Ludhiana’s Industrial Units Hit with Penalties Over Power Meter Shortage
Ludhiana’s industrial units are facing an unexpected financial burden after the Punjab State Power Corporation Limited (PSPCL) imposed hefty penalties for failing to install mandatory power quality meters. These meters, which are essential for monitoring harmonic distortions and ensuring compliance with power quality regulations, have been in short supply, causing frustration and resentment among local businesses.
As per the Punjab State Electricity Regulatory Commission (PSERC) Power Quality Regulations, 2023, industrial units with a load of 100 kW or more are required to install these meters. However, due to a nationwide shortage, many industrial units in Ludhiana have been unable to comply with the regulations. With only two suppliers providing the necessary meters, obtaining them has become a logistical challenge for the region’s power-intensive industries. As a result, nearly 1,800 industrial units have been penalised ₹80 per kW, which has been added to their electricity bills for the past eight months. The penalty applies to units that either failed to procure the meters independently or did not opt for the PSPCL’s rental scheme. The PSPCL had provided industrial units with two options: rent the meters from the corporation at a monthly fee or procure them independently, with a deadline set for March 15, 2024. However, the severe shortage of these meters made it impossible for many units to meet the deadline, leaving them subject to penalties.
Upkar Singh Ahuja, president of the Chamber of Industrial and Commercial Undertakings (CICU), has voiced strong criticism against the penalties, arguing that they are unfair, particularly to small and medium enterprises (SMEs). “It is unreasonable to penalise industrial units when the required meters are not available in the market. The burden should not fall on small-scale units. These rules should apply only to large industrial units consuming over 1,000 kW, as they contribute more to harmonic distortions,” Ahuja stated. He also urged PSPCL to provide relief measures and extend the deadline until the supply of meters stabilises. A PSPCL official confirmed that, out of the 2,000 industrial units in Ludhiana required to install power quality meters, only 210 opted to rent the meters from the PSPCL. The remaining 1,790 units either failed to respond or were unable to install the meters on their own, thus incurring penalties.
Despite the complaints, Jagdev Singh Hans, Chief Engineer of PSPCL’s Central Zone, defended the imposition of penalties, explaining that the corporation is following the PSERC’s guidelines. “Penalties have been imposed only on those units that failed to submit their response by the deadline,” Hans explained. He acknowledged, however, that the shortage of meters has complicated the process for both industrialists and the PSPCL, making it difficult for everyone to comply with the regulations. To address the situation, PSPCL has issued a procurement schedule for the meters. The first batch of 250 meters is expected to be delivered by May 15, with another 1,000 scheduled for delivery by August 15, at a rate of 250 meters per month. While this plan offers a glimmer of hope for businesses, many industrialists are calling for immediate relief to ease the financial strain caused by the penalties. As Ludhiana’s industrial community grapples with this issue, the shortage of power quality meters remains a significant hurdle. Small and medium-sized businesses, in particular, are struggling with the financial implications, while larger industries are calling for a more lenient approach to enforcement. The ongoing dialogue between PSPCL and local industrial associations will likely determine whether more immediate solutions can be found to resolve this challenging situation.