Baddi industries opt for power generation to boost production

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Chandigarh: Industrialists in Baddi, Barotiwala and Nalagarh region have been successful in saving power and cut down production losses by adopting a unique model of power generation in collaboration with the Himachal Pradesh State Electricity Board (HPSEB).

Under the public private partnership (PPP) model, various industrial houses having gensets of over 1 mw capacity have been generating power since September and ultimately will be paid by the state government for it.

Industries, which are having standby captive generation have saved power from their quota for supply to other industries not having standby generation.

The generation done by generators has been considered as electricity supplied to HPSEB.

The industries will be compensated at an average cost of generation of Rs 9 per unit for diesel genset and Rs 8 per unit for furnace oil genset.

The scheme was floated to tackle the grim power situation in the Baddi industrial belt due to burning of an 80 mw transformer at Baddi in September.

In the absence of any such measure, power cuts would have continued for another three months with industries suffering huge production losses.

“About seven-eight major industrial houses adopted this scheme and have helped in reducing the compulsory three day off due to power cuts to one day in a week. As a result, about 40-45 mw power out of the total shortfall of 50-55 mw was generated, hence reducing the gap to 10-15 mw only. About 40 mw of power could be saved and diverted to other channels. The increased cost of generation, however, has been divided amongst the companies,” Rajendra Guleria, president, Baddi Barotiwala Nalagarh Industries Association (BBNIA) told FE.

“The industries are expected to self-generate power till mid-December as the new transformer is expected to be installed by then. Out of the 80 mw supply, industries have been able to generate 40 mw,” he added.

While HPSEB sold the additional power saved out side the state, the additional revenue generated will be used for paying out to the generators.