Wednesday, March 24, 2010

UPS prices surge amid heavy demand












KARACHI: Battery makers are fully cashing in on the situation by pushing up the rates in the wake of surging demand of uninterrupted power supply (UPS) as the load-shedding has brought miseries to the people ahead of peak summer season.
Increasing trend in sales of cars and heavy vehicles has also pushed up the demand for batteries. In 2008, consumers had witnessed worst black marketing of the batteries as the demand outstripped supply.

Car sales in July-Feb 2009-10, including Suzuki Bolan, surged to 75,275 units as compared to 54,660 units in the same period of last fiscal.

The government, while taking the price hike in cars lightly, has also never bothered to check the battery makers for persistently jacking up prices in the last few years since the UPS emerged as an alternative option to beat the load-shedding.

Dealers admitted that the prices of UPS have risen but the major impact has come from the substantial increase in battery prices.

Battery dealers in various areas said that the manufacturers had raised the prices by five per cent each in Dec 2009 and Feb 2010 followed by 13 per cent rise in March.

The dealers have cautioned the consumers to purchase batteries for UPS as more price hike is in the offing in case power outages pick up momentum in up coming months and last for eight to 10 hours.

A battery dealer in F.B. Area said that the batteries produced by some old players are not easily available due to increasing demand. Either the manufacturers are producing in lesser quantities deliberately to monopolise the market or the rising demand has virtually created shortage.

Meanwhile, UPS dealers in different areas quote various rates along with installation charges. A dealer said a UPS with 150 ampere battery, empowering three tube lights and three fans, now costs Rs17,500 in which he puts the battery price at Rs9,400.

He said last year the same package was available at Rs15,500-16,000. In 2007, the same gadgets were available at Rs10,000-11,000.

An UPS with 150 ampere battery for four fans and four tube lights carries price tag of Rs18,500 as compared to Rs16,000-17,000 last year. In case the consumers want to install a 200 ampere battery then the price goes up to Rs21,500. A 200 ampere battery now costs Rs12,000.

An UPS powering five tube lights and five fans with 200 ampere battery can be purchased at Rs24,000 as compared to Rs18,000-19,000 last year.

At the time of rising prices of food items and other expenses, a consumer having low income has to think twice even to install an UPS with 132 ampere battery for two fans and two tube lights at a cost of Rs14,500 now. Last year, it was Rs12,000.

A UPS dealer at Regal Chowk Mohammad Ashraf said that the UPS price has increased due to usage of imported copper wire, integrated circuits, iron sheets and transistor as a result of rupee devaluation against the dollar.

He said that the UPS price, excluding battery (for using three bulbs and fans), now costs Rs7,000-7,500 as compared to RsRs5,500-6,000 earlier.

Similarly, the UPS to power four bulbs and four fans is now priced at Rs8,500-9,000 as against Rs7,000-8,000.

The UPS for running two bulbs and two fans now sells at Rs6,000 as compared to Rs4,500. He added that the installation charges have also gone up to Rs1,000 from Rs500.

He said a good quality battery of 150 ampere now sells at Rs9,000 as compared to Rs7,000 a month back, while a 200 ampere battery is available at Rs12,000 compared to Rs9,200 earlier.

Shopkeepers in different areas are selling at least 10 UPS units daily in view of its surging demand. The UPS had gained popularity in offices and among the consumers, who wanted a noiseless alternative power supply system.

A number of small factories are engaged in making UPS in Karachi and many units are selling their products in Punjab also. Four years back, UPS used to arrive from Lahore-based factories.

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