SKHF seeks extension of moratorium on bank loans, payment of electricity charges as per actual usage

The South Kerala Hoteliers’ Forum (SKHF) has written to chief minister Pinarayi Vijayan urging him to request the concerned authorities to extend the moratorium on bank loans to a period of 12 months from March this year. RBI had granted moratorium for only a period of three months. Interest during the period should also be waived off, SKHF stated in the letter.

These benefits should be made available to all accounts irrespective of whether the account is regular or whether instalments are overdue for payment, as of February this year. According to the directive issued by RBI, such overdue accounts are not eligible for the moratorium.

“As you are well aware, tourism is the worst affected industry and more than 95% of the hotels and resorts have been shut down. Even when the property is shut, overheads like maintenance and housekeeping continue, wages have to be paid and statutory obligations have to be met. It is in this context that we request for the moratorium to be extended,” SKHF President Chacko Paul stated in the letter.

The same letter has been forwarded to Ajit Krishnan, convenor of State Level Bankers’ Committee (SLBC) Kerala, requesting him to take up this matter with RBI.

SKHF had made another representation to the chairman of the Kerala State Electricity Regulatory Commission (KSERC), requesting it to waive off or reduce the fixed load charges. The letter said only the actual electricity units consumed should be charged.

“The hotels are facing huge losses in revenue and occupancy level has drastically dropped to `nil’ percentage and only a few hotels are operational with single digit occupancy. Most of the hotels have shut down and those which are operational are only using limited power,” Chacko Paul said in the letter addressed to KSERC chairman Preman Dinaraj. Due to the fixed load demands approved by Kerala State Electricity Board (KSEB) with regard to high tension consumers, the hoteliers have to pay the minimum fixed charges whether consumption is high or less.