Rs 3,000 cr! Power dues owed by govt, private entities to KSEB

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Thiruvananthapuram: The power dues collectively owed by the government and private institutions to the Kerala Electricity Board Limited over the years have mounted to about Rs 3,000 crore. Of this, Rs 1,800 crore is recoverable from the government entities of which the Water Authority alone has to remit about Rs 1,000 crore.

Around 1,200 crore is owed by private institutions and a good share of this has been tied up in litigation for years, Board chairman B Ashok said. The remaining dues are because of the private institutions being allowed to pay in instalments owing to the financial crisis brought about by the COVID-19 pandemic.

The dues of the board will not be considered for the upcoming revision of the power tariff. The dues are assessed as the revenue received by the board. The proposed tariff hike is aimed to bridge the gap between the revenue and expenditure. If the dues are recovered, the financial position of the board will improve.

As reported earlier the tariff petition prepared by the state power utility for the next 5 years has been handed over to the Kerala State Electricity Regulatory Commission for approval. The current tariff structure is valid until March 31. It was on July 8, 2019 the last hike came into effect.

 

Tariff hike necessary: Minister

 

Palakkad: The tariff during the peak hours would have to be hiked if there is no change in the current pattern of consumption, Electricity Minister K Krishnakutty has said.

Purchasing power from outside the State during the peak hours is causing huge financial liability for the KSEB. Consumers need to change the high consumption of power during the peak hours between 6pm and 10pm.

The Board will face a crisis if there continues to remain a big difference between revenue and expenditure.

Currently, up to Rs 8 per unit is being paid to purchase power from outside the state, as per the two contracts that were inked two decades ago. Efforts are being made to make power available at a lower rate.

The Minister, however, clarified that no decision has been taken over tariff hike. A detailed discussion will be held after Chief Minister Pinarayi Vijayan returns to the state.

The Electricity Regulatory Commission has to decide on the hike.

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