Do you think the power tariff should not be raised?
Raising power tariffs has proven to be detrimental to the livelihood of workers in small industries. The Siricilla Tragedy in Andhra Pradesh serves as a grim example, where steep hikes in tariff and the withdrawal of subsidised rates led to a severe crisis.
The increase in power costs, coupled with power cuts, directly impacted the powerloom textile industry. Since the wages of weavers were linked to production, these reforms resulted in wage cuts and financial instability, eventually driving workers to commit suicide.
Therefore, raising power tariffs without adequate safeguards is not advisable. It imposes a heavy burden on the working class and can lead to tragic consequences for those engaged in small-scale industries.
Explanation
The answer is derived from Box 3.3, which explicitly links the rise in power tariffs and removal of subsidies to the distress of workers in small industries. The 'Siricilla Tragedy' is cited as evidence that such hikes can lead to loss of livelihood and even suicides, suggesting that raising tariffs is harmful to vulnerable economic sections.