PROBLEMS FACED BY MSMEs TO AVAIL COVID RELATED CONCESSIONS

Sri K B Arasappa, President & Office bearers: Sri N R Jagadish, Hon. Gen. Secretary, Sri P N Jaikumar, Joint Secretary-Urban and Sri Bhandary Udyawar Shrinath, Chairman, Energy Panel KASSIA, made a Courtesy  call on Sri M B Rajesh Gowda, IAS, MD BESCOM.

PROBLEMS FACED BY MSMEs TO AVAIL COVID RELATED CONCESSIONS
As part of measures to mitigate the impact of COVID 19 on MEMEs the State Government has ordered a waiver of fixed electricity charges for the months of April and May,2020 for the benefit of MSMEs.

However, it is found that BESCOM officials down the line have disregarded the clear instructions by only deferring fixed charges in many cases and also by reversing waiver wherever done resulting in complete confusion. The Government Order is very clear and wants to extend the facility to the entire MSME fraternity irrespective of whether MSME units operate from their own premises or rented sheds.

As this has created a lot of confusion in the MSMEs, Sri. Arasappa, President met Sri. MD Rajesh Gowda MD BESCOM to apprise him of the ground realities and the need for taking immediate corrective measures.

The KASSIA team had very useful discussions with the MD BESCOM and senior officers, including Finance Director, and were assured that BESCOM would take immediate steps by restoring the waiver of fixed charges through suitable deductions in the July bills to give effect to the 2 months waiver of fixed charges. The BESCOM also assured that they would accept GST certificates of MSMEs wherever rental agreements are yet to be renewed for availing the concessions also extending the same benefit to all cases where units have multiple workplaces. It was emphasized by KASSIA that 95% of MSMEs work from rented sheds. It is necessary to ensure that no one is excluded from availing the benefits on mere procedural grounds.

Later the KASSIA team met Sri. Maheswar Rao, Principal secretary Industries and commerce and apprised him of the present state of MSMEs in the state highlighting the need for ensuring that the industry gets access to Finance and other resources and also is facilitated to carry on with production in these extremely trying times. Sri Rao assured Governments full cooperation in response to KASSIAs requests.

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