Does energy cost 8% of turnover or 42% of production value in the Panipat textile cluster profile?
The Energy and Resources Institute (TERI) Panipat profile prints an energy bill of rupees (Rs) 3,950 million and calls it about 8% of turnover. It also prints cluster production of Rs 950 crore. Our division, 3,950 by 9,500 million, is 41.6%. The two lines cannot both hold if turnover equals production value, and the profile does not say they differ.
What the profile prints
- Annual energy bill by unit type, in rupees (Rs) million: home furnishing 2,468, floor covering 133, dyeing and printing 1,279, yarn processing and looms 70. They add to 3,950, as printed.
- In the same section: the bill is 'about 8% of cluster turnover'.
- Earlier in the profile: 'The estimated annual production of the cluster is valued to be Rs 950 crore.' One crore is 10 million, so that is Rs 9,500 million.
The two lines against each other
3,950 / 9,500 = 41.6%, not 8%. For 8% to be true the cluster would need turnover of 3,950 / 0.08 = Rs 49,375 million (Rs 4,937.5 crore), about 5.2 times the printed production value. Going the other way, 8% of Rs 9,500 million is Rs 760 million, a fifth of the printed bill.
The profile does not say which line is off, and production value and turnover are not always the same thing. The profile does not say which figure is off. Until someone shows the working, do not quote either share for the cluster.
A second look: what the bill implies per unit of power
Two unit types burn no fuel in the profile, so their bill is all electricity. Floor covering: Rs 133 million for 16 million kilowatt hours (kWh) is Rs 8.31 a kWh. Yarn processing and looms: Rs 70 million for 8 million kWh is Rs 8.75.
The tariff table in the same profile lists energy charges of Rs 5.95 to 6.25 per kilovolt-ampere hour (kVAh), plus demand charges. Kilovolt-ampere hours are not kilowatt hours, so a power factor below 1 widens the gap between a rate per kVAh and a rate per kWh. Our reading: the bill figures look like all-in bills, with demand charges and other items. The profile does not break them down.
What to use for your own unit
- Add 12 months of electricity bills, fuel invoices and generator diesel. Divide by 12 months of sales. That share is yours and a lender can check it.
- If someone quotes a cluster-wide energy share for Panipat, ask which production or sales figure sits under it.
The profile's own numbers, divided both ways
- Bill: 2,468 + 133 + 1,279 + 70 = Rs 3,950 million
- Production: Rs 950 crore x 10 = Rs 9,500 million
- Share: 3,950 / 9,500 = 41.6%
- Turnover needed for 8%: 3,950 / 0.08 = Rs 49,375 million, or 5.2 x 9,500
- Bill at 8% of 9,500: Rs 760 million
All inputs are TERI's 2014-15 survey figures. The division and the reading of the mismatch are our own arithmetic.
What Senseible does here
Senseible reads fuel invoices and electricity bills into monthly records, so your own year of energy bills adds up to a number you can read off, not a cluster average. It does not read your sales, so you divide by turnover yourself.
Sources: TERI, Energy Profile: Panipat Textile Cluster (SAMEEEKSHA)
Last reviewed 2026-11-06. Figures are from TERI's 2014-15 survey, published 2016. Energy prices, bills and production values have moved since; use your own invoices.