Power cuts haunt industrial units in Bengaluru as infra yet to catch up

Despite repeated representations to various branches of the government, industrial area associations have been unable to ensure regular supply of power to the manufacturing units.
High Tension power lines
High Tension power lines

Karnataka has been one of the few Indian states to produce surplus power to meet its requirements this year, unlike several other states which are experiencing power supply issues due to the shortfall in the supply of coal. Ironically, this windfall is yet to benefit the crucial sector of small, medium, and large industries located around Bengaluru. The city is home to several industrial estates in Peenya, Kumbalgodu, Bidadi, Machohalli, and Dabaspet. With the exception of Peenya Industrial Area, and to a large extent, Machohalli Industrial Area, power supply to others has been erratic, and is frustrating industrial owners whose production and deadlines have taken a hit.

The Industries’ Associations are up in arms about what they say is a lackadaisical attitude about providing adequate power supply to these areas which house thousands of small, medium, and large manufacturing units. Things came to a head in the Kumbalgodu Industrial Area on May 12, when engineers at the Assistant Executive Engineer (AEE)’s office of Bangalore Electricity Supply Company Limited  (Bescom) office in Kengeri were embarrassed to see people conducting an ‘aarthi’ for failure to supply continuous electricity. “The government may say they have adequate power to meet the demand, but their power supply arrangement for industrial areas is terrible. We are tired of repeatedly approaching Bescom. There is an average of two to three hours of power cut in the  industrial areas. In Dabaspet, it can go up to four hours,” says Jacob Crasta, former President of Federation of Karnataka Chambers of Commerce and Industries (FKCCI).

It is only the Peenya Industrial Area, the oldest and the largest industrial area with around 5,000 industries, that has been spared from power cuts. On the other hand, further down from Peenya, on National Highway-48, is the  Dabaspet Industrial Area, home to around 600-700 small, medium, and large industry units. “Power cuts here range from two to four in a day. We have no indication about when power cuts might happen, so we are not able to schedule our work around it. We are suffering extensive losses because of this,” added Crasta. Many of the units in Dabaspet are additional manufacturing units of companies which are located in the Peenya Industrial Area.

Electricity infrastructure inadequate for needs

Srinath Bhandary, who handles energy issues for Karnataka Small Scale Industries Association (KASSIA), says the problem of electricity supply is perpetual. “The government keeps saying they have excess energy, but our problems remain the same. This is because the infrastructure required to supply power to these areas are still lacking. We have spoken to all wings in the Energy Department, and the response we receive is that it will take five to six months to sort it out. The existing lines are unable to carry the load required for these areas, and upgradation is required. If they are providing overhead cables then there is litigation, because some of the farmers object to pylons being installed in their fields. In other instances, Bescom says the expansion of the national highway (Bengaluru-Mysuru stretch) has hampered their work. They need to be more proactive because we are facing huge production losses,” Bhandary explains.

The lack of maintenance of transformers, which leads to power cuts, is also a source of frustration. According to Crasta, in its tariff filings with the Karnataka Electricity Regulatory Commission (KERC), the state sold its surplus energy at the Indian Energy Exchange for amounts as low as Rs 2.50 per unit. “Just imagine how we felt. They have excess power and are selling it at such low rates, while we are paying the industrial rate of roughly Rs 8 per unit on average. Yet, we do not even have adequate power supply to our units because we do not have the infrastructure leading to the industrial areas for uninterrupted power,” rues Crasta.

Post the very public protest at the AEE’s office at Kengeri, members of the Kumbalgodu Industrial Area - which has about 700 small, medium and large industries - have been talking to Bescom officials, but are more confused than ever. “The talks with Bescom officials for the past three years have revolved around augmenting the power supply by getting an underground cable line from Bidadi substation, and also getting Rs 45 crore sanctioned for the laying of the underground cables. Now, I suddenly see statements in the media by a senior Bescom official saying they will provide an overhead 220kv feeder line from Somanahalli substation to Kumbalgodu Industrial Area. There is no talk of the line coming from Bidadi substation. We do not know why they are changing their stance now,” says Kamlesh Mehta, General Secretary of Kumbalgodu Industries Association.

The preference is for underground cable as these require lower maintenance, and the switch to overhead cables is not something the Association is happy about. “We have been pursuing this issue with industrial bodies, government organisations and even Kaigarika Adalat (Industrial court), but all we get are assurances without action. Most of the time, the officials are busy blaming each other. This never-ending hassle has become so unviable for many units. We are using diesel for power to fulfil the order requirements for manufacturing and this has increased our expenses by about 20 times,” says Mehta.

In addition, manufacturing units are asked to cough up a one-time hefty security deposit for power which is charged per megawatt of the unit’s requirements. Such increasing expenses coupled with loss in production has now led to many units leaving the Kumbalgodu area and looking for greener pastures. Taking a strong stance, Mehta says that they will not pay the one time deposit unless their power supply woes are addressed.

Bescom claims these are “short-term” problems

Bescom officials, meanwhile, denied the allegations of long-term electricity woes, and maintained that the problems are only short-term due to unseasonal heavy rains during April and May. “It is only  because of heavy rains and winds that the power supply has been affected. Several wires have been damaged, and it is taking some time to restore the power supply to these areas. Otherwise, there is no problem with long term power outages,” insisted Bescom’s Chief Engineer Ramesh. Another senior official at Bescom claimed that power supply had been disrupted because they were not able to conduct any repairs on damaged lines due to continuous rains and Class 10 and II PUC exams. “We have to cut power to many areas when we need to conduct extensive repairs, but that has not been possible due to rains and exams as we refrain from troubling students with power cuts. It is also the first time that tree branches have also damaged our wires very badly,” the official said.

Minister for Large and Medium Industries Murugesh Nirani, who has received several representations from the Industrial Area associations, admits that he is familiar with the problems being faced with regard to power interruptions. “It is not just power supply, but there are other issues like poor roads and infrastructure in these areas. We recently released Rs 12 crore so these issues can be addressed in Peenya Industrial Area. We are trying to improve the overall infrastructure like power, roads, and water in these areas so such problems do not occur again. I am aware that at present, some units are paying Rs 10 per unit of power, and we are trying to create additional slabs so that this might reduce to Rs 4-5 per unit. These units are just getting back on their feet now and we are trying to ensure through various measures that they do not have to pay such restrictive rates as they are already burdened,” the minister said.

Even if the present power requirements are met, industrialists worry that the problem will be recurring in the foreseeable future. “Already the power infrastructure is 25 to 30 years old, and upgrading it will take time. Till then, we will be experiencing frequent power interruptions, which is unfortunate because we now have excess power, unlike earlier,” an owner of an industrial unit in Peenya says. “But their (Bescom) way of assessing the power requirement for the future is not very scientific. For instance, they upgraded the line from SRS Peenya to Byadarahalli from 28MW to 56MW in 2014. They told us that it would be sufficient for our needs for the next ten years. But power cuts started just three years later, which means their planning was poor. Even power supply to the Machohalli Industrial area was delayed by four years, and it is just about stable now. We have to keep chasing this issue constantly, otherwise it does not get resolved,” he adds.

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