Date:09/12/2008 URL: http://www.thehindubusinessline.com/2008/12/09/stories/2008120951500200.htm

Back Electrical sector hails stimulus package

Our Bureau

Mumbai Dec. 8

The electrical industry has welcomed the Government’s announcement of a fiscal package of Rs 20,000 crore in additional expenditure and four percentage point excise duty cut across the board.

Mr V.V. Paranjape, President of Indian Electric Equipment Manufacturers Association (IEEMA), said there had been a long pending demand from the industry to reduce the earlier rate of excise duty on all products supplied to power generation, transmission and distribution projects, as these projects cater to major infrastructure development of the country.

The low interest bank lending to infrastructure projects through Rs 10,000-crore fund raised by IIFCL under PPP, would give a boost to infrastructure projects, leading to increased a demand for electrical equipment, he said.