KSEB cleared to buy emergency power at ₹10 per unit until May 15

Thiruvananthapuram: The State Electricity Regulatory Commission has granted permission to the Kerala State Electricity Board (KSEB) to purchase power at a rate of ₹10 per unit. The authorisation allows for the procurement of 250 MW of electricity until May 15 to address the severe power shortage currently gripping the state.

Failure in planning

The Commission issued a scathing critique of KSEB, noting that despite knowing summer demand would surge, the Board failed to implement adequate planning. The regulatory body further alleged that officials responsible for power procurement planning are failing to properly assess ground realities.

National demand surges

While permission has been granted, there are concerns regarding whether Kerala will actually secure the electricity, as national demand has hit record highs. On Friday, national demand reached a staggering 252 GW.

Cost Breakdown

• Current average purchase price: Approximately ₹7 per unit.
• Approved new ceiling: ₹10 per unit, with a provision to pay an additional 5 paise based on market conditions.
• Final cost: Once transmission costs are factored in, the price will reach approximately ₹10.55 per unit upon reaching Kerala.

The Commission also slammed KSEB for failing to run effective campaigns to reduce night-time consumption. It noted that if the Board had monitored the situation proactively, power-swap agreements could have been established with other states much earlier. Furthermore, KSEB was accused of failing to provide several pieces of information requested by the Commission.