The Government of Tamil Nadu on Saturday announced a subsidy of ₹2 per unit of electricity for restaurants, restaurantsand tea shops that switch from commercial LPG cylinders to induction stoves.
Chief Minister M K Stalin has been reviewing the situation since the West Asia conflict began on February 28, which has led to a shortage of commercial LPG cylinders used by eateries, the government said.
At a review meeting held on Saturday, it was decided that eateries using induction stoves, including hotels, tea shops and cloud kitchens, would receive the subsidy for the additional electricity they consume.
Additional Chief Secretary J Radhakrishnan said the subsidy would remain in force as long as restrictions on commercial LPG usage announced by the Government of India remain in place.
Briefing reporters in Chennai, he said electricity demand from eateries has risen in recent days, pushing consumption about 50 MW above the average.
Radhakrishnan, who is also Chairman and Managing Director of the Tamil Nadu Power Distribution Corporation Limited, said 60,698 factories operating in the state with consent from the Tamil Nadu Pollution Control Board would no longer need additional certificates to use alternative fuels such as kerosene. They would only have to inform the board about the change, he added.
He also said the Centre has prioritised commercial LPG supplies to hospitals and educational institutions. To ensure orderly distribution, a state-level committee led by the Chief Secretary has been formed to monitor allocation of cylinders to commercial establishments.
District-level committees headed by district collectors and officials from oil marketing companies will oversee the situation locally.
To help MSMEs cope with the shortage, the government will provide loans to purchase electric equipment such as induction stoves and heaters under the Unemployed Youth Employment Generation Programme.
Under the scheme, a 25 per cent subsidy of up to ₹3.75 lakh will be provided. Women entrepreneurs will receive a similar 25 per cent subsidy of up to ₹2 lakh for loans up to ₹10 lakh under the Tamil Nadu Women Entrepreneurs Development Scheme.
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