In a statement issued here on Friday, Akber Sheikh stated that the PEPCO should establish a mechanism for micro-management of load-shedding issues in consultation with industry on a continual basis. PEPCO, he stated that had not updated and taken the industry into confidence as to the necessity and schedule of the present load-shedding. Keeping the industry in dark has deprived it of predictability that was vital for proper industrial and commercial operations. Akber Sheikh urged for putting in place a well-coordinated mechanism for electricity load-shedding.
Akber Sheikh said that in the immediate aftermath of the severe energy crisis when the industry was expecting relief on the inordinately high power cost, more than 20 per cent tariff hike had come as a bolt from the blue and now once again heavy load shedding had put the textile industry in deep waters.
In the present scenario the textile industry would not be able to survive. Already a good proportion of it had closed down. PEPCO had assured APTMA that load shedding would end by 23rd March however it continues to-date with no end in sight.
The textile industry has to operate at par with regional competitors and on the other it has to bear the high cost of doing business mainly on account of high power cost. Added to the above plight, the severe load shedding had broken the back of the crisis hit textile sector. If the load-shedding were to continue even further, the proportion of sick units would rise above the present 20 to 30 per cent level.
Electricity non-supply has raised serious questions about the viability of the textile industry. Already operating under constraint due to short cotton crop, high mark up charges, increasing labour rates and high petroleum prices, the Textile Sector representing 60% of the nation’s exports and 40 per cent of employment in the manufacturing sector cannot withstand further load on it.
The affected industrial units being export oriented were unable to meet their export commitments on account of production stoppages due to non-availability of energy. Millions of jobs of labourers are at stake.
Textile sector is already suffering losses of millions of rupees due to sudden rise in the input costs.
Energy supply and economic growth were inextricably linked. Inordinately long hours of electricity supply suspension had slowed down the pace of industrial growth in the country.