Thiruvananthapuram: The State Electricity Regulatory Commission (SERC) said that KSEB had earned an operating profit of Rs 70 crore in the FY 2020-21. However, SERC chairman Preman Dinraj asked KSEB to consider implementing cost-cutting measures to improve profit.
According to the CAG audit, KSEB is still in loss. However, the board implemented cost-cutting measures during recent years. The results are visible, said ERC Chairman.
Although KSEB is allowed to buy electricity from outside upto Rs 4 per unit, it has been able to buy for Rs 1.50 and Rs 2. Some of the agreements are entered for a period of 15 to 25 years and the board has to pay more to purchase electricity. The Commission has recommended that these long-term contracts should not be renewed when they expire.