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Indal workers reiterate demand for reopening of smelter unit

By Our Staff Reporter

KOCHI, MARCH 2. Workers of Indal, under the aegis of the Save Indal Samyukta Prakshobha Samithy, today picketed the company office in protest against the management's failure in reopening the smelter unit despite a directive from the Kerala State Electricity Regulatory Commission allowing the company to draw electricity from the Power Trading Corporation (PTC).

Inaugurating the picketing, K. Babu, MLA, said that the directive from the regulatory commission to allow Indal access to electricity from the PTC had provided an opportunity to reopen the smelter unit.

Mr. Babu said that the company management had not taken necessary steps even after getting an order from the commission. Sebastian Paul, former MP, and K. Chandran Pillai, Rajya Sabha member, addressed the workers.

As per the Regulatory Commission's order, Indal will have to pay 42.5 paise as wheeling charges per unit of power from the PTC. Of this, 25 paise was surcharge and 10 paisa cross subsidy.

Given that the Indal had negotiated with the PTC for obtaining power at the rate of Rs. 2.50 per unit, the delivered price of the PTC power for Indal would be Rs. 2.925. The smelter unit was closed on August 1.

The company management had told the trade unions that at this rate the smelter unit could not be run profitably. The management was also of the view that no other State incorporated surcharge and cross subsidy into wheeling charges.

Trade union leaders at the aluminium company had reiterated their view that the management should reopen the smelter unit of the company before the unions could lobby with the Kerala State Electricity Board to reduce wheeling charges on the power that might be bought by the Indal from the PTC.

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