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Cement Industry hit by power cut

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Cement Industry hit by power cut
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March 24 : The Nigale Cement Factory in Dhankuta has been facing millions in losses due to the electricity shortage." A factory which had to run 24 hours operates only 10 hours a day due to the power outage," informs Dinesh Poudel , Executive Director the company.
 
According to him, losses due to power cut amounted to Rs 70 million last year and is likely to increase this year due to the Indian blockade." There is no alternative other than shutting down the factory," says Poudel.

As the factory provides its services in rural areas, Poudel said that the company will have to operate bearing losses until government provides tax exemptions and ensures easy accessibility of fuel and electricity. "We have been trying to run the factory with generator backup during the power cut, but the lack of fuel creates the trouble again," he says.

The factory has been producing only 3,000 sacks of cement to the daily capacity of 6,000 sacks due to the ongoing problem. According to Poudel, this pliable situation has created difficulties to pay salaries to the workers of the factory. The industry, which has largest investment in eastern hilly region, has been producing affodable cement in the region . Established in 2008, the investment by Machhapuchhre Bank, Citizens Bank, Prime Bank and Tayal group into the factory has totaled Rs 1.25 billion. 

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