Cannot impose load shedding over cancellation of power purchase contracts: Govt tells KSEB

By SN Jayaprakash

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Thiruvananthapuram: Power minister K Krishnankutty has informed the state government’s stand on Kerala State Electricity Board’s (KSEB) request for implementing load shedding in the state. Krishnankutty maintained that load shedding cannot be imposed over an impending power crisis due to the cancellation of agreements between the KSEB and private companies. The minister also directed KSEB to find alternative options in the meeting held on Saturday.

Earlier, the state's electricity regulatory commission cancelled agreements between KSEB and three private companies, citing rule violations. KSEB has been planning to approach the appellate tribunal against the cancellation of contracts. It also expected the government’s approval for implementing load shedding. The new development comes at this juncture.

The board has been directed to call for tenders to get new contracts at cheaper rates. However, it is not clear how KSEB will go about it. It is learnt that further procedures will be decided on Monday.

Meanwhile, it will be challenging for the KSEB to get new contracts at cheaper rates or prices less than existing rates. If KSEB fails to get new contracts at cheaper rates, then it may result in a tariff hike.

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