Solar boom in Kerala may hike power bills, says KSEB, citing Rs 500 crore yearly liability and potential 19 paise per unit surcharge to maintain grid stability
Thiruvananthapuram: The Kerala State Electricity Board (KSEB) has said that the rapid increase in solar power production in the state is creating an annual burden of ₹500 crore, according to the 2024–25 estimates.
If this cost is to be absorbed as a surcharge, the tariff will rise by 19 paise per unit. By 2034–35, it is expected to increase to 40 paise per unit, the Regulatory Commission was informed.
KSEB, in most matters, welcomed the new renewable energy source regulations introduced by the Commission during the evidence-gathering process. However, it also requested additional restrictions.
According to KSEB, the main factors contributing to the economic burden include: the cost of maintaining grid balance in the wake of unregulated injection of solar power into the grid by prosumers, and the losses incurred from having to replace power ‘banked’ by prosumers during the daytime with high-cost power during peak night hours.
| Year | Producers | Production* |
| 2022-23 | 79,602 | 48.1 |
| 2023-24 | 1,28,145 | 78.3 |
| 2024-25 | 2,25,564 | 124.6 |
*in crore units
Renewable energy consumptions in Kerala
- Hydropower (2284.42 MW): 50%
- Rooftop solar (1397.12 MW):30%
- Other power plants (787.35 MW):17 %
- Wind power (146.53 MW):3 %
Published: 12 Jul 2025, 08:18 am IST
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