Kerala to purchase 140 crore additional units of electricity to avoid power cuts for World Cup final
Thiruvananthapuram: In a move to ease ongoing power restrictions, the Regulatory Commission has given verbal approval to the Kerala State Electricity Board (KSEB) to procure an additional 200 MW of electricity for a period of one year. Official approval will be granted following a public hearing on Saturday.
The power is priced at ₹5.96 per unit. The contract secures 200 MW of round-the-clock electricity for one year, amounting to approximately 140 crore units annually at an estimated cost of ₹840 crore. The electricity will be sourced from NTPC Vidyut Vyapar Nigam Limited and Power Plus Trading Solutions Limited until 14 July next year. While supply will begin immediately, providing slight relief, minor restrictions will still need to continue as power deficits reach up to 600 MW on days without rainfall.
Amendments to tender conditions approved
The Regulatory Commission has also permitted amendments requested by KSEB in the tender conditions for purchasing 300 MW of power for a five-year period. KSEB will soon invite tenders for this procurement. On Thursday night, load shedding lasted for about one and a half hours, forcing power regulations ranging from 493 MW to 850 MW. The decision to invest ₹840 crore to purchase 140 crore units of electricity at a reasonable price was taken due to widespread public protests against these restrictions. However, this additional expenditure will ultimately be passed on to consumers through future electricity tariffs.
No power cuts for World Cup final
With the procurement of additional power, there will be no electricity restrictions in Kerala on Sunday, the day of the World Cup final, confirmed KSEB chairman and managing director Dr M G Rajamanickam.
He clarified that the current power crisis was not created by KSEB. Due to deficient rainfall, the demand for electricity has surged across all states, leading to a shortage of available power in the real-time market. He added that implementing minor restrictions was preferable to spending massive amounts of money that consumers would eventually have to repay.
Kapil Sibal to argue for restoring cancelled contracts
Electricity Minister Sunny Joseph stated that prominent advocate Kapil Sibal will represent KSEB in the Supreme Court case aimed at restoring previously cancelled low-cost power contracts. The Regulatory Commission had earlier cancelled a contract that provided electricity at ₹4.29 per unit, citing procedural irregularities. Although the contracts were later reinstated at the government's request, the generating companies refused to supply the power, prompting KSEB to approach the Supreme Court.