IEEMA: Investment in infrastructure, railway and DISCOMs will boost electrical equipment industry

The emphasis of the Government to make the Indian manufacturing sector cost competitive depends hugely on costs of electricity, which the Government is looking to address through competitiveness.

Indian Electrical and Electronics Manufacturers Association (IEEMA) today welcomed the Union Budget announced by the Hon’ble Union Finance Minister Smt. Nirmala Sitharaman, as a balanced budget. It focused on India’s infrastructure boost and also emphasised on steps that the government will take to strengthen the Discoms.

In the extremely trying circumstances of Pandemic and lockdown, with significant contraction in the Indian economy as also in the Global economy, the Government has presented the Union budget, keenly balancing its outlay between social, infrastructure and industrial sector. The Finance Minister had an onerous task to kick start the economy and her emphasis on infrastructure spend reflects the classical Keynesian model.

Reacting on the budget Mr. Anil Saboo, President – IEEMA, said, “A figure of Rs. 3.05 Lakh Crore will be invested in Discoms for improvement of feeder separation, prepaid Smart Metering and upgradation of systems. This investment will improve the functioning of Discoms and help in improving their health and viability.”

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Mr. Yogendra Agarwal, Chairman, Economic & Taxation Committee – IEEMA stated, “The Budget 2021 carries forward the Government’s endeavour to simplify taxation, make tax structure in line with spirit of AatmNirbhar Bharat and exhibits increased confidence in honest taxpayers.”

Mr. Sunil Misra, Director General – IEEMA cited, “Giving consumer the choice of more than one Discom will set into motion competition amongst monopolistic companies, which will boost efficiency and accountability. This will be good for their own health also.”