Thiruvananthapuram: Kerala alleged that the condition put forward by the central government to increase borrowing limit for states is a shortcut to privatize power supply.

The Kerala State Electricity Board (KSEB) and the finance department are examining if a higher amount can be borrowed by following other conditions which seem to be harmless.

Privatization is included among the conditions to increase the borrowing limit of states by half percent of the GDP in the next 4 years.

As per the new conditions, the states will get upto 10-25 bonus points if they privatized the sector or accepted private partnership.