NEW DELHI: Tamil Nadu chief minister MK Stalin on Saturday announced a subsidy of Rs 2 per unit on additional electricity consumption for restaurants, tea shops, cloud kitchens and other food production units that switch from LPG to electric stoves, as the state government moves to address a fuel shortage linked to tensions in the Gulf region.The decision was taken at a review meeting chaired by Stalin at the Secretariat to assess the impact of LPG shortages on industries and the food sector and ensure their operations continue smoothly.Chairman and Managing Director of Tamil Nadu Power Generation and Distribution Corporation, J Radhakrishnan, said the disruption began after the United States and Israel launched a joint military attack on Iran on February 28, following which Tehran blocked ships passing through the Strait of Hormuz.
Israel Iran War
He said the move affected the supply of crude oil and LPG from the Gulf region to India.Under the new measure, eateries that shift to electric cooking will receive the subsidy for the additional electricity consumed during the period when commercial LPG usage restrictions imposed by the central government remain in force.To support micro, small and medium enterprises, the state government will also provide subsidised loans for purchasing electric equipment such as stoves and heaters. Under the Unemployed Youth Employment Generation Programme, eligible entrepreneurs can avail of a 25 percent subsidy up to ₹3.75 lakh. The Tamil Nadu Women Entrepreneurship Development Scheme will provide a 25 percent subsidy capped at ₹2 lakh for loans up to ₹10 lakh to support women-led businesses.For SC and ST entrepreneurs, the Annai Ambedkar Business Champions Scheme will offer a higher capital subsidy of 35 percent, up to ₹1 crore, to promote the adoption of high efficiency electric machinery.The government also allowed industries to temporarily switch to alternative fuels such as kerosene, RDF, HSD and biomass instead of LPG and CNG. These units will not need fresh consent approvals from the Tamil Nadu Pollution Control Board and will only have to inform the authorities in advance. The relaxation will remain in place during the period of LPG and CNG restrictions.Across Tamil Nadu, about 60,698 factories operate with permission from the pollution control board using fuels such as LPG, CNG, diesel, furnace oil and firewood.The state also said Aavin cooperative societies will procure excess milk produced by farmers without restrictions. Tamil Nadu has 9,300 primary milk producers’ cooperative societies capable of handling around 55 lakh litres of milk per day.Farmers will also be allowed to sell vegetables and fruits freely in 194 Uzhavar Sandhais, or farmers’ markets, across the state to ensure their livelihoods are not affected if restaurants reduce operations due to the LPG shortage.To monitor LPG allocation to commercial establishments, the government will form a state level monitoring committee under the Chief Secretary along with district level committees headed by district collectors and officials from oil distribution companies.The state has also supplied an additional 3,228 kilolitres of kerosene this month to ration card holders through the Public Distribution System.A state government oil companies coordinator said fuel stocks remain adequate and urged people not to panic.”Petrol and diesel stocks are sufficient for one month, and further arrangements will also be made. There is no need for the public to panic. Due to rumours, petrol and diesel sales have doubled. Gas cylinders are normally supplied in urban areas once every 25 days, and there is sufficient stock for up to one month. LPG supplies will be prioritized for hospitals, schools, and college hostels,” he said.The chief minister had earlier chaired a review meeting on March 10 regarding the LPG shortage and directed departments to take measures to address the restrictions.Subsequently, the state food and civil supplies minister met industry representatives and hotel and restaurant associations on March 11 to discuss their concerns, while the chief secretary held review meetings on March 9, 12 and 13 with officials from relevant departments.
