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Freight issue resolved, two Adani cement plants to resume ops
The truck operators and Adani Group have agreed on ₹10.30 per tonne per kilometre for single-axle trucks and ₹9.30 for multi-axle trucks
The 68-day deadlock between the Adani Group-owned two cement companies and truck operators over freight charges ended on Monday after the two sides agreed on new rates.
With the issue being resolved following mediation by chief minister Sukhvinder Singh Sukhu, the ACC Cement Plant at Barmana in Bilaspur and Ambuja Cement Factory located at Darlaghat in Solan will resume operations on Tuesday.
“We arrived on consensus, thereby protecting the interests of both the truck operator unions and the management as well, besides the welfare of all others who were being directly or indirectly hit by the stalemate,” Sukhu said, adding that the state government also didn’t want the factory management to suffer the loss.
“We are here to promote the industries in the state. The industries should be promoted and we are committed to providing them with a favourable environment,” the chief minister said.
The cement plants were shut after a dispute between the company and the truck unions over freight rates on December 14. The truck operators and Adani Group have agreed on ₹10.30 per tonne per kilometre for single-axle trucks and ₹9.30 for multi-axle trucks.
The truck unions had demanded ₹10.70, while the Adanis Group initially offered to fix the rates at ₹6.50.
Earlier, the transportation rate per quintal for cement was ₹10.58 per tonne per kilometer in Darlaghat and ₹11.48 in Barmana in hilly areas and ₹5.38 in the plains. The truck unions and company officials have held several rounds of the meeting to end the deadlock, but both the sides had voiced “substantive” differences.
The chief minister said that due to the coordinated efforts of all, an acceptable solution to this matter has been possible. He said that this dispute came to the fore only five days after the state government assumed power and the cement factory management announced to stop the production.
“Truck operators had gone on strike on December 16, 2022. Thereafter, the state government continued holding talks with truck operators and factory management. After the change of ownership of the cement factories located at Darlaghat and Barmana, the management refused to provide freight at old rates and from there the dispute escalated” he said.
Sukhu said that both the parties suffered the loss due to the deadlock. Despite economic loss to the state, the truck operators, truck drivers and those involved in the repair of vehicles and other works, local people, dhaba owners and thousands of families suffered from this, he said.
“Our Government also constituted a committee headed by the Industries minister to solve the log jam and I was well in touch with the committee, the company management and the truck operators for immediately solving the issue,” Sukhu said.
The chief minister said that the principal secretary, industries and other officers would device a formula for matters related to the annual increase in freight rates.
Apart from this, instructions have been given to deputy commissioners of Solan and Bilaspur to solve other problems of truck operators.
The truck operators said that their demand for higher freight rates was not met but they agreed on a new rate for the convenience of the general public and for the honour of the chief minister.
“The rate suggested by chief minister Sukhvinder Singh Sukhu is too low but we accepted it out of compulsion due to public convenience,” said Ramkrishan Thakur, former head of the Baghal Land Losers Truck union, who represented the truck unions.
Meanwhile, the government has entrusted the responsibility of resolving other issues of truck operators to deputy commissioners of Mandi and Solan.
The Adani Group on December 14 indefinitely suspended operations in its two cement plants ACC Barmana, and Ambuja Darlaghat after a dispute with truck unions over freight rates, which created a livelihood crisis for thousands of families. Adani Group of companies acquired both factories in September last year.
The Adani Group management blamed transporters for controlling all operational decisions relating to the transportation of material. It stated that their unbridled control without authority or accountability is resulting in inefficiencies. On the other hand, truck unions allege that Adani Group wants the truck unions to agree to rates which are not viable. There are nearly 6,500 trucks engaged in both the cement plants.
