(MENAFN- AsiaNet News) Thiruvananthapuram: The rise in temperature across the state has led to a surge in electricity consumption, putting the Kerala State Electricity Board (KSEB) in a precarious financial situation. Despite reinstating long-term contracts that previously provided cheap electricity, companies are not cooperating with KSEB. As a result, the only solution to the problem of purchasing power from outside sources, at a considerable cost, would likely lead to an increase in surcharges.
A staggering 10.02 crore units of electricity were consumed on Monday alone. This marks a record for single-day consumption in March. A high-level meeting chaired by Pinarayi Vijayan will be held on Wednesday to review the situation.
During the summer heat, Kerala requires over five thousand megawatts of electricity daily at peak times. The previous day saw a record of 5031 MW. Kerala's central allocation stands at 1600 MW, with 1200 MW sourced through power contracts and 1600 MW from hydro projects, totaling 4400 MW. Beyond this allocation, the board procures electricity at a significant cost to meet the demand.
In 2015, the UDF government entered into a 25-year contract with Jindal Power Limited, Jindal Thermal Power Limited, and Jabua Power Limited for electricity supply. Recently, the government has revoked the cancellation of the electricity supply contract, which was priced at 4.29 paise per unit. This decision was made based on the assessment that the cancellation was erroneous.
Currently, KSEB purchases power from the Central Power Exchange, with the cost of buying a unit of electricity ranging between Rs 8 to Rs 12. KSEB anticipates a rise in electricity usage in the upcoming days, which would impose a significant burden on the board.
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