Technocraft Industries to close CPP permanently

This captive power plant was closed during the nationwide lockdown and had not re-started so far.

Aug 04, 2020 04:08 IST India Infoline News Service

Technocraft Industries
Mumbai based Technocraft Industries (India) Limited will close its captive power plant (CPP) permanently. The company had set up a CPP with a generation capacity of 15 MW in 2008. This CPP was closed during the nationwide lockdown and had not re-started so far.

“Considering the high per-unit cost of generation of power, availability of power from State Grid, withdrawal of benefit Income Tax Exemption of Profit of CPP under Section 80IA of the Income Tax due to the new tax regime which is more beneficial to the company on overall basis, the management has decided not to re-start the power plant which was already closed during lockdown,” company informed the exchanges Tuesday.

“The closure of CPP will not affect the operations of various manufacturing units as power is available from State Grid. We were generating the power for captive consumption only. The captive power plant is now proposed to be closed permanently and management will take appropriate steps for the permanent closure,” it added.

Technocraft Industries (India) Ltd traded at Rs232, down by Rs1.85 or 0.79% from its previous closing of Rs233.85 on the BSE.

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