Fuel price: Borewell drilling rate goes up in Madurai

MADURAI: Summer is usually the peak season for borewell drilling, and now the increasing costs of borewell drilling due to rise in fuel prices has severely affected contractors and public alike. Borewell drilling contractors have gone on a three-day strike demanding the government allow them fuel at subsidized prices.
“The drilling cost was around Rs 80 per ft, but soon it may touch Rs 100 per ft.When diesel prices are rising, we need to compensate for it. It takes one litre of diesel for drilling one ft,” said A Muthuraman, a borewell drilling contractor from Bypass Road. The contractors further said that they are also facing poor demand this year as the public are also unable to afford the cost of borewell unless it is desperately needed.

“Apart from diesel prices, all the costs have increased. From drilling pipes and labour charges, to the spare parts and raw materials, costs have increased all around for contractors. Further, the public are also unable to afford to build new houses as families are affected financially due to the Covid-19 pandemic. Over the past two years, it was a struggle for borewell contractors as we had to completely stop operations when Covid-19 cases peaked and lost many migrant workers too,” said K Shankar, owner of a borewell drilling service from Goripalayam. He added that many borewell drilling service owners are going out of business as they are unable to manage the rising costs and are in debts.
Meanwhile, on Thursday, members of Madurai District Borewell Rig and Agents Welfare Association began a three-day strike as part of a state-wide strike demanding the government to lower diesel prices immediately. “This time, there is no stability in the diesel prices, which are affecting us greatly. There must be a fixed price or subsidised rates for us. Further, GST is also being levied and that burden also falls on the customers. Hence the GST must be relaxed or minimum GST rate should be levied,” said B Suresh, president of the association. He added that without minimum profit, borewell drilling service businesses cannot survive as even one borewell rig costs up to Rs 1 crore and that if diesel prices go up to over Rs 95 per litre, they cannot survive with charging Rs 85 per ft as drilling cost.