Industries located in Special Economic Zones, are going to be granted exemption from paying electricity duty for the power generated and consumed by themselves. This exemption is valid provided the power thus generated is used by them alone.
Currently, the units in SEZs pay Rs 0.25 for each unit of electricity they use. In most cases of SEZ-industrial units, developers of the unit purchases power from discoms (owned by government) and supply it to the respective industrial unit.
GO No 8 has been enforced to enable the exemption. It is said to have favourable impact on SEZ industrial units. Currently they are said to be paying large amounts as power tariff.