Weekly 8-Hour Power Cuts Hit Industries In Gujarat Amid Festival Season

Gujarat's industrial sector is facing fresh uncertainty after the state government introduced weekly eight-hour power cuts just ahead of Diwali, raising concerns over production losses and workers' earnings.

The restrictions come as industries recover from disruptions linked to the Strait of Hormuz crisis earlier this year. Power rationing began following government notices issued last week, as electricity demand surged across the state.

On Oct 16, Gujarat recorded peak power demand of 29,822 megawatts (MW), driven by Navratri celebrations, increased industrial activity and preparations for Diwali.

Production Losses Feared Amid Power Shortage

The state government has introduced several measures to address the electricity shortage, including securing additional coal supplies and power allocations from the central grid.

Authorities are also exploring the restart of non-operational power plants to improve availability.

While they have supported the move, they have also expressed concerns over the timing of the power cuts. Factory owners are concerned that the scheduled electricity cuts may affect manufacturing operations.

"Diwali is just around the corner, but for the first time in the last 20-25 years, the government has imposed a power cut. Naturally, this is a shock, because right before Diwali, businesses have to fulfil their orders and dispatch all their goods," Ashok Jirawala, President, Southern Gujarat Chamber of Commerce and Industry, said.

"They (industries) are prepared for power cuts and fully support the government, but the timings given—from 4 PM until 11 PM—are wrong. This will affect everyone across the entire textile supply chain," he added.

Jirawala said that they have written to the government to appraise it of their concerns.

Gujarat, traditionally a power-surplus state, is witnessing restrictions of this magnitude for the first time in nearly 15 years, according to industry representatives.

The situation has worsened as some large manufacturers with captive power plants have shifted to grid electricity because of higher coal and gas costs.

According to a report by Financial Express, engineering units in Rajkot district have adopted Wednesday as their weekly power-cut day.

As per the report, Rajkot Engineering Association president Narendra Panchani said industries were also asked to accept daily electricity restrictions between 4 pm and 11 pm.

However, the association rejected the proposal, warning that daily cuts could cost workers approximately ₹20 lakh in wages. Rajkot district has more than 2 lakh engineering units. Meanwhile, manufacturers in Ahmedabad and Sanand have begun adjusting shifts and production schedules.

Sanand Industries Association president Amit Shah said businesses had not yet experienced a significant impact but hoped the restrictions would end soon.

Published on: Friday, October 23, 2026, 10:45 AM IST