Textile industry in India's Tamil Nadu embraces solar energy

The power-intensive textile industry in Tamil Nadu is adopting renewable energy, which can provide relief from substantial electricity bills and develop as an additional revenue source. The state boasts nearly 6,000 MW of installed solar energy capacity, with about 1,000 MW being added annually, as industries, including textile units, are drawn to this sustainable electricity source. 

An energy consultant noted that solar energy is more cost-effective for industries than grid power. Industries face a significant one-time investment in solar energy infrastructure, but the recurring maintenance costs are minimal. Consequently, the interest servicing charges on the investment, coupled with nominal maintenance costs, render solar energy economically efficient. 

This affordability is why industries are annually adding 1,000 MW of solar energy capacity. Beyond solar, many are also investing in wind energy, providing not only a cheaper energy source but also more reliable supplies compared to grid power disruptions. 

It's crucial to recognise that the spinning and weaving processes in the textile value chain are extremely power-hungry. Power consumption costs form a substantial portion of the total production cost. The recent pressure of sluggish demand has prompted the textile industry to seek cheaper energy options to reduce production costs. 

However, industries in Tamil Nadu face the challenge of higher networking charges imposed by the Tamil Nadu Generation and Distribution Corporation (Tangedco). Tangedco levies ₹1 per unit from high tension (HT) consumers and ₹1.53 per unit for low tension industrial consumers. Following strong protests from micro, small, and medium enterprises (MSMEs), the state government recently halved these charges. Nevertheless, the networking charges remain unchanged for HT consumers at ₹1 per unit. These charges are applied for transmitting purchased electricity from industries, and there is a sentiment within the industry that such charges are discouraging. 

ALCHEMPro News Desk (KUL)