An industry that produces 60,000 bags of cement daily has given indefinite leave to over 300 workers.
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It has been a week since the Nepal Electricity Authority (NEA) cut off electricity to the Arghakhanchi Cement Industry, which has an investment of over eight billion rupees, citing non-payment of additional premium dues after consuming electricity through dedicated and trunk lines. The industry has been closed since Kartik 4 after the NEA cut off electricity.
Arghakhanchi Cement was producing more than 60,000 bags daily. According to the NEA, Arghakhanchi Cement will have to pay Rs 448.4 million in arrears.
The company, established in Bhairahawa, Rupandehi in 2071 BS, started producing OPC cement. The company has also been producing PPC cement since 2076 BS. Although the industry has a capacity to produce 3,500 metric tons of cement daily, the industry was operating at 65 percent capacity recently.
According to the company's head of administration, Ajay Bhattarai, the industry was closed after the NEA cut off the line for non-payment of arrears. 'The company had been paying regular electricity tariffs,' he said, 'but when the NEA showed that a large amount was due for the old trunk line, the company was closed after the line was cut off for non-payment of the same amount without providing the bill or proof of use by the industry.'
He said that after the company was closed, more than 300 workers working in the industry were laid off indefinitely. According to him, no decision has been made at this time as the industry is currently closed and whether it will operate or not will depend on the government's decision.
