concessions granted under the Industrial Policy of 2011 had been suspended on the ground that the industries department owed it Rs 60 crore. The abrupt move was heavily criticised by industrialists. The industries department approached the chief secretary for a resolution.
“A meeting was held on March 6 between officials of the company and the chief secretary. The company was directed to continue with the exemptions given to entrepreneurs. The industries department has assured the company it would pay up the outstanding amount of Rs 60 crore against the concessions granted. The exemption comes under the industrial policy and should not be stopped. After a consensus was reached, the company sent a letter to its officials on March 11,” an industry department official told The Telegraph.
Shailesh Thakur, the director of industries and also director (technical) in the industries department, said they were successful in restoring confidence and hope among entrepreneurs.
“The department is doing its bit towards arrangement of funds after making some adjustments. But this issue is between two departments, which will be solved very soon. Withdrawal of something which is an important part of the Industrial Incentive Policy was not right,” Thakur said.
Industrialists are relieved by the decision. P.K Agarwal, the president of the Bihar Chamber of Commerce and Industries, said they had been in talks with the government for restoration of the incentive.