India: Steel Mills in Punjab to Get Rebate on Power Tariff

The steel mills in Mandi Gobindgarh, Punjab - northern India, are to get relief during night hours power consumption.

As per conversation with sources, the steel mills in Mandi will get rebate of around INR 1.30/unit on power consumption from 10:00 PM to 6:00 AM, which is applicable from 1st Oct'19.

In general this relief has been provided by state Government during October to March period, which is continued this year too, as stated by sources.

The current industrial power tariff in Mandi is about INR 5.80/unit in which the mills will get rebate of around INR 1.30/unit during night hours power consumption.

Post the reduce night power charges, the average cost of furnaces (Ingot/Billet) manufacturers is likely to reduce by INR 700-900/MT in local market of Mandi Gobindgarh.

The fresh offers in Mandi is hovering at INR 28,900-29,000/MT for MS Ingot, INR 29,100-29,200/MT for Billet, INR 33,400-33,800/MT for 12-25 mm Rebar & INR 19,500/MT for HMS (80:20) scrap, ex-works.

Mandi is one of the major market in India in terms of medium/small scale industries. As per sources near to 200 steel mills are operational in Mandi which produces Semis & Finished steel products and supply largely to northern region including local market.