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Tamil Nadu
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Chennai
Ramadoss’ allegation baseless: Veeraswami
Special Correspondent
CHENNAI: Electricity Minister Arcot N. Veeraswami on Sunday said there was no truth in PMK leader S. Ramadoss’ allegation that the government had agreed to give a subsidy of Rs. 1,440 crore per year to industries to produce electricity through Captive Power Plants (CPPs).
In a statement here, Mr. Veeraswami said the government had asked the industrial units to produce electricity through CPPs so that the 1000 MW supplied to the industries between 6 pm and 10 pm could be diverted for the consumption of farmers, houses, huts, shops and street lights.
He explained that the industrial units with CPPs would bear Rs 4.40 per unit while the government would contribute Rs 6.60.
The total cost per unit has been calculated to be Rs. 11. As for the industrial units without CPPs, they should pay 70 paise as surcharge per unit to the electricity board.
“The government has agreed to pay only Rs. 50 crore as subsidy,” he added.
Dr. Ramadoss had wanted to know the basis for calculating the money to be shared by the government and the industrial units.
“Was it calculated on the basis of Rs. 47 per litre diesel or the future price of Rs. 37 per litre,” he asked.
He said the present calculations would cost the government around Rs. 4 crore per day.
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